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Congress·In Committee·H.R. 572

Rep. Sessions Introduces RED TAPE Act to Ban Non-Financial Factors in Federal Rulemaking

RED TAPE Act

about 1 year ago·View on Congress.gov

Stalled

No legislative action in over 90 days.

Legislative Progress

House
Senate
President
Law

Key Points

  • This bill would stop federal agencies from using factors they cannot put a specific dollar amount on when deciding to create new rules. Right now, agencies might consider things like "better health" or "fairness" even if they cannot calculate an exact price. This bill says those factors can no longer be used to justify a regulation.
  • Agencies would be required to focus only on clear, measurable money benefits to people and businesses. The goal is to make sure every new government rule provides a clear financial win and does not create hidden costs or burdens that are hard to measure with math.
  • If this bill becomes law, it would apply to any regulation made since November 9, 2023. This means many existing rules could be challenged in court. If a judge finds that an agency used non-money factors to justify a rule, that rule would be thrown out immediately.
  • The bill also demands more transparency from the government. Agencies would have to publish their full math, the methods they used, and their reasoning in the Federal Register. This would let the public see exactly how the government decided a rule was worth the cost.
Economy FinanceEnergy EnvironmentHealthcareLabor Employment

Impact Analysis

Personal Impact

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions
Jan 21, 2025House

Referred to the Committee on the Judiciary, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Jan 21, 2025

Introduced in House

What Happens Next

Projected impacts based on AI analysis

short_term

If enacted, new rules take effect 30 days after signing, banning non-monetized factors in all federal rulemaking analyses

Every federal agency would immediately need to change how it evaluates and justifies new regulations, removing any benefit it cannot assign a specific dollar amount to

short_term

OMB must issue revised guidance to all agencies within 90 days of enactment

The Office of Management and Budget would create new rules telling every agency exactly how to comply, reshaping the entire federal rulemaking process

short_term

Lawsuits could be filed to challenge any federal rule issued since November 9, 2023 that used non-monetized factors

Businesses and other groups could go to court to overturn hundreds of recent regulations — on clean air, workplace safety, consumer protection, and more — if agencies considered benefits they couldn't put a dollar value on

Related Bills

1 bill

Source Information

Document Type

Congressional Bill

Official Title

RED TAPE Act

Bill NumberHR 572
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the Committee on the Judiciary, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Sponsor

Cosponsors

(1)
R: 1

Analysis generated by AI. Always verify with official sources.