In an effort to encourage job creation and give America’s job creators certainty during these uncertain economic times, U.S. Senator Susan Collins said today that she plans to introduce legislation that would impose a one year moratorium on “significant” new rules from going into effect, if those rules would have an adverse impact on jobs, the economy, or America’s international competitiveness.
“No business owner I know questions the legitimate role of government in protecting the health, safety, and well-being of the public and employees. Far too often, however, our small businesses are buried under a mountain of paperwork, driving up costs and impeding growth and job creation,” said Senator Collins. “I have heard, over and over again, from employers that it is the climate of uncertainty and excessive regulation coming from Washington that is discouraging them from hiring. We need a time-out. My proposal of a one year moratorium on the issuance of significant regulations is a common sense solution that would help create jobs.”
Currently, federal agencies are at work on more than 4,200 new rules.
“Working together, Congress also can advance legislation that improves the regulatory process to make it less burdensome, friendlier to job creators, and no less protective of the public interest,” Senator Collins added.
Summary of Senator Collins’ “Regulatory Time-Out Act”:
• Imposes a one year moratorium on “significant” new rules from going into effect, if those rules would have an adverse impact on jobs, the economy, or our international competitiveness.
• “Significant” rules include those costing more than $100 million per year. This definition is similar to definitions used by Presidents Clinton and G.W. Bush.
• The time-out applies to these rules issued by Executive Branch agencies and independent regulatory agencies.
• The moratorium would not apply to rules that address imminent threats to human health or safety or other emergencies, or that apply to the criminal justice system, military or foreign affairs.
• A rule cannot go into effect unless the issuing agency publishes, in the Federal Register, an explanation of why the rule is exempt from the moratorium.
• Rules which foster private sector job creation and the enhancement of the competitiveness of the American worker, or which otherwise reduce the regulatory burden, are exempt from the time-out.
• Within 10 days of the effective date of Senator Collins’ “Regulatory Time-Out Act,” agencies must submit to OMB and to Congress a list of rules which they believe are exempt.
Senator Collins’ legislation has won the
endorsement of the NFIB, the nation’s largest small business advocacy group.
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