Regulatory Reform
Presidential Executive Orders
-
January 20, 2025 (W.H. Link) - The memorandum orders a freeze on hiring Federal civilian employees throughout the executive branch as of noon on January 20, 2025. Vacant positions may not be filled, and new positions cannot be created, except as specified in the memorandum or applicable law. Exceptions include military personnel, roles related to immigration enforcement, national security, public safety, and positions necessary for providing Social Security, Medicare, or Veterans’ benefits.
The Director of the Office of Personnel Management (OPM) may grant exemptions, and within 90 days, the Director of the Office of Management and Budget (OMB), in consultation with OPM and USDS, must submit a plan to reduce the Federal workforce through efficiency and attrition. The freeze will expire upon the issuance of this plan, except for the IRS, where it remains in effect until lifted by the Treasury Secretary in consultation with OMB and USDS.
Contracting to bypass the freeze is prohibited. Departments must reallocate resources efficiently to maintain essential services and national security. The freeze does not apply to Presidential or Senate-confirmed appointments, certain non-career roles, or hiring under temporary authority where required by law. Collective bargaining agreements in effect remain unaffected.
-
January 20, 2025 (W.H. Link) - The memorandum directs all executive departments and agencies to pause regulatory actions and review rules under the oversight of leadership appointed after January 20, 2025. Key provisions include:
Rule Review: No new rules can be proposed or issued, and no rules can proceed to the Office of the Federal Register (OFR) without review and approval by agency heads or their designees. The Office of Management and Budget (OMB) Director may exempt rules needed for emergencies or urgent circumstances.
Rule Withdrawal: Rules sent to the OFR but not yet published must be withdrawn for review, subject to exceptions for urgent cases.
Effective Date Postponement: Agencies should consider delaying the effective dates of rules not yet in effect by 60 days for review of factual, legal, or policy concerns. During this period, public comments may be solicited, and further delays may be considered if necessary.
Further Actions: After the review, rules without substantial issues may proceed, while rules with significant concerns require further action in consultation with the OMB Director.
Regulatory Management Compliance: Agencies must adhere to applicable Executive Orders on regulatory processes.
-
January 20, 2025 (W.H. Link) - This Executive Order establishes the Department of Government Efficiency (DOGE) to implement the President’s DOGE Agenda, focusing on modernizing federal technology, software, and information systems to maximize government efficiency and productivity. The United States Digital Service (USDS) is renamed the United States DOGE Service and placed under the Executive Office of the President. A temporary organization, the U.S. DOGE Service Temporary Organization, is created within USDS to advance the 18-month DOGE Agenda, set to terminate on July 4, 2026. Each federal agency is required to establish a DOGE Team, consisting of a lead, an engineer, a human resources specialist, and an attorney, to coordinate with USDS and advise agency heads on implementation.
The USDS Administrator will lead a Software Modernization Initiative to improve federal software, network infrastructure, and IT systems, prioritizing interoperability, data integrity, and responsible data collection across agencies. Agency heads are directed to grant USDS full and prompt access to unclassified records and systems, ensuring adherence to rigorous data protection standards. The order overrides prior executive orders and regulations that may hinder USDS access to necessary systems and records. The USDS Administrator reports to the White House Chief of Staff, ensuring centralized coordination of modernization efforts across government.
-
January 20, 2025 (W.H. Link) - The order asserts that the previous administration implemented unpopular and harmful practices, including embedding "diversity, equity, and inclusion" (DEI) into Federal institutions, which it claims undermines merit and equality. It criticizes open border policies for straining resources and climate policies for driving inflation and overregulation. Relevant executive orders revoked include:
Executive Order 13992 of January 20, 2021 (Revocation of Certain Executive Orders Concerning Federal Regulation).
Executive Order 14094 of April 6, 2023 (Modernizing Regulatory Review).
The order mandates the immediate termination of Federal implementation of "unlawful and radical DEI ideology" by agency heads (SEE RELATED EXECUTIVE ORDER). It further directs the Directors of the Domestic Policy Council (DPC) and National Economic Council (NEC) to review actions taken under previous administration directives, recommending within 45 days which should be rescinded, replaced, or amended to "enhance American prosperity." Additionally, the National Security Advisor (NSA) must review all National Security Memoranda (NSMs) issued between January 20, 2021, and January 20, 2025, to identify any harm to national security, domestic resilience, or American values, and provide recommendations for rescission within the same timeframe.
-
January 31, 2025 (W.H. Link - coming soon) - The order seeks to significantly reduce federal regulatory burdens and costs by requiring agencies to eliminate at least ten existing regulations for each new regulation introduced.
Regulatory Cap for Fiscal Year 2025
Agencies must identify at least ten existing regulations for repeal when proposing a new regulation.
The total incremental cost of new regulations must be less than zero, meaning the financial burden on businesses and individuals should be reduced.
Annual Regulatory Cost Submissions
Starting in Fiscal Year 2026, agencies must submit reports on cost-saving measures associated with new regulations and repealed regulations.
All regulatory changes must be approved by the OMB Director and included in the Unified Regulatory Agenda unless legally required otherwise.
Agencies will be given a total incremental cost allowance, meaning they cannot impose regulatory costs beyond a specified limit unless approved by the OMB.
Implementation Measures
The OMB Director will develop guidelines for the "ten-for-one" rule, regulatory cost calculations, and exemptions.
The OMB Circular No. A-4 (2023) is revoked, reverting to its 2003 version.
A 2018 Memorandum of Agreement between the Department of the Treasury and the OMB regarding tax regulations is reinstated.
Key Takeaways
Massive deregulation: 10 old regulations must be removed for each new one.
Cost control: New regulations must reduce overall regulatory costs.
OMB oversight: No regulation can be issued without the OMB Director's approval.
Exemptions: National security and internal management rules are excluded.
Reinstatement of previous regulatory frameworks: Returning to older versions of regulatory analysis methods.
This order represents a significant shift toward deregulation and cost-cutting, enforcing strict rules to prevent new regulatory burdens while aggressively eliminating existing ones.