Companies Save Billions from Unnecessary Regulatory Compliance Costs
If you own your own business, then you are quite familiar with the costs - both in time and dollars - of state and federal regulations so it is always good to hear that someone is looking out for your business and helping to avoid unnecessary costly regulations.
Well there is some good news for America's small businesses on the issue of regulatory costs. Modifications made between 1998 to 2001 to proposed federal regulations saved small businesses more than $16.4 billion in foregone regulatory compliance costs, says Tom Sullivan, chief counsel for advocacy at the U.S. Small Business Administration. And, common sense would tell you that these savings contributed greatly to the growth of many small businesses and the overall health of our nation's economy during that time frame.
In testimony given in mid-March before the U.S. House of Representatives Subcommittee on Energy Policy, Natural Resources and Regulatory Affairs, Sullivan said he believes the savings occurred because federal agencies sought the advice and input from small businesses before moving forward with implementing unnecessary and costly regulations.
"Regulators are beginning to think about the effects of their proposals before they act and our experience has shown that this makes for better rules," Sullivan says. "These rules are not only "equally effective" in meeting the objectives of a cleaner environment, safer transportation, financial security and improving working families' health and safety, but they also are less costly to the small businesses they regulate."
Created by Congress in 1976, the Office of Advocacy is charged with independently advancing the views, concerns, and interests of small business. The defender of small business within the federal government, Advocacy intervenes on behalf of small business in the federal regulatory process as mandated by the Regulatory Flexibility Act and the Small Business Regulatory Enforcement Fairness Act. As chief counsel, Sullivan heads a team of attorneys and economists that work to remove regulatory barriers to entrepreneurial growth, conduct economic research, and publish data on small businesses' contribution to the economy. …