Regulatory Flexibility Act Saves Small Businesses $2.6 Billion in FY 2007

WASHINGTON, March 6 /PRNewswire-USNewswire/ -- Small businesses realized $2.6 billion in first-year cost savings and $285 million in annually recurring savings as a result of fiscal year (FY) 2007 efforts to help agencies comply with the Regulatory Flexibility Act (RFA). The law requires agencies to review the economic impacts of proposed regulations on small entities and consider less burdensome alternatives. The figures are reported in the FY 2007 edition of the Office of Advocacy's annual Report on the Regulatory Flexibility Act.

"Small firms are better equipped to do what they do best -- grow the economy -- when they are freed from coping with overly burdensome or duplicative regulations," said Chief Counsel for Advocacy Thomas Sullivan. "Federal agencies are learning that the RFA and Executive Order 13272 are valuable tools to help them consider the impact of their rules while still meeting regulatory goals."

In FY 2007, the Office of Advocacy completed its initial RFA training of rule writers in all the major regulatory agencies. President Bush mandated the training program in Executive Order 13272, signed in August 2002. The report notes that in FY 2007 the office also reviewed over 469 regulations to assess RFA compliance, convened 29 roundtables to solicit the priorities and comments of small entity stakeholders, and submitted 30 public comment letters to federal agencies on regulatory proposals.

A new chapter in the report discusses the RFA's "lookback" provision--section 610 -- which requires agencies to review existing regulations to determine if they are outdated, duplicative, or overly complex. The Office of Advocacy's new r3 initiative is designed to help agencies and small business stakeholders better understand and benefit from section 610 and other types of retrospective reviews of existing rules. After a process in which more than 80 rules were nominated by the small business community, Advocacy announced the top 10 rules for agency review in 2008 at the National Press Club in Washington, DC, February 28. Find out more about the initiative by visiting http://www.sba.gov/advo/r3.

The Office of Advocacy, the "small business watchdog" of the federal government, examines the role and status of small business in the economy and independently represents the views of small business to federal agencies, Congress, and the President. It is the source for small business statistics presented in user-friendly formats, and it funds research into small business issues.

For more information and a complete copy of the report, visit the Office of Advocacy website at http://www.sba.gov/advo.

The Office of Advocacy of the U.S. Small Business Administration (SBA) is an independent voice for small business within the federal government. The presidentially appointed Chief Counsel for Advocacy advances the views, concerns, and interests of small business before Congress, the White House, federal agencies, federal courts, and state policy makers. For more information, visit http://www.sba.gov/advo, or call (202) 205-6533.

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Source: Office of Advocacy of the U.S. Small Business Administration

CONTACT: John McDowell of the Office of Advocacy of the U.S. Small
Business Administration, +1-202-205-6941, john.mcdowell@sba.gov

Web Site: http://www.sba.gov/

2008-03-06 17:53:13 0306882 PRNEWSWIRE