RED TAPE Act
Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.
Summary
What This Bill Does
The RED TAPE Act (Regulations Evaluated to Determine The Anticipated Price and Effect Act) prohibits federal agencies from considering non-monetized or unquantifiable factors when conducting cost-benefit analyses for new regulations. It requires that regulatory decisions be based solely on tangible, immediately quantifiable monetary benefits and costs, and mandates that agencies publicly publish their regulatory analyses in the Federal Register.
Who Benefits and How
Private sector businesses benefit because regulations would only be justified by hard dollar figures, making it harder for agencies to impose regulations based on harder-to-quantify benefits like environmental protection, public health improvements, or safety considerations. Industries facing potential regulation gain an advantage since many regulatory benefits (cleaner air, reduced illness, prevented accidents) are difficult to express in immediate monetary terms. Entities challenging regulations in court also benefit from a new legal avenue to invalidate rules that relied on non-monetized factors.
Who Bears the Burden and How
Federal regulatory agencies bear the burden of restructuring their entire approach to regulatory analysis, being prohibited from considering legitimate but hard-to-monetize benefits. The Office of Management and Budget must issue new guidance within 90 days and can no longer accept analyses that include non-monetized factors. The general public may bear indirect burdens as regulations protecting public health, environmental quality, workplace safety, and consumer protection become harder to justify when their benefits cannot be expressed in immediate dollar terms.
Key Provisions
- Prohibits agencies from considering any non-monetized or unquantified factor in regulatory impact analyses or benefit-cost analyses
- Prohibits OMB from authorizing, endorsing, or considering any non-monetized factors in regulatory analyses
- Requires agencies to publish full regulatory analyses in the Federal Register, including methodology and rationale
- Creates a private right of action allowing affected parties to sue agencies that violate the prohibition
- Courts must invalidate rules found to have relied on non-monetized factors
- Applies retroactively to rules issued on or after November 9, 2023
- Takes effect 30 days after enactment
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.
At a Glance
What This Bill Does
The bill aims to ensure regulatory decisions prioritize tangible, immediately quantifiable monetary benefits by prohibiting the consideration of non-monetized or unquantified factors in benefit-cost and regulatory impact analyses. It enhances transparency through publication requirements for agencies.
Key Policy Areas
Regulation, Finance
Primary Purpose
The bill aims to ensure regulatory decisions prioritize tangible, immediately quantifiable monetary benefits by prohibiting the consideration of non-monetized or unquantified factors in benefit-cost and regulatory impact analyses. It enhances transparency through publication requirements for agencies.
Policy Domains
Sponsors
Joni Ernst
R-IA | Primary Sponsor
Legislative Progress
In CommitteeCommittee on Small Business and Entrepreneurship. Hearings held.
Ms. Ernst (for herself and Mr. Lankford) introduced the following …
Read twice and referred to the Committee on Homeland Security …
Introduced in Senate
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Federal agencies
Federal agencies faces effects in multiple directions
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_agency"
- → Federal agencies responsible for issuing regulations
- "the_secretary"
- → Secretary of the Office of Management and Budget (OMB)
Key Definitions
Terms defined in this bill
A regulatory analysis that quantifies the benefits and costs of a proposed rule, final rule, or interim final rule. The meaning is defined by Office of Management and Budget Circular A–94.
A factor that cannot be measured or expressed in a numerical value and is therefore excluded from benefit-cost analyses.
A regulatory analysis described in Executive Orders 12866, 13563, and 14094, or Office of Management and Budget Circulars A–4 and A–94.
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology