The News: A wide coalition of free market groups and associations representing Wisconsin’s largest job creators are calling on the Wisconsin Legislature to vote on a legislative package known as the “Red Tape Reset.” The package was formally introduced last year and has advanced out of committee in both houses.
The Quotes: The Coalition’s Letter states, “Modernizing our regulatory system would unlock meaningful economic growth and help address the affordability challenges Wisconsin families and employers face every day. Research from the Wisconsin Institute for Law & Liberty finds that reducing unnecessary red tape by 20% could generate more than $2.5 billion in additional economic activity for Wisconsin.”
The Legislative Package: The Red Tape Reset package brings these same principles to Wisconsin.
AB 274/ SB 277 – Seven-Year Sunset of Administrative Rules: Requires every state regulation to be reviewed at least once every seven years. Agencies must demonstrate clear statutory authority and continued need. If they cannot, the rule automatically expires. This prevents outdated or unauthorized regulations from remaining on the books and restores meaningful legislative oversight.
AB 275/ SB 276 – Fee Shifting for Unlawful Rules: Allows citizens who successfully challenge an unlawfully adopted rule to recover attorneys’ fees. This lowers barriers to public oversight and encourages agencies to remain within their legal authority.
AB 276/ SB 275 – Strengthened Scope Statements: Requires one scope statement per rule and sets a 60-day expiration for emergency rule scope statements. This restores early notice, transparency, and legislative awareness while preventing agencies from stretching a single scope statement across multiple rulemakings.
AB 277/ SB 289 – Regulatory Budgeting: Requires agencies proposing costly new rules to identify offsetting reductions by modifying or repealing existing rules. If they cannot, the new regulation cannot take effect without an affirmative vote of the Legislature. This ensures that expensive mandates receive direct review by elected officials.
Public Support for The Red Tape Reset: As our letter notes, “Polling from the Institute for Reforming Government shows that 67% of likely Wisconsin voters support requiring legislative review of any regulation that has been in effect for more than seven years. And according to the WMC Summer 2025 Employer Survey, 23% of Wisconsin business leaders identified reducing or reforming regulations as the single most important action state government could take to help their business—second only to health-care affordability.”
What’s Next: The Legislature now has a timely opportunity to advance reforms that support small businesses, strengthen Wisconsin’s economy, and restore proper constitutional checks and balances. We respectfully ask leadership to place the Red Tape Reset package on their respective floor calendars at the next available opportunity.
The Coalition: The coalition includes a wide range of free-market advocacy and industry groups that are dedicated to improving Wisconsin’s regulatory environment, including:
- Americans for Prosperity – Wisconsin
- Associated Builders and Contractors
- Badger Institute
- Cicero Institute
- FGA Action
- IRG Action Fund
- MacIver Impact
- Metropolitan Milwaukee Association of Commerce
- Midwest Food Products Association
- National Federation of Independent Business
- Pacific Legal Foundation
- Wisconsin Independent Businesses
- Wisconsin Institute for Law & Liberty
- Wisconsin Manufacturers and Commerce
- Wisconsin Property Taxpayers, Inc.
Letter, 1.8.25