Office of information and regulatory affairs

What Is the Office of Information and Regulatory Affairs?

The Office of Information and Regulatory Affairs (OIRA) is a federal office within the Office of Management and Budget (OMB), which is part of the Executive Office of the President. Established by Congress, OIRA serves as the U.S. government's central authority for overseeing the regulatory framework of the executive branch. Its core responsibilities lie within regulatory policy, including the review of proposed and final regulations, the approval of government information collections, the establishment of government statistical policy practices, and the coordination of federal privacy policy and information policy.

OIRA plays a crucial role in ensuring that federal regulations are consistent with presidential priorities and that agencies consider the costs and benefits of their proposed actions. It functions as a gatekeeper, reviewing significant regulatory actions before they are issued to the public.²⁴,²³ This oversight aims to improve the quality, transparency, and effectiveness of federal rulemaking.²²

History and Origin

The concept of centralized regulatory review within the U.S. executive branch predates the formal establishment of the Office of Information and Regulatory Affairs. Presidential administrations had engaged in various forms of oversight of agency rulemaking for decades. OIRA was formally created by Congress in 1980 as part of the Paperwork Reduction Act.²¹ Its initial mandate was primarily focused on reducing the paperwork burden on the public by reviewing government information collection requests.²⁰

However, OIRA's role significantly expanded with the issuance of Executive Order (EO) 12291 in 1981 by President Ronald Reagan. This order mandated that most federal executive agencies perform a cost-benefit analysis for major rules and submit them to OMB for review, effectively centralizing the regulatory review process within OIRA.¹⁹,¹⁸ This move formalized the office's influence over the substance of agency regulations. Although initially controversial, this centralized review continued through subsequent administrations. President Bill Clinton further refined OIRA's responsibilities and the regulatory review process with Executive Order 12866 in 1993, which remains a foundational authority for OIRA's work today.,¹⁷ This order emphasized regulatory planning and coordination while also aiming to restore integrity and legitimacy to the review process.¹⁶

Key Takeaways

• OIRA is a federal office within the Office of Management and Budget responsible for central regulatory oversight.
• Its functions include reviewing regulations, approving information collections, and coordinating federal information, privacy, and statistical policies.
• OIRA's role in regulatory review was significantly enhanced by Executive Orders 12291 and 12866, requiring agencies to submit significant rules for review.
• The office aims to ensure regulations are consistent with presidential policies and are justified by a reasoned consideration of benefits and costs.
• OIRA's operations emphasize transparency by making information about its regulatory reviews publicly available.

Interpreting the Office of Information and Regulatory Affairs

The Office of Information and Regulatory Affairs (OIRA) serves as a critical checkpoint in the U.S. federal rulemaking process. When agencies develop new regulations or modify existing ones, significant actions are submitted to OIRA for review. This review is not merely a formality; OIRA scrutinizes these actions to ensure they align with the administration's overarching policies and principles, particularly those related to cost-benefit analysis and minimizing unnecessary regulatory burden.

The review process helps to coordinate regulatory efforts across various federal agencies, preventing inconsistent or duplicative policies. OIRA also works to ensure that agencies have adequately considered alternatives to regulation and have conducted thorough analyses of the potential impacts of their rules.¹⁵,¹⁴ While OIRA doesn't write regulations, its ability to return rules for reconsideration or request modifications means it wields substantial influence over the final shape and substance of federal rules.

Hypothetical Example

Imagine the Environmental Protection Agency (EPA) develops a new rule to limit emissions from a specific industrial sector. Before this rule can be formally proposed or finalized, if it's deemed "significant" (e.g., having an economic impact of $200 million or more annually, or materially affecting the economy), it must be submitted to the Office of Information and Regulatory Affairs for review under Executive Order 12866.¹³

OIRA staff would then review the EPA's draft rule, along with its supporting regulatory impact analysis, to assess if the proposed benefits justify the costs and if the rule is consistent with current administration policy. OIRA might engage in discussions with EPA officials, suggesting changes to the rule's scope, analytical methodology, or even its underlying principles to better align with the Executive Order's requirements or broader White House objectives. Only after OIRA clears the rule can the EPA proceed with its publication in the Federal Register for public comment or as a final rule.

Practical Applications

The Office of Information and Regulatory Affairs is primarily involved in government operations and public policy. Its practical applications are seen in several key areas:

• Regulatory Harmonization: OIRA helps to coordinate regulatory efforts across various government departments, preventing conflicting rules and promoting a more cohesive regulatory landscape for industries and citizens. This ensures that a rule from one agency does not inadvertently contradict or undermine the objectives of another.¹²
• Economic Impact Assessment: By reviewing agencies' analyses of regulatory costs and benefits, OIRA pushes for data-driven decisions that consider the broader economic impact of regulations on businesses, consumers, and the overall economy. This includes ensuring agencies consider alternatives and select approaches that maximize net benefits where permitted by law.¹¹
• Paperwork Reduction: Under the Paperwork Reduction Act, OIRA reviews and approves government information collection requests, striving to minimize the burden on the public and businesses while ensuring necessary data is still collected efficiently.¹⁰
• Policy Implementation: OIRA serves as a mechanism for the President to ensure that the regulatory actions of executive branch agencies align with the administration's policy priorities and vision. Information on rules under OIRA review is publicly available through websites like RegInfo.gov.⁹

Limitations and Criticisms

While the Office of Information and Regulatory Affairs is intended to improve the quality and consistency of federal regulations, it has faced various criticisms throughout its history. One significant concern revolves around the potential for political influence to outweigh expert agency judgment during the review process. Critics argue that OIRA, as part of the Executive Office of the President, can be used to delay or alter regulations for political reasons, rather than solely on the merits of their cost-benefit analysis or statutory requirements.⁸,⁷

Another limitation cited is the perceived lack of transparency in some aspects of OIRA's reviews. Although improvements have been made, concerns persist regarding the extent to which OIRA's interactions with outside parties and the specific reasons for modifications or delays to rules are fully disclosed to the public record.⁶,⁵ This lack of complete visibility can lead to questions about accountability. Some critics also suggest that OIRA's emphasis on quantitative economic impact may sometimes undervalue less quantifiable but equally important benefits, such as public health or environmental protections.⁴

Office of Information and Regulatory Affairs vs. Regulatory Review

The Office of Information and Regulatory Affairs (OIRA) is the entity within the U.S. federal government responsible for conducting centralized regulatory review. Regulatory review, in this context, refers to the process by which proposed and final federal regulations are examined and evaluated by a central authority, typically OIRA, before they are published.

The distinction lies in the actor versus the action. OIRA is the office with staff and an administrator, established by law and executive order, tasked with overseeing various aspects of federal information policy and regulatory oversight. Regulatory review is one of OIRA's primary functions, involving the assessment of agencies' draft rules for legal compliance, consistency with presidential policy, and the thoroughness of their supporting analyses. While OIRA performs regulatory review, other forms of regulatory review might occur at different stages or within different government bodies, but OIRA is the central and most influential review body for executive branch regulations.

FAQs

What is the primary purpose of OIRA?

The primary purpose of the Office of Information and Regulatory Affairs (OIRA) is to review executive branch regulations, approve government information collections, and coordinate federal information, privacy, and statistical policies. It ensures that regulations align with presidential priorities and are justified by sound analysis.³

Which Executive Orders govern OIRA's regulatory review?

OIRA's regulatory review process is primarily governed by Executive Order 12866, issued by President Bill Clinton in 1993. This order built upon and superseded earlier mandates, most notably Executive Order 12291 from the Reagan administration, to establish the current framework for centralized regulatory review.

Does OIRA apply to all federal agencies?

OIRA's regulatory review authority under Executive Order 12866 generally applies to "significant" regulatory actions by most federal agencies within the executive branch. However, it traditionally does not apply to independent regulatory agencies, though some recent executive actions have sought to extend oversight to these bodies as well.²

How does OIRA promote transparency?

OIRA promotes transparency by publicly disclosing information about rules under its review. This includes lists of pending and concluded reviews, public meetings held with outside parties regarding specific rules, and often, letters sent to agencies regarding changes requested or rules returned for reconsideration. This information is typically accessible on the RegInfo.gov website.¹