Learn From Europe: Regulate the Regulators
US officials are discussing with their European counterparts regulatory models intended to increase the effectiveness of institutions protecting the economy. One fundamental lesson that can be learned from Europe is the need to regulate the regulators. As the Guardian explained in their Editorial, Regulating the Regulators, "Rigorous and independent monitoring of public services is essential...."

In America, OMB serves as the primary watchdog that is responsible for enforcing the "good government" laws that regulate the regulators. The Executive Order on regulatory review should serve as the central mechanism for coordinating OMB's various oversight responsibilities and ensuring that the review processes are as transparent, efficient and effective as possible.

Revisions to the regulatory review Executive Order are currently under White House consideration. This updating process provides the opportunity for making needed improvements to enhance the quality of federal regulations. Foremost among the needed revisions is to include the "independent" agencies, such as the Federal Reserve, Securities and Exchange Commission, and Federal Communications Commission, within the purview of OMB's regulatory review process. An additional step that would promote transparency is full disclosure of all written and oral communications between White House officials, whether or not they are in OMB, and the regulatory agencies.

Instead of politicizing the regulatory process, as some have charged, the purpose of centralized review is to ensure scrupulous agency compliance with the good government statutes. The missions of the various agencies charged with protecting America's fiscal and physical health are far too important for them to be left without external review and oversight.

See Guardian Editorial