THE LEGISLATIVE CLEARANCE FUNCTION
This Attachment summarizes the major elements of the legislative clearance function that OMB, working with other offices in the EOP and with the agencies, carries out on behalf of the President.
Background
The President's legislative responsibilities are founded in his constitutional duties and powers. In executing his executive duties, the President generally outlines legislative recommendations through the Inaugural address, State of the Union address, Budget, Economic Report, and other communications. The compilation of these recommendations constitutes the President's Program. In supporting the President's Program, Executive branch agencies: (1) submit to the Congress legislative proposals needed to carry out the President's Program; (2) convey the Administration's views on legislation that the Congress has under consideration; and (3) recommend approval or disapproval of bills passed by the Congress.
OMB's legislative clearance function allows for all affected agencies to engage and reconcile differences on legislative proposals and communications that are cleared and transmitted to the Congress. The primary goals of the clearance process are to ensure that: (1) agencies' legislative communications with Congress are consistent with the President's policies and objectives; and (2) the Administration "speaks with one voice" regarding legislation. During clearance, OMB circulates items to affected agencies and EOP offices for their review, and ensures that all issues are resolved before providing final clearance to the transmitting agency.
Items that are Subject to the Clearance Process
Legislative Proposals – All draft legislation that Executive branch agencies wish to transmit to the Congress must be sent to OMB for clearance. OMB circulates the draft bills, along with any other supporting documents, to affected agencies and appropriate EOP offices.
Any agency reviewing a draft bill may respond that it: (1) supports or has no objection to the draft bill; or (2) proposes substantive or technical amendments, or even a complete substitute. OMB facilitates reconciliation of divergent views. Most disagreements are resolved through discussions at the staff level by OMB, other EOP offices, and the agencies.
After obtaining appropriate policy guidance on a draft bill and resolving all issues, OMB advises the proposing agency of clearance. OMB directs the originating agency to convey the draft bill, a transmittal letter, and a sectional analysis to the Congress. If the draft bill is contrary to or conflicts with the Administration's objectives, clearance is withheld and OMB advises the proposing agency that it may not transmit the bill.
Testimony and Letters on Pending Legislation – Congressional committees often invite agency officials to testify on pending legislation on behalf of the Administration, or
