I 119THCONGRESS 1 STSESSION H. R. 689 To require each agency to evaluate the permitting system of the agency, to consider whether permitting by rule could replace that system, and for other purposes. IN THE HOUSE OF REPRESENTATIVES JANUARY23, 2025 Ms. M ALOY(for herself, Mr. FINSTAD, Mr. MOOREof Utah, Mr. VALADAO, Mr. A RRINGTON, Mr. OWENS, Mr. PFLUGER, Mr. CISCOMANI, Mr. S TAUBER, Mrs. FISCHBACH, Mr. NEWHOUSE, Mr. COLLINS, Mr. M OYLAN, Mr. YAKYM, Mr. FONG, Mr. GOSAR, Mr. FULCHER, and Mr. K ENNEDYof Utah) introduced the following bill; which was referred to the Committee on Oversight and Government Reform A BILL To require each agency to evaluate the permitting system of the agency, to consider whether permitting by rule could replace that system, and for other purposes. Be it enacted by the Senate and House of Representa-1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Full Responsibility and 4 Expedited Enforcement Act’’ or the ‘‘FREE Act’’. 5 SEC. 2. FINDINGS. 6 Congress finds the following: 7 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 2 •HR 689 IH (1) Agencies near unanimously operate under a 1 permitting system that gives agencies broad discre-2 tion and requires the Government to review each 3 permitting application. 4 (2) Agencies near unanimously operate under a 5 permitting system that either does not have time 6 constraints, or has time constraints that agencies do 7 not follow. 8 (3) The combination of broad discretion and the 9 lack of time constraints often results in a tedious, 10 time consuming, and often expensive permitting sys-11 tem for the Government and applicants. Moreover, 12 agencies will sometimes use their discretion and the 13 time consuming nature of permitting to stall or dis-14 courage permit issuance. 15 (4) There is a compelling interest in avoiding 16 unnecessary delay and expense in Federal permit-17 ting. 18 (5) Permit by rule is a process that seeks to 19 overcome agency delay and the cumbersome cost of 20 agency review to Government and private interests. 21 (6) Permit by rule is a process of permitting 22 that includes specific written standards for obtaining 23 a permit, a simple requirement for an applicant to 24 certify compliance with each of the standards, and 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 3 •HR 689 IH a streamlined approval process with a prompt dead-1 line for agency action on applications that only al-2 lows the Government to verify that all conditions are 3 met. The Government retains the right and responsi-4 bility to audit and enforce compliance with permit-5 ting requirements. Focusing upon permittees who 6 are violating the law or standards rather than 7 gatekeeping will make permitting more efficient 8 while allowing an agency to protect the compelling 9 interests for which permitting systems are intended. 10 SEC. 3. PERMITTING BY RULE. 11 (a) R EPORT TOCONGRESSREQUIRED.— 12 (1) S UBMISSION OF REPORT .—Not later than 13 240 days after the date of the enactment of this sec-14 tion, the head of each agency shall submit to Con-15 gress, including any committee of Congress with ju-16 risdiction over permits for that agency, and the 17 Comptroller General a report on the following: 18 (A) A list and description of each type of 19 permit issued by the agency. 20 (B) The statutory and regulatory require-21 ments for obtaining each such type of permit. 22 (C) For each type of permit issued by the 23 agency, a specific description of each step the 24 agency follows to review a permit application. 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 4 •HR 689 IH (D) For each type of permit issued by the 1 agency, an estimate of the time the agency typi-2 cally takes to review an application, beginning 3 on the date on which an application is sub-4 mitted and ending on the date on which a suc-5 cessful application is granted. 6 (E) For each type of permit issued by the 7 agency, a description of each action typically 8 taken for a case in which an application is 9 found not to meet statutory or regulatory re-10 quirements for the issuance of a permit. 11 (F) A list of primary interests that each 12 type of permit is intended to foster or protect. 13 (G) An individual determination for each 14 type of permit issued by the agency of whether 15 permitting by rule could in whole or in part re-16 place the current system for issuing the type of 17 permit. 18 (H) For each type of permit issued by the 19 agency for which permitting by rule could in 20 whole or in part replace the current system for 21 issuing the type of permit, an identification of 22 any administrative or other practical challenges 23 the head of the agency anticipates in 24 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 5 •HR 689 IH transitioning to permitting by rule for the type 1 of permit. 2 (I) An identification of each type of permit 3 for which the head of the agency has deter-4 mined the agency could not reasonably, in 5 whole or in part, issue permits by rule under 6 current facts and circumstances, describing 7 with particularity each reason why permitting 8 by rule could not reasonably be used for any 9 such permit and what legal or practical meas-10 ures could be pursued to eliminate or mitigate 11 said reason. 12 (2) P UBLIC COMMENT.—In preparing the re-13 port required pursuant to paragraph (1), the head of 14 an agency may solicit and consider public comment 15 regarding the report. 16 (3) E XTENSION OF SUBMISSION DEADLINE .—In 17 the case that the head of an agency is not able to 18 submit the report required pursuant to paragraph 19 (1), the deadline to submit the report shall be ex-20 tended by an additional 90 days if the head of the 21 agency submits to Congress, including any com-22 mittee of Congress with jurisdiction over permits for 23 that agency, and the Comptroller General a notifica-24 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 6 •HR 689 IH tion of the intended extension of the deadline under 1 this paragraph. 2 (4) A TTORNEY FEES.—If the head of an agency 3 does not file the report required pursuant to para-4 graph (1) by the applicable deadline under this sub-5 section, the agency shall pay, from any funds made 6 available to the agency by appropriation or other-7 wise, the attorney fees and costs of an applicant for 8 a claim filed by the applicant for the failure or delay 9 of the agency to take action with respect to an appli-10 cation for a permit submitted to the agency by the 11 applicant if— 12 (A) the claim is filed against the agency in 13 an appropriate United States district court dur-14 ing the period beginning on the expiration of 15 the applicable deadline under this subsection 16 and ending on the date on which the agency 17 files the report; 18 (B) the court determines that the agency 19 unreasonably delayed such action; and 20 (C) the applicant prevails in the claim. 21 (b) E STABLISHMENT OF PROCESSES FOR PERMIT-22 TING BYRULE.— 23 (1) A PPLICATION FOR AND APPROVAL OF PER -24 MITS.—Not later than 12 months after the date on 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 7 •HR 689 IH which the report is submitted pursuant to subsection 1 (a), for each type of permit issued by the agency for 2 which the head of the agency determined under sub-3 section (a)(1)(G) that permitting by rule could in 4 whole or in part replace the current system for 5 issuing the type of permit, the head of each agency 6 shall establish by rule a permitting by rule applica-7 tion process that does the following: 8 (A) Specifies in writing each requirement 9 and substantive standard that must be certified 10 to be met by an applicant who files an applica-11 tion to qualify for a permit under permitting by 12 rule. 13 (B) Allows an applicant to file an applica-14 tion that contains only each required certifi-15 cation described in subparagraph (A) and any 16 supporting documentation the applicant chooses 17 to submit in support of each such certification. 18 (C) Deems an application for a permit 19 under permitting by rule granted if— 20 (i) the application contains each cer-21 tification described in subparagraph (A); 22 and 23 (ii) a period of 180 days after the 24 date on which the completed application 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 8 •HR 689 IH was submitted has expired and the head of 1 the agency has not otherwise approved or 2 disapproved the application. 3 (2) C ORRECTION OF APPLICATION .—The head 4 of an agency shall contact an applicant within 7 5 days after the date on which an application is sub-6 mitted under paragraph (1) if any required certifi-7 cation is missing from the application. 8 (3) A UDIT OF APPLICATION.—The head of an 9 agency may audit an application for a permit under 10 permitting by rule and verify certifications of compli-11 ance with requirements and substantive standards 12 for permitting by rule and may include reasonable 13 requests for documentation. 14 (4) D ISAPPROVAL OF APPLICATION AND EN -15 FORCEMENT.— 16 (A) R EASON FOR DISAPPROVAL .—The 17 head of an agency may only disapprove an ap-18 plication submitted for a permit under permit-19 ting by rule if the head of the agency identifies 20 a requirement or substantive standard described 21 in paragraph (1)(A) that was not met by the 22 application, informs the applicant of how to cor-23 rect the application, provides a reasonable op-24 portunity for the applicant to make such correc-25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 9 •HR 689 IH tion before the final action of the agency on the 1 application, and states with particularity in any 2 final action disapproving the application the 3 facts and reasoning for such denial. 4 (B) A UDIT OF COMPLIANCE AND EN -5 FORCEMENT FOLLOWING GRANT OF A PERMIT 6 UNDER PERMITTING BY RULE .— 7 (i) A UDIT.—The head of an agency 8 may audit a permit granted under permit-9 ting by rule and verify compliance with re-10 quirements and substantive standards for 11 permitting by rule, which may include rea-12 sonable requests for documentation. 13 (ii) E NFORCEMENT.—The head of an 14 agency may require corrective action, sus-15 pend, or revoke a permit granted under 16 permitting by rule at any time if the head 17 of the agency finds that a requirement or 18 substantive standard under permitting by 19 rule is not being met by the recipient of 20 the permit. 21 (C) D IRECT APPEAL.—An applicant whose 22 application for a permit under permitting by 23 rule is disapproved, of whom corrective action is 24 required under a permit granted under permit-25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 10 •HR 689 IH ting by rule, or whose permit granted under 1 permitting by rule is suspended or revoked may 2 appeal such disapproval, corrective action, sus-3 pension, or revocation in an appropriate United 4 States district court. 5 (D) B URDEN OF PROOF .—In an appeal 6 under subparagraph (C), the agency shall bear 7 the burden of proof to show that an application 8 was lawfully disapproved or that the agency 9 lawfully required corrective action or suspended 10 or revoked a permit. 11 (E) A TTORNEY FEES.—If the court finds 12 for the applicant or permit holder under this 13 paragraph and that the agency was not sub-14 stantially justified in disapproving, requiring 15 corrective action under, suspending, or revoking 16 a permit, the agency shall pay the attorney fees 17 and costs of the applicant from any funds made 18 available to the agency by appropriation or oth-19 erwise. 20 (c) C ONGRESSIONALOVERSIGHT.—Not later than 2 21 years after the date on which the report is submitted pur-22 suant to subsection (a), the head of each agency shall sub-23 mit to Congress a report on the implementation by the 24 agency of permitting by rule for each type of permit issued 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 11 •HR 689 IH by the agency for which the head of the agency determined 1 under subsection (a)(1)(G) that permitting by rule could 2 in whole or in part replace the current system for issuing 3 the type of permit. 4 (d) C ONCURRENT USE OFPREVIOUSPERMITTING 5 S YSTEM.—If the head of the agency determines in the re-6 port submitted pursuant to subsection (a) that the permit-7 ting system in effect at the agency before the date of the 8 enactment of this Act for any type of permit provides 9 value that permitting by rule does not, but that permitting 10 by rule could in whole or in part replace the current sys-11 tem for issuing the type of permit, the head of the agency 12 may maintain for that type of permit both the permitting 13 system previously in effect and permitting by rule, and 14 the applicant may choose which system to use to apply 15 for a permit of that type from the agency. 16 (e) GAO R EPORTS.— 17 (1) R EPORT ON ACCURACY OF AGENCY RE -18 PORTS.—Not later than 90 days after the expiration 19 of the deadline to submit the reports required under 20 subsection (a), the Comptroller General shall submit 21 to Congress a report on the completeness and accu-22 racy of the reports, including the recommendations 23 of the Comptroller General concerning legal or prac-24 tical measures that could be pursued to eliminate or 25 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 12 •HR 689 IH mitigate any legal or practical challenges to the 1 transition by agencies to permitting by rule for any 2 type of permit. 3 (2) R EPORT ON PROGRESS BY AGENCIES .—Not 4 later than 180 days after submission by the agencies 5 of the reports required under subsection (c), the 6 Comptroller General shall submit to Congress a re-7 port on the progress by agencies in the implementa-8 tion of this Act, including any recommendation con-9 cerning legal or practical measures that could be 10 pursued to eliminate or mitigate any remaining legal 11 or practical challenges to the transition by agencies 12 to issuance of permits under permitting by rule for 13 any type of permit. 14 (3) S UPPLEMENTS TO THE REPORTS .—The 15 Comptroller General may submit supplements to the 16 report described in paragraph (1) or (2) with regard 17 to a report submitted by the head of an agency after 18 the Comptroller General submits the report required 19 pursuant to paragraph (1) or (2). 20 (f) D EFINITIONS.—In this section: 21 (1) A GENCY; RULE.—The terms ‘‘agency’’ and 22 ‘‘rule’’ have the meaning given those terms in sec-23 tion 551 of title 5, United States Code. 24 VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB 13 •HR 689 IH (2) COMPLETED APPLICATION .—The term 1 ‘‘completed application’’ means an application sub-2 mitted under subsection (b) that contains certifi-3 cations that the applicant meets each requirement 4 and substantive standard specified under subsection 5 (b)(1)(A). 6 (3) P ERMITTING BY RULE.—The term ‘‘permit-7 ting by rule’’ means the application process that an 8 agency establishes by rule for granting a certain 9 type of permit described in subsection (b). 10 (4) S UBSTANTIVE STANDARD .—The term ‘‘sub-11 stantive standard’’ means all qualities, statuses, ac-12 tions, benchmarks, measurements, or other written 13 descriptions that would qualify a party to perform 14 the permitted action. 15 Æ VerDate Sep 11 2014 00:21 Feb 20, 2025 Jkt 059200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6301 E:\BILLS\H689.IH H689 kjohnson on DSK7ZCZBW3PROD with $$_JOB