This week, Chairman Steve Chabot (R-OH) and Ranking Member Nydia M. Velázquez (D-NY) sent letters to several heads of agencies on why their agencies have not been adhering to federal law requiring them to comply with Section 212 of the Small Business Regulatory Enforcement Fairness Act (SBREFA).
Section 212 of SBREFA requires agencies to publish a small entity compliance guide for every rule that has a significant impact on a substantial number of small businesses under the Regulatory Flexibility Act. The law also states that agencies are to report annually to Congress on their compliance with this section.
"On this National Small Business Week, I want to ensure America's 30 million small businesses that their voice is heard throughout our federal government," said Chairman Chabot. "Not only is it irresponsible for these agencies to disregard Section 212 of SBREFA -- it's breaking the law. Ranking Member Nydia Velázquez and I have written to agencies requesting that they comply with the law, produce these documents, and present them to the Committee."
"Small businesses deserve transparency from their federal government. I am deeply troubled that numerous federal agencies have failed to adhere to a law that requires them to take into account the unique effect that regulations have on small businesses. I am proud to join with Chairman Chabot in holding these agencies accountable to the law, and to small business owners across the country," stated Ranking Member Velazquez.
After conducting a comprehensive investigation, the House Committee on Small Business uncovered that very few agencies have been reporting to the Committee since the reporting requirement began in 2007. The annual deadline for these reports is May 25. The statue was signed into law by President George W. Bush.
A total of 135 agencies and sub-agencies have been contacted about their reporting negligence.