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house Bill H.R. 527

Should Regulators Have To Assess Their Indirect Impact On Small Businesses?

Argument in favor

Small businesses are affected by the rulings that federal agencies make. Since they don’t have the same kinds of resources that big businesses do, it’s up to the federal government to keep them informed.

EricRevell's Opinion
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02/23/2015
Regulators need to be able to consider the unintended consequences of their actions, especially as they relate to small businesses which could be especially vulnerable.
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JonRunyan's Opinion
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03/14/2015
Every time Gov changes the rules it costs $$ that cost always gets passed on to the consumer!
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Stephen's Opinion
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04/21/2015
Heavy regulatory burdens serve to keep small businesses out, protecting large interests. It's odd that many liberals believe that regulations restrain the excesses of big business. If that's the case, why is big business doing so well and small business struggling? Big businesses actually like most regulations because it raises barriers to entering the market, thus allowing large enterprises to have virtual monopolies with little competition. This is why big businesses continue to donate millions to politicians who support heavy regulation.
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Argument opposed

This bill has nothing to do with "small business". There are no rules that ensure these regulation oversights aren't applied to large business — not to mention that this bill undercuts federal agency authority.

ThomasParker's Opinion
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05/23/2015
There are decent arguments for and against this. However, simply recognizing that regulations indirectly impact small businesses does no one any good. What would be good? Reducing and eliminating regulations instead of calculating their impacts.
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W.S.1984's Opinion
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01/06/2016
Better to just eliminate the regulation in the first place
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William's Opinion
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04/19/2015
Why regulations, specifically? With such Brodie language, it's hard to see this bill as anything but a bullshit excuse to go after regulation in general, and it's pretty obvious who benefits most from that. Certainly not small business...
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bill Progress


  • Not enacted
    The President has not signed this bill
  • The senate has not voted
      senate Committees
      Committee on Homeland Security and Governmental Affairs
  • The house Passed February 5th, 2015
    Roll Call Vote 260 Yea / 163 Nay
      house Committees
      Committee on Small Business
      Committee on the Judiciary
      Antitrust, Commercial and Administrative Law
    IntroducedJanuary 26th, 2015

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What is House Bill H.R. 527?

This bill seeks to increase the power of the small business voice in the federal government. If passed, it would require federal regulators to assess the direct and indirect effects of their regulation on small businesses as part of their report on the bill. 


H.R. 527 would also establish a panel for federal departments, comprised of employees from regulatory agencies and The Small Business Administration, to review proposed regulations. It would also prohibit agencies from implementing regulation until analysis was complete.

Impact

Owners and supporters of small businesses, federal agencies, and people protected by federal agencies.

Cost of House Bill H.R. 527

A CBO cost estimate is unavailable.

More Information

Of Note:

This bill amends the Regulatory Flexibility Act. Passed in 1980, it required regulatory agencies to assess their impact on small businesses if it is expected to be “substantial.” According to the U.S. Business Administration’s Office of Advocacy, it’s saved small businesses $4.8 billion since it was implemented.


In Depth:

Organizations like the National Federation of Independent Businesses, a lobbying group, hope to see this same kind of savings. They say that small business efforts are still thwarted by the litany of legal work necessary for small businesses to comply with federal law.


Opponents of this bill, however, are frustrated by the term “indirect.” According to organizations like Coalition for Sensible Safeguards and the Center for Effective Government, because the term is so broad, the bill could require infinite analysis of every last detail of a bill— doesn’t, like, everything indirectly affect everything, man? CEG has further concerns with the term “small business” along those lines. In a report issued in 2014, it found that small business review panels are often distorted by big business interests.


Media:

Sponsoring Rep. Steve Chabot (R-OH) Addressing The Judiciary Committee


The Hill

The Washington Post

(Photo Credit: Flickr user Angela Radulescu

AKA

Small Business Regulatory Flexibility Improvements Act of 2015

Official Title

To amend chapter 6 of title 5, United States Code (commonly known as the Regulatory Flexibility Act), to ensure complete analysis of potential impacts on small entities of rules, and for other purposes.

    Regulators need to be able to consider the unintended consequences of their actions, especially as they relate to small businesses which could be especially vulnerable.
    Like (11)
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    There are decent arguments for and against this. However, simply recognizing that regulations indirectly impact small businesses does no one any good. What would be good? Reducing and eliminating regulations instead of calculating their impacts.
    Like (5)
    Follow
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    Every time Gov changes the rules it costs $$ that cost always gets passed on to the consumer!
    Like (3)
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    Heavy regulatory burdens serve to keep small businesses out, protecting large interests. It's odd that many liberals believe that regulations restrain the excesses of big business. If that's the case, why is big business doing so well and small business struggling? Big businesses actually like most regulations because it raises barriers to entering the market, thus allowing large enterprises to have virtual monopolies with little competition. This is why big businesses continue to donate millions to politicians who support heavy regulation.
    Like (3)
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    This should already be done. If you are going to regulate something, understanding the impacts to the fullest extent is due diligence. I've worked for a SBA before and policies coming down the pipe would stifle business growth while providing minimal protections.
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    One of the objections is essentially "This will over-regulate the regulators." If anyone needs over-regulation, it's them.
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    No brainier. Unintended consequences should be avoided if possible.
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    The less government regulation the better but it will not happen.
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    Regulation is necessary, but full assessment of direct and indirect impacts needs to occur before any actiion is taken.
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    Small businesses are suffering because of major store chains. Its important to keep free capitalism for all Americans, not just the business elite.
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    This bill will assist small businesses to make it plain to all how regulations will affect their business.
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    Better to just eliminate the regulation in the first place
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    This is the deal a small business serves the community it's in; a large corporation in this day and age doesn't pay taxes and due to the fact that congress still has not addressed the tax loopholes that allows it these corporations will continue to place the burdens on the people so we should lessen the tax burdens and regulations on small businesses to promote economic growth and jobs in the community.
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    Let's face it; small business is always the big loser in most regulatory change, so bureaucrats need to know how their decisions affect small business.
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    Small businesses are the engine that runs the economy and are affected by the rulings that federal agencies make. Since they don’t have the same kinds of resources that big businesses do, it’s up to the federal government to keep them informed so that they can flourish.\
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    The unintended consequences of prior regulations are the reason we have the largest trade deficit in the history of the world. I would love to simply eliminate these regulations but if that is unrealistic then lets just review the devistation.
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    Small businesses and startup businesses can be easily discouraged by these regulations, fees and fines. Larger companies can absorb them. Regulators need to take this into consideration before applying the full force of the laws to them.
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    Regulators should have to confront sunset laws to their organizations and their own positions. Too much non constitutional government interference in commerce has taken over and stubbornly will not go away.
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    Regulators are notoriously short-sighted in their efforts to raise money, rarely considering the impact and repercussions of their actions. They should be forced to at least think about the consequences.
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    absolutely
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