Coats Introduces Bill to Help Hoosier Job Creators
“Regulatory reform legislation will lead to more jobs and opportunity across Indiana.”
WASHINGTON, DC – Senator Dan Coats (R-Ind.) today introduced legislation, the Sound Regulation Act, to help Indiana businesses focus on creating more jobs instead of more unnecessary paperwork.
The bill would require every federal agency to engage in an extensive cost-benefit analysis to determine the actual cost, in dollars, of regulations under each agency’s jurisdiction.
“Back home, I consistently hear about the negative impact of misguided and inefficient federal regulations on Hoosier businesses of all sizes,” said Coats. “Federal bureaucrats are regulating too many successful Indiana employers out of business or hamstringing their ability to expand. My proposal will cut Washington’s red tape and eliminate unnecessary federal rules. Regulatory reform legislation will lead to more jobs and opportunity across Indiana.”
The Sound Regulation Act would apply to all agencies of the federal government and would require cost-benefit reviews to take place every four years.
According to the U.S. Small Business Administration (SBA), the cost of complying with federal regulations exceeds $1.75 trillion every year, which amounts to more than $10,500 per American worker. Meanwhile, the number of pages in the Code of Federal Regulations has expanded from 71,224 in 1975 to 174,545 in 2012.
For small businesses in particular, Washington’s regulatory burden can be crushing. The SBA found that complying with federal regulations costs small businesses 36 percent more per employee than larger firms. In many cases, this cost amounts to the difference between a small business hiring or not hiring additional employees. Meanwhile, the combined budgets of federal regulatory agencies have grown by 26 percent to $59 billion since 2008, while employment at these agencies has increased by 16 percent.
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