The former Office of Information and Regulatory Affairs (OIRA) recently said an executive order issued by President Barack Obama that was designed to “cut red tape” has added $10.2 billion in regulatory costs to the economy, according to a new report.
Tuesday was the third anniversary of Executive Order 13563, prompting the American Action Forum to examine the effects of the order. It was intended to reduce “redundant, inconsistent, or overlapping” regulations.
Howeve, Sam Bratkins, director of regulatory policy at American Action Forum, found that the action was hardly unique and has had the opposite effect of its intended purpose.
As Batkins put it, “Has Washington actually cut red tape? On net, final rules from Order 13563 have added more than $10.2 billion in costs, mostly from new regulations labeled as ‘retrospective,’” Batkins said. “Final rules have cut 7.9 million hours of paperwork, but Dodd-Frank and the Affordable Care Act have easily outpaced those deregulatory gains.”
What are the dire consequences to taxpayers?
The “deregulatory measures” resulting from the executive order actually add over $10 billion in costs to the economy. For example, a final rule imposing energy standards for transformers carries a $5.22 billion cost to comply and 58,320 hours of paperwork.
Taken with the proposed regulations under the executive order, the total burden to the economy would reach $13.7 billion.
Wasn’t it President Obama who promised that the order would reduce paperwork in a January 2011 Wall Street Journal editorial?
Do we hear anything about this is the mainstream media?
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