Regulations from the Executive in Need of Scrutiny Act of 2025 (S. 485)

Regulations from the Executive in Need of Scrutiny Act of 2025

This bill expands congressional review of federal agency rules and establishes additional procedures for major rules and agency guidance.

Specifically, the bill requires the enactment of a joint resolution for a major rule to take effect. A major rule is a rule that has resulted in or is likely to result in (1) an annual economic effect of at least $100 million; (2) a major increase in costs or prices for consumers, individual industries, government agencies, or geographic regions; or (3) significant adverse effects on competition, employment, investment, productivity, or innovation.

Additionally, major rules approved by a joint resolution under the bill expire, and are no longer effective, 10 years after the enactment of such joint resolution. Further, each agency must annually designate at least 10% of the agency’s major rules that are currently in effect for review and approval by a joint resolution of Congress. Such rules that are not approved shall no longer be in effect.

Under the bill, agency guidance documents are considered rules and certain significant guidance documents are considered major rules. Significant guidance documents include guidance anticipated to lead to an annual effect of at least $100 million, or adversely affect in a material way the economy, the environment, public health, or state or local government.

The Office of Management and Budget must establish an federal regulatory budget specifying the net amount of incremental regulatory costs allowed by the federal government for the next fiscal year.