OMB Issues Guidance on Implementation of Regulatory Cap and Hiring Freeze

The OMB guidance interpreting the Executive Order on Reducing Regulation and Controlling Regulatory Costs, which implemented the rule that for each new regulation issued, two existing regulations must be repealed to offset its costs, provides additional information on the scope of the order, how costs should be calculated, how regulations with judicial or statutory deadlines should be handled, and whether cost reductions may be shared across agencies. Importantly, the OMB guidance states that significant agency guidance documents could be included, and that such decisions will be made on a case-by-case basis.

The guidance on implementation of the hiring freeze identifies several categories of employees that are exempt from the freeze and also explains that the freeze will end as soon as OMB implements a plan to reduce the number of federal employees through attrition.

Click here to read more.

Authored by Joe Levitt and Leigh Barcham.