Today the U.S. Department of Justice (DOJ) in conjunction with the National Economic Council (NEC) requested public comments by September 15th to identify “State laws that significantly and adversely affect the national economy or interstate economic activity and to solicit solutions to address such effects.” The Administration is seeking to preempt or find other ways around state laws it views as hindering “America’s economic growth, including those that burden industry and our small businesses.” DOJ and the NEC assert that “state-level practices can drive up nationwide costs and undermine American safety and Federalism by projecting the regulatory preferences of a few States into all States.” The one example they provide of such state practices are “California laws that impose costly requirements on the production of eggs and poultry products, raising prices for American consumers in and outside of California.”
Generally, the DOJ and NEC want comments detailing State laws, regulations, causes of action, policies, and practices “that adversely affect interstate commerce and business activities in other States.” More specifically, they invite comments on four issues: (1) which State laws significantly burden commerce in other States or between States, thus raising costs unnecessarily and harming markets nationwide; (2) whether the State laws identified may be preempted by existing federal authority and, if so, what authority; (3) whether there may be federal legislative or regulatory means for addressing the State laws or regulations identified or the burdens they cause; and (4) which federal agency has the subject-matter expertise to address concerns lawfully within the federal government’s authority. Comments are due by September 15, 2025 and can be submitted through the federal eRulemaking portal here using Docket No. DOJ-OLP-2025-0169.
It is unclear to what extent DOJ and NEC would consider state laws on the classification of workers as independent contractors, prevailing wage or PLA requirements, professionals licensing, or responsible contractor mandates as State laws that “significantly burden commerce in other States or between States.”