I 

117TH CONGRESS 

1ST SESSION H. R. 3270 

To reform the process by which Federal agencies analyze and formulate 

new regulations and guidance documents, to clarify the nature of judicial 

review of agency interpretations, to ensure complete analysis of potential 

impacts on small entities of rules, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 17, 2021 

Mr. BURCHETT introduced the following bill; which was referred to the 

Committee on the Judiciary 

A BILL 

To reform the process by which Federal agencies analyze 

and formulate new regulations and guidance documents, 

to clarify the nature of judicial review of agency interpretations, to ensure complete analysis of potential impacts 

on small entities of rules, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Protecting Jobs and 

5 Wages from Regulations Act of 2021’’. 


kjohnson on DSK79L0C42PROD with BILLS
2 

•HR 3270 IH

1 SEC. 2. DEFINITIONS. 

2 Section 551 of title 5, United States Code, is amend3 ed— 

4 (1) in paragraph (13), by striking ‘‘and’’ at the 

5 end; 

6 (2) in paragraph (14), by striking the period at 

7 the end and inserting ‘‘; and’’; and 

8 (3) by adding at the end the following: 

9 ‘‘(15) ‘negative-impact on jobs and wages rule’ 

10 means any rule that the agency that made the rule 

11 or the Administrator of the Office of Information 

12 and Regulatory Affairs determines is likely to— 

13 ‘‘(A) in one or more sectors of the economy 

14 that has a 6-digit code under the North Amer15 ican Industry Classification System, reduce em16 ployment not related to new regulatory compli17 ance by 1 percent or more annually during the 

18 1-year, 5-year, or 10-year period after imple19 mentation; 

20 ‘‘(B) in one or more sectors of the econ21 omy that has a 6-digit code under the North 

22 American Industry Classification System, re23 duce average weekly wages for employment not 

24 related to new regulatory compliance by 1 per25 cent or more annually during the 1-year, 5- 

26 year, or 10-year period after implementation; 


kjohnson on DSK79L0C42PROD with BILLS
3 

•HR 3270 IH

1 ‘‘(C) in any industry area (as such term is 

2 defined in the Current Population Survey con3 ducted by the Bureau of Labor Statistics) in 

4 which the most recent annual unemployment 

5 rate for the industry area is greater than 5 per6 cent, as determined by the Bureau of Labor 

7 Statistics in the Current Population Survey, re8 duce employment not related to new regulatory 

9 compliance during the first year after imple10 mentation; or 

11 ‘‘(D) in any industry area in which the Bu12 reau of Labor Statistics projects in the Occupa13 tional Employment Statistics program that the 

14 employment level will decrease by 1 percent or 

15 more, further reduce employment not related to 

16 new regulatory compliance during the first year 

17 after implementation.’’. 

18 SEC. 3. RULE MAKING. 

19 (a) Section 553(a) of title 5, United States Code, is 

20 amended by striking ‘‘(a) This section applies’’ and insert21 ing ‘‘(a) APPLICABILITY.—This section applies’’. 

22 (b) Section 553 of title 5, United States Code, is 

23 amended by striking subsection (b) and inserting the fol24 lowing: 


kjohnson on DSK79L0C42PROD with BILLS
4 

•HR 3270 IH

1 ‘‘(b) RULE MAKING CONSIDERATIONS.—In a rule 

2 making, an agency shall make all preliminary and final 

3 factual determinations based on evidence and consider, in 

4 addition to other applicable considerations, the following: 

5 ‘‘(1) The legal authority under which a rule 

6 may be proposed, including whether a rule making 

7 is required by statute, and if so, whether by a spe8 cific date, or whether the agency has discretion to 

9 commence a rule making. 

10 ‘‘(2) Other statutory considerations applicable 

11 to whether the agency can or should propose a rule 

12 or undertake other agency action. 

13 ‘‘(3) The specific nature and significance of the 

14 problem the agency may address with a rule (includ15 ing the degree and nature of risks the problem poses 

16 and the priority of addressing those risks compared 

17 to other matters or activities within the agency’s ju18 risdiction), whether the problem warrants new agen19 cy action, and the countervailing risks that may be 

20 posed by alternatives for new agency action. 

21 ‘‘(4) Whether existing rules have created or 

22 contributed to the problem the agency may address 

23 with a rule and whether those rules could be amend24 ed or rescinded to address the problem in whole or 

25 part. 


kjohnson on DSK79L0C42PROD with BILLS
5 

•HR 3270 IH

1 ‘‘(5) Any reasonable alternatives for a new rule 

2 or other response identified by the agency or inter3 ested persons, including not only responses that 

4 mandate particular conduct or manners of compli5 ance, but also— 

6 ‘‘(A) the alternative of no Federal re7 sponse; 

8 ‘‘(B) amending or rescinding existing 

9 rules; 

10 ‘‘(C) potential regional, State, local, or 

11 tribal regulatory action or other responses that 

12 could be taken in lieu of agency action; and 

13 ‘‘(D) potential responses that— 

14 ‘‘(i) specify performance objectives 

15 rather than conduct or manners of compli16 ance; 

17 ‘‘(ii) establish economic incentives to 

18 encourage desired behavior; 

19 ‘‘(iii) provide information upon which 

20 choices can be made by the public; or 

21 ‘‘(iv) incorporate other innovative al22 ternatives rather than agency actions that 

23 specify conduct or manners of compliance. 

24 ‘‘(6) Notwithstanding any other provision of 

25 law— 


kjohnson on DSK79L0C42PROD with BILLS
6 

•HR 3270 IH

1 ‘‘(A) the potential costs and benefits asso2 ciated with potential alternative rules and other 

3 responses considered under section 553(b)(5), 

4 including direct, indirect, and cumulative costs 

5 and benefits and estimated impacts on jobs (in6 cluding an estimate of the net gain or loss in 

7 domestic jobs), wages, economic growth, innova8 tion, economic competitiveness, and impacts on 

9 low income populations; 

10 ‘‘(B) means to increase the cost-effective11 ness of any Federal response; and 

12 ‘‘(C) incentives for innovation, consistency, 

13 predictability, lower costs of enforcement and 

14 compliance (to government entities, regulated 

15 entities, and the public), and flexibility.’’. 

Æ 


kjohnson on DSK79L0C42PROD with BILLS