Governor’s Red Tape Review Commission Report Released

The Governor’s Office released the report of the Red Tape Review Group today.  The following is the text of the press release announcing the public dissemination of the report: 

The Red Tape Review Group, chaired by Lt. Governor Kim Guadagno, today presented its final report to Governor Chris Christie and released it to the public. 

Created by Executive Order 3, the Red Tape Review Group, a bipartisan body with representatives from both the Legislative and Executive Branches of State government, was empowered to “review all pending and proposed rules and regulations” frozen under Executive Order 1, as well as all operative Executive Orders from previous administrations. 

“I want to thank Lt. Governor Guadagno and the members of the Red Tape Review Group for undertaking this important work to begin unraveling the layers of burdensome rules and regulations that make it difficult and expensive for New Jersey’s businesses to succeed,” said Governor Christie. “The work of this bipartisan group, done with transparency and considerable dialogue with the public, has resulted in a wide-ranging list of recommendations for my consideration.  I look forward to continuing to work with the Lt. Governor, the members of the Group and the Legislature to act on these recommendations and achieve additional reforms to improve New Jersey’s climate for economic growth and job creation.” 

In submitting the final report, Lt. Governor Guadagno said, “This process clearly demonstrated that there is bipartisan agreement on the poor condition of New Jersey’s regulatory climate and the need for action to cut through the red tape while maintaining a strong commitment to public health and safety.  What we do here in Trenton affects job creators and families throughout the State and we have a clear opportunity to act to change that reality in a positive way.  I want to thank the other members of the Red Tape Review Group and their staffs for their work as well as the various stakeholders who added there perspective.” 

In addition to Lt. Gov. Guadagno, the Red Tape Review Group included Senator Steve Oroho, Assemblyman John Burzichelli, Assemblyman Scott Rumana, Senator Barbara Buono, Acting Commissioner of the Department of Community Affairs Lori Grifa, Commissioner of the Department of Environmental Protection Bob Martin, and Chief Counsel to the Governor Jeff Chiesa. 

Assemblyman John J. Burzichelli said, “New Jerseyans have been waiting for too long for us to find ways to reduce the mountains of regulation affecting their daily lives, while still honoring our responsibility to protect the environment and citizens.  From the hours of public hearings and working alongside the Lt. Governor, it was clear that she and this committee were serious about making this process fair and bipartisan.  The Assembly has already taken steps to ease burdensome regulations, and now this report gives us a blueprint for how to get more reform done in Trenton.”  Said Assemblyman Scott Rumana: “This process gave us a glimpse into the more than 25,000 pages of New Jersey regulations that currently exist.  Regulators forget that the volumes of rules have had a tremendous effect on everyone in New Jersey, from the young entrepreneur who wants to open a business, to the new family trying to build a home.  We’ve got to get a handle on this process and the Red Tape Review Group’s work has given us a good start. 

“At a time like this in our economy, we cannot afford to block economic development through onerous and often ridiculous regulation, said Senator Steve Oroho. “We can and must find ways to restore common sense to the regulatory process and make State government more accountable and responsive to the people we serve.”

In its first 90 days, The Red Tape Review Group conducted a transparent and bipartisan review to provide tangible and realistic recommendations that will lead to economic growth and job creation.  The Group has recommended the withdrawal or modification of 16 of the 128 rules (12.5 percent) that were frozen by Executive Order 1.  If 12.5 percent of the remaining 26,000 pages of rules were to be withdrawn or modified, continuing the Red Tape Review process could result in the elimination of over 3,000 pages of rules.  This is the equivalent of approximately 111 chapters from the administrative code.   

While the first 90 days required agencies and departments to review frozen proposed rules and regulations, Executive Order No. 2 also called for the review of existing regulations for compliance with the common sense principles and were given 180 days to complete the task. 

Long-Term Legislative, Regulatory and Policy Recommendations. 

The Red Tape Review Group also provided long-term legislative, regulatory and policy recommendations to ensure New Jersey government continues to streamline and more effectively coordinate services that impact economic growth and job creation.

Improving and Expediting the Rulemaking Process.  The testimony received by the Red Tape Review Group made clear that it is overly difficult for a State agency to alter a rule proposal based upon reasonable and justifiable public comment.  The “Administrative Procedure Act” should be revised to permit State agencies to adopt substantive changes to proposed rules based on public comment without needing to undergo the entire rule-making process anew, provided that an additional public comment period is provided prior to the altered rule taking effect.

Giving Entities the Ability to Combat Unfunded Mandates.  Provide for new and expanded powers to combat unfunded mandates, including permitting the Council on Local Mandates to proactively seek out mandates, enlarging the number of groups who can bring complaints to the Council, and enlisting the assistance of the State’s law schools to undertake a review of all mandates presently contained in the statutory law and administrative code.

Following “Common Sense Principles.”    State agencies should adopt the “Common Sense Principles” for rule-making.

Creating Consistent and Timely Review of Regulation and Rule Effectiveness.  Establish a Red Tape Review Group to succeed the 90-day Red Tape Review Group.

For a copy of the report, click HERE.