Unfunded Mandates Accountability and Transparency Act of 2026

Key Points

• Federal agencies would have to do a detailed cost-benefit study before creating any major rule that costs the economy $100 million or more per year. These studies must look at effects on jobs, prices, competition, and different regions of the country.
• Agencies would be required to pick the regulatory option that maximizes net benefits. If they want to choose a different path, they need approval from the Office of Information and Regulatory Affairs and must explain why the extra costs are justified.
• The bill expands who gets a seat at the table during rulemaking. Agencies must consult early and often with state, local, and Tribal governments, as well as small businesses and other private sector parties, starting before a rule is even formally proposed.
• Independent regulatory agencies like the SEC and FCC would be brought under these requirements for the first time, though the Federal Reserve's monetary policy decisions would remain exempt.
• People and businesses harmed by a major rule could sue in court if the agency failed to do the required cost-benefit analysis or failed to pick the option that maximizes net benefits.