Report finds that EPA & FCC regulations are costing Americans big time

Every major government agency is responsible for setting regulations that often times cause Americans and American businesses to incur unnecessary costs. But two federal agencies stand out about the rest for their regulatory might: the Environmental Protection Agency (EPA) and the Federal Communications Commission (FCC).

Between the EPA and the FCC, government regulations are costing Americans close to the tune of $495 billion, according to a new report from the Competitive Enterprise Institute (CEI). CEI ranks the EPA as by far the most costly rulemaking agencies at $353 billion. The the Department of Health and Human Services comes in second with $184 billion, and the FCC in third with $142 billion.

The term for these monetary mishaps is “compliance costs.” It refers to the time or money it takes to comply with government regulations. For example, to comply with environmental regulations, businesses often have to spend money and time to ‘go green.’ That often hampers innovation and drives up prices for consumers.

The EPA is historically one of the most active regulatory agencies. According to CEI’s report, “Title 40 of the Code of Federal Regulations, which covers environmental protection, has at least 88,852 specific regulatory restrictions.”

The EPA recently passed one of the most expensive regulations in history. The MACT rule, designed to lower emissions from coal fire plants, has an estimated annual cost of $9.6 billion. That’s more than the total compliance costs wrought by the U.S. Department of Agriculture.

The FCC has similar problems.

Lack of a mechanism for effectively evaluating regulations leads to a constantly expanding number of regulations. This means, according to the report, that “the FCC’s total regulatory burden tends to increase from year to year.” Between 2000 and 2012, the cumulative number of FCC rules has grown more than five-fold, from less than 500 to slightly more than 2,500.

There are also “economically significant” regulation issues that impose at least $100 million in economic impact in a given year. “Net neutrality” policies and possible restrictions on “wireless spectrum auctions” are two of the FCC’s most damaging regulations, the report says.

Calculating compliance costs is not easy, though, nor are the numbers accurate down to the dollar. Ryan Young, the report’s author relates a maxim, “All regulatory estimates are wrong.”

In fact, very little research has been done to analyze agencies on this topic. But Young is hopeful his report will get start a discussion with the EPA, FCC, and other analysts. “If all these estimates are wrong,” he says, “then somebody give me the numbers that are right.”

While Washington’s eyes are trained on the coming sequester deadline, Young and his colleagues will continue to look into the cost of government agencies. Next they’ll be digging into the HHS, which is responsible for the implementation of Obamacare – a policy expected to significantly increase heath related compliance costs.

Comments

4 Responses to “Report finds that EPA & FCC regulations are costing Americans big time”

  1. Roger Mitchell says:

    The EPA was about the dumbest idea Richard Nixon ever had I really by todays standards see no problem with water gate compared to the level of deceit of what we now have in power But the EPA and the DEA are 2 agencies that need to be put on a little shorter chain. The crap the EPA comes up with is just crazy . Like the little fart last yr said we will be like the Romans we walk in to a village take a few heads and stick them up on poles to get the others attentions that entire agency is corrupt.. and out of control I myself have know DEA agents to sell weed that never made it to impound and they lived a little above their Paychecks also just saying.. But Sequestration is a good idea and should start right here then the IRS HLS and about 50 others need to be chained up.. The FCC is a total waste of money.. the way they started to strong arm ans extor their power into local T.V stations 40 yrs ago to get their points across and PBS is a total waste and would be far better if privatized if there is a market . And Big Bird could help pay for the operating cost out of his billions of profits . Not to mention the 180K a yrs the person in the feathers gets paid a yr..

  2. Sam says:

    Yes and without the EPA industry would go back to destroying our water supply and polluting the air. Want to know what it would be like without the EPA? Google “air pollution in China”

    The only people complaining about the EPA are those who are forced to regulate the pollution out what they produce. The EPA may not be perfect but without it we would all fall victim to corporate voracity for profit.

    Capitalism without regulation promotes greed.

    • Claudia Joanne Renshaw says:

      I posted this before, but have not seen it, so I am redoing.
      It is just a fact that there are too many people who cannot be trusted. Yahoo’s reasons for ending telecommuting by employees is a prime example of why people must be controlled and have eyes-on supervision. When people are “let loose” they will usually “let loose”. So, that is why we are all held responsible when too many people break the trust. It is why when too many gun owners kill other human beings, all gun owners must be held responsible; thus new laws enacted and enforced. It is why when some corporations become greedy and reckless with others’ resources (money, environment, jobs and welfare), all corporations must be held responsible; thus government regulations to protect the public interests.
      The “sequestration” will potentially cause the quality of our food to be affected (so it is being reported). Why? Because if the FDA budget is cut, inspections will decrease and when the FDA is not looking, food producers will cheat.
      I remember when there was no EPA. The air and water quality in my area was putrid from the manufacturing plants. The number of eagles, some hawks, and many other birds was diminishing because of chemicals that were killing them and causing the egg shells to be too thin to sustain the chicks.
      Profits, freedoms, clean environment, etc., require personal responsibility from EVERYONE. When too many step out of line and threaten the life and freedoms of too many others, then CIVILIZATION requires that EVERYONE must abide by rules and laws.
      …even Popes are not immune.

  3. Claudia Joanne Renshaw says:

    It is just a fact that there are too many people who cannot be trusted. Yahoo’s reasons for ending telecommuting by employees is a prime example of why people must be controlled and have eyes-on supervision. When people are “let loose” they will usually “let loose”. So, that is why we are all held responsible when too many people break the trust. It is why when too many gun owners kill other human beings, all gun owners must be held responsible; thus new laws enacted and enforced. It is why when some corporations become greedy and reckless with others’ resources (money, environment, jobs and welfare), all corporations must be held responsible; thus government regulations to protect the public interests.
    The “sequestration” will potentially cause the quality of our food to be affected (so it is being reported). Why? Because if the FDA budget is cut, inspections will decrease and when the FDA is not looking, food producers will cheat.
    Sam, you are absolutely correct. I remember when there was no EPA. The air and water quality in my area was putrid from the manufacturing plants. The number of eagles, some hawks, and many other birds was diminishing because of chemicals that were killing them and causing the egg shells to be too thin to sustain the chicks.
    Profits, freedoms, clean environment, etc., require personal responsibility from EVERYONE. When too many step out of line and threaten the life and freedoms of too many others, then CIVILIZATION requires that EVERYONE must abide by rules and laws.

Leave a Reply

Helen Mirren is absolutely 'anti-gun'
Well, you can add actress Helen Mirren’s name to the list of celebrities who love to shoot ‘em up on screen and rant about gun control off screen. Mirren gave a wide-ranging interview to Yahoo! Movies Monday where she spoke about everything from her love of Vin Diesel to her laundry style to her opinion […]
Tom Cotton objects to his SNL parody

Sen. Tom Cotton (R-Ark.) had a problem with SNL’s spoof of him—but only because the actor selected to portray him was too short.

Maher tells PC liberals 'shut the f up'

Bill Maher's politics are not always the greatest. But when it comes to knocking down the liberal PC brigade, he is on point like no other.

SNL parodies Starbucks' race campaign

What if another company--say, Pep Boys (or Girls! Or Whatever!)--took on their own campaign to talk about gender and sexual identity?

SNL's "The Rock" Obama goes beast-mode

Dwayne Johnson hosted SNL last night, so naturally he had to play a muscled-up Obama, who can finally do all the things he really wants—like throw John Boehner through a window and rip of Tom Cotton’s hand.

White House

Carly Fiorina says there’s a ‘higher than 90 percent chance’ she’s running for president

Carly Fiorina’s 2016 campaign is all but certain now—and she’s making no secret as to whom she’ll be targeting.

White House promises not to use legal loophole to keep NSA spying alive if Patriot Act expires
If the Patriot Act expires, it will stop the National Security Agency’s bulk spying too. The Obama administration promised this week that it will not take advantage of a legal loophole to keep the NSA spying alive unless Congress re-authorizes the Patriot Act, Reuters reported. Section 215 of the Patriot Act, which authorizes the NSA to collect data on […]
In honor of National Puppy Day, here are the top 10 cutest presidential puppies

Today is National Puppy Day! To celebrate, we give you the top ten cutest puppies to grace the White House Lawn.

Obama: ‘By hook or by crook’ I’ll push my agenda through
This is probably not the smartest phrasing to use. President Obama had an interview with Huffington Post over the weekend and while much of the interview was his oft-repeated lines about how Republicans are the reason nothing is getting done in Washington, he added a new phrase about his legacy that is bound to raise […]
Obama tells Prince Charles that Americans like the royal family better than their own politicians

President Obama has admitted what we all already knew: Americans far prefer the Duchess of Cambridge to Michelle.

Congress

Harry Reid doesn't care that he lied about Romney
Senate Minority Leader Harry Reid (D-Nev.) might have some regrets about his more than 30 years in Congress, but his baldfaced lies on the Senate floor about former presidential candidate Mitt Romney are not among them. Back in 2012, Reid accused Romney of not paying any taxes at all for the past 10 years without […]
Sen. Harry Reid will not seek re-election
WASHINGTON (AP) — Senate Democratic Leader Harry Reid, the wily Nevadan who dominated the Senate for a decade from the minority to the majority and back again, announced Friday he will retire after five terms. Reid, 75, who shepherded key Obama administration initiatives including the president’s health care law, lost his role as majority leader — […]
Schock: Lincoln faced challenges too
Embattled Rep. Aaron Schock (R- Ill.) gave his farewell speech on the House floor Thursday, promising that it was “not the end of a story, but rather the beginning of a new chapter.” While his own trials are more of the “Downton Abbey” decor and Katy Perry concert variety, Schock likened this tough time to that […]
Boehner, Pelosi read mean tweets
Taking a cue from Jimmy Kimmel’s famous “Mean Tweets” series, House Speaker John Boehner (R-Ohio), House Minority Leader Nancy Pelosi (D-Calif.), Sen Bernie Sanders (I-Vt.) and House Majority Leader Kevin McCarthy (R-Calif.) got in on the fun and read some mean tweets about themselves in a video for the 2015 Radio & Television Correspondents Association […]
GOP blocks Warren's student loan plan
THE HILL — Senate Republicans on Wednesday blocked an effort by Sen. Elizabeth Warren (D-Mass.) to attach an amendment aimed at lowering student loan rates to the budget. Senators voted 46-53 against Warren’s amendment to the Republican budget resolution. Warren’s amendment would have allowed people with college loan debt to refinance at interest rates from […]