Regulatory Policy
(Mis)Estimating Regulatory Costs
EPA’s cost estimate for its mercury rule was way, way off.
In describing cost-benefit analysis to students, I’ve often told them that the “cost” side of the equation is pretty simple. And it does seem simple: just get some engineers to figure out how industry can comply and run some spreadsheets of the costs. But this seemingly simple calculation turns out to be riddled with uncertainties, …
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CONTINUE READINGSmoothing the Path for Transmission Lines
Fights over who should pay for power lines may become much easier to solve.
New high-power transmission lines have to run a regulatory gauntlet to get approved. One of the biggest barriers, however, isn’t about whether the line can be built but who will pay for it. That has turned out to be a much knottier problem than you might think. A decision by the D.C. Circuit on Friday, …
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CONTINUE READINGDon’t Leave the Public Out of the Public Utilities Commission
California may have denied due process for those questioning PGE’s penalty for starting the Kincade Fire
The Sonoma County District Attorney has been pursuing criminal charges against the Pacific Gas & Electric Company (PG&E) for its role in sparking the 2019 Kincade fire, which reportedly destroyed 374 structures and led to over $600 million in damages. These criminal charges returned to the news today because the District Attorney has asked to …
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CONTINUE READINGWetlands, the Clean Water Act & the Supreme Court: the Sacketts Return to Washington
Justices Grant Review (Again) in the Sacketts’ Longstanding Wetlands Battle With the Government
This week the U.S. Supreme Court agreed to hear the case of Sackett v. USEPA, No. 21-454, an important appeal involving the scope of federal authority to regulate wetlands under the Clean Water Act. If the Sackett litigation sounds familiar, it should: the case has been pending for well over a decade, and this is …
CONTINUE READINGThe Black Box of OIRA
OIRA oversees the whole regulatory state. We probably know more about the inner workings of the CIA.
The Office of Information and Regulatory Affairs (OIRA) oversees government regulation across the federal government. Some portray it as a guardian of rationality, others as biased in favor of industry. Public information about OIRA is so limited that it’s impossible to know one way or the other, due to the veil of secrecy that surrounds …
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CONTINUE READINGDefending EPA’s Authority to Fight Climate Change – at the Supreme Court
Sean Hecht and Ted Lamm co-author amicus brief on behalf of Clean Air Act expert Tom Jorling
This week, Sean Hecht and I filed an amicus brief at the Supreme Court in West Virginia v. EPA in defense of EPA’s authority to effectively regulate greenhouse gas emissions under the Clean Air Act. Our client is Tom Jorling, a former Senate staffer and EPA official who was directly involved in drafting the Act …
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CONTINUE READINGPositive Signs That California’s New Housing Laws Will be Enforced
Recent Actions by California Courts & State Officials Are Encouraging, & Push Back Against Local Government Recalcitrance on the Housing Reform Front
In a recent post, I analyzed the California Legislature’s recent passage and Governor Gavin Newsom’s signing into law of two important bills–SB 9 and SB 10–designed to confront California’s well-documented housing crisis. Those laws represent but the latest chapter in the Legislature’s record-setting enactment of numerous statutes in recent years to incentivize and mandate construction …
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CONTINUE READINGEveryday Christmas: The Gift of the Commons
Clean air. Clean water. We receive these public goods every day without payment
One of the Christmas classics is the Jimmy Stewart movie, It’s a Wonderful Life. George Bailey, Stewart’s character, is despondent about his life but then learns how much he has unknowingly helped others and how grateful they are. It’s heartwarming, if also a bit corny. There’s a flip side to that story: the need to remember …
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CONTINUE READINGMajor Questions About the Major Questions Doctrine
You may not have heard of this doctrine but it’s a big threat to innovative regulations.
Unless you’re deeply immersed in administrative law, you may not have heard of the major questions doctrine. It’s a legal theory that conservative judges have used with increasing rigor to block important regulatory initiatives. The doctrine places special obstacles on agency regulations of issues of “major economic and political significance.” In its initial outing, the …
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CONTINUE READINGCost-Benefit Analysis: FAQs
Cost-benefit analysis has been a key part of the regulatory process since 1980. Here’s how it works.
Cost-benefit analysis is required for all major regulations. It’s also highly controversial, as well as being a mysterious procedure unless you’re an economist. These FAQs will tell you what you need to know about how cost-benefit analysis (CBA) fits into the regulatory process, how it works, and why it’s controversial. Q: Let’s start with a …
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