Press Releases

Today Congresswoman Celeste Maloy (UT-02) introduced the Enhancing Regulatory Flexibility Act to strengthen the language in federal statutes protecting small businesses. The bill amends the Regulatory Flexibility Act (RFA), legislation that directed agencies to study and report the effects of new rules on small businesses.

 

“One of the most important ways Congress can step up now that the Supreme Court has overturned Chevron Deference is to write bills with clear language. That’s what my bill to amend the RFA does. The original bill meant to protect small businesses and require agencies to think of them when creating new rules, but flexible language has allowed agencies to ignore those requirements. My amendment will clarify the law and ensure agencies follow the RFA,” said Rep. Maloy.

 

“Our Committee has been laser-focused on reducing burdensome regulations and working to ensure federal agencies are complying with the RFA,” said Chairman Williams. “To that end, we’ve passed through some great, common-sense pieces of legislation. Representative Maloy’s bill adds to that work. I’m extremely grateful to her for introducing this bill to ensure federal agencies understand the cumulative impacts of their regulatory actions before forcing Main Street America to pay for additional expensive new mandates.”

The intent of the RFA was for agencies to study and report the effects of new rules on small businesses, but flexible language in the original bill has allowed agencies to ignore that direction. Rep. Maloy’s bill will make those reports mandatory, protecting small businesses and ensuring the intent of the RFA is followed.

 

The Regulatory Flexibility Act has been the focus of a Congressional Oversight Hearing this term. The House Committee on Small Business recently released the results of a three-year investigation detailing agency noncompliance. The investigation found that agencies improperly certify rules to avoid RFA requirements, underestimate regulatory costs to small businesses, fail to assess whether rules are duplicative, and refuse to comply with Congressional oversight requests.

 

To read the full report click here.

To read a letter of support signed by the Utah Chamber of Commerce and similar groups click here.