The American Bankers Association joined the National Federation of Independent Business and 48 associations today in urging the House Small Business Committee to support legislation to strengthen the Regulatory Flexibility Act, which requires regulatory agencies to consider the economic effects of proposed regulation on businesses. In a joint letter, the associations said small businesses are concerned with the unprecedented pace of regulations coming out of Washington, D.C., so it is time to update the roughly 40-year-old law.
“Over the last three and a half years, more than $1.6 trillion in new regulatory costs and almost 300 million new paperwork hours have been imposed on the private sector,” the associations said. “These new burdens fall disproportionately on small businesses that do not have lawyers and compliance officers to navigate complex regulatory issues.”
Among other things, the associations urged committee members to support legislation such as the Prove It Act, a House bill that would require agencies to analyze and find ways to limit the effects of regulation on small businesses. (Not to be confused with a Senate bill of the same name, which concerns greenhouse gas emissions.) Other legislative proposals also would increase the transparency and accountability of the regulatory process for small businesses, they said.
