Trump Administration Limits Notice and Public Comment on HHS Rule Changes
(March 4, 2025) The U.S. Department of Health and Human Services (HHS) has announced limits on public participation in HHS decision-making by rescinding a long-standing policy that has applied notice and public comment requirements to agency rules regarding grants, loans, benefits, and contracts. HHS's new policy also expands the agency's use of the "good cause exemption" from notice and public comment requirements in all types of rulemaking covered by the federal Administrative Procedure Act (APA). The new policy was published in the Federal Register on March 3rd.
In order to adopt rules and regulations, the APA generally requires agencies to publish a notice of proposed rulemaking in the Federal Register and give interested persons an opportunity to comment on the rulemaking. The APA permits an agency to forgo these requirements for “good cause” when the agency finds that notice and public comment are "impracticable, unnecessary, or contrary to the public interest." It also generally exempts from the notice and comment process rules related to agency management or personnel or to public property, loans, grants, benefits, or contracts. However, since 1971, HHS has followed a policy requiring the APA's notice and comment rulemaking procedures for these types of rulemaking. This policy has also limited the use of the good cause exemption from notice and comment requirements, instructing the agency to use the exemption “sparingly.”
HHS has rescinded this policy effective immediately, and will not be required to provide notice and public comment opportunities in relation to rulemaking on agency management or personnel or public property, loans, grants, benefits, or contracts. In addition, it will apply the good cause exemption from notice and comment requirements for rulemaking generally "in appropriate circumstances," rather than using it "sparingly."
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Contact: Karen Lipson, klipson@leadingageny.org