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<title> - REINING IN THE ADMINISTRATIVE STATE: RECLAIMING CONGRESS'S LEGISLATIVE POWER</title>
<body><pre>
[House Hearing, 118 Congress]
[From the U.S. Government Publishing Office]
REINING IN THE ADMINISTRATIVE STATE:
RECLAIMING CONGRESS'S LEGISLATIVE POWER
=======================================================================
HEARING
BEFORE THE
SUBCOMMITTEE ON THE ADMINISTRATIVE STATE,
REGULATORY REFORM, AND ANTITRUST
OF THE
COMMITTEE ON THE JUDICIARY
U.S. HOUSE OF REPRESENTATIVES
ONE HUNDRED EIGHTEENTH CONGRESS
FIRST SESSION
__________
FRIDAY, MARCH 10, 2023
__________
Serial No. 118-9
__________
Printed for the use of the Committee on the Judiciary
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
Available via: http://judiciary.house.gov
__________
U.S. GOVERNMENT PUBLISHING OFFICE
51-502 WASHINGTON : 2023
-----------------------------------------------------------------------------------
COMMITTEE ON THE JUDICIARY
JIM JORDAN, Ohio, Chair
DARRELL ISSA, California JERROLD NADLER, New York, Ranking
KEN BUCK, Colorado Member
MATT GAETZ, Florida ZOE LOFGREN, California
MIKE JOHNSON, Louisiana SHEILA JACKSON LEE, Texas
ANDY BIGGS, Arizona STEVE COHEN, Tennessee
TOM McCLINTOCK, California HENRY C. ``HANK'' JOHNSON, Jr.,
TOM TIFFANY, Wisconsin Georgia
THOMAS MASSIE, Kentucky ADAM SCHIFF, California
CHIP ROY, Texas DAVID N. CICILLINE, Rhode Island
DAN BISHOP, North Carolina ERIC SWALWELL, California
VICTORIA SPARTZ, Indiana TED LIEU, California
SCOTT FITZGERALD, Wisconsin PRAMILA JAYAPAL, Washington
CLIFF BENTZ, Oregon J. LUIS CORREA, California
BEN CLINE, Virginia MARY GAY SCANLON, Pennsylvania
LANCE GOODEN, Texas JOE NEGUSE, Colorado
JEFF VAN DREW, New Jersey LUCY McBATH, Georgia
TROY NEHLS, Texas MADELEINE DEAN, Pennsylvania
BARRY MOORE, Alabama VERONICA ESCOBAR, Texas
KEVIN KILEY, California DEBORAH ROSS, North Carolina
HARRIET HAGEMAN, Wyoming CORI BUSH, Missouri
NATHANIEL MORAN, Texas GLENN IVEY, Maryland
LAUREL LEE, Florida
WESLEY HUNT, Texas
RUSSELL FRY, South Carolina
------
SUBCOMMITTEE ON THE ADMINISTRATIVE STATE,
REGULATORY REFORM, AND ANTITRUST
THOMAS MASSIE, Kentucky, Chair
DARRELL ISSA, California DAVID N. CICILLINE, Rhode Island,
KEN BUCK, Colorado Ranking Member
MATT GAETZ, Florida HENRY C. ``HANK'' JOHNSON, Jr.,
MIKE JOHNSON, Louisiana Georgia
DAN BISHOP, North Carolina ERIC SWALWELL, California
VICTORIA SPARTZ, Indiana TED LIEU, California
SCOTT FITZGERALD, Wisconsin PRAMILA JAYAPAL, Washington
CLIFF BENTZ, Oregon J. LUIS CORREA, California
BEN CLINE, Virginia MARY GAY SCANLON, Pennsylvania
LANCE GOODEN, Texas JOE NEGUSE, Colorado
JEFF VAN DREW, New Jersey LUCY McBATH, Georgia
HARRIET HAGEMAN, Wyoming ZOE LOFGREN, California
NATHANIEL MORAN, Texas STEVE COHEN, Tennessee
GLENN IVEY, Maryland
CHRISTOPHER HIXON, Majority Staff Director
AMY RUTKIN, Minority Staff Director & Chief of Staff
C O N T E N T S
----------
Thursday, March 9, 2023
Page
OPENING STATEMENTS
The Honorable Thomas Massie, Chair of the Subcommittee on the
Administrative State, Regulatory Reform, and Antitrust from the
State of Kentucky.............................................. 1
The Honorable David N. Cicilline, Ranking Member of the
Subcommittee on the Administrative State, Regulatory Reform,
and Antitrust from the State of Rhode Island................... 3
The Honorable Jerrold Nadler, Ranking Member of the Committee on
the Judiciary from the State of New York....................... 4
WITNESSES
Allyson Ho, Partner, Gibson, Dunn, & Crutcher, LLP
Oral Testimony................................................. 7
Prepared Testimony............................................. 9
Jonathan Wolfson, Chief Legal Officer and Policy Director, Cicero
Institute
Oral Testimony................................................. 12
Prepared Testimony............................................. 14
Ryan Cleckner, Co-founder, Gun University, LLC
Oral Testimony................................................. 21
Prepared Testimony............................................. 22
Emily Hammond, Vice Provost for Faculty Affairs, George
Washington University Law School
Oral Testimony................................................. 25
Prepared Testimony............................................. 27
LETTERS, STATEMENTS, ETC. SUBMITTED FOR THE HEARING
All materials submitted for the record by the Subcommittee on the
Administrative State, Regulatory Reform, and Antitrust are
listed below................................................... 58
Materials submitted by David N. Cicilline, Ranking Member of the
Subcommittee on the Administrative State, Regulatory Reform,
and Antitrust from the State of Rhode Island, for the record
Statement from United Steel, Paper and Forestry, Rubber,
Manufacturing, Energy, AlliedIndustrial and Service
Workers International Union (USW)
Statement from Elizabeth Skerry, Regulatory Policy Associate,
Public Citizen
An article entitled, ``Buttigieg calls on Trump to back
reversing deregulation in wake of train derailment,'' The
Hill
A letter from the Center for Progressive Reform, colaborated
with various institutions, March 10, 2023
A letter from The Coalition for Sensible Safeguards (CSS),
February 27, 2023
Materials submitted by the Honorable Pramila Jayapal, a Member of
the Subcommittee on the Administrative State, Regulatory
Reform, and Antitrust from the State of Washington, for the
record
A letter support for the Stop Corporate Capture Act from the
Coalition for Sensible Safeguards (CSS), March 10, 2023
An article entitled, ``Big oil and gas kept a dirty secret
for decades. Now they may pay the price,'' The Guardian
A letter from All Aboard Ohio, April 18, 2020, on Norfolk
Southern's influence on safety regulations
An article entitled, ``Presence and influence in lobbying:
Evidence from Dodd-Frank,'' Cambridge University Press
REINING IN THE ADMINISTRATIVE
STATE: RECLAIMING CONGRESS'S LEGISLATIVE POWER
----------
Friday, March 10, 2023
House of Representatives
Subcommittee on the Administrative State,
Regulatory Reform, and Antitrust
Committee on the Judiciary
Washington, DC
The Subcommittee met, pursuant to notice, at 9:04 a.m., in
Room 2141, Rayburn House Office Building, Hon. Thomas Massie
[Chair of the Subcommittee] presiding.
Present: Representatives Massie, Issa, Buck, Johnson of
Louisiana, Bishop, Fitzgerald, Bentz, Cline, Hageman, Moran,
Cicilline, Nadler, Johnson of Georgia, Jayapal, Correa,
Scanlon, Lofgren, and Ivey.
Mr. Massie. The Subcommittee will come to order.
Without objection, the Chair is authorized to declare a
recess at any time. I anticipate we're going to have to take a
break for votes at some point in this hearing.
We welcome everyone to the first hearing of the
Subcommittee on the Administrative State, Regulatory Reform,
and Antitrust.
The Chair now recognizes himself for an opening statement.
In some ways, the importance of today's hearing goes back
to the founding era. Even before America declared its
independence, John Adams emphasized that a Republic is a
government of laws, not of men. This hearing is about who makes
the laws in our country. It's also about how Congress should
reclaim its legislative power from the Administrative State.
This is an important discussion.
By way of background, the U.S. Constitution separates the
powers of government between the States and the Federal
Government. It further separates the powers among the three
branches of the Federal Government.
Importantly, Article I of the U.S. Constitution vests the
Federal legislative power in Congress. In other words, the
words of Chief Justice John Marshall: ``Powers are separated
with the intent that the legislature makes the law.''
In the modern day, we have seen a troubling consolidation
of powers in the Executive Branch. That is, in part, because of
how many regulations, binding rules that affect the American
people are coming from the Executive Branch. Indeed, in recent
years, the Administrative State has issued regulations carrying
the force of law more than 20 times as frequently as America's
elected Representatives have passed laws through the process
the Constitution requires.
When Chair Jordan invited me to Chair this Subcommittee, I
asked him what the topics were, what would be our jurisdiction,
and he said, ``that Administrative Law would be our
jurisdiction.'' I said, ``well, you've just given us
jurisdiction over about 95 percent of the Federal Government,''
and I'd be happy to Chair that Committee.
What this means is that so much of the law is
Administrative Law, unelected bureaucrats in the branch tasked
with executing the laws are, instead, making many of those laws
that bind the American people.
The modern Administrative State's violation of these
fundamental principles is significant. In our country,
lawmakers should be politically accountable to the electorate.
As Professor Philip Hamburger wrote in his book, The
Administrative Threat, quote:
These are core civil liberty issues. Binding agency rules deny
Americans their right under Article I to be subject to only
Federal legislation as enacted by an elected Congress, and such
rules thereby dilute the constitutional right to vote.
Today, Americans must routinely follow rules that come from
a source other than Congress. In recent years, Federal agencies
have more and more frequently imposed their will on the
American people.
To name just a few examples, OSHA's vaccine mandate, the
national eviction moratorium, the FTC's proposed noncompete
rule, and ATF's recent rule on stabilizing pistol braces, not
to mention Waters of the United States, which, incidentally, is
like a ping pong match, every time we get another
administration.
When we went from the Bush Administration to the Obama
Administration, we got a new Waters of the U.S. law, a new
interpretation of the Clean Water Act. Then when we went from
Obama to Trump, we got a new interpretation of the Clean Water
Act. Now, we've gone again to Biden's rules.
Each of these examples shows the Administrative State, not
Congress, attempting to or actually imposing binding rules on
the American people. Consider the ATF's pistol brace rule. It
requires gun owners to use stabilizing braces, not bump stocks,
Mr. Ranking Member, to register their braced pistols, modify
their weapons, or risk potential felony charges.
In the words of James Madison, the accumulation of all
powers. Legislative, Executive, and Judiciary, in the same
hands may justly be pronounced the very definition of tyranny.
That quotation by James Madison implicates an Administrative
State that makes law.
Today's hearing is about exploring the need for Congress to
reclaim its legislative authority and to discuss potential
legislative responses. Some legislation, like the REINS Act and
the Separation of Powers Restoration Act, are steps in the
right direction. Ultimately, Congress needs to reestablish
itself, not government agencies, as the main driver of Federal
policy.
I'll end with this final point: Although some conflate this
hearing's focus with deregulatory efforts, that need not be the
case. We're not arguing that there don't need to be any
regulations. Put simply, we can and should have a discussion
today about where law should come from.
As set forth by our Constitution, binding rules should come
from politically accountable elected representatives, not from
the Administrative State. Reasonable minds may differ about
certain policies, but we in this body should all be on the same
page about who should be making our laws, and that is Congress.
Before I recognize the Ranking Member, I want to thank him
for his service in Congress and tell him that we're going to
miss him. I hear that he's leaving this session early, and I
hope it's not because I am the Chair of this Committee.
Now, I recognize the gentleman from Rhode Island, Mr.
Cicilline, for his opening statement.
Mr. Cicilline. Thank you, Mr. Chair. I congratulate you on
Chairing this Committee and for our first hearing and can
assure you that your ascending to this Chairship did not
contribute to my decision to leave early.
Mr. Chair, it's just over a month now that the Southern
train derailed in East Palestine, Ohio, setting off a cascade
of events that have put countless lives at risk. Crews are
still cleaning up the highly toxic chemicals that were released
into the water, ground, and air. We will not know the full
effects of this environmental and safety disaster for decades.
This Subcommittee is charged with overseeing regulatory
reform, which is clearly much needed. Yet, today, instead of
using our first hearing to discuss what and how we must ensure
that the government is acting to not only help those in need
right now, but also to implement new safety and environmental
regulations that would prevent a disaster like this from ever
happening again, we're talking about, and I quote, ``reclaiming
Congress' legislative power.'' I, frankly, didn't know that
this is a power that had been lost.
At the center of today's hearing is, of course, the
Regulations from the Executive in Need of Scrutiny Act of 2023,
or the REINS Act, which would not, in fact, make rulemaking
more efficient or responsive to public concerns but instead,
would hinder the most basic functions of our government to keep
people safe.
By requiring that both the House and Senate pass and the
President sign a joint resolution of approval before any major
rule issued by an agency can take effect, we are effectively
negating the authority we have already given these agencies.
Let me make it plain. Congress already has the power to
oversee agency rulemaking, and agencies can only exercise
authority that we grant them. What the REINS Act would do, in
short, is prevent agencies from keeping dangerous products off
the shelves and toxic chemicals from polluting our land, air,
and water.
This is nothing more than a congressional power grab that
will lead to even more deregulation that puts people at risk
and will pave the way for reckless and powerful corporations to
put their profits ahead of the health and well-being of the
American people.
The REINS Act would prevent the Consumer Product Safety
Commission from updating safety standards for infant walkers,
like they did in late 2022, responding to alarming news that
these products had become a leading cause of death and injury
for small children.
The REINS Act would prevent rules from the Food and Drug
Administration, like their August 2020 rule to move to more
quickly identify and remove potentially contaminated food from
the market, resulting in fewer deaths and illnesses.
Finally, rules like the FDA's hearing aid regulation that
will lower cost for millions of Americans and allow people to
get hearing aids over-the-counter would be blocked under the
REINS Act.
Deregulation led to last month's derailment in East
Palestine and Norfolk Southern's recent derailment in
Springfield, Ohio. Further deregulation will lead to even more
tragedies in the future.
For years, at the behest of companies and special
interests, the Federal Railroad Administration has engaged in
deregulatory efforts despite workers' calls for necessary
stronger safety measures. We cannot place companies' greed over
public and worker safety and the cleanliness of our air, water,
and land.
Railroad workers have a saying, that their safety
regulations are written in blood, because it is only after
disasters, up to and including the loss of life, that pro-
safety changes are made. This is absolutely unacceptable.
Agencies are charged by the authority Congress grants to
enforce our laws. They do that, in part, by issuing those
rules. To that end, I hope my colleagues on both sides of the
aisle will join me in supporting legislation that would make
industry and our government more accountable by ensuring that
all agency-issued rules are based on rigorous studies and free
from bias, like the Stop Corporate Capture Act introduced by
Representative Jayapal.
At a time when residents across three States are grappling
with the highly toxic fallout of a culture of deregulation and
lax safety standards of the Trump Administration, we need to be
focusing on how to make rulemaking more effective and
efficient, not gunking up the wheels.
I thank you, Mr. Chair. With that, I yield back.
Mr. Massie. Thank you, Mr. Cicilline.
I now recognize the Ranking Member of the Full Committee
for his opening statement, if he has one.
Mr. Nadler. Thank you, Mr. Chair.
Mr. Chair, at a time when the Nation is reeling from
multiple train derailments in Ohio alone as well as
increasingly harsh storms due to climate change and an outbreak
of Avian Flu that has led to the deaths of tens of millions of
chickens in our food supply and experts tell us could
conceivably jump into other species, including humans, and
could conceivably cause another pandemic, I find it telling
that we are using the first meeting of this Subcommittee not to
discuss how we can better serve the needs of all Americans,
but, rather, how we can remove public health and safety
safeguards for the sake of higher company profits.
How do Republicans plan to advance their extreme agenda
protecting profits over people? By trotting out the same old
tired anti-health and safety legislation they have tried year
after year whenever they control the House. We are only three
months into the new majority, and I guess they are already out
of fresh ideas.
One of the bills we are examining today, the Regulations
from the Executive in Need of Scrutiny Act of 2023, or the
REINS Act, has been considered in every Congress in which
Republicans have held the majority since 2012.
The REINS Act would grind the gears of rulemaking to a halt
by requiring all major rules to be affirmatively approved by
both Chambers of Congress. A regulation would be blocked from
being implemented if even one House declines to pass an
approval resolution. The goal of this legislation, quite
simply, is to stop the regulatory process in its tracks,
regardless of its impact on public health and safety.
The bill purports to give Congress control of the
rulemaking process, but Congress already has this power and
exercises it in a number of ways. First, Congress can delegate
authority to agencies with specificity, thus limiting the scope
of the agency's authority. Second, it can impose restrictions
on rulemaking through appropriations. Third, it can influence
rulemaking through oversight activities.
If all these measures are insufficient, we also have the
blunt tool of the Congressional Review Act, which allows
Congress not only to overturn a rule, but also to bar the
agency from ever passing a substantially similar rule.
The REINS Act is not only redundant, but it also creates
insurmountable procedural hurdles that would stall the approval
of rules of major impact, rules that would be highly beneficial
to the public's health and safety.
It's important to remember why we have regulations in the
first place. Congress sets broad policies, but we delegate
authority to executive agencies because we do not have the
expertise to craft technical regulations ourselves.
Who here knows how many parts per billion of arsenic should
be allowed in our drinking water? Is 10 the proper amount?
Should it be five or 15? None of us here knows the answer. The
dedicated professionals at our Federal agencies, many of whom
have decades of experience and vast technical expertise,
undertake a careful process to protect our health and safety.
This process ensures--this process I should say includes
numerous procedural safeguards, including public notice and
comment.
Regulations ensure that our air is safe to breathe, our
water is safe to drink, our food is safe to eat, and the life-
saving medications we depend on are safe and effective. It
means that the cars we drive and the planes we fly have proper
safety mechanisms, and that banks and credit card companies
cannot take advantage of unsophisticated borrowers.
When we do not properly regulate, sometimes it means that
trains carrying dangerous chemicals can derail in our
communities, putting thousands of people at risk.
I feel much better about leaving regulatory decisions to
the careful study of agency experts rather than to Members of
Congress who want to substitute their judgment, subject to the
whims of politics.
Republicans also want to eliminate the Chevron doctrine,
which calls for courts to give deference to an agency's
reasonable interpretation of its statutory authority. So, if
it's not Members of Congress regulating our health and safety,
I guess it would be Federal judges.
Republicans have spent decades waging an all-out assault on
the regulatory process, trying to add hurdle after hurdle on
the ability of agencies to issue regulations that protect
public health and safety, regulations whose benefits
consistently outweigh their costs, often by many multiples.
If we want to improve the regulatory process, we would
consider legislation such as the Stop Corporate Capture Act,
which would bring more transparency and accountability to the
rulemaking process. Instead, the Subcommittee has chosen to
make their first order of business the dismantling and
destruction of the regulatory process, regardless of the impact
on public health and safety. This gives us a good idea of the
priorities we should expect to see out of this new extreme
majority. I hope they will reconsider this dangerous agenda.
I yield back the balance of my time.
Mr. Massie. Thank you, Ranking Member Nadler.
Without objection, all other opening statements will be
included in the record. We will now introduce today's
witnesses.
Allyson Ho is a partner and a Co-chair of the Appellate and
Constitutional Law Practice Group at Gibson, Dunn & Crutcher.
She has argued cases before the Supreme Court, States' Supreme
Courts, and various State and Federal Appellate Courts. She
previously served as Special Assistant to President George W.
Bush, counselor to Attorney General John Ashcroft, and she
clerked for justice Sandra Day O'Connor.
Jonathan Wolfson is the Chief Legal Officer and Policy
Director at the Cicero Institute. His research at Cicero
focuses on healthcare, regulatory reform, and employment
policies. He previously led the Policy Office at the U.S.
Department of Labor.
Ryan Cleckner is the Co-founder of Gun University LLC, and
a former Army Ranger. He is an attorney and previously served
as Vice President of Compliance at the Remington Outdoor
Company and is a Manager of Government Relations at the
National Shooting Sports Foundation.
Emily Hammond is the Vice Provost for Faculty Affairs and
the Glen Earl Weston Research Professor at the George
Washington University Law School. Professor Hammond's research
focuses on energy law, environmental law, and administrative
law.
We welcome our witnesses and thank them for appearing
today. We will begin by swearing you in. Would you please rise
and raise your right hand.
Do you swear or affirm, under penalty of perjury, that the
testimony you are about to give is true and correct, to the
best of your knowledge, information, and belief, so help you
God?
The record will reflect that the witnesses have answered in
the affirmative. Thank you. Please be seated.
Please know that your written testimony will be entered
into the record in its entirety. Accordingly, we ask that you
summarize your testimony in fivw minutes.
The microphone in front of you has a clock and a series of
lights. When the light turns yellow, try to begin to conclude
your remarks. When the light turns red, your time is expired.
Ms. Ho, you have the distinguished honor of going first.
STATEMENT OF ALLYSON N. HO
Ms. Ho. Thank you. Chair Massie, Ranking Member Cicilline,
thank you for inviting me here today to testify about reining
in the Administrative State.
I am heartened to see this issue being debated in Congress.
Our system of checks and balances can only work when Congress
is active in its engagement with the other branches, including
the Executive Branch. That's particularly important when we're
talking about the modern Administrative State, where the
Executive Branch regularly runs the risk of encroaching on the
authority of the Legislative Branch.
So, regardless of what actions this Congress chooses to
take in response to the rise of the Administrative State, I
think this hearing alone serves an important function in
Congress fulfilling its responsibilities under the
Constitution.
In my remarks today, I want to discuss one specific issue
that has coincided with, and likely accelerated the rise of the
Administrative State: Doctrines that force courts to defer to
administrative agencies.
The most well-known of these doctrines is Chevron
deference, which originates from a 1984 Supreme Court decision,
Chevron U.S.A. v. Natural Resources Defense Council. That case
holds that when a court is reviewing an agency's interpretation
of a statute that it administers, the court should defer to the
agency's interpretation if the statute is ambiguous and the
agency's interpretation is reasonable.
There are other types of judicial deference as well. For
example, Auer deference holds that courts should give
controlling weight to an agency's interpretation of its own
regulation unless the interpretation is plainly erroneous or
inconsistent with the regulation.
There are several significant flaws with judicial deference
to agency interpretations, and I'd like to highlight just a few
of them.
First, it flies in the face of the bedrock principle
underlying the rule of law. A law means what it says. A statute
or a regulation has a correct interpretation, and it is that
correct interpretation which should govern our actions.
Deference to an agency's interpretation turns that
fundamental principle on its head. Courts no longer care
whether the agency has the correct interpretation, just whether
the interpretation is reasonable. Suddenly, this reasonable
interpretation, which may or may not be correct, becomes the
law.
To enforce an agency's interpretation of the law, even
though it is not the best interpretation, is inconsistent with
the Judicial Branch's constitutional duty to say what the law
is, contrary to Congress' directive in the Administrative
Procedure Act, and harmful to confidence in our legal system.
Second, deference doctrines have become a tool for agencies
to expand their power and influence, often at the expense of
individual rights and freedoms. One of the biggest problems
with deference is that it allows agencies to effectively write
their own laws.
Because courts are required to defer to an agency's
interpretation of a statute if its reasonable, agencies have an
incredible amount of discretion to interpret laws in a way that
gives them more power and authority. This can result in
regulations that are far more burdensome and restrictive than
anything Congress intended when it passed the underlying law.
Third, these deference doctrines undermine very
fundamentally the separation of powers that is so critical to
our system of government. When agencies are given broad
authority to essentially write the laws, write regulations that
have the force of law, they are stepping into the role that
Congress has, not the Executive.
Moreover, even though agencies are technically within the
Executive Branch, the rise of the Civil Service and the vast
expansion of the Federal bureaucracy has effectively made them
a fourth branch of government, with the power to make laws and
enforce them with little effective political oversight.
Elected officials are supposed to be held accountable to
the people who elected them, but the Administrative State is
often staffed by unelected bureaucrats who are difficult to
hold accountable, even by the Executive. This can make it hard
for the public to have a say in the laws and the regulations
that affect their lives. The more you believe in democracy, the
more you should be concerned about the rise of the
Administrative State.
So, what can be done? There are many solutions, but part of
the growth of the Administrative State comes from congressional
neglect. When Congress passes laws that are open-ended, when
Congress doesn't react to civil agencies that are acting
outside the bounds of their authority, all that empowers
agencies to continue expanding their influence.
So, to end where I began, I'm grateful for the Committee's
invitation to testify today. I hope I can answer any questions
you have and help in any way I can in your efforts to rein in
the Administrative State. Thank you.
[The prepared statement of Ms. Ho follows:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Mr. Massie. Thank you, Ms. Ho.
Mr. Wolfson, you may begin.
STATEMENT OF JONATHAN WOLFSON
Mr. Wolfson. Chair Massie, Ranking Member Cicilline,
Members of the Subcommittee, good morning and thank you for
having me today. It's an honor to testify on Congress' role in
creating law and oversight when Executive Branch agencies start
to write laws instead of simply working to enforce the law that
is already written.
My name is Jonathan Wolfson. I'm the Chief Legal Officer
and Policy Director at the Cicero Institute, which is a
nonprofit think tank focused on identifying, developing, and
advancing entrepreneurial solutions to society's toughest
public policy problems.
Previously, I had the honor of serving as the head of the
Office of the Assistant Secretary for Policy at the U.S.
Department of Labor, as well as the Regulatory Reform Officer
at that Department.
Today's hearing centers on ways that Congress can bring
additional accountability to Federal rulemaking, whether by
limiting the power of the Executive Branch to act absent
congressional authorization or requiring legislative approval
of regulations.
Today, I will focus on four key points: First, the
legislature should create laws, and the Executive Branch should
encourage compliance and enforce those laws; second, the
Legislative Branch is more accountable than the Administrative
State; third, agencies have expertise in regulatory process,
not necessarily on making legislative decisions; and fourth,
the REINS Act appears to be a valuable step toward restoring
Congress' and agencies' appropriate roles.
Before we dive in further, I'd like to clarify that while
collo-
quially regulation often means government restrictions,
regulations are actually agency rules that purport to
effectuate statutes. This is important, because too often
discussions of deregulation devolve into caricatures, where
proponents of deregulation are asked to defend whether they
care about clean air, safe food, or fair banking practices.
Congress can pass laws to protect air, food, or finances
through statute without subsequent agency-driven lawmaking.
So, let's talk about why agencies are not supposed to make
new laws. Basic Schoolhouse Rock civics lessons teach us that
Congress makes laws, and the President executes and enforces
those laws, but Members of this Subcommittee know that this
isn't really the reality. Unfortunately, the Executive Branch
and independent Federal agencies regularly make new laws and
fill intentional or unintentional gaps left by Congress. At
times, regulatory agencies even act to make new laws without
any congressional authority at all.
Now, Congress does bear some responsibility for this
phenomenon. New laws are often vague. Sometimes this is out of
neglect, sometimes it's out of convenience for the legislature,
and sometimes it's out of apparent necessity. Often, this
leaves vague and big questions for the regulated community.
Regardless of the cause, I would argue that this is not the
ideal that we should be aiming toward. As Ms. Ho just
mentioned, this is not the ideal that the Constitution sets up
for us.
Second, Congress is accountable and agencies are not.
Another key reason that agencies ought not legislate is
that voters may hold legislators accountable for their action.
Accountability is especially important where there are
tradeoffs between different constituents and competing
interests.
When a secretary supports a particular policy, the agency
staff do as well. That policy is likely to prevail. Traditional
deference principles mean reasonable regulations, stand even in
the face of strong objection. Given the substantial burden and
the limited ability of Congress to hold agencies accountable,
Congress ought to write the laws.
Third, unique agency expertise often lies in regulatory
process. Some proponents of the Administrative State contend
that Congress lacks expertise on a range of issues that face
our Nation and agencies have the depth of knowledge and
experience necessary to write the laws. They argue that
Congress could codify public sentiment and leave the regulatory
details to the agency experts.
While regulators do bring specialized knowledge and years
of experience in government to the table, it does not follow
that this experience makes them better at making the rules than
a Member of Congress would be if given the opportunity.
Even assuming that the typical Federal official writing
regulations is a neutral, unbiased subject matter expert who
leaves his or her own preferences aside, do they possess the
right kind of expertise? Unfortunately, many agency staff have
narrow expertise, often in creating and enforcing regulations
rather than on important tradeoffs that occur in the real
world.
Even when they have field-level expertise, their relative
comparative advantage compared to academic or industry is
knowledge and experience in how the government works, how to
get something published in the Federal Register. So, they
revert to regulation, even if regulation is not the best path
forward, because regulators regulate. This knowledge of the
rules also helps them impose new regulations via guidance,
which doesn't have to go through all the Administrative
Procedure Act hurdles. To limit this overreach, I was honored
to sign the Department of Labor's Regulatory Openness through
Good Guidance rulemaking.
Fourth, Congress can use the REINS Act to rein in
regulatory excess. The REINS Act is a good proposal to restrict
legislative activity by agencies and restore the proper
relationship between the Legislative and Executive Branches.
The REINS Act is the next in a series of laws to limit
regulatory autonomy and require a particular regulatory process
to ensure the constitutionally required balance of power.
Thank you again for the opportunity to testify and share my
perspective. I look forward to answering any questions you all
may have.
[The prepared statement of Mr. Wolfson follows:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Mr. Massie. Thank you, Mr. Wolfson.
Mr. Cleckner, you may go now.
STATEMENT OF RYAN M. CLECKNER
Mr. Cleckner. Good morning, Chair Massie, Ranking Member
Cicilline, and Members of the Subcommittee.
I am Ryan Cleckner. I am a former special operations
sniper, and I'm a firearms attorney that specializes in Federal
firearms law and ATF compliance, among many other projects in
the firearms industry.
I am concerned with Federal administrative agency overreach
with respect to rulemaking. I believe that power in the
government should be limited, and it should only be in the
hands of those accountable to the people, and decisions and
debates on matters in legislation should be open and
transparent to the public.
Allowing nonelected and nonrepresentative government
bureaucrats in Federal agencies to exercise power that should
be limited to Congress and to do so behind closed doors without
accountability nor transparency, is destructive to America, its
citizens, and Congress. I implore you to not let these Federal
agencies under the Executive Branch continue to steal power
that has been entrusted to you by us.
A recent example of agency overreach where laws are being
changed by unelected bureaucrats with decisions being made
behind these closed doors is ATF's latest rule 2021R-O8F, its
Factoring Criteria for Firearms with attached Stabilizing
Braces. It was published in the Federal Register on January
31st of this year.
This latest rule that the ATF has made, it redefines laws
that have been passed by Congress, and it criminalizes the
possession of firearms with certain accessories that the ATF
itself had previously specifically approved. This rule by fiat
effectively gives the ATF the power to determine who is a felon
by the stroke of a bureaucrat's pen.
This is not an appropriate enforcement of law. It is
tyranny. It's unfair for the ATF to expect the average citizen
to not only be aware of these changes, especially since the ATF
itself has waffled back and forth over the years on pistol
braces alone, but expects citizens to make these determinations
about these objects themselves without clear direction about
what the ATF considers to be legal. However, even with clear
instructions, these changes to legal definitions within law are
not appropriate for the ATF to make.
If Congress doesn't rein in Federal agencies and these
agencies are permitted to continue to change laws and provide
this conflicting guidance to citizens, I believe that chaos
ensues.
Thank you for the opportunity to speak here today, and I'm
willing to answer any questions you may have.
[The prepared statement of Mr. Cleckner follows:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Mr. Massie. Thank you, Mr. Cleckner.
Mr. Massie. Professor Hammond, you may begin.
STATEMENT OF EMILY HAMMOND
Ms. Hammond. Thank you, Chair Massie, Ranking Member
Cicilline, and distinguished Members of the Subcommittee, for
the opportunity to testify today.
I'm a professor of law at the George Washington University
Law School, where I do, indeed, specialize in administrative
energy and environmental law. I have previously served in
Federal agencies, both as legal counsel and in my previous
career as an engineer, where I coauthored several scientific
publications.
I am deeply concerned about the REINS Act. It's
impractical. It's harmful to the people of this country. It
eviscerates two cores of government legitimacy, participation
and reasonableness, and it is likely unconstitutional.
Congress has long recognized that among the branches of
government, agencies within the Executive Branch are best
positioned to leverage specialized expertise to tackle the most
challenging issues that we face as a society.
Whether protecting the functioning of our markets, keeping
workers safe, or protecting the air we breathe, these
challenges are incredibly complex and difficult to address
solely in the legislative arena. So, in its wisdom, Congress
establishes the statutory basis for action, but tasks the
Executive Branch with the duty to bring that legislative vision
to life.
Congress has put a number of guardrails in place. For
rulemaking, these include the participation, deliberation, and
reason-giving requirements that stem from the Administrative
Procedure Act.
Notably, these features of rulemaking are fundamental to
the democratic decisionmaking. They guard against
arbitrariness, and they promote oversight through transparency.
In particular, that reason-giving requirement ensures that
Congress and the public can both understand the basis for the
decision and see whether the agency has maintained fidelity to
statute.
Now, there is always room for improvement in agency
decisionmaking, and Representative Jayapal's Stop Corporate
Capture Act, for example, offers several upgrades. These are
aimed at empowering the public, ending corporate manipulation,
attending to social equity, and minimizing the dysfunction that
OIRA review can engender.
By contrast, the REINS Act would replace scientific
informed participatory government decisionmaking with an
utterly impractical system. Congress is neither designed nor
staffed to deeply evaluate every single agency's major rules,
especially within such short timeframes.
The suggestion that the REINS Act is meant to promote
legislative transparency is baffling. It permits only one or
two hours of debate on the joint resolutions and otherwise sets
such tight timeframes that it is difficult to understand how
legislators could give careful review to each regulation.
This scenario promotes opacity and heightens the risk that
votes will be based on naked political preferences that would
not be permissible in the agencies themselves.
Right now, America needs more protections, not fewer. We
know from the East Palestine disaster what an antiregulatory
culture can do, and we have seen these lessons across our
history. We know as well that weak regulatory protections mean
fewer people make it home to their families after work. More
people die too soon, and we hasten and intensify climate
disasters. This is not idle speculation. It's backed up by the
cost-benefit analyses that the REINS Act asks for, but that are
already available for review by Congress and the public.
Finally, the REINS Act is concerning because it blurs
separation of powers beyond what the Constitution can bear. On
one hand, if the joint resolution process is a legislative act,
it must meet constitutional requirements for doing so. On the
alternative, it would violate separation of powers for Congress
to exercise the executive function of finalizing regulations.
To conclude, the unconstitutional REINS Act would fail to
achieve what it promises and would, instead, harm our economy,
our safety, our health, and our environment.
Thank you again for the opportunity to testify today, and I
look forward to your questions.
[The prepared statement of Ms. Hammond follows:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Mr. Massie. Thank you, Professor Hammond.
We'll now proceed under the five-minute rule with
questions. I recognize the gentleman from California, the Chair
of the IP Subcommittee, Mr. Issa, for five minutes.
Mr. Issa. Thank you, Mr. Chair.
It's always interesting to be told something is
unconstitutional in this body by a professor who just doesn't
like how Congress might rule.
So, I'm going to start with Mr. Cleckner, since you fought
to defend our country and her right to be wrong.
Let me ask you a question: Do you think for a moment that a
body that regulates one way and then regulates another way is
consistently meeting the congressional mandate that they
interpret but not make laws?
Mr. Cleckner. Of course, it would depend on the situation,
but the way it's happening now, no.
Mr. Issa. Right. In your case, they fully executed, knowing
what the devices did, regulations and categories. Now, they're
changing them, based on a political, Oh, these are too
dangerous, these are this, these are that. Whatever their
reason is, they're making a political decision to make a change
that is not supported by a change in the hardware or the change
in the statute. Is that correct?
Mr. Cleckner. I believe so. I do not think this is a
regulation that is promulgating current law. They are
specifically in the ruling calling out what the current law is
and then saying, we are redefining that to be this instead.
They're actually changing the language of the law in the
definitions.
Mr. Issa. Mr. Wolfson, you looked a little uneasy as the
last witness spoke. The unconstitutional claim that we just
heard, is it correct--and I'll ask both the other witnesses. Is
it correct that we could strip every single statute by a rule,
by simply the House and the Senate voting to do so, and
eliminate all statutes since the beginning of time and start
over if we chose to, and that would be constitutional?
Mr. Wolfson. My understanding of the Constitution is that
yes, if Congress passed a law to strip all current statutes,
that they would be allowed to do that.
Mr. Issa. So, unless it is within the 27 amendments and the
original Constitution, which we cannot strip by congressional
fiat, everything else, by a two-thirds majority over the
objection of a President, can be eliminated to zero. Is that
correct?
Mr. Wolfson. That's my understanding.
Mr. Issa. OK. So, any administrate--so any failure in the
REINS Act to meet some sort of a constitutional test as written
would simply be that we probably didn't write the REINS Act
quite specific enough to assert the powers that Congress
clearly has. Is that correct?
Mr. Wolfson. I would assume that would be the argument. It
would be that the language of the REINS Act, as currently
drafted, may have some sort of constitutional defect.
The concept of the legislature being able to say, we're
going to create a rule that says all the regulations have to
come back to Congress, considering Congress theoretically gave
the agency the authorization to write them, that would be--
Mr. Issa. Right. So, now in the case of the Federal Trade
Commission, which you opined on, clearly they are now asserting
areas that they never asserted for their first decades of
existence. Is that correct?
Mr. Wolfson. That is correct. There are certain regulations
that are being proposed by the Federal Trade Commission,
specifically the noncompete clause regulation, which it does
not appear that the FTC was ever given authority to do that
sort of regulation, regardless of whether that is good or bad
policy.
Mr. Issa. Right. So, Ms. Ho, I don't want to leave you out
of this. The Chevron deference that ultimately creates the
ability for if you challenge in court the assumption that
somehow the Congress has simply had ambiguity, do you see--in
the ATF, or in the FTC, do you see ambiguity in the original
law that would cause decades after one precedent was set to be
changed simply by a change in who happens to occupy the
Chairship and, of course, the White House?
Ms. Ho. Thank you for that question. I wouldn't presume to
comment on the details of any specific legislation, but I would
go back--
Mr. Issa. Well, Chevron isn't legislation. Chevron is a
Supreme Court decision that essentially says the court is going
to assume that these agencies act in good faith and that it's
simply ambiguity in the law.
Do you believe there is ambiguity in either of these two
decisions, or are you unwilling to comment on them?
Ms. Ho. I'm not in a position to comment on either of them,
but I do underscore the significant flaw in the Chevron
approach, which essentially takes away this body's ability to
make law, and also the judiciary's constitutional
responsibility to say what that law is.
Mr. Issa. So, in my remaining few seconds, for all the
witnesses, including Ms. Hammond, is it fair to say that
instead of working on the REINS Act, perhaps we should be
working on explicitly eliminating Chevron and putting the
deference back to you must return to Congress if there's
ambiguity? Any comments?
Mr. Massie. The gentleman's time is expired, but I'll allow
one witness to respond to that. Mr. Wolfson.
Mr. Wolfson. I guess I'll take it. I think that eliminating
Chevron deference or curtailing it significantly would be an
action that Congress could take, which would have an even
bigger effect than something like the REINS Act. Because the
REINS Act, it was only prospective, whereas the--eliminating
Chevron deference affects all regulation that are currently on
the books.
Mr. Issa. Thank you, Mr. Chair. I yield back.
Mr. Massie. The gentleman yields back.
The Chair now recognizes the gentleman from Rhode Island,
Ranking Member Mr. Cicilline, for five minutes.
Mr. Cicilline. Thank you, Mr. Chair.
I want to quickly dispense with one thing, Mr. Wolfson. You
said in your testimony here just now, and in your written
testimony, that agency expertise is really expertise in the
regulatory process, not on the complicated tradeoffs between
competing priorities.
You're not suggesting, I hope, that the thousands of
scientists who work at the FDA or the thousands of engineers
and products experts that work at the Consumer Product Safety
Division are only experts in the regulatory process and not the
underlying science or engineering that they were trained to do,
are you?
Mr. Wolfson. Thank you for the question. No, I'm not
suggesting that they--
Mr. Cicilline. OK. Thank you. So, reclaiming my--so my
point is regulators have expertise, not just in the
understanding of the regulatory process, but they're hired in
these agencies of the Federal Government because they bring
with them life-saving training and science and expertise that
we don't have as Members of Congress.
So, the notion of like all they know about is the
regulatory process, which is what you say here, that's
exaggerated. It's actually the underlying substance of their
expertise that is saving the lives of the American people. So,
I just wanted to make sure that you weren't making a claim to
the contrary.
Professor Hammond, what I want to ask you about is, would
the response to environmental calamities, like the one that was
caused by Norfolk Southern train derailment East Palestine, be
better or worse off if the EPA were subjected to the REINS Act
that is being offered by my colleagues on the other side of the
aisle?
Ms. Hammond. Thank you for that question. Very much worse
off. Agencies need those regulations to then carry out their
work, whether that's investigatory work or enforcement work.
Plus, one of the things I want to emphasize is that
regulations protect people in the first place. They help keep
disasters like East Palestine from happening. So, we can back
it up a minute and just think about let's prevent harms instead
of waiting for disasters.
Mr. Cicilline. Would requiring Congress rather than
agencies that are equipped with both expertise and
professionals who do this work, a body of Congress, those of us
that are elected members, who are not scientists or experts on
public health or environmental protection, worker protection,
safety provisions, would it endanger the lives of the American
people if we were to second-guess agency decisionmaking that
is, in fact, intended to keep Americans safe?
How much longer would it take for these regulations which,
in fact, are saving people's lives to go into effect, if they
would ever go into effect, if the REINS Act became law?
Ms. Hammond. I think the concern is that they would never
go into effect, and we'd be left with huge gaps in protection
across every field of our economy. So, although we might
envision a system where Congress tried to legislate every
regulatory detail, as you mentioned, there's a matter of
comparative institutional expertise here.
Agencies really have the expertise to bring that kind of
scientific informed judgment to those regulatory protections.
Mr. Cicilline. Let me just end with a very specific
example. During the Trump Administration, the Federal Railroad
Administration withdrew an Obama-era Notice of Proposed
Rulemaking mandating two qualified crew members on most freight
locomotives. Workers have strongly supported a crew size
mandate like this one, as they believe it's integral to rail
safety. Although the Biden Administration has reproposed this
rule, railroads have staunchly opposed this safeguard.
Under the REINS Act, railroads would have even more leeway
to influence rules like this one, through lobbying Members to
use an unconstitutional one-Chamber veto of such a rule.
So, my question is, would the REINS Act provide more
protection for workers and people who use the rails and
sometimes less protection for hazardous materials that they
transport or less? In other words, would worker safety be
impacted in any positive way or a negative way if the REINS Act
were in place?
Ms. Hammond. Certainly, in a negative way. We should be
listening to those workers.
Mr. Cicilline. With respect to the notion that the
regulatory process is difficult to follow and doesn't have the
voices of the American people embedded in that process, would
you respond to that argument, Professor?
Ms. Hammond. Sure. Under the Administrative Procedure Act,
all agencies are required to have a period of notice and
comment. Anyone, any person can offer comments. Although there
is room to bring even more voices to that process, agencies are
required to respond to the significant comments that are raised
and incorporate that understanding into their final rules.
So, there's very much a sense of participation and
democratic accountability embedded in the process.
Mr. Cicilline. Thank you, Professor.
I yield back, Mr. Chair.
Mr. Massie. The Ranking Member yields back.
Then I'll recognize the gentleman from Colorado, Mr. Buck,
for five minutes.
Mr. Buck. I thank the Chair.
Ms. Ho, I want to direct these questions to you, and I
guess my comments also. We have a situation in Congress where
we have a large number of programs that are unauthorized. The
programs were originally set up with a sunset provision,
typically five years.
The five years has expired, and I want to just--there are
actually 1,200 programs that have now expired, and Congress
refuses to do its job and review those programs.
When Congress pretended that it cared about spending, it
set up a two-step process. The first step was to authorize a
program, and the second step was to appropriate to the
authorized program.
The rules of Congress for the last 50 years have included a
provision that requires Congress not to appropriate to an
unauthorized program. What's so interesting about that is
Congress waives its own rules for each appropriations bill so
that it can bypass the responsibility of actually appropriating
only to authorized programs.
The purpose of this, obviously, is that Congress, as
responsible to the American people, should be reviewing these
programs, determining if these programs need to be expanded,
contracted, amended in some way so that they are more
responsible.
My question has to do with the interaction or interplay of
the Chevron doctrine with the concept of Congress'
responsibility in overseeing these particular programs.
Ms. Ho. Yes, thank you for that thoughtful question.
I agree that the scenario that you lay out highlights I
think one of the critical aspects. Why I think it's so
important that we're here today having this discussion is as
important and salutary for Congress to exert its lawful
authority under the system that our Founders designed, and that
when Congress doesn't, we shouldn't be surprised to see other
branches sort of exploiting that lack of action.
So, I think your question really highlights the important
role that Congress has to play in ensuring that our system of
separation of powers that the Founders bequeathed to us remains
vibrant and effective in safeguarding individual rights and
liberties.
Thank you for that question.
Mr. Buck. I have to say I think you are far too kind. You
understand that you are testifying in Congress, and you are a
gentlelady from the great State of Texas. I respect all those
things, but the reality is Congress has failed to do its job.
Part of the problem and the reason for these administrative
agencies overstepping their bounds and the one that gets under
my skin--and I'm sure my good friend from Wyoming, Ms. Hageman,
would agree with me on this--is the WOTUS rule. It comes up
every time the Democrats get into the White House, the Waters
of the U.S.
Everytime my district actually touches, borders the State
of Wyoming, and we share water. If the Democrats get to
regulate ditch water in my district and every puddle in my
district, we're going to have problems. So, the idea that these
agencies can expand their authority is, really, they are
filling a vacuum that Congress has created.
My point--and I'm hoping to get your comment on this. My
point is that without Congress' neglect, without Congress'
failure to act, we wouldn't be dealing with the REINS Act right
now, because we would actually be doing our job every day of
overseeing the functions in the Executive Branch.
Ms. Ho. Yes, Your Honor. I think the Founders well
understood and anticipated the very dysfunction you describe,
which is it creates real problems in our system of separation
of powers when one branch does not exert its lawful authority,
does not do its job.
So, for this branch, as you highlight, this branch's role
in our constitutional form of government is to make law. So,
when Congress does not--when Congress passes, say, vague laws
or when Congress does not act at all, it upsets the system of
checks and balances.
Mr. Buck. I yield back. Thank you.
Mr. Massie. The gentleman yields back.
The Chair now recognizes the Ranking Member of the Full
Committee, Mr. Nadler, for five minutes.
Mr. Nadler. Thank you, Mr. Chair.
Mr. Buck's discussion of the fact that Congress can't find
the time to reauthorize all the programs leads me to wonder how
Congress would ever find the time to go over thousands and
thousands of detailed regulations.
My understanding is that under the REINS Act, many
industries would be expected to self-govern.
Professor Hammond, do you think the railroad industry will
do this effectively, putting health and safety above profits?
Ms. Hammond. No. There's a long and well-documented history
of a concerted effort by the entire industry to resist any
safety requirements. The REINS Act only makes it more difficult
to actually put those protections into place.
Mr. Nadler. In addition to the dangerous REINS Act, which
we've discussed, Members of the Subcommittee also support the
Separation of Powers Restoration Act, which would eliminate
Chevron deference, that is, deferring to expert agencies on
their interpretation of statute so long as it's not
unreasonable.
Professor Hammond, do you think public health and safety
would be improved or hindered if agencies lacked this deference
and had constantly to go to court over their authorizing
statute?
Ms. Hammond. It would be much more difficult to protect the
public.
I would like to just point out that I'm hearing the words
``Chevron deference,'' but the Chevron doctrine itself has a
key component that this discussion so far has overlooked, which
is the first step. If the statute is clear, the analysis stops.
There is no deference to the agency, because the clear language
of the statute controls.
It's only if there's ambiguity that as a matter of
comparative institutional competence as between the courts and
the agencies that a court should not be substituting its own
policy preference for the way the agency exerted its expertise
and did so with political accountability.
So, the Chevron doctrine itself has quite a bit more nuance
and does recognize the expertise of agencies, but certainly has
guardrails in place for congressional oversight.
Mr. Nadler. Thank you. I assume that if an agency abused
its authority under the Chevron doctrine, that's subject to
challenge in court?
Ms. Hammond. Certainly.
Mr. Nadler. Thank you.
Supporters of the REINS Act argue that this bill would help
tame inflation, despite the fact that the bill could, in fact,
result in blocking any major rule contemplated by our expert
agencies, even if they're designed to address inflation.
Professor Hammond, how do you think the REINS Act, if
passed, would affect the economy and inflation?
Ms. Hammond. Well, we know--are we OK there? All right.
We know that regulatory protections actually help the
economy. I collected several examples in my written testimony,
but just to give you one, EPA's proposed soot rule that was
proposed earlier this year would save 270,000 lost workdays. It
would also provide $43 billion in net health benefits. That's
good for the economy.
If the REINS Act would cutoff all these protections at the
knees, we'd see a lot of detrimental economic impact.
Mr. Nadler. Thank you. The National Transportation Safety
Board recently launched an investigation into Norfolk Southern
following the derailment in East Palestine. The investigation
is rare, because it will consider Norfolk Southern as a whole
rather than the East Palestine incident in particular.
Professor Hammond, do you think Norfolk Southern is the
only railroad company that needs more regulatory oversight, and
do you think that regulatory oversight would be improved under
the REINS Act?
Ms. Hammond. No. Indeed, as I said previously, this is an
entire industrywide effort. I should mention that self-
regulation tends to be a euphemism for putting profits over
health, safety, and the environment. We've seen that not just
in the railroad industry, but, for example, in the extractive
energy industries.
The REINS Act, once again, would only undercut the
protections that we need.
Mr. Nadler. Do you think this applies basically to every
area in the economy?
Ms. Hammond. Everyone that I've seen, including even the
markets.
Mr. Nadler. Thank you very much.
Mr. Chair, I yield back.
Mr. Massie. The gentleman yields back.
We're going to--I'm going to allow one more of our Members
to take five minutes, and then we will vote. So, if people want
to go ahead and vote right now, we're going to recess
immediately after Mr. Cline.
I now recognize Mr. Cline for five minutes.
Mr. Cline. Thank you, Mr. Chair.
I want to thank the witnesses for being here.
I'm concerned by something that Professor Hammond said,
that there's already a certain degree of accountability in the
rulemaking process when, according to a recent study of the
Department of Health and Human Services' rulemaking practices
from 2001-2017 revealed that 1,860 FDA final rules, 98 percent
of their total, had been issued illegally, and that other
agencies had similar problems, in violation of Buckley v.
Valeo, where the Supreme Court held that rulemaking is a
significant government power that may be exercised only by
officers appointed in accordance with the Constitution's
appointment clause.
So, what we have are unappointed, unelected bureaucrats
issuing rules against the law, against the Constitution, and
against courts' rulings.
That's why I've introduced legislation called the Ensuring
Accountability in Agency Rulemaking Act. It's a bipartisan
bill. It says that all rules, except in limited circumstances,
have to be signed and issued by an individual appointed by the
President and confirmed by the Senate. It's common sense, it's
compliant with the Supreme Court precedent, and it would ensure
the accountability that the professor claims exist, but really
does not at this point.
We have a situation where the Biden Administration have--
the regulatory burden totals greatly exceed those of its
immediate two predecessors. The 517 rules have been issued,
costing $318 billion in total and requiring more than 218
million hours of paperwork, not by bureaucrats but by American
taxpayers and businesses, to comply with these regulations.
So, as the AAF put it in their research, the overarching
conclusions drawn from this data are hardly surprising. The
Obama and Biden Administrations imposed regulatory burdens in
the hundreds of billions of dollars, while the Trump
Administration was nominally deregulatory.
So, in addition to cosponsoring the REINS Act, we need to
take action legislatively to regain the rulemaking power of the
Congress.
I would go to ask Ms. Ho, let's go to another agency. The
FTC, under Chair Lina Khan, recently announced a proposed rule
that would purport to prohibit noncompete agreements
nationally. This comes on the heels of California weakening or
eliminating the enforceability of noncompete agreements, which
China has capitalized on and is another method in their arsenal
to steal U.S. intellectual property, specifically trade
secrets.
Do you believe that the proposed rule exceeds the FTC's
statutory authority?
Ms. Ho. Thank you for the question.
Without commenting on particular rules, I will underscore
that one thing your question highlights is that one way that we
know, or we can tell or suspect that an agency is exceeding its
authority, is when it acts in an area that it has not typically
acted in before. That's one of the aspects of the major
questions doctrine that has been I think a topic of interest
lately.
So, I think one clue, perhaps, that an agency may be acting
outside of its authority is when it is acting in an area that
it has not acted in and also an area where, in our system of
federalism, States have typically acted.
Mr. Cline. What's your position on the constitutionality of
rules issued by nonconfirmed individuals, essentially violating
Buckley v. Valeo?
Ms. Ho. I think that's an excellent question. I think I
would need to know sort of more facts and circumstances to
opine definitively, but I do think, again, your question
highlights issues of accountability, accountability to voters.
Mr. Cline. Mr. Cleckner, I believe you spoke to Ms. Khan
and the FTC a little bit earlier. Did you? OK. Can you speak to
that?
All right. Mr. Wolfson.
Mr. Wolfson. I think that for the FTC to step into an area
that they have never previously found authority in the FTC
statute to then say, we now have the authority to bar
particular behaviors, again, regardless of whether that is a
good or bad law--there are a lot of States, red and blue, that
are addressing noncompete clauses.
So, regardless of whether or not that is a good thing, it's
kind of like if Health and Human Services said, ``We're going
to regulate minimum wage requirements.'' It's not their
bailiwick and having them do it creates all sorts of problems.
Regardless of the level of expertise of the people inside
the agencies, it doesn't ever seem to be the case that the
people who are at FTC would be the ones in the best position to
evaluate those kinds of questions.
Mr. Cline. Thank you.
I yield back, Mr. Chair.
Mr. Massie. I thank the gentleman for his questions.
We're going to take a short recess to vote. This is a
special circumstance where there's only one vote, so Members
can go vote and come back quickly.
So, the recess I anticipate will probably be about 15 or 20
minutes, and we'll convene as soon as the Ranking Member and
myself return, or his designee, and somebody to ask questions.
So, I encourage the witnesses to take a break, a short
break. Thank you.
The Subcommittee now stands in recess.
[Recess.]
Mr. Massie. The Committee is now back in order, and we'll
start where we left off with Mr. Johnson from Georgia. I now
recognize him for five minutes.
Mr. Johnson of Georgia. Thank you, Mr. Chair.
Republicans favor low taxes on the wealthy and less
government. So, low taxes, less government has been their
campaign mantra since Ronald Reagan. To accomplish less
government, just about every Republican, including those on
this dais, have signed on to the Grover Norquist ``No New Tax''
pledge. In a 2001 radio interview, Grover Norquist revealed his
true intention. He said, famously, it's not--``I'm not in favor
of abolishing the government; I just want to shrink it down to
the size where we can drown it in the bathtub,'' end quote.
When Republicans are not cutting taxes, they are cutting
the ability of Federal agencies to protect the public health,
safety, and the ability to enjoy freedom and prosperity. The
REINS Act, which if passed, would prevent agency rulemaking
from protecting the American public from corporate greed that
jeopardizes the health and safety of the American people is a
move toward strangling the Federal Government. In short, what
the REINS Act does is put profits over people.
Now, Ms. Ho, you, like the rest of the America, observe the
congressional dysfunction in its inability to elect a Speaker.
It took 15 rounds over a five-day period. You witness that had
spectacle, did you not?
Ms. Ho. Yes, sir.
Mr. Johnson of Georgia. The REINS Act would act as a
chokehold on Federal agencies' ability to promulgate rules that
protect the health, safety, and welfare of the American people
like those in East Palestine, Ohio. Isn't that correct?
Ms. Ho. Yes, that's my understanding, your honor.
Mr. Johnson of Georgia. Now, there is some people in
America who trust the Federal Government to make sure that our
water is safe, our air is safe to breathe. We rely on the
regulatory system to improve our lives every day, whether
that's by protecting working families from getting ripped off
by banks or by ensuring that we have fewer car-related deaths.
In recent years, we've seen the devastation that comes from
deregulation. Look no further than the disaster in East
Palestine or the water crisis in east--in Flint, Michigan.
Congress can pass laws with broad outlines, but we need
agencies to translate those laws into actionable policy. Using
input from scientists, stakeholders, and the public, these
issues are complicated, and we need experts working on them,
not Members of Congress who get caught up in congressional
gridlock and can't even elect a Speaker.
So, Professor Hammond, we're still discovering the fallout
from the Norfolk Southern derailment in East Palestine, but we
understand that residents are already affected by toxic
chemicals that were released into the surrounding air, water,
and land. Professor Hammond, will the ability of the Federal
Government to create stronger environmental safeguards be
helped or hurt by the passage of the REINS Act?
Ms. Hammond. Thank you for that question. I believe it will
be severely hurt. We need those environmental safeguards.
Mr. Johnson of Georgia. Why is that? Why will the REINS Act
hurt?
Ms. Hammond. It's because all the effort that the agencies
have brought to bear, as you mentioned, with scientific and
technical expertise, on actually evaluating how toxins do
impact people's health and the environment, and then actually
putting restrictions in place to prevent people's exposure to
those, all that kind of effort, which of course is also
informed by a participatory rulemaking process, all that would
be simply extinguished were the REINS Act to be in effect.
Mr. Johnson of Georgia. So, you said in your testimony that
we should really be looking at the dysfunction in the courts,
which you say is straining separation of powers and disrupting
agencies and carrying out the mandates that Congress has given
them to protect the people of this country. Can you elaborate
on that?
Ms. Ho. Yes. I was referring to the major questions
doctrine, which picked up some traction in the recent West
Virginia v. EPA decision. The problem with that doctrine is, as
I quoted in there, it's a real power grab by the Supreme Court
to be able to substitute its own policy preferences for that of
either of the accountable branches.
Mr. Johnson of Georgia. That's from a right-wing extremist
Supreme Court?
Ms. Hammond. Indeed.
Mr. Johnson of Georgia. I yield back.
Mr. Massie. The gentleman yields back.
I now recognize Mr. Bentz from Oregon for five minutes.
Mr. Bentz. Thank you, Mr. Chair, and congratulations on
your Chairship, and thank you for selecting this most
interesting topic for today.
Back in the small State of Oregon, for eight years, I was
the Water and Resource Commission, the last two years of which
I was Chair, and I had many opportunities to review
Administrative Rules because we wrote the rules for everything
having to do with water in that State.
I just have to comment on that because of the remarks made
earlier about how, if you simply go through the rulemaking
process, the rule will hue to the statute, because I guarantee
you, that's not necessarily what happens. It's a totally
political activity, and it's amazing how much damage can be
done by the agency as it writes rules. I know because I rewrote
them personally myself many times and then was overruled
because of the number of votes I didn't have on the Commission.
So, let's just say, I don't view the APA as a device
through which you can place rules and suddenly have them hue to
the statute. It isn't. The question I would have, I want to go
back to this West Virginia v. EPA discussion. The way I
understood it is that case says, quote, ``more than merely
plausible, textual basis for the agency action.''
So, Ms. Ho, can you tell us, has the problem been solved
that we're talking about here today by virtue of that Supreme
Court opinion? The problem being overreach by agencies. I
should first--my assumption is that there is overreach. I've
observed it myself. In your opinion, first, is there overreach;
and second, has it been resolved by virtue of West Virginia v.
EPA?
Ms. Ho. Thank you for that question. I think the way that I
would put it is I think West Virginia v. EPA is a step toward
restoring the proper checks and balances and separation of
powers but certainly isn't and doesn't purport to be a complete
solution to the problem that this Committee is discussing
today.
Mr. Bentz. It also would appear, the more--if we wanted
less regulations, we would have less laws. We would have fewer
laws to write regulations regarding. There seems to be a
massive disconnect between my friends on the other side of the
aisle and reality. They seem to be saying that we want to do
away with all statutes and all rules, but that's not the case,
is it? What we're trying to do is get it right. What would your
definition of ``right'' be here when it comes to what these
agencies should be doing?
Ms. Ho. Well, I think your question highlights--and to get
back to bringing up West Virginia v. EPA, I think what the
court said there is a very--it created a rule that has a long
tradition in this body. There are lots of other clear statement
rules. It's just saying if we see an agency acting acting in an
area that it hasn't before in highly politically or socially
charged circumstances, we want to make sure that Congress has
clearly authorized that agency to act in that way.
So, we're going to look for a clear statement, just like
courts do in sovereign immunity, looks to make sure that
Congress has waived sovereign immunity, or in the area of
retroactivity, because our tradition is not to have retroactive
laws. Courts want to make sure that Congress has done so
clearly.
So, I think West Virginia's rule is just one in a series,
in a tradition of rules where the courts have said, ``Look,
this is within Congress' authority, and if Congress wants to
give that authority to an agency, we want to make very sure
that it has done so clearly.''
Mr. Bentz. Thank you for that.
Mr. Wolfson, there has been some assertion that this
attempt to reign in agencies is unconstitutional, and that
somehow Congress, by stepping into this space of Administrative
Rule, is stomping on executive privilege or the executive
space. What's your thought?
Mr. Wolfson. So, my understanding has always been that the
legislature's job is to issue the laws, and the regulatory
agencies are not really supposed to be writing laws, but
they're supposed to be enforcing those laws as Congress wrote
them.
So, if Congress were to decide that they wanted to pass a
law that's super vague, then there become challenges for
implementation and that's where the regulatory State has
stepped in, but that's not how the Framers designed our
Constitution. That's shouldn't be the goal. That is kind of
where we are.
The fact that we have resulted in a spot where regulations
have to be written by regulatory agencies, regardless of how
much expertise those people have, they don't have more
expertise than the professors at some universities who are
talking about these topics who you could bring in and speak to
as Members of Congress to write really clear laws that talk
about the problems that might be faced.
Mr. Bentz. Thank you.
With that, Mr. Chair, I yield back.
Mr. Massie. The gentleman yields back.
I now recognize Mr. Ivey from--
Mr. Cicilline. Unanimous consent?
Mr. Massie. I'm sorry? Oh, I recognize the Ranking Member
for a unanimous consent request.
Mr. Cicilline. Thank you, Mr. Chair. I ask unanimous
consent to introduce into the record a statement from the
United Steel Workers; written testimony of Elizabeth Skerry
from the Regulatory Policy Associate at Public Citizen; a
letter from the Center for Progressive Reform; a letter from
the Coalition for Sensible Safeguards, an alliance of over 150
labor, scientific, research, good government, faith, community,
health, environmental, and public interest groups; and an
article from The Hill entitled, ``Buttigieg Calls on Trump to
Back Reversing Deregulation in Wake of Train Derailment.''
Mr. Massie. Although these may be unanimous consent
requests in need of scrutiny, I hear no objection, and so
ordered.
Mr. Massie. Who would the Ranking Member prefer I--OK.
I now recognize Ms. Jayapal for five minutes from
Washington.
Ms. Jayapal. Thank you, Mr. Chair.
On February 3rd, 50 freight train cars carrying hazardous
material derailed, as we know, in a fiery crash on the borders
of East Palestine, Ohio, sending toxic chemicals into the
surrounding air, soil, and creeks. This incident, in my mind,
highlighted the influence of corporate lobbying on railway
safety. I have a bill that you've heard about, called the Stop
Corporate Capture Act, that would lessen corporate influence in
the rulemaking process and clear a path for increased public
participation.
Listening to these comments today, I think the problem is
not that regulatory agencies don't have the expertise or should
not have a role in regulation; it's that the leg branch and the
rulemaking branch both are too often controlled by special
interests, by big corporate lobbying money. I've got a bill to
address that larger issue as well on the legislative side. It's
called the Anticorruption and Public Integrity Act, and it
addresses the legislative side.
So, Professor Hammond, I just want to dive into this a
little bit and see if we can understand exactly what's happened
here in the railway industry as an example. Powerful railway
lobbyists have spent over $700 million in the past 25 years to
cut costs, weaken safety regulations, and strengthen their
bottom line. This is at the same time they've been making
record profits, by the way.
Just as an example, Norfolk Southern paid out $18 billion
in stock buybacks and dividends, and at the same time, we've
got this weakening of regulation. I wanted to talk about the
Obama-era safety rail regulations as an example that arose from
a 2008 southern California train wreck that killed 25 people
and injured 135 others.
Can you give us some insight into how frequently lobbyists
successfully encourage the administration to scale back or
delay implementation?
Ms. Hammond. I don't have an exact number for you, but
certainly, the evidence is extensive that this is a constant
effort by the railroad industry in this particular example, and
then, of course, by other industries with respect to agency
rulemakings.
Ms. Jayapal. Talk to me about the PTC, the automated
braking technology and the PTC, which debuted in 1990. In fact,
I think it was on the kind of most-wanted list of things to do
back in 1990 when that technology emerged, but it took 30 years
to actually implement. Can you give us some understanding of
what happened in that process?
Ms. Hammond. Just briefly, what I understand is that there
was an initial support from the railroad industry, but once it
became apparent that this would be actually a requirement,
there was a decades-long effort to resist it.
Ms. Jayapal. So, in 2014, Obama also proposed stricter
rules for trains that transport petroleum and other hazardous
materials. In 2015, he issued a requirement, a regulation that
required trains carrying highly flammable liquids to be
regulated. That met with opposition from whom?
Ms. Hammond. The railroad industry.
Ms. Jayapal. The railroad industry. In fact, Norfolk
Southern, among others, said that requiring these brakes was,
quote, ``not in the public interest.'' Do you know, Professor
Hammond, what happened next in 2015 when the Republicans came
in?
Ms. Hammond. I believe that the rule did not go into
effect.
Ms. Jayapal. Correct. The Republicans introduced the FAST
Act, and it simply proposed a cost-benefit analysis of these
electronic braking systems that had been out there for more
than 20 years, but had killed a lot of people, apparently we
wanted to do a cost-benefit analysis. Then in 2018, the rule
was repealed by the Trump Administration, and they issued a
rule to remove the advance braking system. In fact, in the
House, the new GOP Chair of the Transportation Committee was
the Chamber's top recipient of industries--or is the top--
Chamber's top recipient of industry's campaign cash.
Norfolk Southern's general counsel, do you know what his
background was?
Ms. Hammond. I don't.
Ms. Jayapal. OK. Let me tell you. He was the person who
pressed for safety waivers, and he is the former Executive
Director of the National Transportation Safety Board. Tell us
what the National Transportation Safety Board does.
Ms. Hammond. It, indeed, regulates the safety.
Ms. Jayapal. It regulates the safety of these trains. So,
it's actually the current body that's investigating the
company.
So, I guess I want to take this in our last minutes to the
Stop Corporate Capture Act and ask you, in my bill, we enhance
the public's notice and comment influence through the Office of
the Public Advocate. How would an increase in public
participation improve the rulemaking process?
Ms. Hammond. Well, it would bring more voices that could be
counteracting this extensive, very expensive, consistent effort
by industry to capture the process.
Ms. Jayapal. Bring us the voices of the people on the
ground that we are sworn to protect.
Mr. Massie. The gentlelady's--
Ms. Jayapal. Thank you, madam.
Mr. Chair. Also, Mr. Chair, may I ask unanimous consent to
enter into the record a number of items? The first is a letter
of support for the Stop Corporate Capture Act; the second is an
oil and gas--an article on how oil and gas lobby buries the
findings of negative impacts of fossil fuels; the third is a
letter from All Board Ohio on Norfolk Southern's influence on
safety regulations; and the fourth is a study on the presence
and influence in lobbying on SEC rulemaking that shows that the
influence of lobby groups outweighs public comments.
Mr. Massie. Without objection.
Ms. Jayapal. Thank you, Mr. Chair. I yield back.
Mr. Massie. The gentlelady yields back.
The gentleman from North Carolina is now recognized for
five minutes.
Mr. Bishop. So, Professor Hammond, I've listened with
interest to the number of times that the East Palestine
derailment has been invoked. Do I understand that this existing
regime of rulemaking under the Administrative Procedure Act
through the administration is susceptible to influence from
special interests?
Ms. Hammond. Yes. That's why I think that Representative
Jayapal's approach is a good one.
Mr. Bishop. So, the conclusion that she draws is it would
be a bad idea to reinvigorate Congress' participation in the
making of the necessary rules because there would be political
influence in Congress. There's political influence in the
rulemaking process under the APA. Isn't that right?
Ms. Jayapal. Would the gentleman yield? Because you are
speaking about me.
Mr. Bishop. No, thank you. No, I won't.
Ms. Jayapal. Well, you're implying things that I did not
say.
Mr. Bishop. No, I'm talking about your question. I'm
talking about your question which stands for--I'm not arguing
with you. It's my time.
Ms. Jayapal. OK. Please don't say--
Mr. Bishop. It's my time. Would you respect the order of
the Committee, please?
Mr. Massie. The gentleman from North Carolina is
recognized. It's his time.
Ms. Jayapal. Mr. Chair--
Mr. Massie. He has not impugned the other Member or her
motives.
Mr. Bishop. Can I have time back on my--I've been
interrupted about 30 seconds of time by disorder from the other
side of the aisle, Mr. Chair. Could I have my time back?
Mr. Massie. The gentleman will receive an additional 30
seconds.
Ms. Jayapal. Mr. Chair, procedural question?
Mr. Bishop. The Committee is not in order, Mr. Chair.
Mr. Cicilline. Well, I raise a point of order, Mr. Chair. I
would raise a point of order. Does a Member of a Committee have
a right to correct--
Mr. Massie. What rule?
Mr. Cicilline. I'm raising a point--I'm asking you to rule
on a point of order. Does a Member of the Committee--or point
of parliamentary inquiry. Does a Member of the Committee have
the ability to correct a misstatement of a question that was
posed by one Member? Because without the ability to correct
that, a witness is then going to be invited to respond to
something she didn't say, which seems sort of Alice in
Wonderland-ish and maybe not a great practice. So, is she
permitted to seek clarity that this be corrected before the
witness answers?
Mr. Massie. The Member may ask for the other Member to
yield, but the Member is not required to yield. If a written
statement wants to be submitted, we'll accept that.
Mr. Cicilline. OK. Thank you.
Mr. Massie. The gentleman from North Carolina is now
recognized again, and he'll have an additional 30 seconds.
Mr. Bishop. Thank you, Mr. Chair.
So, I'm not sure how it stands to reason if allegedly, the
administrative process has been susceptible to political
influence that this would be a distinct or different set of
circumstances if Congress instead were making the laws. Can you
explain why that's--one--it would be present in one and not the
other, given what you have talked about East Palestine and the
Federal regulations on transportation?
Ms. Hammond. Sir, I have not said that corporate influence
is present in one and not the other, and I very much am of the
mind that there can be improvement in both branches. One of the
differences in the Administrative Branch is that at least we
have more transparency, which becomes opaque were the REINS Act
to go into effect.
Mr. Bishop. Is it possible that the East Palestine
derailment occurred because of enforcement--because of
administrative incompetence? That is to say, let's say the
administration--let's say the Mayor Pete is more interested in
talking about whether highways are racist and diversity,
equity, and inclusion then focusing on the nuts and bolts of
transportation, so you see things like this crop up? Is that
possible?
Ms. Hammond. Sir, I'm not aware of facts that support that
assertion.
Mr. Bishop. I didn't ask if you were aware of--I asked if
it's a possible reason contributing. In fact, do you have any
evidence that it was caused by the lack of a particular
regulation rather than the administrative distraction?
Ms. Hammond. I do understand that one of the possible
failures in that wreck, and I believe the investigation is
still underway, is equipment that appears to be completely
unregulated.
Mr. Bishop. OK. So, it's possible. Either one seems
possible to me.
I pulled up quickly the Administrative Procedure Act has
been enforced since 1946. The five volumes of regulations on
transportation in part 49 of CFR totals 4,634 pages. If that's
the case, I mean, that is the state of affairs. What I
understand is they're arguing that East Palestine is an example
of why we need to maintain that. How many pages of regulations
would be necessary in the transportation part so that we
wouldn't have things like East Palestine?
Ms. Hammond. I can't give you a page number, but from
having been involved in writing regulations, it just takes a
little bit of work to set forth all those technical details
that are important to clearly understand what is expected and
to clearly present the protections that are necessary.
Mr. Bishop. You testified--as I was going back and forth
and listening on audio remotely, at some point you testified
that if we had fewer regulations, it would do harm to the
economy, right?
Ms. Hammond.
[Nonverbal response.]
Mr. Bishop. Are you an economist?
Ms. Hammond. I'm not an economist, but I read the cost-
benefit analyses that agencies prepare for their OIA review,
and in those you can see the extraordinary benefits to the
economy of many protective regulations.
Mr. Bishop. So, you haven't felt it an impediment to your
forming that conclusion or that opinion based on reviewing the
expertise of others? You haven't found it to be an impediment
that you lack a specific expertise in the area, right?
Ms. Hammond. It's written reasonably well so that most
educated people can understand.
Mr. Bishop. All of this expertise that exists in all these
magnificent agencies can be drawn upon by Congress, by
committees just like this, to be advised upon whether a
particular rule ought to be made a law, isn't that true, in the
same way you formed your conclusion from inputs by experts?
Ms. Hammond. I'm not sure I understand the question, sir.
Mr. Bishop. OK. Do you understand the question, Mr.
Wolfson? Do you have a thought about it?
Mr. Wolfson. I believe that this body or any other body of
Congress would be able to call experts from across industry,
from the academy, others who are experts who have worked on
these areas for a long time, whether they are in the government
or outside of the government, and could gain the expertise in
the same way that the regulatory agencies attempt to do through
the notice and comment process.
Mr. Bishop. All right. My time is expired. Thanks.
Mr. Massie. The gentleman yields back.
The gentleman from California, Mr. Correa, is recognized
for five minutes.
Mr. Correa. Thank you, Mr. Chair. I just wanted it noted
that I returned to the Committee.
Mr. Massie. It's very much appreciated.
Mr. Correa. Thank you, sir.
Mr. Massie. My lobbying was successful.
Mr. Correa. Yes, it was.
Mr. Cicilline. Luis, do you want like a formal welcome from
the Democratic side as well?
Mr. Correa. I got it from them, Mr. Ranking Member.
I just want to take my first 30 seconds and yield to my
colleague, Ms. Jayapal.
Ms. Jayapal. Thank you so much. I am very happy you're back
on the Committee.
I just wanted to correct the record because my colleague
across the aisle was saying things I didn't say. What I have
said consistently, and the legislation I have introduced
consistently, is both to implement reforms so that the
legislative process works for the people that we represent and
not for big corporate interests, and to propose regulation that
would help the regulatory side--or legislation that would help
the regulatory side to do the same thing.
Thank you, Mr. Correa, for yielding.
Mr. Correa. Thank you very much.
I just wanted to thank the witnesses today for your
testimony. It reminds me of a law school constitutional class.
Very interesting.
Ms. Ho, I wanted to, if I can, ask you and discuss with you
a little bit of the Chevron doctrine, which is essentially the
deference doctrine. Did you say something about congressional
neglect? Was that some of your words, or was that another
witness that said something to the effect?
Ms. Ho. I think one of the points that I made in my
opening, Your Honor, is that when this body, when Congress does
not act, when it does not exert its role as the maker of laws,
it sort of leaves a vacuum where other branches, particularly
the Executive, can step into that void.
Mr. Correa. Thank you. I ask this because you've got what
appears to be a conflict challenge here between the Executive
and our body, rulemaking, and you have a third, which is
roughly the third branch of our government, U.S. Supreme Court,
that ruled in the Chevron doctrine. Today we have, as always,
the Supreme Court changes, new members and new justices. So, is
there a possibility that in the future, there may be a new
decision on the Chevron doctrine that maybe affirm it or maybe
not affirm it?
Ms. Ho. You know, that's a great question. I know just
enough about the Supreme Court to know never to try to predict
what it will do. I do think it's interesting that in a decision
recently by the court, Justice Kagan authored a decision called
Kisor, which trimmed back our deference, which involves
agencies--courts dealing with agencies' interpretations of
their own regulations.
The Chief Justice wrote separately in that case to say that
because the court actually did not overrule Auer in that case,
that decision should not be understood as closing down requests
for the court to revisit the Chevron decision sometime in the
future.
Mr. Correa. I ask that because I have the highest respect
for our Supreme Court, our third branch of government, and
their decisionmaking. In thinking about--we're essentially
talking about the REINS Act, trying to correct something that
some of us view as a flawed decision, and that given the case,
I think it's important to see where the Supreme Court may be
going in the future.
Thank you.
Professor Hammond, I just wanted to ask you, do regulations
supersede congressional authority?
Ms. Hammond. No, they don't.
Mr. Correa. If they do?
Ms. Hammond. Then a court can strike it down, and, of
course, Congress can also correct the agency.
Mr. Correa. What is the Administrative Procedure Act?
Ms. Hammond. It is the fundamental procedural statute that
Congress passed, indeed in 1946, to ensure that agencies follow
various procedural rules to ensure participatory and reasoned
decisionmaking.
Mr. Correa. ``Participatory'' meaning transparency--
Ms. Hammond. That's right.
Mr. Correa. --input by the public, those that may be
interested are not in the decisionmaking. All this though
always being consistent with congressional authority,
congressional essentially view--go ahead. Go ahead.
Ms. Hammond. Yes, that's right. The Administrative
Procedure Act also has provisions for judicial review, and it
provides that one of the reasons a court can strike down what
an agency has done is failure to attend to the statutory
mandate.
Mr. Correa. Thank you very much.
Mr. Chair, I yield.
Mr. Massie. The gentleman yields back.
Mr. Fitzgerald from Wisconsin is now recognized for five
minutes.
Mr. Fitzpatrick. Mr. Chair, I'm going to yield some time to
Mr. Bishop.
Mr. Bishop. I thank the gentleman. I'm sorry, Mr.
Fitzgerald, could you yield to me at the end of your time?
Mr. Fitzpatrick. Very good. Very good.
Both this Congress and last Congress, I introduced the
Separation of Powers Restoration Act, or SOPRA, which would
displace precedent established in Chevron, the case you're
talking about, NRDC. As you know, in this case Supreme Court
required judicial deference to government agency
interpretations of ambiguous statutes. This bill, I believe,
would tip the scale back in favor of listening to what Congress
has to say in its statutes rather than how an agency interprets
them.
Ms. Ho, what's your interpretation of the Chevron
precedent, and do you believe it's worthwhile for Congress to
try to reclaim some of its power that for years has gone
through the Executive Branch through agency interpretation of
statutes and regulations?
Ms. Ho. Thank you. Let me begin with the last part of your
question. I certainly agree that it's critical in our system of
checks and balances and separation of powers for Congress, for
this body, to exert its lawful authority as the maker of laws
in our land.
As to Chevron and somewhat relatedly, I think, one thing
that is interesting about that case is even though, as it has
come to be sort of a decision involving administrative
agencies, that decision nowhere cites the Administrative
Procedure Act. So, I think a decision that sort of sets forth
this notion of deference is entirely outside the bounds of what
this court set out, what some have referred to as the
constitution of the Administrative State, the Administrative
Procedure Act. That decision nowhere cites or even engages with
what this court set into law in the Administrative Procedure
Act.
Mr. Fitzpatrick. Very good. Thank you.
Mr. Chair, I also just wanted to just spotlight an example
of the politicization of--that's occurring at the Biden
Administration's FTC right now, that you're well aware. Last
week, it was reported that Fight Corporate Monopolies, a
501(c)(4) arm of the American Economic Liberties Project,
intended to air attack ads on prime-time TV against myself and
you, the Chair of this Subcommittee, and other colleagues. In
fact, this organization hired a mobile billboard truck to drive
through my district due to my opposition to the FTC noncompete
rule that we've been discussing today.
Certain groups coming after Members of Congress with
misleading information isn't particularly new. I was disturbed
to learn that Ms. Sarah Miller, the executive director of the
very group I just mentioned, as of Monday, is now working for
Chair Khan as a senior adviser and is likely to work on the
very issue she attacked us on just last week. So, you couldn't
ask for a more current and better example of what's going on at
the Biden Administration's FTC.
With that, I would yield the balance of my time to Mr.
Bishop.
Mr. Bishop. I thank the gentleman for yielding.
It does seem to me, pursuant to--or apropos of the
conversation that happened in part on my time, if that
process--the notion here is, well, we have to rely on the
agencies to make rules because the agencies is where expertise
is brought to bear, and that this will be somehow less
susceptible to politics.
I thank the gentlelady from Washington for raising it, the
administrative process appears--in the creation of rules
appears to be susceptible to influence from corporate
lobbyists. Some say a few people have seen a corporate lobbyist
or two around Capitol Hill.
So, if you're talking about one or the other, then it seems
to me a false choice that you're going to get rid of politics
by leaving it in the administration. In fact, what you're going
to do is you're going to effectively put lawmaking into the
hands of executive officials higher up.
Let me ask you, Mr. Cleckner, some years ago, there was
Operation Choke Point. Are you familiar with that situation?
Mr. Cleckner. I am, sir. Yes.
Mr. Bishop. So, several agencies, the FDIC, Office of the
Comptroller of the Currency, the DOJ came together at the same
time to have a new regulation that would encourage banks to not
do business with entity--with businesses that were in the
manufacturing arms or something like that. Isn't that correct?
Mr. Cleckner. That's correct.
Mr. Bishop. There's no reason to believe that was a product
of sudden expertise, is it? That was a political thing, yes?
Mr. Cleckner. Completely political and done secretly for a
couple of years, until it even came out that it was official.
Mr. Bishop. So, if you wanted to place lawmaking in the
hands of people who don't have broad popular support, would
there be any better way to do it than do it through this
Administrative Law system?
Mr. Cleckner. You need it to be done by people who are
accountable to the American public.
Mr. Bishop. Professor Hammond, do you believe in the
principle that government derives this legitimacy from the
consent of the governed?
Ms. Hammond. Yes.
Mr. Massie. The witness may answer, and the gentleman's
time is expired.
Does the gentleman yield back?
Mr. Bishop. Oh, I'm out.
Mr. Fitzpatrick. I yield back.
Mr. Massie. The gentleman yields back.
I now recognize Ms. Scanlon from Pennsylvania for five
minutes.
Ms. Scanlon. Thank you, Mr. Chair.
So, as I understand it, regulatory lawmaking whatever, it's
not something we talk about usually over the dinner table, not
something I get a lot of questions about in my town halls. As I
understand it, this hearing has been called to address concerns
about the proper balance between Congress and the Federal
agencies on how we create rules and regulations with enough
detail to implement and oversee the laws that Congress passes
for the benefit, presumably, of the American people.
Those rules have a huge impact on public health and safety;
when we get in a plane it helps ensure the plane is not going
to crash; that when we eat food it's safe and--or so is
medications that we take; businesses can't scam us out of our
hard-earned dollars; and employers have to provide safe
workspaces. So, these are all the things that these regulations
do. As I understand it, we have about 4,000-6,000 of these
rules published every year.
To hear what we're hearing in the rhetoric today, these
Federal agencies are running roughshod over Congress and
there's nothing Congress can do about it. That's not how it
works. Basically, an agency convenes, as we've heard, experts
and seeks public input and publishes rules. There's a whole
process where people can have input, we can look at this; and
before these regulations take effect, Congress has to be
notified.
With respect to major regulations, which is what this REINS
Act seeks to address, and there's about 60-80 of them a year,
it ebbs and flows a little bit, those regulations can't take
effect for an additional 60 days after Congress is notified.
So, Congress has this window in which to say, Nope, don't like
that law, nope, we want to change it in some way, and, in fact,
is trying to do that as we speak.
So, if Congress isn't using that authority, it's not the
Federal agency's fault; it's as people have variously described
it today, it's a matter of congressional neglect, that there's
a vacuum, that there's a lack of bandwidth and staffing.
So, it appears to me a better use of resources that if we
want to adjust some of the terms of the Act or provide more
resources to Congress, so Congress can better exercise its
oversight capability, that's where we should be pushing instead
of trying to add additional workload to Congress requiring
passage of more bills through the Senate.
We do have bipartisan agreement that the Senate doesn't
work fast enough as it is now. To require it to pass every
major regulation that the Federal Government needs to put into
effect for the health and safety of Americans would be a huge
disservice.
So, just turning to the practical impact of what we're
talking about here. It's my understanding that the REINS Act
could undo multiple major rules, including many that keep our
kids safe. Professor Hammond, could you give us a couple
examples of regs that protect our children, whether from
consumer products or food or medication?
Ms. Hammond. Yes. Indeed, the one that I mentioned earlier
with respect to soot, kids, of course, are more vulnerable to
air pollution and that's a proposed regulation, particularly
for people--kids who have asthma, as well as others. So, I
don't have a specific example in mind from some of the other
agencies, but that's one that I think is a great one.
Ms. Scanlon. Well, and that particularly resonates with me
because the Philadelphia area has one of the highest rates of
childhood asthma in the country. One in four kids in our region
has environmentally induced childhood asthma. It's a huge, huge
problem. So, obviously, I, for one, would like our best experts
looking at these things and trying to figure out how we can
best ensure the safety of our children.
With that, I would ask unanimous consent to introduce a
letter from the American Lung Association, Allergy and Asthma
Network, National Association of Pediatric Nurse Practitioners,
and a whole range of folks, expressing their strong opposition
to the REINS Act because of its harmful impact on our
communities. With that, I would yield back, after unanimous
consent.
Mr. Massie. Without objection.
Ms. Scanlon. Thank you.
Mr. Massie. The gentlelady yields back.
The gentlelady from Wyoming, Ms. Hageman, is now recognized
for five minutes.
Ms. Hageman. Thank you, Chair Massie.
Professor Hammond, do you know what the cost of the Federal
regulatory burden is in this country on a yearly basis?
Ms. Hammond. I don't have the number at this time.
Ms. Hageman. Well, would it surprise you to know that it's
over $2.1 trillion, and that's just the Federal regulations?
Ms. Hammond. I wouldn't be surprised. To compare that to
the benefits, you'd find that it's lower.
Ms. Hageman. So, I want to go ahead and address some of the
reasons as to why I'm here and why I actually ran for Congress.
I've been a water, natural resource, and constitutional
attorney for over 30 years, and one of the things that I've had
to deal with on behalf of my clients is the overwhelming
regulatory burden that they must navigate pretty much every
single day of their lives.
The Administrative Procedure Act provides only minimal
protection from--against agency overreach, but it at least does
require some form of a process which allows some participation
by the American public. I recently had a case involving the
USDA, the United States Department of Agriculture. A couple
years ago, they posted on their website a two-page guidance
document, and this guidance document required all our livestock
producers to start using RFID ear tags and to register their
ranches with the Federal Government.
According to the USDA, this would've had a $2 billion cost
on the livestock industry. It didn't go through a rulemaking
process. It didn't go through notice and comment. They didn't
invite the ranchers in to discuss whether it was even feasible
in a 100,000-acre ranch out in Wyoming, as to whether they
would be able to use this kind of technology. It was just
simply issued from on high.
I can assure you that this happens every day from these
agencies. Guidance documents, answers to frequently asked
questions, they have all different kinds of names that they
use, but the reality is that they're used to circumvent the
rulemaking process. Are you aware of that, Professor Hammond?
Ms. Hammond. I'm familiar with guidance documents.
Ms. Hageman. OK. So, the Trump Administration actually
worked to address the issue of the agency abuse of guidance
documents through Executive Orders 13891 and 13892. Notably, by
the end of the Trump Administration, which all it did was
require these agencies to post on their websites what guidance
documents they had issued--the bump stock document, I believe,
is a--the banning--the ATF's efforts to ban bump stocks, I
believe, was through a guidance document, since the ATF did not
have the authority to issue that as a regulation. By the end of
the Trump Administration, several agencies had actually
established an online portal, and there were over 70,000
guidance documents from just a few of those agencies.
So, Mr. Wolfson, can you please explain for us how guidance
documents obfuscate these already minimal protections under the
APA, and further throw into peril the notion of self-governance
and government accountability?
Mr. Wolfson. Thank you, Congresswoman.
Yes, the guidance document problem exists in part because
the agencies know that's a loophole. So, you've got regulators
who want to regulate. They may not want their expertise really
is in understanding the process of how to get regulations done,
and they know that they don't have to go through the
Administrative Procedure Act if they have a guidance document.
The kind of the quintessential example people point to is
the Department of Education Dear Colleague letter toward the
end of the Obama Administration. All of these things end up
basically hinting that there may be regulatory enforcement by
the agency if certain practices are not undertaken, and this
changes people's behavior even if there's no legislative
authority behind that guidance document.
Ms. Hageman. So, what was interesting is Executive Orders
13891 and 13892 were just really transparency requirements.
Isn't that correct?
Mr. Wolfson. That's absolutely right. When I was at the
Labor Department, we had to review over 13,000 guidance
documents, some of which only existed in paper form at the
library at the Department of Labor.
Ms. Hageman. OK. Are either of those Executive Orders still
in place?
Mr. Wolfson. Unfortunately, no.
Ms. Hageman. Why is that?
Mr. Wolfson. I don't know the inside workings, but it's
unfortunate that I believe that, for example, the EPA no longer
even has their guidance portal. So, people who want to find the
guidance documents have to go back to the old method of kind of
searching through the entire department of--EPA's website to
find those.
Ms. Hageman. Well, isn't it correct, Mr. Wolfson, that one
of the very first things that President Biden did when he took
office was that he nullified those two Executive Orders?
Mr. Wolfson. That is correct.
Ms. Hageman. So, this administration intentionally made it
difficult for the American citizens to learn about the guidance
documents that are enforced and affecting these agencies and
intentionally is hiding the information that is so important
for the regulated community. Isn't that fair?
Mr. Wolfson. It certainly would be an assumption one could
make from what has gone on.
Ms. Hageman. All right. Thank you. I yield back.
Mr. Massie. The gentlelady yields back.
The gentleman from Texas, Mr. Moran, is recognized for five
minutes.
Mr. Moran. Thank you, Mr. Chair.
I'm convinced that the preservation of liberty does not
just happen through the substantive decisions that we make here
in Congress; rather, and just as importantly, the preservation
is a result of structural safeguards that our Constitution put
in place almost 250 years ago.
Important structural principles embedded in our
Constitution and the history of this Nation, like separation of
powers, checks and balances, federalism, they're critical to
preserving life, liberty, and the pursuit of happiness. It's
something I talk about often when I talk to my constituents to
say, we cannot seek an end, and in the meantime, trample over
the correct means. We must preserve those structural
safeguards, and that's what we're talking about here today is
separation of powers.
Unfortunately, over the years, both Democrats and
Republicans have eroded these structural protections in pursuit
of some substantive end that fits with our, or their political
agenda, and it's a problem with both parties. It's the American
people who suffer as a result of that.
Professor Hammond, I want to start with you. You mentioned
that there is room to bring more voice to the rulemaking
process. I think I wrote that quote down correctly. If
agencies, though, during that rulemaking process run into
overwhelming opposition to a rule, a proposed rule, are they
bound to reform the rule to accommodate those comments, or can
they simply proceed forward in the manner that they would like?
Ms. Hammond. The requirement is that they respond to
significant comments raised, and very frequently, agencies do
adjust their final rules as compared to their proposed rules
based on the comments that they receive.
Mr. Moran. I know that's the answer, but the true answer to
my question is they don't have to. They can simply ignore the
comments from the public. They can simply move forward with the
rule that they would like to put in place, and they do not have
to respond, to react. They're not accountable to the people of
this Nation. We, the elected officials, are accountable to the
people in this Nation. We are entrusted with decisionmaking
when it comes lawmaking. They are not. That is the point that I
want to make with that question.
To overturn a rule to put in place--that has been put in
place, let's talk about that for a moment as well, because
under the Congressional Review Act, which one of my colleagues
mentioned, is the method by which we can do that. It's not just
the House that can do that on its own, but instead we have to
pass a resolution to disapprove the rule, then we have to send
it to the Senate, they have to disapprove the rule, and then it
goes to the President, and he must sign that joint resolution
from Congress to undo that rule. Isn't that correct, Professor
Hammond?
Ms. Hammond. I believe the rule does not go into effect
without that, so it indeed undoes the rule.
Mr. Moran. Without that process happening, effectively, a
veto that must require disapproval by the House and the Senate
and then to the President who oversees and ostensibly is
directing the very rulemaking that we're trying to overrule, we
can't prevent it from going into place. Isn't that true?
Ms. Hammond. Are you speaking about the REINS Act as
proposed, or are you speaking about the Congressional Review
Act?
Mr. Moran. Congressional Review Act.
Ms. Hammond. Yes, it is in place.
Mr. Moran. Yes. The point I'm trying to make here is,
effectively, we can't undo what an administrative agency is
actually going to put in place unless we get through that whole
process. It's nearly impossible because it turns on its head
the lawmaking responsibility of Congress, because instead of us
having some almost impossible veto power over an agency, we
should be, in fact, be in the primary place to put those rules
in place to begin with or to enact those laws.
I want to go back to Ms. Ho. I have just a minute. If we
work to eliminate the Chevron standard, I want you to speak
more to what you believe should be the replacement standard
there.
Ms. Ho. Certainly, I think the replacement is the
foundational principle of the judiciary, and that is, it is the
province of the judiciary to say what the law is. So, I think
that would be a return to the bedrock principle and the proper
putting the judiciary as well in its proper sphere of operation
in our system of separation of power and checks and balances.
Mr. Moran. Thank you.
It seems so simple, doesn't it, separation of powers. It's
not a complex concept, but over time, again, I think both
parties have eroded that, and unfortunately, we're having to
deal with that today.
Mr. Wolfson, noncompete clauses, just with 15 seconds, are
an integral part, in my opinion, to protecting confidential and
proprietary information for businesses generating innovation
and investment. Do you agree with that?
Mr. Wolfson. I think there are places where noncompete
clauses make a lot of sense. There are probably other places
that they don't make a lot of sense. For example, there's some
examples of fast food restaurants that may require line workers
to have a noncompete. I think that there is a great policy
discussion that we should be having about this, but the place
to have those kinds of policy discussions is in the halls of
Congress, or more appropriately actually is in the halls of the
individual legislators of the States who can evaluate in their
particular States are noncompete clauses being used
appropriately or not.
Mr. Moran. I completely agree. I yield back. Thank you.
Mr. Massie. The gentleman yields back.
I now recognize myself for five minutes. We've had a great
discussion today about the structure and nature of our republic
and actually how far we've wandered afield from our original
Founders' intent of having separation of powers. So much power
has been concentrated within the Executive that actually the
lobbyists have gone there now. I don't see many lobbyists here
today very concerned about what we're doing. They're all over
at the Executive Branch and at the administration.
In fact, under the Obama White House, Google was
coresident. They hired high-level Google people to run the
patent board, to sit inside the White House. So, I reject this
notion that somehow the Executive Branch is immune to lobbying.
We've been at a very high level for the most part today, and
that's what's made this a really good hearing. We've talked
about the structure and nature of government.
Mr. Cleckner, I want you to boil this down to the specific
example of a recent rule on the pistol brace and what that
means, how many people it's going to affect, are these civil
infractions or criminal infractions? Can you tell us about the
pistol brace rule when it goes into effect and what the
consequences are of letting an agency write law.
Mr. Cleckner. Thank you, Mr. Chair.
I've heard plenty today about profits over people, and I
think we're putting regulations over people. I don't think
we're keeping people safe with more regulations. In fact, I
think regulations and rules like the pistol brace one is
actually making it more dangerous.
On one hand, I love the maxim that every bit of gun control
is a claim that gun control doesn't work because they want more
gun laws. On the other hand, I see all these regulations are
making felons out of otherwise law-abiding citizens. So, you
asked how many; the Congressional Research Service estimates
between 10-40 millions of these are out there. Most of these
Americans do not know that this rule is happening, and even the
Americans that do know the rule is happening cannot interpret
it because the ATF is using vague, ambiguous language with
weights similar to this, with a surface area suitable for that.
The citizens cannot make these determinations on their own.
We're talking about a piece of plastic that was previously
approved by the ATF that people bought maybe even unknowingly,
it might have come on the firearm already, and they're going to
be made into felons. This is 18 U.S.C. law that ATF is trying
to redefine and trying to rewrite. Serious crimes, confusing
regulations, going back and forth, I don't see how that's
helping anybody.
Mr. Massie. When does this take effect? When was it
announced? When does it take effect? Is the government
undergoing an ad campaign on TV right now telling millions of
people they're going to become felons in a few weeks?
Mr. Cleckner. No, sir. It was technically published on the
Federal Register, but they had 90 days--
Mr. Massie. Oh, I hit refresh on that page every day.
Mr. Cleckner. Exactly right. This has changed. They
approved these. Another thing we have with the guidance letters
is they've been giving separate guidance to each manufacturer.
They're not even giving consistent guidance to the industry on
what they're allowed to do. So, it's conflicting information.
That was 2012. A few years later, you couldn't shoulder them, a
couple years later, you could. It changes so much, I don't know
how someone is going to be able to keep up with what's going
on.
Mr. Massie. The people who are going to become felons by
virtue of an agency making law because there's a different
President who hates guns, they weren't they assuming and
weren't the manufacturers assuming--why did they assume it was
legal to do what they were doing until this rule went into
effect?
Mr. Cleckner. They were specifically told by the ATF that
it was legal and that they could proceed. Matter of fact, most
of these manufacturers have their version of the letter from
the ATF on their website that said, these are legal. See, the
ATF said it. Some of them even include a copy in the product in
the boxes.
So, all these Americans relied upon the ATF telling them it
was good to go, and now they might not even know that it's not,
and they're risking being a felon, which takes away their right
to have any firearm once they're a felon.
Mr. Massie. It seems like our Founders were really wise to
put the legislative function in this Chamber and in the Senate,
because we're up for reelection so frequently. Also, I have
constituents--we haven't said today--nobody said today there
should be no regulations. My constituents say, just don't
change them on me. Let me know what the rules are.
Our Founders said--the way they set it up required four
concurrent majorities for a law to change. Think about how
intelligent that is. The House had to agree, a House majority,
a Senate majority had to agree, and a majority of the electoral
college had to agree for a President to sign that bill, and
then it had to pass the Supreme Court.
How many majorities are required to approve of a bureaucrat
changing a law or a rule? As Mr. Moran pointed out, they're not
subject to anybody's approval, any voter's approval. Now, you
might say the Supreme Court. OK, the Supreme Court has to
approve the regulation. As Ms. Ho and Mr. Wolfson has pointed
out, with Chevron deference even that majority doesn't have to
agree because we'll just defer to the regulators on this. So, I
think we need to get back to our Founders' intent and put the
lawmaking authority back in this body.
With that, seeing no other Members, that concludes today's
hearing. We thank the witnesses for appearing before the
Committee today. We know this takes a lot of time to fly here,
to prepare for this, and to put yourself through this. So, we
appreciate all of you very much for being here and helping us
come to an answer, because the answer should come from
Congress--it should--on who makes the laws. I hope we all
agree, we should be making the law.
Without objection, all Members will have five legislative
days to submit additional questions for the witnesses or
additional materials for the record, so you could end up with
homework as well.
Without objection, the hearing is adjourned.
[Whereupon, at 11:19 a.m., the Subcommittee was adjourned.]
All materials submitted for the record by Members of the
Subcommittee on the Administrative State, Regulatory Reform,
and Antitrust can be found at: https://docs.house.gov/
Committee/Calendar/ByEvent.aspx?EventID=115456.
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