Research Note: Updates in Regulatory Restraint

Jakob Myers

Staff Intern

Jakob Myers
/ Regulatory Reform
by Jakob Myers
February 16, 2026

Research Note: Updates in Regulatory Restraint

In recent years, states across the country have taken renewed interest in reviewing longstanding and often outdated regulatory frameworks. Many legislatures are reassessing rules that may constrain economic growth, aiming to reduce regulatory accumulation and increase legislative oversight of unelected agencies. Although each state varies in its approach, a common goal has emerged: limiting high-cost regulations and improving transparency and accountability in the rulemaking process. 

The Georgia Policy Public Foundation recently released a report that highlighted several states pursuing regulatory reform. Among them, Virginia, Alaska, and Indiana stand out for their targeted and structured efforts. 

Virginia 

In June of 2022, Virginia took early action to curb overregulation at the state level. Former Virginia Governor Glenn Younkin signed Executive Order 19, creating the Office of Regulatory Management (ORM). The ORM was tasked to bring consistency to the regulatory procedure and create a review process for existing regulations. Such a task was to be done through three primary objectives: 

  • Reduce regulatory requirements by 25%, 
  • Improve efficiency in the regulatory and permitting approval process, and 
  • Increase regulatory transparency through cost-benefit analysis. 

Three years after the creation of the ORM, former Governor Younkin spoke of its great success. According to the American Legislative Exchange Council, ORM reported that it had surpassed its goal by reducing over 26% of the regulatory requirements in the state. Additionally, review times improved by 88%, and all regulation and guidance documents were made publicly accessible. The quantitative benefits of these steps were estimated to be around $1.2 billion in savings for the state.  

In its creation of the ORM, Virginia paved a path that many states have begun to follow. Governor Youngkin and the ORM set clear standards that resulted in significant deregulation and tangible savings.  

Alaska 

In August of 2025, Alaska Governor Mike Dunleavy signed two Administrative Orders aimed at improving government efficiency and fostering economic growth. The first established a Government Efficiency Review, requiring the Office of Management and Budget to conduct an annual review of executive branch agencies. These reviews are intended to identify cost savings, streamline operations, and improve oversight of grants and non-state entities, including through the expanded use of technology and artificial intelligence. 

The second order launched a comprehensive Regulatory Reform Initiative, requiring state agencies to review existing regulations and reduce regulatory requirements by 15% by the end of 2026 and 25% by 2027. Governor Dunleavy emphasized that the initiatives seek to eliminate unnecessary red tape while maintaining protection for public safety and the environment. 

Indiana 

In January 2025, Indiana Governor Michael Braun signed Executive Order 25-17, directing state agencies to address regulatory accumulation. The order requires all state agencies to review existing rules scheduled for readoption and assess their necessity by comparing them to similar regulations in neighboring states. Agencies must prepare and publish written justifications for any rules they seek to retain.  

The order also directs the Office of Management and Budget to oversee and implement a 25% reduction in regulatory requirements for each agency by January 1, 2029. Rules left unamended for eight years are to be codified unless an agency can justify their continued effectiveness. 

In his order, Governor Braun recognized that Indiana had taken steps towards regulatory reform in the past. However, previous reforms had not reduced the burdens of existing regulations on the state. Thus, periodic reviews, scaling back, and public transparency are crucial moving forward.  

Conclusion 

Nebraska, similar to the states discussed above, has taken steps to address regulatory oversight. In 2025, legislators in Lincoln introduced a package of seven bills coined the GOAT (government oversight, accountability, and transparency). One particular bill, the REINS (Regulations from the Executive in Need of Scrutiny) Act, required any regulation with an estimated economic impact of $1 million or more over a five-year period to receive legislative approval. Similarly, LB29 sought to require agencies to review their regulations every three years and submit reports to the Legislature. Although the REINS Act currently sits in committee, LB29 was amended and passed as a part of LB660, requiring reviews to take place every five years. These pieces of legislation stand as clear examples that Nebraska has joined the wave across the country to fight for regulatory efficiency and transparency. 

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