Affected agencies are to examine whether an action would fall under the law as the memo defines the pertinent terms. Image: FOTOGRIN/Shutterstock.com
By: FEDweek StaffOMB has issued guidance to agencies on reporting the impact on spending of rules they propose as required by the law that suspended the federal debt ceiling through next year while imposing a number of restrictions on spending in the meantime.
Memo M-23-21 outlines reporting requirements on final rules that increase spending from mandatory appropriations (“direct spending”) above certain thresholds that are submitted to OMB’s Office of Information and Regulatory Affairs as of its issuance date of September 1. The law applies only to actions that meet the definition of “rule” under the Congressional Review Act and further does not apply to certain independent regulatory agencies that are listed in the memo.
Affected agencies are to examine whether an action would fall under the law as the memo defines the pertinent terms. They are to notify OMB, no later than the notice-of-proposed-rulemaking stage where applicable, of the agency’s preliminary determination the basis for that determination.
“Where the Act does apply, agencies must either request and obtain a waiver from OMB under the statutory criteria for waivers, or identify in a notice submitted to OMB one or more agency actions that would offset that direct spending increase associated with the rule under consideration,” it says. Grants of waivers must be published in the Federal Register when a rule is finalized, but proposed offsets need not be.
The directives do not apply to proposed rules that have submitted to OIRA before September 1, “but agencies must still comply with any applicable requirements of the Act before finalizing such rules,” it adds.
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