06/18/2007
CONTACT: Stephanie Cathcart, 202-314-2056
U.S. House considers legislation requiring review of federal regulations impacting small businesses
WASHINGTON, D.C.--The U.S. House Monday considered the Small Business Administration Entrepreneurial Development Programs Act of 2007. The National Federation of Independent Business, the nation's leading small-business advocacy group, considers today's vote on H.R. 2359 to be an official “Key Vote” for small-business owners.
The legislation addresses two important concerns of NFIB's members--the first provides relief from the burden of existing federal regulations on small businesses by requiring a review of the impact of those regulations. The second key provision provides specific grants to Small Business Development Centers to help small businesses identify affordable health-insurance options.
"Re-evaluating the federal regulations that disproportionately affect small businesses will significantly help small-business owners remain focused on what’s most important: running their small business," said Dan Danner, executive vice president of NFIB. "We urge the House to pass this important legislation that reduces onerous regulations on small businesses so they can continue to be the engine that drives this economy."
In recent years, the cost of regulation for small business has risen by nearly 10 percent per employee per year (SBA, Office of Advocacy). This means for one of NFIB's average members (with five employees) costs approach nearly $40,000 annually. According to NFIB member polling, 77 percent of NFIB members agree that all existing federal regulations should be re-evaluated every three to five years. Under H.R. 2359, the SBA’s Office of Advocacy would determine what regulations have significantly impacted a substantial number of small businesses, and then petition the respective agencies for review of such regulations. This oversight is critical to help reduce and eliminate unnecessary and unused regulations.
Also included in the legislation are specific grants to SBDCs to help small businesses find affordable health insurance options. The centers will provide access to information and resources on various health insurance options, along with training and technical assistance.
