Powerful Shaper of U.S. Rules Quits, With Critics in Wake

Cass R. Sunstein, who wielded enormous power as the White House overseer of federal regulation, came to Washington to test his theories of human behavior and economic efficiency in the laboratory of the federal government. Now he is departing with a record that left many business interests disappointed and environmental, health and consumer advocates even more unhappy. Sunstein, 57, who projected an air of disheveled academic detachment while becoming one of the Obama administration’s most provocative figures, announced August 3 that he was leaving government to return to Harvard Law School.

Applying a cost-benefit analysis to his reviews of proposed rules, he said his goal was simply to make the nation’s regulatory system “as sensible as possible.” His critics saw it differently. “Cass Sunstein is the most well-connected and smartest guy who’s ever held the job,” said Rena Steinzor, president of the Center for Progressive Reform and a professor at the University of Maryland Carey School of Law. “But he’s also done untold damage.” As administrator of the White House Office of Information and Regulatory Affairs, he reviewed the rules implementing President Obama’s health care act and the Dodd-Frank financial regulatory reform law.

“For the last three and a half years,” said President Obama, “Cass Sunstein has helped drive a series of historic accomplishments on behalf of the American people. From putting in place lifesaving protections for America’s families, to eliminating tens of millions of hours of paperwork burdens for our nation’s citizens and businesses, Cass has shown that it is possible to support economic growth without sacrificing health, safety, and the environment. Cass has shepherded our review of existing rules to get rid of those that cost too much or no longer make sense, an effort that is already on track to save billions of dollars. With these reforms and his tenacious promotion of cost-benefit analysis, his efforts will benefit Americans for years to come. I can’t thank him enough for his friendship and for his years of exceptional service.”