This Week in Congress: Lawyers, Guns, and Money
Today, the Senate votes on four gun control measures, none of which are likely to pass.
In addition to gun control, the Senate will also consider amendments to the Commerce, Justice, State Appropriations bill.
The House of Representatives comes into session on Tuesday. One of the major pieces of legislation the House will consider is HR 4768, the Separation of Powers Act. This bill amends the Federal Rules of Civil Procedure to reverse federal precedent giving wide desertion to federal agencies.
Campaign for Liberty has signed the following coalition letter in support of this legislation:
Dear Members of Congress,
On behalf of our organizations and the millions of Americans we represent, we are writing to express our strong support for H.R. 4768 and S.2724, The Separation of Powers Restoration Act (SOPRA). This law would give courts the clarity they need to interpret powers ambiguously delegated to administrative agencies.
Congress has, from time to time, been unclear as to the extent of powers it delegates to agencies. Consequently, the courts have adopted two doctrines, known as Chevron and Auer after the cases Chevron USA Inc. v. NRDC and Auer v. Robins, which grant great deference to agency interpretations of the ambiguities. Chevron represents a general presumption that courts should defer to agency interpretation of statues, while Auer requires that courts defer to agency interpretations of their own regulations.
In Marbury v. Madison, Chief Justice John Marshall wrote, “It is emphatically the province and duty of the Judicial Department to say what the law is.” In Chevron v NRDC, Justice John Stevens said it was the province of executive branch agencies to say what the law is.
While these doctrines reflect a concern for a lack of expertise in the courts, their effect can be to give bureaucrats the power to make new law. For instance, in Babbitt v. Sweet Home Chapters of Communities for a Great Oregon, the Supreme Court used Chevron to defer to the Secretary of the Interior when he redefined long-accepted meanings of “taking” wildlife to include unintentional harm to an endangered species, greatly expanding the Secretary’s power and control over Americans.
Auer provides a perverse incentive for an agency to issue deliberately vague regulations that it can reinterpret as it chooses, avoiding the notice-and-comment requirements of the Administrative Procedure Act for a change in regulation. A recent court decision may even allow the agency effectively to rewrite the statute by reinterpreting a vague term in a regulation that also appears in the statute.
In our view, this combination of delegation and deference represents an unjust expansion of administrative power at the expense of the legislative and judicial powers, contrary to the ideals of the American founding.
SOPRA would amend the Administrative Procedure Act to require courts to conduct a de novo (from scratch) review of all relevant questions of law and regulation when they are called into question. This represents a vital step in restoring the courts to their proper role as arbiters of statutory interpretation.
Before Chevron, courts relied on agency expertise to guide their decision making, but they did not cede their fundamental responsibility to interpret the meaning of statutes to agencies. SOPRA would restore that discretion.
Millions of Americans are suffering under the weight of burdensome regulation, and often find themselves unable to challenge effectively unjust rules as a result of these judicial doctrines. SOPRA is one of the ways in which we can lift this oppressive burden from their backs.
Thank you for your consideration,
Competitive Enterprise Institute
American Commitment
American Energy Alliance
Americans for Prosperity
Americans for Competitive Enterprise
Americans for Tax Reform
Campaign for Liberty
Frontiers of Freedom
Heritage Action for AmericaInstitute for Liberty
Less Government
National Center for Public Policy Research
National Taxpayers Union
60 Plus Association
Taxpayers Protection Alliance
The House will also consider H.J.Res. 88,which overturns the Department of Labor;’s fiduciary rule. For more on this legislation the collation letter C4L signed below:
April 28, 2016
Members of Congress:
We, the undersigned organizations and individuals, represent millions of Americans in defense of free markets and constitutional liberties. As such, we believe Congress must exercise its authority granted by the Constitution to halt the Obama administration’s executive overreach. This is particularly true when such action by the administration has attracted bipartisan opposition owing to the massive negative effects it would have on Americans’ retirement savings.
We urge you to support H.J. Res. 88, introduced by Reps. Phil Roe (R-Tenn.), Charles Boustany (R-La.), and Ann Wagner (R-Mo.), which uses the Congressional Review Act to disapprove of the Department of Labor’s (DOL) fiduciary rule and prevent it from going into effect. Under the fiduciary rule, the DOL claims authority never granted by Congress to greatly restrict investment choices for 401(k)s, individual retirement accounts (IRAs) and other saving vehicles.
In the earlier, proposed regulation, referred to by many as “Obamacare for your IRA,” the DOL did not even bother to hide its contempt for the intelligence of American savers. It said most Americans can’t “prudently manage retirement assets on their own.” Based on this paternalism, the administration now mandates that investment professionals—even if they are serving self-directed investors—must adhere to the government’s one-size-fits-all definition of “best interest” for the investment products they offer. The final rule leaves no room for individual savers to decide what their own “best interests” are.
Ninety-six House Democrats have expressed concern that the fiduciary rule could limit access to retirement planning for poor and middle-class Americans. Center-left economists from the Brookings Institution and Progressive Policy Institute have concluded that the rule would cause many Americans to lose their current brokers and could cost savers $80 billion over the next decade.
Put simply, the rule would make it much more difficult for individuals to open and maintain an IRA, and for companies to offer 401(k)s. As leading experts say, many brokers will stop serving households with less than $50,000 in assets. The restrictions, therefore, amount to a higher tax burden on Americans by making it harder for the vehicles for retirement saving, designed by Congress, to lower that burden.
IRA holders could also lose their ability to invest in gold, real estate, and other nontraditional assets if DOL bureaucrats deem these choices to be not in their “best interests.”
We believe the federal government should vigorously prosecute actual fraud by financial professionals, but otherwise leave savers free to seek guidance and make investment choices they deem in their own best interests, taking account of their own individual circumstances and preferences. We urge Congress to do everything in its power to defeat the DOL’s destructive fiduciary rule, including passing this resolution of disapproval under the Congressional Review Act.
Sincerely,
Kent Lassman
President
Competitive Enterprise Institute
Lisa B. Nelson
Chief Executive Officer
American Legislative Exchange Council
Grover Norquist
President
Americans for Tax Reform
Carrie Lukas
Managing Director
Independent Women’s Forum
Heather Higgins
President & CEO
Independent Women’s Voice
Phil Kerpen
President
American Commitment
Coley Jackson
President
Americans for Competitive Enterprise
Brent Gardner
Vice President of Government Affairs
Americans for Prosperity
Dan Weber
CEO
Association of Mature American Citizens
Norman Singleton
Senior Vice President
Campaign for Liberty
Andrew Quinlan
President
Center for Freedom and Prosperity
Timothy Lee
Senior Vice President
Center for Individual Freedom
Tom Schatz
President
Council for Citizens Against Government Waste
Wayne Brough
Chief Economist & Vice President for Research
FreedomWorks Foundation
George Landrith
President
Frontiers of Freedom
Andrew Clark
President
Generation Opportunity
Andresen Blom
Executive Director
Grassroot Hawaii Action, Inc
Andrew Langer
President
Institute for Liberty
Seton Motley
President
Less Government
Gregory T. Angelo
President
Log Cabin Republicans
Kyle S. Hauptman
Executive Director
Main Street Growth Project
Dee Hodges
President
Maryland Taxpayers Association
Willes K. Lee
President
National Federation of Republican Assemblies
Lewis Uhler
President
National Tax Limitation Committee
Pete Sepp
President
National Taxpayers Union
Dave Wallace
Founder
Restore America’s Mission
Karen Kerrigan
President & CEO
Small Business & Entrepreneurship Council
David Williams
President
Taxpayers Protection Alliance
Lisa Miller
Founder
Tea Party WDC
Kevin L. Kearns
President
U.S. Business and Industry Council
The House will also consider HR 1270, the Restoring Access to Medication Act. This legislation repeals the Obamacare provision forbidding the use of funds from a Health Savings Account for over the counter medicines.
The House will also consider the Financial Services and General Government Appropriations Act. This act makes appropriations for (among other agencies) the Treasury Department and the IRS.
Campaign for Liberty members may also be interested in the following bills that the House will consider on the suspension calendar on Tuesday:
1. HR 5525– Repeals the federal program providing free phones to certain individuals.
2. HR 4639– renews and strengthens the federal office in charge of protecting whistle-blowers.
3. HR 5170– allows states to sue federal funds for “social impact partnerships” as long as they seek federal permission and show they partnerships produced results. While it is good to increase state’s flexibility o use federal funds, the best way to provide effective help is to get the federal government out of the welfare business and return responsibility to provide care to local communities, private charitable institutions, and churches. This bill also renews the TANF program,which is the main federal welfare program.
4. HR 5447– This act provides an exemption from federal group heal insurance requirements for some small business health reimbursement plans.
5. HR 5452– allows individuals eligible to receive care from the Indian Health Service to be eligible to open a Health Savings Account.
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