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House Judiciary Committee Approves Legislation to Prevent Back Door Regulation

March 24, 2015
Washington, D.C. – Today the House Judiciary Committee approved H.R. 712, the Sunshine for Regulatory Decrees and Settlements Act of 2015, by a vote of 20-11. This bill will limit the manipulation of lawsuits and sue-and-settle decrees and settlements agreements that force regulators to issue new regulations. The legislation is one of several bills the House Judiciary Committee has introduced in its long-term goal to reform the regulatory system of the United States. House Judiciary Committee Chairman Bob Goodlatte (R-Va.) and Doug Collins (R-Ga.), chief sponsor of the legislation, praised today's Committee passage of the bill. Chairman Goodlatte: This legislation is a real and balanced solution to curbing regulatory abuse within the federal government. By ensuring greater transparency and accountability, this legislation would cut down on litigation abuse by pro-regulation plaintiffs that often results in more regulation without notice to the affected parties. This legislation is another step the Committee is taking to reform the regulatory system of the United States. Congressman Collins: “Hardworking Northeast Georgians, and employers and employees around the country, deserve a say in regulations that affect their livelihoods. However, likeminded special interests and federal bureaucrats are short-circuiting the transparent regulatory process to enact their environmental agenda without public participation.  Our Sunshine for Regulatory Decrees and Settlements Act would throw open the doors on sue-and-settle deals to increase accountability to the people government agencies are supposed to serve.” The Sunshine for Regulatory Decrees and Settlements Act specifically provides the following: • Greater transparency. Agencies must publish sue-and-settle notices of intent to sue, complaints, decrees, settlements, and attorneys' fee awards and report on them to Congress. • Greater rights for regulated entities and the public. Agencies cannot propose sue-and-settle decrees and settlements to the courts until parties affected by the proposed regulations can intervene and participate in settlement negotiations and the proposed decrees and settlements are published for public notice and comment. • Greater judicial scrutiny. Courts weighing proposed decrees and settlements must assure compliance with normal rulemaking procedures and account for agencies' competing mandatory duties not within the litigation. • Greater accountability. The Attorney General must certify to the court his or her approval of proposed decrees that convert discretionary authorities into mandatory duties. • Greater flexibility for new administrations. Courts are allowed to review de novo any new administration's motion to modify a consent decree in light of changed facts and circumstances or competing duties.