President Trump has made regulatory reform one of his top priorities and has asked each federal agency to evaluate existing regulations and identify ones that should be repealed, replaced or modified.
NAHB has submitted its recommendations to the Environmental Protection Agency, Department of Housing and Urban Development, the Federal Emergency Management Agency, National Marine Fisheries Service, Fish and Wildlife Services, Department of Justice and Department of Energy. We will soon submit a list to the Army Corps of Engineers and provide suggestions to the Department of Labor, the Occupational Safety and Health Administration, and others once their notices are published.
The Small Business Administration’s Office of Advocacy is also collecting input through a series of nationwide Regulatory Roundtables. NAHB has had good representation at all roundtables to date.
NAHB supports federal efforts to address overly burdensome regulations, especially those that impact small businesses, and to ensure greater transparency and accountability in the federal regulatory process.
Why It Matters
As increasingly complex regulations are layered over existing ones, the growing mountain of red tape generates skyrocketing compliance costs that stifle business initiative and harm consumers. The housing industry provides a good example. On average, nearly 25% of the cost of building a typical new single-family home – almost $85,000 – is attributable to government regulation. According to NAHB research, approximately 14 million American households are priced out of the market for a new home by government regulations.
Three key reforms can fix the broken regulatory rulemaking process:
- Restore congressional oversight to the rulemaking system;
- Ensure rulemaking agencies consider the disproportionate impact rules have on small businesses; and
- Reconsider the rulemaking process.
Reasonable regulations are essential to protecting the health and safety of workers, the environment and financial institutions, but they must strike a balance. Federal regulations must be carefully structured to achieve their intended benefits while minimizing the burdens on small businesses.
See the latest on regulatory reform at NAHBNow.