Independent Federal Agencies Face Oversight Expansion Under Trump Executive Order

President Trump has issued an executive order aiming to strengthen oversight of independent federal agencies, including the Securities and Exchange Commission (SEC), Federal Trade Commission (FTC), and Federal Communications Commission (FCC). The order requires these agencies to:

* Submit draft regulations for White House review prior to publication
* Consult with the Trump administration on priorities and strategic plans

Independent agencies have historically complied with White House directives but have not been legally obligated to do so. This order changes that, potentially triggering legal challenges.

The order exempts the Federal Reserve's monetary policy decisions but requires its Board of Governors to comply with oversight related to financial institution supervision and regulation.

According to the order, previous administrations have allowed independent agencies to operate with minimal presidential supervision, exercising substantial executive authority without full accountability to the president and the American people.

Trump seeks to assert greater control over agencies by appointing loyalists to key positions. He has embedded allies within the federal government to identify cost-cutting measures and target staff for termination.

Independent agencies by design maintain a degree of separation from the White House. For example, the SEC may not have more than three commissioners from the same party, who serve staggered terms to mitigate political bias.

Experts argue that these agencies were created to provide technical expertise by bipartisan groups, protecting them from the whims of the president.

Bill Kovacic, former FTC chair under President George W. Bush, acknowledges White House involvement in agency budgeting but notes that engagement in regulation has been limited.

During his first term, Trump clashed with then-FTC Chair Joe Simons over an executive order targeting tech companies. Despite pressure from the president, Simons could not be fired. However, the White House interviewed potential replacements and considered demoting him.

(Updates with additional details)