For Finance chiefs who are tired of the compliance headaches associated with federal regs, President Trump’s latest move will likely come as a welcome relief.
Trump recently signed an Executive Order to place “regulatory reform” task forces and officers within federal agencies. The goal of these task forces: To look at current regs and roll back those that are deemed unnecessary.
Specifically, the order directs every federal agency (such as the DOL and IRS) to establish a task force to research all current regulations and make suggestions on eliminating or amending the regs that are determined to be burdensome for the U.S. economy.
The order also calls for regulatory reform officers to be designated within 60 days. These officers are then expected to report their progress within 90 days.
‘75% of all regs unnecessary’
According to Trump, the U.S. doesn’t need “75 percent of the repetitive, horrible regulations that hurt companies, hurt jobs.”
In explaining the need for the order, Trump said:
“Excessive regulation is killing jobs, driving companies out of our country like never before. Every regulation should have to pass a simple test; does it make life better or safer for American workers or consumers.”
Not the first reg-related order
This isn’t Trump’s first executive order to scale back federal regs. Earlier this year, he issued an order directing any executive department or federal agency to identify at least two existing regulations for repeal for every new regulation the department or agency wishes to enact – with certain exceptions (regs with a military, national security or foreign affairs function of the United States).
The order also asks that the costs of all new regulations put forth in 2017 be offset by the elimination of existing regulations.
The goal of the order is to promote financial responsibility in the expenditure of funds from both public and private sources.