[Congressional Record Volume 157, Number 40 (Wednesday, March 16, 2011)]
[Senate]
[Page S1757]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. COLLINS (for herself, Mr. Roberts, and Mr. Barrasso):
  S. 602. A bill to require regulatory reform; to the Committee on 
Homeland Security and Governmental Affairs.
  Ms. COLLINS. Mr. President, yesterday I offered three amendments to 
the SBIR/STTR Reauthorization Bill to make commonsense reforms to our 
regulatory system. Today, Senators Roberts and Barrasso join me in 
offering the ``CURB Act''--which stands for ``Clearing Unnecessary 
Regulatory Burdens.'' This legislation combines the provisions of those 
three amendments to force federal agencies to cut the red tape that 
impedes job growth.
  As I explained yesterday, all too often it seems Federal agencies do 
not take into account the impacts to small businesses and job growth 
before imposing new rules and regulations. The bill we are introducing 
today obligates them to do so.
  The CURB Act does three things: first, it requires Federal agencies 
to analyze the indirect costs of regulations, such as the impact on job 
creation, the cost of energy, and consumer prices.
  Presently, Federal agencies are not required by statute to analyze 
the indirect cost regulations can have on the public, such as higher 
energy costs, higher prices, and the impact on job creation. However, 
Executive Order 12866, issued by President Clinton in 1993, obligates 
agencies to provide the Office of Information and Regulatory Affairs 
with an assessment of the indirect costs of proposed regulations. Our 
bill would essentially codify this provision of President Clinton's 
Executive Order.

  Second, the CURB Act obligates Federal agencies to comply with public 
notice and comment requirements and prohibits them from circumventing 
these requirements by issuing unofficial rules as ``guidance 
documents.''
  After President Clinton issued Executive Order 12866, Federal 
agencies found it easier to issue so-called ``guidance documents,'' 
rather than formal rules. Although these guidance documents are merely 
an agency's interpretation of how the public can comply with a 
particular rule, and are not enforceable in court, as a practical 
matter they operate as if they are legally binding. Thus, they have 
been used by agencies to circumvent OIRA regulatory review and public 
notice and comment requirements.
  In 2007, President Bush issued Executive Order 13422, which contained 
a provision closing this loophole by imposing ``Good Guidance 
Practices'' on Federal agencies, which requires them to provide public 
notice and comment for significant guidance documents. Our bill would 
essentially codify this provision of President Bush's Executive Order.
  Third, the CURB Act helps out the ``little guy'' trying to navigate 
our incredibly complex and burdensome regulatory environment. So many 
small businesses don't have a lot of capital on hand. When a small 
business inadvertently runs afoul of a Federal regulation for the first 
time, that first penalty could sink the business and all the jobs it 
supports. Our bill would provide access to SBA assistance to small 
businesses in a situation where they face a first-time, non-harmful 
paperwork violation. It simply doesn't make sense to me to punish small 
businesses the first time they accidently fail to comply with paperwork 
requirements, so long as no harm comes from that failure.
  Each of these provisions has been endorsed by the National Federation 
of Independent Business, NFIB, and the Small Business & 
Entrepreneurship Council. I urge my colleagues to support the CURB Act, 
which contains these important reforms to our regulatory system.

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