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Pennsylvania Chamber members welcome legislation (H.B. 1349) moving through the General Assembly that would require state agencies to consider the impact of new regulations on small businesses.

Sponsored by state Rep. Tina Pickett, R-Sullivan/Susquehanna, the measure would amend the Regulatory Review Act by adding “small business,” as determined by the federal definition, to the list of stakeholders on economic impact statements.

State agencies would be required to inform the Independent Regulatory Review Commission of the following when submitting regulatory proposals:

• Type of small business that would be affected by the proposed regulation
• Any financial, economic or social impacts on small business
• An economic impact statement to include estimated number of small businesses affected; cost of compliance to the regulation; probable effect on impacted small businesses.

In addition, a regulatory flexibility analysis” would have to be conducted by the state agency proposing a new regulation or a change to an existing regulation. If the regulation was found to have a negative impact, small businesses could be held to less stringent compliance or reporting requirements; more workable deadlines for compliance; alternative performance standards; or even full exemption from the proposed regulation as long as health, safety, environment or public welfare are not adversely impacted.

The PA Chamber supports the bill and has supported similar measures in the past because of the need for policymakers to better understand how the cost pressures associated with government regulations and mandates ultimately impact job creators' ability to effectively and efficiently operate. Allowing small business greater flexibility will ensure compliance with reasonable, necessary regulations in a manner that does not take away from their ability to operate; maintain and potentially grow their business and workforce; and stay competitive.

The legislation was approved by the State House and was sent to the Senate for consideration.

Over the past several months, the PA Chamber and its members have shared first-hand accounts with the Corbett administration and state lawmakers about how government regulations impact day-to-day business operations and job creators’ short and long-term viability.

PA Chamber members applaud policymakers for their willingness to examine the Commonwealth’s complex regulatory maze in an effort to better balance the need to adequately and appropriately balance public health, safety and welfare with economic growth.

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Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of Business.