Rep. Mike Gallagher, R-Wisc., wants to bring back the Trump-era policy that would require agencies to eliminate two current regulations for every new one they introduce.

Rep. Mike Gallagher, R-Wisc., wants to bring back the Trump-era policy that would require agencies to eliminate two current regulations for every new one they introduce. Bill Clark / Getty Images

New bill seeks to codify Trump-era regulation cut rule

Rep. Mike Gallagher’s (R-Wisc.) legislation aims to make permanent the Trump executive order that sought to repeal two regulations for each one introduced.

New legislation introduced Friday wants to advance a Trump-era executive order that sought to reduce the cost of agency regulations. 

Rep. Mike Gallagher’s (R-Wisc.) 2 for 1 Act, (HR 6666) would codify Executive Order 13771, which then-President Donald Trump signed in January 2017 to require agencies to offset the expenses of every new regulation by eliminating those associated with two existing regulations.

EO 13771 was part of a broader push by the Trump administration to streamline and reduce agency regulations. Trump administration officials later reported that the order had helped generate $23 billion in regulatory cost savings in fiscal 2018, more than double the savings from the previous year. 

However, the rule was not without its challenges and criticisms. The Environmental Protection Agency’s inspector general found in 2019 that while the agency had outpaced the Trump administration's goals for deregulation, it “lacked guidance, or management controls and was not sufficiently transparent in its decision making.” The Government Accountability Office later called the Trump administration’s reported results “overstated.

President Joe Biden rescinded Trump's order on Jan. 20, 2021. 

Gallagher said in a statement that the legislation was in response to the Biden administration’s use of agency rules to set policy and the costs associated with them.

"The Biden administration rules by regulation and finds new ways each day to make life harder for American farmers and small businesses, Gallagher said. “Restoring the Trump administration’s common-sense principle of repealing two regulations for every new regulation created is a simple way to rein in the regulatory state, cut red tape, and make it easier for Americans to earn a living." 

Gallagher’s bill follows much the same tenor of EO 13771, in that it calls for agencies to repeal two existing regulations for every new one introduced. The bill would also require agencies to report net-zero incremental regulatory costs unless new regulations are required, as well as hold off on issuing new regulations unless they are included in the Unified Agenda of Federal Regulatory and Deregulatory Actions or approved by the Office of Management and Budget director. 

The 2 for 1 Act was referred to both the House Oversight and Accountability Committee, as well as the House Judiciary Committee.