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Luetkemeyer Backs Bill Restricting Red Tape that Stands in Way of Job Creation

Press Release

Location: Washington, DC

Acknowledging that excessive federal red tape is standing in the way of job creation, U.S. Rep. Blaine Luetkemeyer (MO-9) today voted in favor of legislation that would restrict the enactment of any significant regulations until the unemployment rate reaches 6 percent or less.

"For too long, government has stood in the way of economic prosperity by way of onerous and expensive regulations that are too much of a burden for our small businesses and other job creators," Luetkemeyer said. "We have been stuck at an unemployment rate above 8 percent for too long, and regulations proposed by the Obama Administration would worsen the situation, like proposals that would drive up the cost of gas and electricity or others that would make it more difficult to farm. It's time to stop the federal red tape and get people back to work and I believe this bill will help do that."

Until the Labor Department reports an unemployment rate of 6 percent or less, the Regulatory Freeze for Jobs Act (H.R. 4078) would bar the government from enacting significant regulations including those that have an annual cost to the economy of $100 million or more or that will adversely affect the economy, productivity, competition, jobs, the environment, public health or safety, small entities, communities, or state, local, or tribal governments.

Exceptions to the restrictions include an imminent threat to public safety as well as certain law enforcement functions relating to national security. The bill also would require congressional approval for any regulation that is not required to protect public health, safety or welfare.

Additionally, the bill would permanently prevent "lame duck" administrations from issuing major regulations; require the Securities and Exchange Commission and Commodity Futures Trading Commission to conduct a thorough cost-benefit analysis on regulations; require independent federal agencies to comply with review requirements and increase transparency like other departments and agencies; create an easier process to get a federal permit for construction projects; and guarantee that necessary parties have a right to intervene before federal agencies agree to binding legal settlements that require them to issue new regulations.

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