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Wednesday, December 4, 2024

Senator Mike Rounds requests GAO review on overregulation impacts in rural states

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Senator Mike Rounds, US Senator for South Dakota | Official U.S. Senate headshot

Senator Mike Rounds, US Senator for South Dakota | Official U.S. Senate headshot

U.S. Senator Mike Rounds (R-S.D.) has requested a Government Accountability Office (GAO) review of the Chevron doctrine’s impact on agriculture producers and landowners in rural states. In a letter to GAO Comptroller General Gene Dodaro, Rounds asked for an analysis of key judicial opinions that utilized the Chevron doctrine, particularly those involving the Departments of Agriculture, Energy, Interior, and the Environmental Protection Agency.

"The Chevron decision has governed the relationship between agencies and courts for the last 40 years," wrote Rounds. "The longstanding deference applied under Chevron has broadened the scope of administrative authority. As industries such as agriculture, mining, and energy production are increasingly subject to a growing number of agency rules, the private industry has resorted to settling regulatory disputes in court. The expansion of the administrative state has precipitated this trend. To understand the true impact of the recent overturn of Chevron, it is necessary to comprehend the past application of agency deference."

In June 2024, the U.S. Supreme Court issued an opinion that overturned the Chevron doctrine which had previously required courts to uphold a federal agency’s interpretation of certain statutes.

Rounds has been advocating for federal regulatory reform since he was sworn into the Senate in 2015. In August 2024, he reintroduced the RESTORE Resolution of 2024, which aims to establish a Joint Select Committee to conduct a comprehensive review of rules enacted by federal agencies.

Read the full text of Rounds' letter below:

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Dear Comptroller General Dodaro,

We write to ask the Government Accountability Office (GAO) to conduct a retrospective analysis of the deference applied under Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc. Specifically, we are attempting to learn more about which cases invoked the Chevron framework and how the deference principle impacted final decisions.

As you know, the Chevron decision has governed the relationship between agencies and courts for the last 40 years. The longstanding deference applied under Chevron has broadened the scope of administrative authority. It is clear that recent Loper Bright Enterprises v. Raimondo decision will fundamentally change how courts interpret statutory authority.

The longstanding deference principle has disproportionately impacted rural states. As industries such as agriculture, mining and energy production are increasingly subject to a growing number of agency rules, private industry has resorted to settling regulatory disputes in court. The expansion of the administrative state has precipitated this trend. To understand its true impact following Chevron's recent overturning, it is necessary to comprehend its past application.

Accordingly, I would like to respectfully request GAO conduct an analysis of key judicial opinions that made use of the Chevron doctrine over approximately twenty years from both Supreme Court and lower court cases focusing on those involving:

- U.S. Department of Agriculture

- U.S. Department of Interior

- Environmental Protection Agency (EPA)

- Department of Energy (DOE)

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