On Monday, January 30, 2017, President Trump signed a so-called "One In, Two Out" executive order directing federal agencies, among other things, to nix two regulations for every one they implement.
Another of President Donald Trump's executive orders is headed to court. Importantly, the order explicitly exempts regulations dealing with military, national security, or foreign affairs and regulations affecting agencies' organization, management, or personnel from its reach.
Industry groups are praising President Trump's plan to reduce government regulations as a positive first step. The order will "begin our effort to reduce regulation".
"Indeed, the Executive Order directs agencies to disregard the benefits of new and existing rules -including benefits to consumers, to workers, to people exposed to pollution, and to the economy - even when the benefits far exceed costs", states the complaint.
New regulations must have a net cost of zero-dollars in the current fiscal year, without considering the value of benefits to public health and safety. Those statutes do not authorize federal agencies to condition issuance of new regulations on repealing existing regulations to offset the costs of the new ones.
The order does not apply to most of the financial reform rules introduced by the Obama administration or to rules mandated by statutes.
"No one thinking sensibly about how to set rules for health, safety, the environment and the economy would ever adopt the Trump Executive Order approach - unless their only goal was to confer enormous benefits on big business", Public Citizen President Robert Weissman said in a February 8 press release.
The lawsuit also raises concerns about the executive order's potential impact on regulations related to occupational health, offering the example that "an occupational health standard issued under the Occupational Health and Safety Act ... will need to be repealed to enable an employee overtime regulation issued under the Fair Labor Standards Act". Agencies may attract lawsuits when they seek to eliminate rules, but the executive order itself hasn't pointed specifically to any regulations that would be cut, Holmstead said. This usurps Congress's authority, and violates the President's Constitutional obligation to "take Care that the Laws be faithfully executed". He told The Hill, "If implemented, the order would result in lasting damage to our government's ability to save lives, protect our environment, police Wall Street, keep consumers safe and fight discrimination".
It charges that the agencies can not lawfully implement the order because it violates the Administrative Procedure Act-which governs how they operate internally and interact with the public-among other statutes.