Mr. Speaker, the rapidly expanding Federal regulatory burden is a bipartisan problem, and I commend the chairman of the committee, my friend from Missouri, for his efforts in working, not just in his time as chairman, but working with the…
Mr. Speaker, the rapidly expanding Federal regulatory burden is a bipartisan problem, and I commend the chairman of the committee, my friend from Missouri, for his efforts in working, not just in his time as chairman, but working with the committee in the previous years.
And I know that he understands that this is not a Republican or a Democratic problem, because the regulatory burdens on small businesses increased by $30 billion from the years 2001-2008, and Federal regulations now cost Americans $1.75 trillion each year, which is up 50 percent from the $1.1 trillion in annual costs just in 2005.
And last year, the Federal Register contained 80,000 pages. In its first year in print, the Federal Register contained 2,355 pages. And each year, Federal agencies continue to release thousands of pages of new regulations and accompanying information. And I know that the gentleman understands that, and we share the goal of reducing this burden because the burden is detrimental, and it affects small businesses.
In fact, Mr. Speaker, studies indicate that adhering to Federal rules cost $10,585 per worker for small businesses with 19 or fewer workers, but only 78 percent of that amount for businesses with 500-plus workers. It affects small businesses disproportionately.
Overall, on a per-employee basis, it costs $2,400, or 45 percent, more for small businesses to comply with Federal regulations than their larger counterparts.
Small businesses face the greatest disadvantage in complying with environmental and tax regulations. Compliance with environmental regulations cost 364 percent more in small firms than large, and 67 percent more for the cost of corporate tax compliance.
So we agree on the problem. The question is, Where do we go from here?
And this is where I have a concern with what Chairman Graves is putting forward. What does H. Res. 72 call for that we're not already doing?
The Committee on Small Business has been reviewing regulations in a bipartisan fashion for years. The gentleman has been involved in that. And as a result of these examinations, it's called on Federal agencies to modify or alter regulatory requirements that impose costs on small firms. This has included regulations pertaining to medical equipment at CMS, accounting requirements at the SEC, real estate procedures at HUD, environmental regulations at the EPA, and on it goes.
So the reality, Mr. Speaker, is we've already done, as a committee, what this resolution calls for. And I will include in the Record the 112th Congress Small Business Committee's Oversight of Federal Regulatory and Paperwork Burdens administrative plan, what the committee has already passed.
So my question for the gentleman from Missouri to answer during the course of the debate is: What exactly does this resolution do for small businesses that we're not already doing? Is there anything in this that's not already being done now? Does it actually reduce any real regulatory burden on small businesses? Does it reduce paperwork? Does it limit government requirements on the small business community?
I would submit that this particular resolution does not. It sets up a bureaucratic process here in the Congress with a goal of inventory of regulations, a long list of inventory regulations. But this list will be submitted as part of an administrative reporting process. It does nothing for small businesses.
So I would suggest, Mr. Speaker, in closing, that instead of approving this bookkeeping resolution, what Congress really needs to do is strengthen the tools it already has available to reduce regulatory burdens. This includes the Regulatory Flexibility Act, which mandates that Federal agencies consider the potential economic impact of Federal regulations, strengthening the requirements and increasing agency reviews and regulations, regulatory relief that we passed here in the Congress during the 110th Congress, reported out by the Small Business Committee related to bipartisan regulatory reductions.
And as we continue to revisit these issues here in the 112th Congress, we must remember that small businesses are who we're trying to help.
So, in closing, I'm concerned, Mr. Chairman, that what this legislation does is add an unnecessary step to getting down to the business that we can all agree on, which is actually reducing the regulations that we all agree are a problem.
oversight of federal regulatory and paperwork burdens
The Committee will conduct hearings and investigations into
unnecessary, burdensome, and duplicative federal rules,
reporting and recordkeeping requirements affecting small
businesses that may include any or all of the following, as
well as matters brought to the attention of the Committee
subsequent to the filing of this Report:
Centers for Medicare and Medicaid Services.
Consumer Financial Protection Bureau.
Consumer Safety Products Commission.
Department of Agriculture.
Department of Energy, particularly the Office of Energy
Efficiency and Renewable Energy.
Department of Interior, particularly the Bureau of Land
Management and Minerals Management Service.
Department of Labor, particularly the Occupational Safety
and Health Administration.
Department of Homeland Security, particularly the
Transportation Security Administration.
Department of Transportation, particularly the Federal
Aviation Administration and Federal Motor Carrier Safety
Administration.
Environmental Protection Agency.
Federal Communications Commission.
Federal Financial Institutions Examination Council and its
constituent agencies.
Food and Drug Administration.
Office of Federal Procurement Policy.
Securities and Exchange Commission.
The Committee will identify specific rules and regulations
already issued or at the proposed rule stage to assess the
impact on small businesses. The Committee will pay close
attention to the effect that regulations have on the
implementation of advanced technologies including, but not
limited to, the deployment of broadband communications
(either by wireline or wireless services) throughout the
United States. Oversight of the regulatory process also will,
to the extent relevant, examine the work of the Office of
Information and Regulatory Affairs at the Office of
Management and Budget. Special attention will be paid to the
work performed by the Chief Counsel for Advocacy at the
United States Small Business Administration to ensure that
Office is fulfilling its mission to advocate vigorously on
behalf of America's small business owners in regulatory
matters at federal agencies. Finally, this oversight will
entail an examination of compliance by federal agencies with
amendments to Executive Order 12866 and memoranda on
regulatory flexibility and regulatory compliance issued by
the President on January 18, 2011.