Republicans are already planning at least one, and possibly two, major budget reconciliation packages in the next Congress. Reconciliation bills allow lawmakers to bypass the Senate’s 60-vote filibuster threshold by focusing on provisions directly tied to budget outlays and receipts. While the process has limits, Republicans would do well to use this opportunity to advance targeted reforms that modernize environmental permitting and improve operational efficiency across government. Below are four practical reforms that should be on their agenda.
1. Establish User Fees for Expedited Permitting Reviews
One of the most glaring problems in infrastructure and energy development are the delays caused by an excessively complex environmental permitting process. To address this, project sponsors should have the option to pay extra to fund expedited permitting reviews, including those required under the National Environmental Policy Act.
Several states provide useful models for expedited permitting. Louisiana allows applicants to pay to cover overtime for agency staff or to hire third-party contractors to accelerate reviews. North Carolina offers a similar system of tiered fees. By creating new charges for expedited reviews at the federal level, Republicans would both raise revenue and reduce permitting delays.
Other states offer additional innovative budget-related accountability mechanisms for permitting. Pennsylvania and Michigan refund permit fees if reviews are not completed on time, creating an incentive for agencies to meet deadlines.
Building on these examples, the Fiscal Responsibility Act of 2023 allowed project sponsors to draft their own environmental impact statements. A certification program for private-sector authors of these reports could be established. This approach, similar to one found in Virginia, would further conserve agency resources while ensuring the quality and rigor of analysis.
2. Set Minimum Sale Requirements for Leasing of Federal Lands
The federal government’s oil, gas, and mineral leasing programs are essential for energy production and revenue generation. Raising the minimum sale requirement for leasing onshore and offshore federal lands would provide certainty to industry while boosting government receipts.
Similar to provisions found in the permitting legislation that failed to pass Congress this year, federal agencies should be required to offer a minimum number of lease opportunities in the coming years for oil, gas, and mineral development. By increasing lease sales, the federal government can unlock additional domestic energy production while raising bonus payments and royalty receipts for taxpayers.
3. Conduct a Study on the Costs of ALARA to the Nuclear Industry
The nuclear industry’s regulatory framework is in desperate need of modernization. One area ripe for review is the “As Low As Reasonably Achievable” (ALARA) standard, which guides radiation safety measures. The ALARA standard requires businesses to minimize radiation exposure, imposing unchecked costs on nuclear construction and operations and undermining the industry’s ability to compete with other energy sources.
The reconciliation bill should require the Nuclear Regulatory Commission—or an independent body like the Government Accountability Office—to conduct a study on the economic impacts of ALARA. Besides looking at cost implications, the study should explore the extent to which government risk assessment practices that underpin ALARA are supported by the best available science and real-world data.
A transparent assessment of ALARA would reveal whether existing standards strike the right balance between safety and affordability. This report could pave the way for smarter regulation and more domestic nuclear production in the future.
4. Create a Department of Government Efficiency Fund
Regulatory bloat is not only costly for businesses but also for taxpayers who foot the bill for wasteful and inefficient agencies. A creative solution is to establish a Department of Government Efficiency (DOGE) Fund to incentivize civil servants to identify cost savings and reduce regulatory and budget burdens.
Inspired by Elon Musk and Vivek Ramaswamy’s new DOGE commission, as well as successful “Golden Scissors” awards programs in states like Idaho, the DOGE Fund could pay for bonuses and awards to government employees who propose reforms that result in meaningful cost savings. Departments could use the fund to finance Deregulation Officers tasked with overseeing cost-cutting initiatives within each federal agency (similar to roles created via an executive order during the first Trump administration).
Beyond awards and bonuses, the DOGE Fund could encourage interagency competition by publishing results of the most successful cost-saving achievements. Such reporting would help align government employees’ incentives with taxpayers’ interests and foster a culture of innovation within the civil service.
Conclusion
The four reforms mentioned here represent a strong starting point for modernizing environmental permitting and government operations. No doubt other good ideas exist and will be considered, but as Republicans look to leverage the reconciliation process to enact meaningful reforms in the 119th Congress, these proposals at a minimum should all be on the table.