12/09/2003
CONTACT: Michelle Bolton (602) 263-7690
Reforms Needed on State and Federal Levels
ARIZONA, December 9, 2003 -- The state's leading small-business advocacy organization today called burdensome government regulations a big hindrance to small-business growth and job creation. NFIB/Arizona State Director Michelle Bolton told a state regulatory reform panel that government regulations often cause more harm than good.
"Regulations are costly to the small-business owner, their employees and their customers," said Bolton. "It isn't just the actual dollars spent, but also the hours spent simply complying with those regulations. It can be draining to a business owner and it takes time away from what they do best -- create jobs."
Bolton's comments came in response to the release of a policy report by Institute for Justice Arizona Chapter staff attorney Tim Keller. The report, Burdensome Barriers: How Excessive Regulations Impede Entrepreneurship in Arizona, points out the harmful affect regulations have on small-business growth and competition.
"The biggest headache comes from the IRS," stated Bolton. "The tax code is difficult to understand. One minor mistake can set a business back for the lifetime of that business and it often never recovers."
Although many regulations cause problems for small-business owners, Bolton noted that Arizona officials are making an effort to work more closely with the business community. "While not a perfect process, Arizona has been a genuine leader in regulatory reform efforts," she said. "Delaying the effective date for most rules to 60 days was one of the best things accomplished in 2002. Small- business owners found it hard to comply with rules that were effective immediately, especially when they didn't even know that the rules existed."
Bolton urged small-business owners to contact lawmakers regularly to alert them about the affect regulations have on their businesses.
