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Regulation Digest

September 27, 2023
Vol. 12, No. 39
Editor: Nate Thompson
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Agency Rulemaking Highlights

Notable Actions

Preventing the Improper Use of CHIPS Act Funding
The Department of Commerce finalized a rule implementing provisions of the CHIPS and Science Act of 2022 that prohibit program funds from being used to benefit foreign countries of concern. The prohibition aims to bolster domestic supply chains and boost U.S. production of advanced semiconductors. Effective November 24.

Water Quality Certification Improvement
The Environmental Protection Agency (EPA) issued a final rule replacing the regulatory requirements for water quality certification under the Clean Water Act. With the update, EPA intends to make the certification process more efficient and predictable. Effective November 27.

Reclassifying Major Sources to Area Sources Under CAA
EPA is proposing to add requirements for sources seeking to reclassify from major source status to area source status under the National Emission Standards for Hazardous Air Pollutants program of the Clean Air Act. Comments due November 13.

Possible Revision or Elimination of Rules
The Federal Communications Commission requests a review of and comments on its rules adopted between 2007 and 2012 to determine whether they should be updated, retained or rescinded in order to minimize significant impacts on substantial numbers of small entities. Comments due November 27.

Schools and Eligibility for Child Nutrition Programs
The U.S. Department of Agriculture (USDA) issued a final rule amending its regulations that allow schools to offer no-cost meals to all enrolled students. The rule lowers the minimum proportion of low-income student enrollment at a school to 25 percent from 40 percent, giving more schools the flexibility to participate in the program. USDA asserts the change will increase students’ access to healthy, no-cost meals and reduce the stigma of receiving nutrition-support benefits. Effective October 26.

Streamlining Medicaid; Medicare Savings Program Eligibility Determination and Enrollment
The Centers for Medicare and Medicaid Services finalized a rule simplifying processes for eligible individuals to enroll and retain eligibility in the Medicare Savings Programs by aligning enrollment with requirements and processes of other public programs. Effective November 17.

Hazardous Materials: Modernizing Regulations To Improve Safety and Efficiency; Extension of Comment Period
The Department of Transportation is extending for an additional 60 days the comment period for its advance notice of proposed rulemaking, “Hazardous Materials: Modernizing Regulations to Improve Safety and Efficiency.” The proposal seeks to increase efficiency while maintaining or improving the safety of hazardous materials transportation. Comments now due December 4.

The Opinion Section

WSJ Editorial Board: A Union Railroad Job in Congress | California Wants to Know Your Emissions | Banning Gas Vehicles Isn’t Popular

Randolph May: There’s Little Question Net Neutrality Is a Major Question

Clyde Wayne Crews: Net Neutrality is Political Predation | Federal Paperwork Hours Consume the Equivalent of 14,883 Human Lifetimes Annually

Warren Stephens & Paul C. Reilly: The SEC Wants to Spy on Your Portfolio

Darrell W. Crate: Don’t Throw the Blockchain Out With the Bathwater

Collin Peterson: Compromise is Needed on EPA’s New Particulate Matter Rules

Eric Fruits: As Shutdown Fight Looms, Congress Should Remember Broadband Program

Reuters Commentary: Net Neutrality May be US Regulators’ Next Quagmire

Richard Spires: The Government Management Paradox

Norbert Michel: Hawley and Durbin are Set to Crush Credit

Paul Davies: Gensler Reminds Hedge Funds He's Still Sheriff of Wall Street

In the News

Governance & Politics

Here’s How Many Feds Would Stay on the Job – Both With and Without Pay – During an Upcoming Shutdown, Federal News Network
Got an Airport? Customs and Border Protection is Available for Hire, Federal News Network

Financial Markets & Housing

FTC Sues Amazon, Alleging Illegal Online-Marketplace Monopoly, Wall Street Journal
US, 17 States Sue Amazon Alleging Monopolistic Practices Led to Higher Prices, Washington Post
FTC’s Khan Targets Private Equity ‘Roll-Up’ Tactic in Court, Washington Post
SEC Fines Deutsche Bank Fund Unit for ESG Claims, Money Laundering Allegations, Wall Street Journal
CFTC Rejects Bid to Launch Political Election-Betting Market, Wall Street Journal
Crypto Companies are Looking Outside the US for Growth, Wall Street Journal
Microsoft’s Activision Deal Clears Main Hurdle as UK Regulator Accepts Changes, Wall Street Journal
More Companies Are Disclosing Their ESG Data, but Confusion on How Persists, Wall Street Journal
US Judge Denies States’ Bid to Block Biden Rule on ESG, New York Times
Biden ESG Rule Survives Challenge from 25 Red States, The Hill
Financial Titans Ready Fight Over ‘Too-Big-to-Fail’ Threat, Bloomberg
Canada’s Bank Watchdog Wants to Rein In Ultra-Long Mortgages, Bloomberg
UK Regulator Tackles Bullying and Harassment in the Financial Services Sector, Wall Street Journal

Energy & Environment

White House Directs Agencies to Account for Climate Change in Budgets, New York Times
Feds Urged by Biden to Widen Use of "Social Cost" on Climate Change, Axios
EPA Proposes to Tighten Pollution Rule Weakened by Trump, The Hill
Biden is Unveiling the American Climate Corps, a Program With Echoes of the New Deal, NPR
‘Monster Fracks’ Are Getting Far Bigger. And Far Thirstier, New York Times
US Energy Regulator Recommends Revising Reliability Standards for Extreme Weather, Reuters
Court Orders Biden to Expand Offshore Oil Auction, The Hill
Can Climate Lawsuits Against Energy Giants Succeed? Courts Could Soon Give Clues, Wall Street Journal
Debate Over State and Federal Regulation Of Prescribed Burns Pits Biden Against Fellow Democrats, Forbes
New California Climate Law Pulls In Private Companies, Wall Street Journal
This Alaska Mine Would Destroy the World’s Largest Salmon Fishery, New York Times
An Ohio Town Struggles Between Biden’s Clean Energy Agenda and Union Support, New York Times
Court Rejects Utah’s Request to Block EPA Smog Rule, The Hill

Business and Technology

FCC Aims to Reinstate Net Neutrality Rules as US Democrats Gain Control of Panel, Bloomberg
US Issues Final Rules to Keep Chip Funds Out of China, New York Times
US Finalizes Rules to Prevent China from Benefiting from $52 billion in Chips Funding, Reuters
Apple, Google Agreed to ‘Defend’ Search Deal From Regulators, Bloomberg
TikTok Fights Threats of More Bans Around the World, Wall Street Journal

Artificial Intelligence

Should a Federal Agency Govern Artificial Intelligence?, Government Executive
The Great AI "Pause" that Wasn't, Axios
How AI Policy Aligns With What Voters Want, Axios
UN Deadlocked Over Regulating AI, Axios

Health & Safety

Transportation & Infrastructure

Union Pacific Draws Safety Regulator’s Ire After Worker Furloughs, Wall Street Journal
Lufthansa’s Austrian Unit Loses Greenwashing Suit Over Fuel Use, Bloomberg

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Agency Rulemaking Highlights

Notable Actions