To the Members of the U.S. House of Representatives:
The U.S. Chamber of Commerce strongly supports H.R. 7198, the bi-partisan small business Prove It Act that would reduce the federal red tape burden on American small businesses. The Chamber will consider including votes related to this legislation in our annual How They Voted Scorecard.
The Chamber’s work with the Bradley Foundation shows that American businesses face more than $3 trillion in regulatory compliance costs. Because many regulatory costs are fixed, small businesses bear a regulatory cost burden that on a per-employee basis is roughly 20 percent higher than larger businesses with more employees.
Supported by more than 260 local, state, and regional chambers of commerce in 43 states, H.R. 7198 ensures that regulators fully disclose costs on small businesses. That way, any new regulation is transparent with costs that take away small employers’ ability to re-invest in their employees, improve their operations, and grow. Additionally, the Prove It Act allows small businesses to challenge agencies’ refusal to reduce regulatory burden. This process will hold federal regulators immediately accountable for ignoring small business input required by the Regulatory Flexibility Act of 1980.
Passage of H.R. 7198 would provide legal certainty beyond changing administrations and allow entrepreneurs to better plan and invest in the future of their businesses and their communities.
We applaud the work of the House Committee on the Judiciary and the House Committee on Small Business to develop this legislation and we urge you to vote in favor when this bill comes to the House Floor.
Sincerely,
Rodney Davis
Senior Vice President
Government Affairs
U.S. Chamber of Commerce
