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A
new Senate bill introduced by Sen. Olympia J. Snowe
(R-Maine) would make it easier for small and very
small businesses to comply with complex and confusing federal
regulations, if the bill becomes law. S. 2834,
The Small Business Compliance Assistance Enhancement
Act of 2004, amends the 1996 Small
Business Regulatory Enforcement Fairness Act (SBREFA),
a law that helps the Small Business Administration's
Office of Advocacy's ability to reduce regulatory
barriers that hurt small businesses. Senator
Snowe is the chairman of the Senate Committee
on Small Business and Entrepreneurship.
Small
and very small meat plants would be helped by this bill.
It would require agencies to produce clear and timely regulatory
compliance guides. S. 2834 puts new emphasis on agency
compliance guides so that small businesses can better understand
and deal with complex rules and regulations. The Office
of Advocacy of the U.S. Small Business
Administration statistics show that each year it
costs the smallest businesses almost $7,000 per employee
to comply with federal regulations. That cost places
a burden on small business that is at least 60 percent greater
than large corporations.
The
SBREFA Act provides new ways for small
businesses to participate in, and have access to, the federal
regulatory arena. One thing the law does is force
regulatory agencies to spell out how proposed rules and
regulations would affect small businesses, and take into
account the effect of such rules on smaller industry.
It also allows small businesses and small business groups
to challenge regulatory agencies in court on the following
issues: (1) Whether the regulatory agency tried alternative
regulatory approaches, and the reasons for rejecting or
accepting them; (2) Whether an agency tried to collect enough
comments from small businesses via various means; (3) A
regulatory agency's decision to certify that a rule would
not have a "significant impact" on a large number
of small businesses, and what the agency's facts were in
its certification; and (4) Whether the agency complied with
a requirement for periodic reviews on the 10-year anniversary
of every rule.
The
SBREFA Law also updates the requirements
of a "final regulatory flexibility analysis" --
including describing the steps an agency has taken
to minimize the significant economic impact of a regulation
on small businesses.
The
Advocacy Office is the "small business
watchdog" of the federal government. It examines
the role and status of small business in the economy, and
independenty represents the the views of small business
to federal agencies, Congress and the President. It
is also the source for small business statistics presented
in "user-friendly" formats, and it also funds
research into small business issues. AAMP has worked
with the SBA and its Office of Advocacy
on a number of issues affecting the small meat industry,
particularly regulations the industry must operate under
that come from the US Department of Agriculture,
and the Environmental Protection Agency.
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