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Congressman Bob Gibbs Votes to Protect Small Businesses and American Jobs

Press Release

By:
Date:
Location: Washington, DC

Congressman Bob Gibbs released the following statement after passage of H.R. 4078, the Red Tape Reduction and Small Business Job Creation Act:

"I am pleased to say that today, the House passed a bill that significantly cuts the Obama Administration's ability to place harmful regulations on America's small businesses. By fighting the burdensome, expensive, and unnecessary red tape that restrains our economy and job creators, we are one step closer to getting America back to work.

"H.R. 4078 enforces a freeze on all new significant regulations that negatively affect the economy until the national unemployment rate reaches six percent or below. It also cuts red tape for consideration of federal permits for construction projects which, according to the Chamber of Commerce, could generate a $1.1 trillion boost to the economy and create 1.9 million construction jobs annually.

"America's small businesses are trapped by the federal bureaucracy imposed by the Obama Administration, holding them back from infusing new jobs into our economy. According to the Small Business Administration, small businesses are burdened with regulatory costs 36 percent higher than large businesses. Today's passage of H.R. 4078 is an essential stride toward lifting these regulations and recovering our struggling economy."

Summary of the "Red Tape Reduction and Small Business Job Creation Act" (H.R. 4078)

(Provided by the Congressional Research Service)

* Prohibits any federal agency from taking any significant regulatory action until the Secretary of Labor reports that the Bureau of Labor Statistics (BLS) average of monthly unemployment rates for any quarter after the enactment of this Act is 6% or less.

* Defines "significant regulatory action" as any regulatory action that is likely: (1) to have an annual cost to the economy of $100 million or more or to adversely affect the economy, productivity, competition, jobs, the environment, public health or safety, small entities, communities, or state, local, or tribal governments; (2) to create a serious inconsistency or otherwise interfere with another agency's action; (3) to materially alter the budgetary impact of entitlements, grants, user fees, or loan programs or the rights and obligations of recipients thereof; or (4) to raise novel legal or policy issues.

* Permits an agency to take a significant regulatory action notwithstanding such prohibition if the President determines by executive order that such action is necessary because of an imminent threat to health or safety or other emergency, necessary for the enforcement of criminal laws, necessary for U.S. national security, or issued to implement an international trade agreement. Provides for congressional approval of presidential requests for a waiver of such prohibition for other actions that do not meet such criteria but that are necessary to protect the public health, safety, or welfare.

* Allows judicial review of: (1) any regulatory action taken in violation of this Act that adversely affects or aggrieves any individual, and (2) any determination by either the President or the Secretary of Labor under this Act. Allows a court to suspend the granting of relief under this Act if the court finds by a preponderance of the evidence that the application or enforcement of a significant regulatory action is required to protect against an imminent and serious threat to U.S. national security. Sets forth provisions relating to: (1) the allowance of reasonable attorney's fees for certain small businesses that prevail in any civil action arising under this Act, and (2) the period for initiating a civil action under this Act.


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