Small Business Republicans Continue Oversight of the Biden Administration’s Regulatory Attack on the Nation’s Smallest of Businesses
Washington, October 24, 2022
WASHINGTON, D.C. – Today, Ranking Member Blaine Luetkemeyer (R-MO), along with Republican Members of the House Committee on Small Business, issued the following statements on letters penned to federal agencies regarding the Biden Administration implementation of the Regulatory Flexibility Act (RFA), Small Business Regulatory Enforcement Fairness Act (SBREFA), and Executive Order 13272 as part of the Committee’s ongoing work to conduct oversight of small business concerns:
“As Ranking Member of the House Committee on Small Business, it is my responsibility to the American taxpayer and America’s small businesses to implement proper oversight to ensure transparency from Washington. These letters are intended to gather critical agency information to help us ensure the Biden Administration is properly and appropriately implementing laws designed to safeguard the interests of small businesses in the regulatory process. Burdensome regulations and a one-size fits all regulatory approach should not be forced upon Main Street without fully taking into account the interests of American small businesses,” said Ranking Member Luetkemeyer. “Small businesses are already struggling under Biden’s reckless spending fueled inflation crisis. The last thing this administration should be doing is implementing more government red-tape.”
“The SBA has been silent as the Biden Administration has worked overtime to create burdensome new rules and regulations on small businesses across the country,” said Vice Ranking Member Williams. “Congress enacted safeguards to insulate Main Street America from the most harmful policies coming out of Washington. However, it appears that many of these processes continue to be ignored. It is imperative that we get answers from the SBA and other government agencies about how they have been able to enact so much additional bureaucratic paperwork in just two short years. We cannot allow the SBA to be derelict in their duty to advocate on behalf of America's job creators in order to help the Biden Administration enact their radical political agenda.”
“The Administrator of the Small Business Administration, the Federal agency that is presumably dedicated to small businesses, testified before Congress that she was unfamiliar with the laws that help protect small businesses against regulatory burdens. This alarming testimony is why I joined Ranking Member Luetkemeyer in providing oversight over other government agencies to ensure they do not lack the same awareness of these important policies or harbor any indifference to implementing them to the best of their abilities. Small businesses on Main Street America are the economic engines of our economy and I will do all I can to protect their livelihoods,” said Rep. Stauber.
“Small businesses in my district and across America are contending with challenges from record inflation, workforce shortages, high energy costs, and supply chain disruptions. While fighting these headwinds, the last thing they need is the federal government continuing to saddle them with unnecessary and burdensome regulations that only serve to impair the growth and success as job creators. As a member of Congress and the House Small Business Committee, I take very seriously my duty to advocate for America’s small businesses in Washington and will always fight to ensure the federal government is cognizant of the impacts regulations has on Main Street,” said Rep. Meuser.
“President Trump’s administration did a great service to job creators and the American people by requiring two regulations to be cut before any one new regulation could be put into place. Cutting bureaucratic red tape helped our small businesses flourish and created the strongest economy our country had seen in decades. Now, under the Biden administration, increased regulations are burdening our Nation at a time when we are already reeling from the lasting impacts of the COVID-19 pandemic, an ongoing supply chain crisis, labor shortages, and record-high prices. This is especially true with Biden’s Department of the Interior, which is crushing our small businesses, farmers, and landowners with outrageous regulations. It is time for them to be reined in and once again serve the needs of the American people, not the bureaucratic elite,” said Rep. Tenney.
“Small businesses have struggled immensely under the burden of forced COVID closures, inflation, supply chain shortages, and labor shortages. These same businesses are the backbone of our local economy, and it is therefore imperative that the federal government does everything possible to provide relief. As Members of the House Small Business Committee, it is our job to exercise oversight over the Administration and advocate for the voices of small businesses to be heard. It is our intent that a thorough review of these small business focused measures will result in the reduction of burdensome and onerous regulations and red tape and provide some breathing room to small businesses who are working tirelessly to get back on their feet in this challenging economic environment,” said Rep. Garbarino.
“Small businesses are bearing the brunt of record-high inflation, supply chain issues and labor shortages. The last thing they need is more burdensome regulations that hurt their ability to meet their bottom line,” said Rep. Young Kim. “Policies from Washington should make life easier for Americans, not harder. I’m proud to join Ranking Member Luetkemeyer in urging for common sense, and I will keep fighting to get our economy back on track and ensure entrepreneurs can achieve their dream.”
"There are over 3,000,000 small businesses in Texas suffering from President Biden’s wasteful spending and bloated federal government. My Republican colleagues and I on the House Small Business Committee are committed to ensuring proper oversight is in place to safeguard these small businesses from harmful regulations,” said Rep. Van Duyne. “That is why I joined Ranking Member Luetkemeyer in sending a letter to the Department of Health and Human Services to address this administration’s burdensome regulations head on and empower the small businesses that fuel our economy.”
“Small businesses are the backbone of this country, making up approximately 99.9% of businesses in the US and accounting for about 44% of the nation’s economic activity. With small businesses already being hit hard by inflation, skyrocketing operational costs, and workforce challenges, it is more important than ever that we consider and address the impact of regulatory burdens imposed by the federal government. I’m happy to join Ranking Member Luetkemeyer’s oversight efforts to ensure transparency among agencies and protect the interests of small businesses everywhere,” said Rep. Dondalds.
“President Biden and his administration are publishing new regulations without properly considering the effects they have on small business owners in Miami and across the country,” said Rep. Salazar. “Prices are rising and small business are struggling to keep up with inflation. Federal agencies and cabinet departments must look at the full impact that any new rules will have on local job creators.”
“As a former small business owner, I understand how critical a pro-growth regulatory environment is to thrive. President Biden and Democrats overregulation have made it increasingly difficult for Wisconsin small businesses to make ends meet. Federal agencies must act transparently when determining the regulatory impact of proposed rules with respect to our small businesses. I’ve joined my Republican colleagues in demanding oversight of this process in order to protect our small businesses,” said Rep. Fitzgerald.
“As a member of the Small Business Committee, I’m very concerned about the Biden Administration’s breathtaking expansion of the federal government’s regulatory scheme. Any time the federal government attempts to grab more power through the rulemaking process, it can have a negative impact on Nebraska’s 44,000 farm and ranch families. That’s why we need answers about what the U.S. Department of Agriculture is doing to consider the impact of federal rulemaking on ag producers and small businesses through the Regulatory Flexibility Act and Small Business Regulatory Enforcement Fairness Act. It is imperative that we protect the ability of family businesses to grow the food we need to feed the world,” said Rep. Flood.
Read key excerpts from the letters:
“Built into the rulemaking process, Agencies across the federal government are provided discretion when determining a regulations impact on the nation’s small businesses. If an Agency’s economic analysis concludes that a proposed rule is expected to have a ‘significant economic impact” on a ‘substantial number of small entities,’ then the Agency must produce an Initial Regulatory Flexibility Analysis (IRFA) in the proposed rule. Alternatively, if an economic analysis concludes that there is no significant impact on a ‘substantial number of small entities’, then the Agency does not need to produce an IRFA. Instead, the agency simply certifies the rule’s undue hardship on small entities and provides a ‘factual basis for such certification.’ To justify the certification, the agency must publish the factual basis in the Federal Register and report the factual basis to the Chief Counsel for Advocacy of the Small Business Administration at the time the proposed or final rule is published for public comment.
“The bulk of the RFA’s protections for small businesses apply when an agency affirmatively determines that a proposed rule with have a ‘significant impact’ on a ‘substantial number of small entities.’ In that instance, section 212 of SBREFA also requires agencies to publish one or more small entity compliance guides for each rule, or group of rules, the agency determines has a significant impact on a substantial number of small entities. Additionally, in the final rule, the agency needs to publish a Final Regulatory Flexibility Analysis (FRFA) that includes but is not limited to ‘a description of and an estimate of the number of small entities to which the rule will apply or an explanation of why no such estimate is available.’”
Ranking Member Luetkemeyer and Republicans of the House Committee on Small Business issued letters to the below Biden Administration agencies.
Consumer Financial Protection Bureau – Ranking Member Blaine Luetkemeyer (R-MO) and Vice Ranking Member Williams (R-TX) (Letter)
Department of Agriculture – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Mike Flood (R-NE) (Letter)
Department of Commerce – Ranking Member Blaine Luetkemeyer (R-MO) (Letter)
Department of Defense – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Pete Stauber (R-MN) (Letter)
Department of Education – Ranking Member Blaine Luetkemeyer (R-MO) (Letter)
Department of Energy – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Andrew Garbarino (R-NY) (Letter)
Department of Health and Human Services – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Beth Van Duyne (R-TX) (Letter)
Department of Interior – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Claudia Tenney (R-NY) (Letter)
Department of Labor – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Maria Salazar (R-FL) (Letter)
Department of Transportation – Ranking Member Blaine Luetkemeyer (R-MO) (Letter)
Department of Treasury – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Byron Donalds (R-FL) (Letter)
Environmental Protection Agency – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Pete Stauber (R-MN) (Letter)
Federal Trade Commission – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Dan Meuser (R-PA) (Letter)
National Labor Relations Board – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Scott Fitzgerald (R-WI) (Letter)
Securities and Exchange Commission – Ranking Member Blaine Luetkemeyer (R-MO) and Rep. Young Kim (R-CA) (Letter)