On Feb. 20, 2025, House Majority Leader Steve Scalise announced in an interview that he had been working with Senate Majority Leader John Thune to use the Congressional Review Act (CRA) to roll back rules that had been finalized during the Biden administration. While the CRA is a complex and technical process, it remains an important policy tool for a unified Congress and White House.
What is the Congressional Review Act?
Originally enacted to empower Congress with additional oversight of the executive branch, this law provides a fast track process for Congress to overturn, or “disapprove” of, a rule that has been finalized by an executive branch agency. In order to overturn the rule, a joint resolution of disapproval must pass through both chambers of Congress and be signed by the president.
A member of Congress has 60 days after a rule has been published in the Federal Register and filed with Congress to introduce a disapproval resolution. These 60 days include weekends and holidays but does not include extended congressional recess. If a rule is filed and Congress adjourns within 60 days, the 60 day period resumes after Congress reconvenes. Parliamentarians have determined that this “lookback period” applies to rules filed after Aug. 1, 2024.
If the president vetoes the joint resolution, Congress may override the veto. Once the joint resolution passes into law, the rule is void. The executive agency cannot issue the same, or substantially similar rule.
Which Regulations Would Be Rolled Back?
The California Clean Air Act Waiver
The Environmental Protection Agency (EPA) issued a waiver to California, allowing the state to set its own air quality standards.
Waste Emissions Charge for Petroleum and Natural Gas Systems
The EPA issued guidance on the collection of the Waste Emissions Charge which includes a fee on methane waste emissions for oil and gas facilities.
Energy Conservation Standards for Consumer Gas-Fired Instantaneous Water Heaters
The Department of Energy issued energy conservation regulations that consumer gas-fired instantaneous water heaters must comply with.
General-Use Digital Consumer Payment Applications
The Consumer Financial Protection Bureau (CFPB) issued a rule defining who qualified as a “larger participant” of a market for general use digital consumer payment applications. Those who qualify as “larger participants” would be subject to CFPB supervision.
Digital Asset Sale
The Department of the Treasury issued regulations requiring decentralized finance, or “DeFi,” brokers to report the gross proceeds of digital asset sales and exchanges to the department.
Energy Conservation-Appliance Standards, Certification and Labeling
The Department of Energy issued regulations updating and revising energy conservation and other compliance requirements. This affects a variety of products, including: air conditioning units, walk-in refrigerators, battery chargers, pool heaters and dehumidifiers.
OCSLA Oil and Gas Sulfur Operations: High Pressure, High Temperature
The Department of Interior added additional reporting requirements for companies using new or unusual technologies in high pressure, high temperature offshore drilling environments.
NESHAP for Rubber Tire Manufacturing
The EPA promulgated emissions standards for rubber tire processing.
Protection of Marine Archaeological Resources
The Department of the Interior put forward new requirements for companies planning to drill offshore. They must submit an archaeological report of the area where they plan to operate that includes an “archaeological resource,” as deemed by Bureau of Ocean Energy Management.
Commission Guidance Regarding the Listing of Voluntary Carbon Credit Derivative Contracts
The Commodity Futures Trading Commission issued nonbinding guidance that derivative contract markets should consider when designing voluntary carbon credit derivative contracts.
Conclusion
In the first Trump administration, the CRA process was used to overturn 16 rules. Prior to that, it had only been used once in the 107th Congress. Because a CRA disapproval resolution must pass both chambers of Congress and have the president’s signature, or overcome an executive veto, the process favors unified governments, or a Congress with veto-proof majorities. Importantly, the CRA cannot be used to overturn executive orders.
Stakeholders can expect continuing interest in the CRA from members of Congress, especially in the early days of the 119th Congress.
