Shining a Light on Regulatory Dark Matter Businesses generally want to comply with laws and regulations, but a significant challenge arises from “regulatory dark matter”—sub-regulatory guidance documents that, while not legally binding, are often treated as such by regulators. This creates ambiguity and makes it difficult for companies, especially smaller ones, to understand and adhere to all requirements. A proposed solution, the GOOD Act, aims to make these guidance documents more accessible through a searchable online portal, but it doesn’t fully address the underlying issue of “legislation-by-regulation devolving into regulation-by-guidance.”

• Businesses aiming for “high compliance” with environmental and safety rules often give regulators more than is asked for to avoid costly work interruptions and regulatory entanglements.
• “Regulatory dark matter” refers to a vast amount of sub-regulatory literature (guidance documents, memoranda, etc.) produced by agencies that, despite not being laws or regulations, often carry effective quasi-legal standing.
• This dark matter is difficult to track, not centrally organized, and can be vague, making it hard for businesses to know what is expected of them.
• The GOOD Act (Guidance Out of Darkness Act) proposes creating a searchable online portal for these guidance documents to improve transparency and compliance.
• Despite the GOOD Act passing the House, the fundamental issue of “legislation-by-regulation” shifting to “regulation-by-guidance” remains unaddressed.