Mr. Vice President: Stop the Tsunami of Federal Regulation
Small business owners in New Hampshire face thousands of federal regulations that have unintended economic consequences. Compliance costs continue to rise for small business owners who must find a way to keep up with new regulations filtering down from Washington.
New Hampshire is more fortunate than other states that our unemployment rate remains somewhat low in comparison at 5.3%. But small businesses are still hurting and as economic conditions stagnate, federal regulations should be relaxing not increasing.
The number and scope of regulations, along with the cost of those regulations, are growing at an alarming degree according to a recent report by the House Government Oversight and Reform Committee.
The report says the Obama administration has “imposed 75 new major regulations costing more than $380 billion over ten years.” Moreover, the report says there are 219 more “economically significant regulations” in the works which will cost businesses $100 million or more each year, for a minimum cost of $21 billion over ten years.
Chairman of the Committee, Rep. Darrell Issa, writes, “The Obama administration has created a regulatory environment that is suffocating America’s entrepreneurs’ ability to create jobs and grow business. The result has been a regulatory tsunami that has stifled productivity, wages, job creation and economic growth.”
The Small Business Administration’s Office of Advocacy recently noted that compliance with environmental regulations, for example, costs 364 percent more in small firms than in large firms. What’s worse is the Environmental Protection Agency (EPA) has over 331 environmental regulations under consideration.
Small business owners simply do not have the resources to comply with the influx of red tape coming from Washington. The dollars spent and manpower wasted to comply with the regulations set forth by the federal government is adding to the weight of a struggling economy.
As the backbone of New Hampshire’s economy, small businesses will need to be at the forefront of any economic recovery. The unintended consequences that result from regulations are killing job growth. As regulations hamper the economy, our leaders in Washington need to enforce current regulations instead of creating new ones.
New Hampshire’s Congressmen Frank Guinta and Charlie Bass have listened to the business community and are fighting against excessive regulation in Washington. Based upon the facts and the continued uncertainty with how government plans to treat the small business community, Vice President Biden would benefit from a regulatory discussion with New Hampshire business leaders.
Bruce Berke is the New Hampshire State Director of the National Federation of Independent Business.