Small Business Committee Calls for Transparency from Federal Agencies

WASHINGTON – Last week, Chairman Steve Chabot (R-OH) and Ranking Member Nydia Velázquez (D-NY) sent follow-up letters to the heads of three federal agencies requesting further information on small entity compliance guide reporting as required by Section 212 of the Small Business Regulatory Enforcement Fairness Act (SBREFA).

“Small businesses deserve transparency from the federal government and for their voices to be heard in the federal rulemaking process. It is imperative that all federal agencies comply with the law by producing these documents to the Committee, so we can understand the unique effects of regulations on small businesses,” said Chairman Chabot.

Background: Section 212 of the Small Business Regulatory Flexibility Enforcement Fairness Act requires federal agencies to publish a small entity compliance guide for every rule that has a significant impact on a substantial number of small entities under the Regulatory Flexibility Act. The law also requires the agencies to report annually to Congress on their compliance with this section; however, the Committee has found that very few agencies have been adhering to the provision of SBREFA since it was amended in 2007.

In May, the Committee sent letters to 135 agencies and sub-agencies asking these federal agencies to adhere to federal law by complying with Section 212. As of September 7, 2018, three agencies have not complied with the Committee’s request for information.

To view the letter sent to the Honorable Alex M. Azar II, Secretary of the United States Department of Health and Human Services, click here.

To view the letter sent to the Honorable Rick Perry, Secretary of the United States Department of Energy, click here.

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