10/10/2007
CONTACT: Melissa Sharp, 202-314-2068
Washington, D.C.--In response to the decision issued today, by the federal district court in northern California, to issue a preliminary injunction halting the Department of Homeland Security from issuing "no-match" letters to employers, Karen Harned, executive director of the National Federation of Independent Business Legal Foundation, issued the following statement:
"The court's decision is encouraging for small-business owners. The court seriously questions whether the Department of Homeland Security violated the Regulatory Flexibility Act when the agency issued the final "no match" letter procedures. The court understands that this rule if enacted would likely cause significant harm to innocent employers and workers. On the other hand, the cost imposed on the government to conduct a regulatory flexibility analysis is minimal. Due to this reality, the opinion issued today raises serious doubt over the validity of DHS' argument that the agency was not required to conduct an RFA analysis because this rule will not have a significant economic impact on small firms.
"NFIB argued in its amicus brief that finalizing these rules without conducting a regulatory flexibility analysis clearly violates the Regulatory Flexibility Act. In order for all regulators to appreciate, respect and follow the mandatory Regulatory Flexibility Act, it is crucial that the Department of Homeland Security conduct a regulatory flexibility analysis before this rule is allowed to be implemented."
The preliminary injunction issued today prohibits DHS from issuing "no-match" letters to employers. The injunction will hold until the lawsuit against DHS based on this rule goes to trial.
