New CFR's from this day forward require approval from Congress, the Senate, and the President..........No longer can Federal Agencies create new laws by their own interpretation of existing laws.............all new rules in the CFR must now be approved before being added to the register from this day forth.
Federal Regulations: The Real Laws Behind the Acts of Congress
Control of the Regulatory Process
Federal regulations created by the regulatory agencies are subject to review by both the president and Congress under Executive Order 12866 and the
Congressional Review Act.
The Congressional Review Act (CRA) represents an attempt by Congress to reestablish some control over the agency rulemaking process.
Executive Order 12866, issued on Sept. 30, 1993, by
President Clinton, stipulates steps that must be followed by
executive branch agencies before regulations issued by them are allowed to take effect.
For all regulations, a detailed cost-benefit analysis must be performed. Regulations with an estimated cost of $100 million or more are designated "major rules," and require completion of a more detailed Regulatory Impact Analysis (RIA). The RIA must justify the cost of the new regulation and must be approved by the Office of Management and Budget (OMB) before the regulation can take effect.
Executive Order 12866 also requires all regulatory agencies to prepare and submit to OMB annual plans to establish regulatory priorities and improve coordination of the Administration's regulatory program.
While some requirements of Executive Order 12866 apply only to executive branch agencies, all federal regulatory agencies fall under the controls of the Congressional Review Act.
The Congressional Review Act (CRA) allows Congress 60 in-session days to review and possibly reject new federal regulations issued by the regulatory agencies.
Under the CRA, the regulatory agencies are required to submit all new rules the leaders of both the House and Senate. In addition, the General Accounting Office (GAO) provides to those
congressional committees related to the new regulation, a detailed report on each new major rule.