It is perfectly correct and usable in written English and in spoken English.
Example sentence: "Let's make it a rule that we don't talk about politics at the dinner table."
The background: As our humble tribute, we were going to make it a rule that, starting today, every new band for the next 50 days would have to be as magical and magnificent, as sublime and transcendent, as Michael Jackson, but that would be ridiculous, if not impossible.
Make it a rule that come 6 p.m., all drinks must be caffeine free.
So we make it a rule that we go driving around for a couple of hours each morning, just talking over every possible thing we can think of.
She first tried to get out of it by saying she didn't like the idea of working "under surveillance", then told him that Bruce Richmond, editor of the TLS, "has to make it a rule that reviewers don't review their friends".
Make it a rule that if the route is under a mile, you have to walk! Plan ahead - pick a hotel that has a fitness center where you can actually workout.
Try to make it a rule that avoiding painful discussions about something that's bothering one of you is not an option.
"So his first year, we made it a rule that he had to stick to the paint".
(Kaufman made it a rule that whoever came up with the original idea would be first billed).
Their relationship, too, was asexual; apparently to discourage illusions of intimacy, Eliot made it a rule that they could not dine together on consecutive nights.
Some of the most desirable ones have been made unavailable: Jack Welch, the boss of GE, has made it a rule that his senior managers cannot sit on the boards of other companies.
He strengthened the existing institutions of Sikh scripture, liturgy, and langar, making it a rule that anyone who wished to see him had to eat in the refectory first.
