Executive Order Requests Plan to Reorganize Executive Branch

On March 13, 2017, President Donald Trump issued an executive order (Order) requiring the Director of the Office of Management (Director) to develop a proposed plan to reorganize the executive branch. The proposed plan must be published in the Federal Register and submitted to the president within 180 days following the closing of the comment period. At this time it is not clear whether the CFPB is subject to the Order.

Specifically, the Order requires that the proposed plan provide recommendations regarding the reorganization of governmental functions, including the elimination of unnecessary agencies, components of agencies, and agency programs. In developing the proposed plan, the Order requires that the Director take into consideration, in addition to any other relevant factors: (1) whether some or all of the functions of an agency, a component, or a program are appropriate for the federal government or would be better left to state or local governments or to the private sector through free enterprise; (2) whether some or all of the functions of an agency, a component, or a program are redundant, including with those of another agency, component, or program; (3) whether certain administrative capabilities necessary for operating an agency, a component, or a program are redundant with those of another agency, component, or program; (4) whether the costs of continuing to operate an agency, a component, or a program are justified by the public benefits it provides; and (5) the costs of shutting down or merging agencies, components, or programs, including the costs of addressing the equities of affected agency staff.