NEWSRELEASE
For Release: September 9, 2003
Contact: John McDowell (202) 205-6941
john.mcdowell@sba.gov
SBA Number: 03-45 ADVO
State Legislator Organization Endorses Small Business Friendly Regulation
Rare Endorsement Of Federal Agency Sponsored State Model Legislation by American Legislative Exchange Council
WASHINGTON, D.C. – The nation’s largest bi-partisan membership association of
state legislators, the American Legislative Exchange Council (ALEC), has
endorsed Office of Advocacy state model legislation promoting small business
friendly policies. The vote in favor of the legislation marks a rare endorsement
by ALEC of state model legislation proposed by a federal agency.
“We’re pleased with the ALEC endorsement,” said Thomas M. Sullivan, Chief
Counsel for Advocacy. “It means that the model legislation has strong grassroots
support and that small business owners across the country can look forward to
the legislation being introduced in their states. The backing of ALEC adds to
the model legislation victories in the North Dakota, and Colorado, legislatures.
It’s good to see that state policy makers are realizing that piling on more and
more regulations, without considering their impact on small business, destroys
jobs and economic growth for their constituents,” he said.
The legislation, modeled after the federal Regulatory Flexibility Act (RFA),
requires state agencies to consider their impact on small business before
imposing regulatory mandates. By listening to small business, state agencies can
ensure that small business resources that would have been spent on over
burdensome new regulations are instead available for hiring new employees and
making new investments. At the same time, agencies still meet their regulatory
goals such as higher environmental quality, greater travel safety, better
workplace conditions, and increased family financial security.
Currently states offer a patchwork of laws that protect small business owners
and their employees from excessive regulatory mandates. Some states offer
protections similar to the RFA and enforcement mechanisms that mirror the role
of the Office of Advocacy of the U.S. Small Business Administration (SBA). Other
states offer little or no protection from the one-size-fits-all regulatory
mentality.
“Creating a healthy business environment is the fundamental purpose of the model
bill,” said Duane Parde, executive director of the American Legislative Exchange
Council. “Small businesses account for a majority of today's workforce and
relieving the regulatory burden of businesses will stimulate job creation,
innovation, and the growth and success of small businesses,” he said.
For more information and the text of the model legislation, visit the Office of
Advocacy website at www.sba.gov/advo.