Mr. Speaker, I thank the gentlewoman for yielding. Mr. Speaker, I rise today in support of my bipartisan legislation, the Prove It Act, which gives small businesses a seat at the table during the regulatory process and shields them from…
Mr. Speaker, I thank the gentlewoman for yielding.
Mr. Speaker, I rise today in support of my bipartisan legislation, the Prove
It Act, which gives small businesses a seat at the table during the regulatory process and shields them from the most heavyhanded, one- size-fits-all regulations.
Government red tape has made it harder and more costly for Americans to start a business. For many, this hinders their opportunity to achieve the American Dream. For too long, D.C. bureaucrats have abused their power, trampling over the small businesses, which are the backbone of our communities.
Simply put, the Prove It Act gives teeth to the already-existing law, the Regulatory Flexibility Act, which is often ignored by Federal agencies in pursuit of their own political agenda.
Under RFA, agencies are required to complete an initial and final analysis of their regulations and certify that they will not have a significant impact on a substantial number of small entities. Unfortunately, in many cases, agencies have failed to meet the standards set out by the RFA and, in turn, have left our small business owners with the short end of the stick.
Throughout the last 4 years, the Biden-Harris administration has improperly certified dozens of regulations as not having a significant impact on a substantial number of small businesses.
Moreover, according to the American Action Forum, since 2009, Federal regulations have cost American taxpayers and businessowners $2.3 trillion to comply with them and have added 985 million hours of paperwork for our small businesses to shoulder. The Biden administration alone has accounted for $1.8 trillion of these costs and over 340 million paperwork hours.
With these compliance costs and paperwork hours skyrocketing, the Prove It Act is more important now than ever. Specifically, the Prove It Act will require Federal agencies to analyze both the direct and indirect costs their regulations would have on our small entities, create a way for small businesses to petition their chief advocate in government to review agencies' work and to make them prove that they are fully compliant with already-existing laws. If agencies fail to comply with the review process, small businesses would be exempt from the regulations in question.
Moreover, the bill ensures that small businesses can easily access preexisting guidance documents via regulations.gov. If agencies failed to perform an already-required 10-year retrospective review, the regulations would be nullified, giving teeth to this requirement that currently is in statute.
Mr. Speaker, I include in the Record letters of support from the National Federation of Independent Business; Job Creators Network; National Stone, Sand & Gravel Association; National Association of Insurance and Financial Advisors; a coalition letter on Regulatory Flexibility Act reform signed by over 45 national associations; and a May 21, 2024, letter from numerous Chambers of Commerce.
Mr. Speaker, the Prove It Act gives the hardworking American small businesses a voice in the regulatory process. It is time that we strengthen and empower our small business community rather than force them to comply with unnecessary and burdensome regulations.
Mr. Speaker, I thank Representative Caraveo and Representative Moran for partnering with me on this important legislation, and I urge all of my colleagues to vote in support of the Prove It Act.