Federal Legislation
Senate Proposes Unfunded Mandates Transparency Act
March 20, 2026
Senator Deb Fischer introduced the Unfunded Mandates Accountability and Transparency Act (UMATA) aimed at reducing unfunded federal mandates on local governments and businesses by increasing regulatory transparency and accountability. The bill requires federal agencies to conduct comprehensive cost analyses of mandates, including costs passed to consumers, and enhances public and congressional oversight of regulatory impacts. This legislative effort seeks to address concerns about regulatory burdens that have restrained job growth and increased compliance costs for government contractors and businesses.
- Why this matters: Procurement professionals should anticipate increased scrutiny and documentation requirements related to regulatory cost impacts in federal contracts.
- Agencies may need to provide more detailed cost analyses of mandates affecting contractors, potentially influencing contract terms and compliance obligations.
- Businesses and contractors should evaluate how enhanced transparency and accountability could affect bidding strategies and operational costs.
- This legislation signals a potential shift toward greater congressional oversight of regulatory impacts, which could affect future procurement policies and compliance frameworks.
NFIB members continuously rank unreasonable government regulation as one of the top issues facing their business. Regulatory costs exploded under the previous administration, totaling an unprecedented $1.8 trillion.
— Dylan Rosnick
UMATA restores transparency by strengthening and clarifying requirements for agency regulatory impact analyses, helping policymakers see the trade-offs people face in complying with federal mandates.
— Clyde Wayne Crews Jr.
The federal government has thrown unfunded mandates on businesses and local governments across the country for far too long. Overregulating has restrained job growth and created a bureaucracy that only hurts communities back home.
— Deb Fischer
Agencies
United States Senate, United States House of Representatives, National Federation of Independent Business, Competitive Enterprise Institute