[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5128 Introduced in House (IH)]

103d CONGRESS
  2d Session
                                H. R. 5128

To strengthen the partnership between the Federal Government and State, 
local, and tribal governments, to end the imposition, in the absence of 
   full consideration by the Congress, of Federal mandates on State, 
local, and tribal governments without adequate funding in a manner that 
may displace other essential governmental priorities, to better assess 
   both costs and benefits of Federal legislation and regulations on 
     State, local, and tribal governments, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 29, 1994

   Mr. Conyers (for himself, Mr. Clinger, Mr. Towns, and Mr. Shays) 
   introduced the following bill; which was referred jointly to the 
             Committees on Government Operations and Rules

_______________________________________________________________________

                                 A BILL


 



To strengthen the partnership between the Federal Government and State, 
local, and tribal governments, to end the imposition, in the absence of 
   full consideration by the Congress, of Federal mandates on State, 
local, and tribal governments without adequate funding in a manner that 
may displace other essential governmental priorities, to better assess 
   both costs and benefits of Federal legislation and regulations on 
     State, local, and tribal governments, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Mandates Relief for State 
and Local Government Act of 1994''.

SEC. 2. PURPOSES.

    (a) The purposes of this Act are--
            (1) to strengthen the partnership between the Federal 
        Government and States, local governments, and tribal 
        governments;
            (2) to end the imposition, in the absence of full 
        consideration by Congress, of Federal mandates on States, local 
        governments, and tribal governments without adequate Federal 
        funding, in a manner that may displace other essential 
        governmental priorities;
            (3) to assist Congress in its consideration of proposed 
        legislation establishing or revising Federal programs 
        containing Federal mandates affecting States, local 
        governments, and tribal governments by--
                    (A) providing for the development of information 
                about the nature and size of mandates in proposed 
                legislation, and
                    (B) establishing a mechanism to bring such 
                information to the attention of House of 
                Representatives and the Senate before the House of 
                Representatives or Senate, respectively, votes on 
                proposed legislation;
            (4) to promote informed and deliberate decisions by 
        Congress on the appropriateness of Federal mandates in any 
        particular instances;
            (5) to require a point-of-order vote on the consideration 
        in the House of Representatives and the Senate of legislation 
        containing significant Federal mandates; and
            (6) to improve the quality of Federal regulations affecting 
        States, local governments, and tribal governments and the 
        process by which such regulations are developed, by--
                    (A) requiring that Federal agencies consult with 
                elected and other officials of States, local 
                governments, and tribal governments when developing 
                regulations; and
                    (B) requiring that Federal agencies prepare and 
                consider better estimates of the budgetary impact of 
                Federal regulatory mandates upon States, local 
                governments, and tribal governments before adopting 
                such regulations, and ensuring that small governments 
                are given special consideration in that process.

SEC. 3. DEFINITIONS.

    For purposes of this Act:
            (1) Federal mandate defined.--The term ``Federal mandate'' 
        means--
                    (A) any provision in a bill or joint resolution 
                before Congress or in a proposed or final Federal 
                regulation that--
                            (i) would impose a duty that is enforceable 
                        by administrative, civil, or criminal penalty 
                        or by injunction (other than a condition of 
                        Federal assistance or a duty arising from 
                        participation in a voluntary Federal program, 
                        except as stated in subparagraph (B)), upon 
                        States, local governments, or tribal 
                        governments, or
                            (ii) would reduce or eliminate the amount 
                        of authorization of Federal financial 
                        assistance that will be provided to States, 
                        local governments, or tribal governments for 
                        the purpose of complying with any such duty; or
                    (B) any provision in a bill or joint resolution 
                before Congress or in a proposed or final Federal 
                regulation that relates to a then-existing Federal 
                program under which $500,000,000 or more is provided 
                annually to States, local governments, and tribal 
                governments under entitlement authority (as that term 
                is defined in section 3(9) of the Congressional Budget 
                Act of 1974 (2 U.S.C. 622(9))), if--
                            (i)(I) the bill or joint resolution or 
                        regulation would increase the stringency of 
                        conditions of assistance to States, local 
                        governments, or tribal governments under the 
                        program, or
                            (II) would place caps upon, or otherwise 
                        decrease, the Federal Government's 
                        responsibility to provide funding to States, 
                        local governments, or tribal governments under 
                        the program; and
                            (ii) the States, local governments, or 
                        tribal governments that participate in the 
                        Federal program lack authority under that 
                        program to amend their financial or 
                        programmatic responsibilities to continue 
                        providing required services that are affected 
                        by the bill or joint resolution or implementing 
                        regulation.
            (2) Direct costs defined.--
                    (A) The term ``direct costs'' means the aggregate 
                estimated amounts that all States, local governments, 
                and tribal governments will be required to spend in 
                order to comply with a Federal mandate, or, in the case 
                of a bill or joint resolution referred to in paragraph 
                (1)(A)(ii), the amount of Federal financial assistance 
                eliminated or reduced.
                    (B) Direct cost shall not include amounts that it 
                is estimated that the States, local governments, and 
                tribal governments would spend--
                            (i) to comply with or carry out all 
                        applicable Federal, State, local, and tribal 
                        laws and regulations adopted before the 
                        adoption of the Federal mandate; or
                            (ii) to continue to carry out State, local 
                        governmental, and tribal governmental programs 
                        established at the time of adoption of the 
                        Federal mandate.
                    (C) Direct costs shall not include expenditures to 
                the extent that they will be offset by any direct 
                savings to be enjoyed by the States, local governments, 
                and tribal governments as a result of--
                            (i) their compliance with the Federal 
                        mandate; or
                            (ii) other changes in Federal law or 
                        regulation that are enacted or adopted in the 
                        same bill or joint resolution or proposed or 
                        final Federal regulation and that govern the 
                        same activity as is affected by the Federal 
                        mandate.
                    (D) Direct costs shall be determined on the 
                assumption that States, local governments, and tribal 
                governments will take all reasonable steps necessary to 
                mitigate the costs resulting from the Federal mandate, 
                and will comply with applicable standards of practice 
                and conduct established by recognized professional or 
                trade associations.
            (4) Amount of federal financial assistance defined.--The 
        amount of ``Federal financial assistance'' means--
                    (A) the amount of budget authority (as defined in 
                section 3(2)(A) of the Congressional Budget Act of 1974 
                (2 U.S.C. 622(2)(A))) of any Federal grant assistance, 
                and
                    (B) the subsidy amount (as defined as ``cost'' in 
                section 502(5) of the Federal Credit Reform Act of 1990 
                (2 U.S.C. 661a(5)(a)) of any Federal program providing 
                loan guarantees or direct loans.
            (5) Other definitions.--
                    (A) Agency defined.--The term ``agency'' has the 
                meaning stated in section 551(1) of title 5, United 
                States Code, but does not include independent 
                regulatory agencies, as defined by section 3502(10) of 
                title 44, United States Code.
                    (B) Director defined.--The term ``Director'' means 
                the Director of the Congressional Budget Office.
                    (C) Local government defined.--The term ``local 
                government'' has the same meaning as in section 6501(6) 
                of title 31, United States Code.
                    (D) Regulation or rule defined.--The term 
                ``regulation'' or ``rule'' has the meaning of ``rule'' 
                as defined in section 601(2) of title 5, United States 
                Code.
                    (E) Small government defined.--The term ``small 
                government'' means any small governmental jurisdiction 
                as defined in section 601(5) of title 5, United States 
                Code, and any tribal government.
                    (F) State defined.--The term ``State'' has the same 
                meaning as in section 6501(9) of title 31, United 
                States Code.

SEC. 4. EXCLUSIONS.

    Anything in this Act to the contrary notwithstanding, this Act 
shall not apply to--
            (1) any provision in a bill or joint resolution before 
        Congress and any provision in a proposed or final Federal 
        regulation that--
                    (A) enforces Constitutional rights of individuals;
                    (B) establishes or enforces any statutory rights 
                that prohibit discrimination on the basis of race, 
                religion, gender, national origin, or handicapped or 
                disability status;
                    (C) requires compliance with accounting and 
                auditing procedures with respect to grants or other 
                money or property provided by the United States 
                Government;
                    (D) provides for emergency assistance or relief at 
                the request of any State, local government, or tribal 
                government or any official of any of them; or
                    (E) is necessary for the national security or the 
                ratification or implementation of international treaty 
                obligations; or
            (2) any legislation that the President designates as 
        emergency legislation and that the Congress so designates in 
        statute.

             TITLE I--LEGISLATIVE ACCOUNTABILITY AND REFORM

SEC. 101. DUTIES OF CONGRESSIONAL COMMITTEES.

    (a) Committee Report.--
            (1) Regarding federal mandates.--When a committee of 
        authorization of the House of Representatives or the Senate 
        reports a bill or joint resolution of public character that 
        includes any Federal mandate, the committee shall issue a 
        report to accompany the bill or joint resolution containing--
                    (A) an analysis, prepared in consultation with the 
                Director, including an identification and description 
                of any Federal mandates in the bill or joint 
                resolution, including the expected direct costs to 
                States, local governments, and tribal governments 
                required to comply with the Federal mandate;
                    (B)(i) a statement of the amount, if any, of 
                increase in authorization of appropriations under 
                existing Federal financial assistance programs, or of 
                authorization of appropriations for new Federal 
                financial assistance, provided by the bill or joint 
                resolution and usable for activities of States, local 
                governments, or tribal governments subject to the 
                Federal mandates; and
                    (ii) a statement of whether the committee intends 
                that the Federal mandates be partly or entirely 
                unfunded, and, if so, the reasons for that intention;
                    (C) a qualitative, and if possible, a quantitative 
                assessment of costs and benefits anticipated from the 
                Federal mandate (such as, but not limited to, the 
                enhancement of health and safety and the protection of 
                the natural environment);
                    (D) any existing sources of Federal assistance in 
                addition to those identified in subparagraph (B)(i) 
                that may assist States, local governments, and tribal 
                governments in meeting the direct costs of the Federal 
                mandates; and
                    (E) an identification of one or more of the 
                following: reductions in authorization of existing 
                appropriations, a reduction in direct spending, or an 
                increase in receipts (consistent with the amount 
                identified in subparagraph (B)(i)).
            (2) Regarding preemption.--When a committee of 
        authorization of the House of Representatives or the Senate 
        reports a bill or joint resolution of public character, the 
        committee report accompanying the bill or joint resolution 
        shall contain, if relevant to the bill or joint resolution, an 
        explicit statement of whether or not the bill or joint 
        resolution is intended to preempt any State, local, or tribal 
        law, and if so, an explanation of the reasons for enacting such 
        preemption.
    (b) Submission of Bills to the Director.--When a committee of 
authorization of the House of Representatives or the Senate reports a 
bill or joint resolution of a public character, the committee shall 
promptly provide the bill or joint resolution to the Director and shall 
identify to the Director any Federal mandates contained in the bill or 
resolution.
    (c) Publication of Statement From the Director.--Upon receiving a 
statement (including any supplemental statement) from the Director 
pursuant to section 102(c), a committee of the House of Representatives 
or the Senate shall publish the statement in the committee report 
accompanying the bill or joint resolution to which the statement 
relates if the statement is available soon enough to be included in the 
printed report. If the statement is not published in the report, or if 
the bill or joint resolution to which the statement relates is expected 
to be considered by the House of Representatives or the Senate before 
the report is published, the committee shall cause the statement, or a 
summary thereof, to be published in the Congressional Record in advance 
of floor consideration of the bill or joint resolution.

SEC. 102. DUTIES OF THE DIRECTOR.

    (a) Studies.--
            (1) As early as practicable in each new Congress, any 
        committee of the House of Representatives or the Senate which 
        anticipates that the committee will consider any proposed 
        legislation establishing, amending, or reauthorizing any 
        Federal program likely to have a significant budgetary impact 
        on States, local governments, or tribal governments, including 
        any legislative proposal submitted by the executive branch 
        likely to have such budgetary impact, shall request that the 
        Director initiate a study of the proposed legislation in order 
        to develop information that may be useful in analyzing the 
        costs of any Federal mandates and of any unfunded Federal 
        mandates that may be included in the proposed legislation.
            (2) In conducting the study under paragraph (1), the 
        Director shall--
                    (A) solicit and consider information or comments 
                from elected officials (including their designated 
                representatives) of States, local governments, tribal 
                governments, and such other persons as may provide 
                helpful information or comments,
                    (B) consider establishing advisory panels of 
                elected officials (including their designated 
                representatives) of States, local governments, tribal 
                governments, and other persons if the Director 
                determines, in his discretion, that such advisory 
                panels would be helpful in performing the Director's 
                responsibilities under this section, and
                    (C) consult with the relevant committees of the 
                House of Representatives and of the Senate.
    (b) Consultation.--The Director shall, at the request of any 
committee of the House of Representatives or of the Senate, consult 
with and assist such committee in analyzing the budgetary impact of any 
proposed legislation that may have a significant budgetary impact on 
State, local, or tribal governments.
    (c) Statements on Nonappropriations Bills and Joint Resolutions.--
            (1) Reported bills and joint resolutions.--For each bill or 
        joint resolution of a public character reported by any 
        committee of authorization of the House of Representatives or 
        of the Senate, the Director shall prepare and submit to the 
        committee a statement as follows:
                    (A) Direct costs below threshold.--If the Director 
                estimates that the direct costs of all Federal mandates 
                in the bill or joint resolution will not equal or 
                exceed $50,000,000 (adjusted annually for inflation by 
                the Consumer Price Index) in the fiscal year in which 
                it (as well as any necessary implementing regulation) 
                is to be effective or in any of the 4 fiscal years 
                following such fiscal year, the Director shall so state 
                and shall briefly explain the basis of the estimate.
                    (B) Direct costs above threshold.--If the Director 
                estimates that the direct costs of all Federal mandates 
                in the bill or joint resolution will equal or exceed 
                $50,000,000 (adjusted annually for inflation by the 
                Consumer Price Index) in the fiscal year in which it 
                (as well as any necessary implementing regulation) is 
                to be effective or in any of the 4 fiscal years 
                following such fiscal year, the Director shall so state 
                and shall briefly explain the basis of the estimate, 
                and--
                            (i) shall include estimates (and shall 
                        briefly explain the basis of the estimates) 
                        of--
                                    (I) the total amount of direct 
                                costs of complying with the Federal 
                                mandates in the bill or joint 
                                resolution; and
                                    (II) the amount, if any, of 
                                increase in authorization of 
                                appropriations under existing Federal 
                                financial assistance programs, or of 
                                authorization of appropriations for new 
                                Federal financial assistance, provided 
                                by the bill or joint resolution and 
                                usable by States, local governments, or 
                                tribal governments for activities 
                                subject to the Federal mandates;
                            (ii) shall also include estimates, if and 
                        to the extent that the Director determines that 
                        such estimates are reasonably feasible, of--
                                    (I) future costs of Federal 
                                mandates to the extent that they 
                                significantly differ from or extend 
                                beyond the time period of the estimate 
                                referred to in the first clause of this 
                                subparagraph (B); and
                                    (II) any disproportionate budgetary 
                                effects of Federal mandates and of any 
                                Federal financial assistance in the 
                                bill or joint resolution upon any 
                                particular regions of the country or 
                                particular States, local governments, 
                                tribal governments, or urban or rural 
                                or other types of communities; and
                            (iii) shall also state any amounts 
                        appropriated in the prior fiscal year to fund 
                        the activities subject to the Federal mandate.
            (2) Amended bills and joint resolutions; conference 
        reports.--If the Director has prepared a statement that 
        includes the determination described in paragraph (1)(B) for a 
        bill or joint resolution, and if that bill or joint resolution 
        is passed in an amended form (including if passed by one House 
        as an amendment in the nature of a substitute for the language 
        of a bill or joint resolution from the other House) or is 
        reported by a committee of conference in an amended form, the 
        committee of conference shall ensure, to the greatest extent 
        practicable, that the Director shall prepare a supplemental 
        statement for the bill or joint resolution. The requirements of 
        section 103 shall not apply to the publication of any 
        supplemental statement prepared under this subsection.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to the Congressional Budget Office to carry out the 
provisions of this Act, and for no other purpose, $2,300,000 for each 
of the fiscal years 1995, 1996, 1997, and 1998.
    (e) Technical Amendment.--The State and Local Cost Estimate Act of 
1981, Public Law 97-108, is hereby repealed.

SEC. 103. POINT OF ORDER.

    (a) In General in the House of Representatives or Senate.--It shall 
not be in order in the House of Representatives or Senate to consider 
any bill or joint resolution that is reported by any committee of 
authorization unless (based upon a ruling of the presiding Officer in 
the case of the Senate)--
            (1) a committee has published a statement of the Director 
        in accordance with section 101(c) prior to such consideration; 
        and
            (2) either--
                    (A) the direct costs of all Federal mandates in the 
                bill or joint resolution are estimated not to equal or 
                exceed $50,000,000 (adjusted annually for inflation by 
                the Consumer Price Index) in the fiscal year in which 
                it (as well as any necessary implementing regulation) 
                is to be effective or in any of the 4 fiscal years 
                following such fiscal year, or
                    (B)(i) the increase in authorization of 
                appropriations under existing Federal financial 
                assistance programs, or of authorization of 
                appropriations for new Federal financial assistance, 
                provided by the bill or joint resolution and usable by 
                States, local governments, or tribal governments for 
                activities subject to the Federal mandates is at least 
                equal to the estimated amount of direct costs of the 
                Federal mandates; and
                    (ii) the committee of jurisdiction has identified 
                in the bill or joint resolution one or more of the 
                following: a reduction in authorization of existing 
                appropriations, a reduction in direct spending, or an 
                increase in receipts (consistent with the amount 
                identified in clause (i).
    (b) Waiver.--
            (1) In general.--Subsection (a) may be waived or suspended 
        in the House of Representatives or Senate only by the 
        affirmative vote of a majority of its Members voting.
            (2) Special rule in the house of representatives.--It shall 
        not be in order in the House of Representatives to consider a 
        rule or order that waives the application of subsection (a) to 
        a bill or joint resolution reported by a committee of 
        authorization.
    (c) Amendment To Raise Authorization Level.--Notwithstanding the 
terms of subsection (a), it shall not be out of order pursuant to this 
section to consider a bill or joint to which an amendment is proposed 
and agreed to that would raise the amount of authorization of 
appropriations to a level sufficient to satisfy the requirements of 
subsections (a)(2)(B) and (a)(2)(C), nor shall it be out of order to 
consider such an amendment.

SEC. 104. ENFORCEMENT IN THE HOUSE OF REPRESENTATIVES.

    (a) Motions To Strike in the Committee of the Whole.--Clause 5 of 
rule XXIII of the Rules of the House of Representatives is amended by 
adding at the end the following:
    ``(c) In the consideration of any measure for amendment in the 
Committee of the Whole containing any Federal mandate (as defined in 
section 3(1) of the Federal Mandate Accountability and Reform Act of 
1994) that does not meet the requirements of sections 103(a)(1) and (2) 
of that Act, it shall always be in order, unless specifically waived by 
terms of a rule governing consideration of that measure, to move to 
strike such Federal mandate.''.
    (b) Committee Reports Regarding Roll Call Votes on Federal 
Mandates.--Clause 2(l)(2) of rule XI of the Rules of the House of 
Representatives is amended by adding at the end the following:
    ``(C) With respect to each rollcall vote on an amendment regarding 
any Federal mandate (as defined in section 3(1) of the Federal Mandate 
and Accountability Act of 1994), the total number of votes cast for, 
and the total number of votes cast against, that amendment and the name 
of each Member voting for and each Member voting against such 
amendment, and whether by proxy or in person, and the names of those 
members present but not voting, shall be included in the committee 
report.''.
    (c) Seven-Day Layover.--Clause 2(l)(6) of rule XI of the Rules of 
the House of Representatives is amended--
            (1) by striking ``(6) A'' and by inserting inserting 
        ``(6)(A) Except as provided by subdivision (B),''
            (2) in its third sentence, by striking ``(A)'' and 
        inserting ``(i)'' and by striking ``(B)'' and inserting 
        ``(ii)''; and
            (3) by adding at the end the following:
    ``(B) A measure or matter reported by any committee that contains 
any Federal mandate (as defined in section 3(1) of the Federal Mandate 
and Accountability Act of 1994) that does not meet the requirements of 
sections 103(a)(1) and (2) of that Act shall not be considered in the 
House until the seventh calendar day, excluding Saturdays, Sundays, and 
legal holidays, on which the report of that committee upon the measure 
or matter has been available to the Members of the House.''.
    (d) Committee on Rules Reports on Waived Points of Order.--Clause 1 
of rule XI of the Rules of the House of Representatives is amended by 
adding at the end the following:
    ``(e) By January 2 of each odd-numbered year, the Committee on 
Rules shall submit to the House a report identifying all waivers of 
points of order relating to Federal mandates (as defined in section 
3(1) of the Federal Mandate Accountability and Reform Act of 1994), 
including an explanation setting forth the following information 
respecting each such waiver:
            ``(1) The bill or joint resolution for which the waiver was 
        granted.
            ``(2) The justification made by the committee requesting 
        the waiver of the need for the waiver.
            ``(3) An explanation of why the Committee on Rules granted 
        the waiver.
            ``(4) The economic impact of that bill or joint resolution 
        on State, local, and tribal governments.''.

SEC. 105. EXERCISE OF RULEMAKING POWERS.

    The provisions of sections 101, 102, 103, and 104 are enacted by 
Congress--
            (1) as an exercise of the rulemaking powers of the House of 
        Representatives and the Senate, and as such they shall be 
        considered as part of the rules of the House of Representatives 
        and the Senate, respectively, and such rules shall supersede 
        other rules only to the extent that they are inconsistent 
        therewith; and
            (2) with full recognition of the constitutional right of 
        the House of Representatives and the Senate to change such 
        rules at any time, in the same manner, and to the same extent 
        as in the case of any other rule of the House of 
        Representatives or the Senate, respectively.

SEC. 106. EFFECTIVE DATE.

    This title shall apply to bills and joint resolutions reported by a 
committee on or after October 1, 1995.

             TITLE II--REGULATORY ACCOUNTABILITY AND REFORM

SEC. 201. REGULATORY PROCESS.

    (a) Each agency shall assess the effects of Federal regulations on 
States, local governments, and tribal governments, including 
specifically the availability of resources to carry out any mandates in 
those regulations, and seek to minimize those burdens that uniquely or 
significantly affect such governmental entities, consistent with 
achieving statutory and regulatory objectives.
    (b) Each agency shall develop an effective process to permit 
elected officials (including their designated representatives) and 
other representatives of States, local governments, and tribal 
governments to provide meaningful and timely input in the development 
of regulatory proposals containing significant Federal mandates. Such a 
process shall be consistent with all applicable laws.
    (c)(1) Before establishing any regulatory requirements that might 
significantly or uniquely affect small governments, agencies shall have 
developed a plan under which the agency shall--
            (A) provide notice of the contemplated requirements to any 
        potentially affected small governments,
            (B) seek the views of, and consult with, officials of 
        affected small governments pursuant to subsection (b), and
            (C) inform, educate, and advise small governments on 
        compliance with the requirements.
    (2) There are hereby authorized to be appropriated to each agency 
to carry out the provisions of this section, and for no other purpose, 
such sums as are necessary.

SEC. 202. STATEMENTS TO ACCOMPANY SIGNIFICANT REGULATORY ACTIONS.

    (a) In General.--Before promulgating any final rule that includes 
any Federal mandates upon States, local governments, or tribal 
governments that may result in the expenditures by States, local 
governments, or tribal governments, in the aggregate, of $100,000,000 
or more (annually adjusted by the Consumer Price Index) in any one 
year, and before promulgating any general notice of proposed rulemaking 
that is likely to result in promulgation of any such rule, the agency 
shall prepare a written statement containing--
            (1) estimates by the agency, including the underlying 
        analysis, of the anticipated costs to States, local 
        governments, and tribal governments of complying with the 
        mandate, and of the extent to which such costs may be paid with 
        funds provided by the Federal Government or otherwise paid 
        through Federal financial assistance;
            (2) estimates by the agency, if and to the extent that the 
        agency determines that such estimates are reasonably feasible, 
        of--
                    (A) the costs of mandates in the regulation that 
                will be borne in various future time periods; and
                    (B) any disproportionate budgetary effects of the 
                mandates upon any particular regions of the country or 
                particular States, local governments, tribal 
                governments, or rural or other types of communities;
            (3) a qualitative, and if possible, a quantative assessment 
        of costs and benefits anticipated from the Federal mandate 
        (such as, but not limited to, the enhancement of health and 
        safety and the protection of the natural environment); and
            (4)(A) a description of the extent of the agency's prior 
        consultation with elected representatives (including their 
        designated representatives) of the affected States, local 
        governments, and tribal governments and of other affected 
        parties, (B) a summary of the comments and concerns that were 
        presented by States, local governments, or tribal governments 
        either orally or in writing to the agency, (C) a summary of the 
        agency's evaluation of those comments and concerns, and (D) the 
        agency's position supporting the need to issue the regulation 
        containing the mandate (considering, among other things, the 
        extent to which costs may or may not be paid with funds 
        provided by the Federal Government).
    (b) Promulgation.--In promulgating a general notice of proposed 
rulemaking or a final rule for which a statement under subsection (a) 
is required, the agency shall include in the promulgation a summary of 
the information contained in the statement.
    (c) Preparation in Conjunction With Other Statement.--Any agency 
may prepare any statement required by subsection (a) in conjunction 
with or as a part of any other statement or analysis, provided that the 
statement or analysis satisfies the provisions of subsection (a).

SEC. 203. ASSISTANCE TO THE CONGRESSIONAL BUDGET OFFICE.

    (a) The Director of the Office of Management and Budget shall 
collect from agencies the statements prepared under section 202 and 
provide copies of them to the Director of the Congressional Budget 
Office promptly after promulgation of the general notice of proposed 
rulemaking or of the final rule for which the statement was prepared.
    (b) Each agency shall provide to the Director of the Congressional 
Budget Office such information and assistance as he may reasonably 
request to assist him in performing his responsibilities under this 
Act.

SEC. 204. PILOT PROGRAM ON SMALL GOVERNMENT FLEXIBILITY.

    (a) The Director of the Office of Management and Budget, in 
consultation with Federal agencies, shall establish pilot programs in 
at least 2 agencies to test innovative, and more flexible regulatory 
approaches that--
            (1) reduce reporting and compliance burdens on small 
        governments; and
            (2) meet overall statutory goals and objectives.
    (b) The pilot program shall focus on rules in effect or proposed 
rules, or a combination thereof.

                       TITLE III--JUDICIAL REVIEW

SEC. 301. JUDICIAL REVIEW.

    Any statement or report prepared under this Act, any compliance or 
noncompliance with the provisions of this Act, and any determination 
concerning the applicability of the provisions of this act shall not be 
subject to judicial review. The provisions of this Act shall not create 
any right or benefit, substantive or procedural, enforceable by any 
person in any administrative or judicial action. No ruling or 
determination under this act shall be considered by any court in 
determining the intent of Congress or for any other purpose.

                        TITLE IV--BASELINE STUDY

SEC. 401. BASELINE STUDY OF COSTS AND BENEFITS.

    (a) No later than 6 months after the date of enactment of this Act, 
the Director of the Bureau of the Census, in consultation with the 
Director, shall begin a study to examine the measurement and definition 
issues involved in calculating the total costs and benefits to States, 
local governments, and tribal governments of compliance with Federal 
law. The study shall consider the feasibility of measuring indirect 
costs and benefits as well as direct costs and benefits of the Federal, 
State, local, and tribal relationship. The study shall consider how to 
measure both the direct and indirect benefits of Federal financial 
assistance and tax benefits to States, local governments, and tribal 
governments.
    (b) There are authorized to be appropriated to the Bureau of the 
Census to carry out the purposes of this title, $1,000,000 for fiscal 
year 1995 and $1,000,000 for fiscal year 1996.

 TITLE V--LIMITATION ON IMPLEMENTATION OF FEDERAL MANDATES; REVIEW AND 
   MONITORING OF UNFUNDED FEDERAL MANDATES AND IMPLEMENTATION OF ACT

SEC. 501. SHORT TITLE.

    This title may be cited as the ``Federal Mandate and Community 
Assistance Reform Act''.

SEC. 502. REPORT ON UNFUNDED FEDERAL MANDATES BY ADVISORY COMMISSION ON 
              INTERGOVERNMENTAL RELATIONS.

    (a) In General.--The Advisory Commission on Intergovernmental 
Relations shall in accordance with this section--
            (1) investigate and review on a regular basis the role of 
        unfunded Federal mandates in intergovernmental relations and 
        their impact on local, State, and Federal government objectives 
        and responsibilities; and
            (2) study and make recommendations to the President and the 
        Congress regarding--
                    (A) a process by which State and local governments 
                can participate in meeting national domestic objectives 
                without the burden created by unfunded Federal 
                mandates, including recommendations for funding the 
                Federal mandates imposed after the date of the 
                enactment of this Act on State and local governments;
                    (B) allowing flexibility for State and local 
                governments in complying with specific unfunded Federal 
                mandates for which terms of compliance are 
                unnecessarily rigid or complex;
                    (C) reconciling any 2 or more unfunded Federal 
                mandates which impose contradictory or inconsistent 
                requirements;
                    (D) terminating unfunded Federal mandates which are 
                duplicative, obsolete, or lacking in practical utility;
                    (E) suspending, on a temporary basis, unfunded 
                Federal mandates which are not vital to public health 
                and safety and which compound the fiscal difficulties 
                of State and local governments, including 
                recommendations for triggering such suspension;
                    (F) consolidating or simplifying unfunded Federal 
                mandates, or the planning or reporting requirements of 
                such mandates, in order to reduce duplication and 
                facilitate compliance by State and local governments 
                with those mandates; and
                    (G) establishing common Federal definitions or 
                standards to be used by State and local governments in 
                complying with unfunded Federal mandates that use 
                different definitions or standards for the same terms 
                or principles.
Each recommendation under paragraph (2) shall, to the extent 
practicable, identify the specific unfunded Federal mandate to which 
the recommendation applies.
    (b) Criteria.--
            (1) In general.--The Advisory Commission shall establish 
        criteria for making recommendations under subsection (a).
            (2) Issuance of proposed criteria.--The Advisory Commission 
        shall issue proposed criteria under this subsection not later 
        than 45 days after the date of the enactment of this Act, and 
        thereafter provide a period of 30 days for submission by the 
        public of comments on the proposed criteria.
            (3) Final criteria.--Not later than 45 days after the date 
        of issuance of proposed criteria, the Advisory Commission 
        shall--
                    (A) consider comments on the proposed criteria 
                received under paragraph (2);
                    (B) adopt and incorporate in final criteria any 
                recommendations submitted in those comments that the 
                Advisory Commission determines will aid the Advisory 
                Commission in carrying out its duties under this 
                section; and
                    (C) issue final criteria under this subsection.
    (c) Preliminary Report.--
            (1) In general.--Not later than 9 months after the date of 
        the enactment of this Act, the Advisory Commission shall--
                    (A) prepare and publish a preliminary report on its 
                activities under this title, including preliminary 
                recommendations pursuant to subsection (a);
                    (B) publish in the Federal Register a notice of 
                availability of the preliminary report; and
                    (C) provide copies of the preliminary report to the 
                public upon request.
            (2) Public hearings.--The Advisory Commission shall hold 
        public hearings on the preliminary recommendations contained in 
        the preliminary report of the Advisory Commission under this 
        subsection.
    (d) Final Report.--Not later than 3 months after the date of the 
publication of the preliminary report under subsection (c), the 
Advisory Commission shall submit to the Congress, including the ranking 
minority party member of each of the Committee on Government Operations 
of the House of Representatives and the Committee on Governmental 
Affairs of the Senate, and the President a final report on the 
findings, conclusions, and recommendations of the Advisory Commission 
under this section.

SEC. 503. MONITORING IMPLEMENTATION OF ACT.

    (a) In General.--The Advisory Commission shall monitor and evaluate 
the implementation of this Act, including by conducting such hearings, 
and consulting with such Federal, State, local, and tribal governments, 
as the Advisory Commission considers appropriate for obtaining 
information and views about the purpose, implementation, and results of 
this Act.
    (b) Biennial Report.--The Advisory Commission shall submit a report 
to the President and the Congress every 2 years which--
            (1) presents the findings of the Advisory Commission under 
        subsection (a); and
            (2) presents recommendations for improving the 
        implementation of this Act, including regarding any need for 
        amending this Act.

SEC. 504. SPECIAL AUTHORITIES OF ADVISORY COMMISSION.

    (a) Experts and Consultants.--For purposes of carrying out this 
title, the Advisory Commission may procure temporary and intermittent 
services of experts or consultants under section 3109(b) of title 5, 
United States Code.
    (b) Detail of Staff of Federal Agencies.--Upon request of the 
Executive Director of the Advisory Commission, the head of any Federal 
department or agency may detail, on a reimbursable basis, any of the 
personnel of that department or agency to the Advisory Commission to 
assist it in carrying out this title.
    (c) Contract Authority.--The Advisory Commission may, subject to 
appropriations, contract with and compensate government and private 
agencies or persons for property and services used to carry out its 
duties under this title.

SEC. 505. DEFINITIONS.

    In this title:
            (1) Advisory commission.--The term ``Advisory Commission'' 
        means the Advisory Commission on Intergovernmental Relations.
            (2) Federal mandate.--The term ``Federal mandate''--
                    (A) subject to subparagraph (B), means a 
                requirement under Federal statute or regulation that a 
                State or local government, or both, undertake an 
                activity or provide a service; and
                    (B) does not include any Federal statute or 
                regulation that--
                            (i) enforces the constitutional rights of 
                        individuals, or
                            (ii) establishes or enforces any statutory 
                        prohibition against discrimination on the basis 
                        of race, religion, gender, national origin, 
                        age, or handicapped or disability status.
            (3) Unfunded federal mandate.--The term ``unfunded Federal 
        mandate'' means--
                    (A) a Federal mandate other than one that relates 
                to a program described in subparagraph (B)(i), and--
                            (i) which requires that a State or local 
                        government, or both, undertake an activity or 
                        provide a service; and
                            (ii) for which the Federal Government does 
                        not provide sufficient funds to undertake such 
                        activity or provide such service; or
                    (B) a Federal mandate--
                            (i) that relates to a Federal program under 
                        which $500,000,000 or more is provided annually 
                        to State and local governments under 
                        entitlement authority (as defined in section 
                        622(9) of title 2, United States Code),
                            (ii) which requires that a State or local 
                        government, or both, undertake an activity or 
                        provide a service; and
                            (iii)(I) with respect to which the failure 
                        to undertake such activity or provide such 
                        service would result in a reduction of Federal 
                        financial or technical assistance to the State 
                        or local government; or
                            (II) would impose costs on a State or local 
                        government that exceed the amount of Federal 
                        financial assistance provided to the State or 
                        local government under the program.

SEC. 506. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to the Advisory 
Commission--
            (1) to carry out section 502, $500,000; and
            (2) to carry out section 503, $200,000 for each of fiscal 
        years 1995, 1996, 1997, 1998, and 1999.

                     TITLE VI--PRIVATE SECTOR COSTS

SEC. 601. SHORT TITLE.

    This title may be cited as the ``Private Sector Legislative 
Analysis Act of 1994''.

SEC. 602. DEFINITIONS.

    In this title--
            (1) the term ``private sector'' means individuals, 
        business, labor and employment, agriculture, and nonprofit 
        organizations; and
            (2) the term ``economic impact'' means the economic cost or 
        benefit to the private sector and to the general public.

SEC. 603. ACTION BY THE MAJORITY AND MINORITY LEADERS.

    (a) At the beginning of each Congress, the majority leader of the 
Senate, in cooperation of the minority leader of the Senate, and the 
Speaker of the House of Representatives, in cooperation with the 
minority leader of the House of Representatives, shall each prepare a 
list of major legislative proposals (including those that could be 
submitted by an agency or official in the executive branch) that the 
majority leader or Speaker, respectively, believes--
            (1) are likely to have a significant economic impact; and
            (2) are likely to be considered in that House in that 
        Congress.
    (b) In preparing the list required by subsection (a), the majority 
leader of the Senate, the Speaker of the House of Representatives, and 
the minority leader of each of the Senate and House shall consult with 
the chairmen and ranking minority party Members of the committees of 
that House that are expected to have jurisdiction over legislative 
proposals included in the list, and with the Director. The majority 
leader of the Senate, the Speaker, and the minority leaders shall also 
consider the availability of resources for the Congressional Budget 
Office in determining how many legislative proposals should be included 
in the list.
    (c) The majority leader of the Senate, the Speaker of the House of 
Representatives, and the minority leaders of the Senate and House may 
also include in the list required by subsection (a) any legislative 
topics or areas of interest that meet the criteria set forth in 
subsection (a)(1) and (2), but for which no specific legislative 
proposals have been drafted.
    (d) No later than the end of the 30-day period beginning on the 
first day of each Congress, the majority leader of the Senate and the 
Speaker of the House of Representatives shall each submit to the 
Director a list prepared in accordance with subsection (a). Before the 
adjournment sine die of the 1st session of each Congress, the majority 
leader and minority leader of the Senate and the Speaker and minority 
leader of the House of Representatives shall review the list prepared 
under subsection (a) for that Congress and decide whether to add 
proposals to, or delete proposals from, that list, or modify proposals 
in that list.

SEC. 604. DUTIES OF THE DIRECTOR.

    (a) Upon receiving a list submitted under section 603(d), the 
Director shall initiate a study of each of the major legislative 
proposals, legislative topics, and areas of interest in the list for 
the purposes of studying and estimating its economic impact. The 
objectives of each study shall be to determine an estimate, or range of 
estimates, of the economic impact of the proposal, topic, or area, 
including--
            (1) labor market and employment impacts;
            (2) costs and benefits to the private sector and the 
        general public; and
            (3) in consultation with relevant Federal agencies, a 
        qualitative, and if possible, a quantitative assessment of 
        costs and benefits to human health, safety, and the natural 
        environment.
    (b) As part of each study under subsection (a), the Director shall 
also evaluate and compare congressional committee and Federal agency 
estimates of the impact of a legislative proposal, topic, or area.
    (c) If the Director determines that he or she cannot determine a 
reliable estimate, or range of estimates, under subsection (a), the 
Director shall so state, with explanation, and shall include in the 
study the preliminary analysis upon which the Director based that 
determination.
    (d) The Director shall seek to coordinate completion of studies 
under this section with expected congressional committee action on 
related legislation.

SEC. 605. POINT OF ORDER.

    It shall not be in order in the House of Representatives or the 
Senate to consider any bill or joint resolution that is included on the 
list required by section 603 of this Act for that Congress if that bill 
or joint resolution is reported by any committee of authorization 
unless that committee or the Director has published a study by the 
Director required by section 604, or if such study has not been 
completed, an explanatory statement setting forth reasons why such 
study has not yet been completed.
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