18. Other/pp. 182–183, 307–311
Other matters, present values, the Congressional Review Act
Economically significant under EO 12866 §3(f)(1). Reviewed by OMB under EO 14215. Ten-year present-value costs of $370 million at 3% and $311 million at 7%, all optional. Benefits not monetized. CRA “major rule” data is requested.
III Other Matters · VI Present Values · VII CRA
Annual cost
$42.8M
PV @ 3%
$370.2M
PV @ 7%
$310.7M
Benefits monetized
n/a
Horizon
2026–2035
Analysis
What the text does
Section III is two paragraphs. The proposal is economically significant under EO 12866 §3(f)(1) because it is expected to have an annual effect on the economy of $100 million or more — not because the PRA paperwork costs $43 million, but because the capital-formation and market-structure effects are in that neighborhood. EO 14215 put independent agencies back under OIRA review. This paper went through that process. EO 14192 (the one-in, one-out cost order) is cited in a footnote; the Commission reports costs, not savings.
Tables 8 and 9 — the OIRA presentation
Circular A-4 requires a 3% and a 7% real discount rate, a present value, and an annualized value, over a horizon that captures the significant effects. The Commission chose ten years starting 2026, 2025 dollars, mid-year discounting. Monetized costs are the PRA costs: 99 startups × 56 hours × $635, 31 fundraising issuers × 1,510.412 hours × $635, Form TR 14,904.65 hours × $635, Form ID 130 × 0.6 × $635. That is $42,766,883 a year. Present values: $370,241,903 at 3%, $310,712,064 at 7%. Annualized costs equal the annual cost at both rates because the stream is assumed steady. Benefits: n/a. Not because there are none — because the Commission did not monetize capital formation, reduced offshore substitution, or network-effect gains.
Congressional Review Act
A rule is “major” if it has a $100 million annual effect, a major increase in costs or prices, or a significant adverse effect on competition, investment or innovation. The Commission asks for data to inform OMB’s major-rule determination on any final rule. GAO then sends a report to Congress; a major rule’s effective date stretches. This is process, not policy — unless you want a delayed effective date, in which case a well-documented $100 million+ capital-formation number is the CRA comment.
Research
Comparables and the record
- EO 12866 (Sept. 30, 1993); EO 14215 (Feb. 18, 2025); EO 14192 (Jan. 31, 2025); OMB Circular A-4 (Sept. 17, 2003, as the release cites it).
- Professional rate $635/hour is the Commission’s blended outside-counsel / compliance rate used throughout the PRA. If your actual blended rate is different, that is a PRA comment, not a CRA comment.
Ideation
What to file
- Monetize a benefit. One issuer’s documented cost of a 50-state Reg A-plus-blue-sky process, minus the modeled RCA cost, is a number OIRA can use. Ten of those letters change Table 8’s “benefits n/a.”
- If you want a delayed compliance date, argue CRA-major plus a 12-month build for EDGAR forms, XML schemas and 103 templates.
- Do not fight “economically significant.” It is already conceded and it is what got OIRA to read the paper.
Analysis
What the text does
Section III is two paragraphs. The proposal is economically significant under EO 12866 §3(f)(1) because it is expected to have an annual effect on the economy of $100 million or more — not because the PRA paperwork costs $43 million, but because the capital-formation and market-structure effects are in that neighborhood. EO 14215 put independent agencies back under OIRA review. This paper went through that process. EO 14192 (the one-in, one-out cost order) is cited in a footnote; the Commission reports costs, not savings.
Tables 8 and 9 — the OIRA presentation
Circular A-4 requires a 3% and a 7% real discount rate, a present value, and an annualized value, over a horizon that captures the significant effects. The Commission chose ten years starting 2026, 2025 dollars, mid-year discounting. Monetized costs are the PRA costs: 99 startups × 56 hours × $635, 31 fundraising issuers × 1,510.412 hours × $635, Form TR 14,904.65 hours × $635, Form ID 130 × 0.6 × $635. That is $42,766,883 a year. Present values: $370,241,903 at 3%, $310,712,064 at 7%. Annualized costs equal the annual cost at both rates because the stream is assumed steady. Benefits: n/a. Not because there are none — because the Commission did not monetize capital formation, reduced offshore substitution, or network-effect gains.
Congressional Review Act
A rule is “major” if it has a $100 million annual effect, a major increase in costs or prices, or a significant adverse effect on competition, investment or innovation. The Commission asks for data to inform OMB’s major-rule determination on any final rule. GAO then sends a report to Congress; a major rule’s effective date stretches. This is process, not policy — unless you want a delayed effective date, in which case a well-documented $100 million+ capital-formation number is the CRA comment.
RCA publishes source-linked intelligence for professionals. Nothing here is a token-buying call, a legal opinion, or an “approved / safe / regulated” badge. Every material claim is dated. Incomplete files stay incomplete.