H.R. 3446 would modify the process used to develop consent decrees and settlement agreements that compel federal agencies to take specified regulatory actions. Under the bill, a summary of all such complaints against federal agencies, the terms of covered agreements, and awards of attorneys’ fees would need to be published in an electronic format and would be subject to public comment prior to filing with federal courts. The bill also would require that negotiations over covered actions be conducted through mediation or alternative dispute resolution programs and would require federal agencies to submit reports to the Congress describing the statutory basis and details of the agreements into which they enter. Finally, agencies would need to certify to courts their approval of those agreements, and if agencies seek modifications of an agreement courts would be required to perform a complete review as if the modified agreement were a new one.
Using information from the Department of Justice (DOJ) about the number of covered agreements litigated in recent years and the average workload for those cases, CBO expects that the bill would affect roughly 10 to 20 actions annually. On average, CBO estimates that the cost to perform the additional work under the bill would average about $80,000 per case. Most of those additional costs would arise because litigation would probably take longer under the bill and agencies would face additional administrative requirements, including the requirements for undergoing mediation, taking public comment, and reporting to the Congress. CBO expects that most of the additional workload incurred under the bill would be performed by attorneys and other staff at DOJ. In total, CBO estimates that implementing H.R. 3446 would cost $6 million over the 2024-2028 period; that spending would be subject to the availability of appropriated funds.
