New Trump Order Mandates Two Regulations Cut for Every New Regulation
On Monday, President Donald Trump signed an executive order mandating that for every new regulation issued by any executive agency, two regulations must be eliminated, offsetting the cost of any new regulation to "zero."
"This will be the biggest such act that our country has ever seen," the president declared right before signing the order. "There will be regulation and control," he promised, "but it will be normalized control where you can open your business and expand your business very easily, and that's what our country has been about."
Trump signed the order in front of a group of small business owners, following a listening session beforehand.
To a small-government conservative, the order sounds too good to be true. It explicitly states that "it is important that for every one new regulation issued, at least two prior regulations be identified for elimination, and that the cost of planned regulations be prudently managed and controlled through a budgeting process."
Trump's order declares that "for fiscal year 2017 ... the heads of all agencies are directed that the total incremental cost of all new regulations, including repealed regulations, to be finalized this year shall be no greater than zero, unless otherwise required by law or consistent with advice provided in writing by the Director of the Office of Management and Budget" (OMB) (emphasis added).
If applied faithfully, this order would effectively prevent any new regulatory burden on the American economy for the foreseeable future. There will be new regulations, but the economic cost of each new rule must be offset by the costs saved to the economy by the elimination of two previous regulations.
This is fundamentally important because, as Florida Congressman Ron DeSantis pointed out in September of last year, it is likely the average American family actually pays more money in hidden costs due to regulations than in direct taxes.