Experts say Congress needs to increase oversight staff and resources to effectively control the federal bureaucracy.

Congress Needs to Take Back Control

Congress is facing a major challenge in regaining effective oversight and control of the federal regulatory bureaucracy in the executive branch. Without a significant expansion of its authorities, staff, and organizational resources, it will be difficult for Congress to hold the administrative state accountable. This analysis comes from a conservative think tank specializing in high technology issues, the Foundation for American Innovation (FAI).

The analysis, titled “Empowering Regulatory Oversight: How Congress Can Hold the Administrative State Accountable,” emphasizes the limited input from members of Congress, who are the elected representatives of the people, in the decision-making process of regulations and administrative actions that directly impact Americans’ lives and work. The authors, Dan Lips and Satya Thallam, highlight the need for Congress to take action.

Dan Lips, the head of policy and a Senior Fellow at FAI, previously served as the policy director for the Senate Committee on Homeland Security and Government Affairs (HSGAC). Satya Thallam has held multiple positions in both the legislative and executive branches, as well as the private sector.

The Delegation Problem

The root of the problem lies in Congress delegating excessive authority to executive branch officials, departments, and agencies. This has resulted in a multitude of rules, regulations, and “guidance” that suffocate the legislative branch’s ability to ensure the will of the American people is respected by the bureaucracy, also known as the Administrative State.

In 2022 alone, federal agencies issued over 3,000 administrative publications, including 265 significant rules, with an estimated cost of over $117 billion. The annual cost of federal regulations on the economy is difficult to quantify but has been estimated to approach $2 trillion. Congress enables federal agencies to issue regulations and rules by passing laws that grant the executive branch the legal authority to do so. However, Congress has not established the necessary legislative powers, expertise, and staff resources to adequately oversee federal regulations.

Congress Fired and Forgot

Lips and Thallam highlight the lack of a legislative counterpart to the Office of Information and Regulatory Affairs (OIRA), which was created by Congress in 1980. President Ronald Reagan transformed OIRA into the hub of regulatory oversight and analysis within the executive branch. This leaves the legislative branch dependent on an executive office led by an official nominated by the president for systematic reviews of federal regulatory activity.

On the other hand, Congress relies on the Congressional Budget Office to provide prospective estimates of fiscal effects, but there is no equivalent office for regulatory effects. Congress has limited resources within the Government Accounting Office (GAO) to assess the cost and effectiveness of proposed federal actions, which pales in comparison to the executive branch’s ability to churn out new rules and regulations.

Based on word counts of the Code of Federal Regulations (CFR), Lips and Thallam estimate that there are currently over 1.1 million distinct directives targeting individuals, businesses, and institutions. This represents a 175 percent increase since 1968 when the total was just over 400,000.

The House Republican majority has approved the Executive in Need of Scrutiny Act of 2023 (REINS), which requires congressional approval before the issuance of any new major regulation. However, more action is needed to address the delegation problem and empower Congress to regain control over the administrative state.