Regulatory Flexibility Improvements Act - Revises the Regulatory Flexibility Act. Defines the "economic impact" of a rule to include any economic effects on small entities. Includes tribal organizations within the definition of "small governmental jurisdictions." Redefines a "small organization."
Requires initial and final regulatory flexibility analyses: (1) to describe alternatives or steps taken, respectively, that maximize any significant beneficial economic impact on small entities; and (2) for revisions to land management plans, rules made on the record after opportunity for an agency hearing, and interpretive rules involving the internal revenue laws that impose a recordkeeping requirement.
Requires initial analyses of a proposed rule to contain a detailed statement (1) of the reasons why a description of duplicative, overlapping, or conflicting Federal rules could not be provided; and (2) estimating the cumulative economic impact on small entities beyond that already imposed on the class of small entities by the agency or explaining why such an estimate is not available.
Requires that final analyses include the agency's response to any comments filed on a rule by the Chief Counsel for Advocacy of the Small Business Administration and a detailed statement of any changes made as a result. Requires publication of analyses on agency websites.
Repeals provisions setting forth procedures for waiving or delaying completion of requirements for analyses.
Sets forth requirements for a report by the Chief Counsel, after a review panel is convened, assessing the impact of certain proposed rules on small entities and discussing the impact of alternatives.
Requires publication by each agency of a new plan for the periodic review of its rules that have a significant impact on a substantial number of small entities to determine whether such rules should be continued, changed, or rescinded.
Requires the Chief Counsel to issue rules governing agency compliance with the Act and authorizes the Chief Counsel to intervene in agency adjudications and inform the agency of the impact of its decision on small entities.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 682 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 682
To amend chapter 6 of title 5, United States Code (commonly known as
the Regulatory Flexibility Act), to ensure complete analysis of
potential impacts on small entities of rules, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 9, 2005
Mr. Manzullo (for himself, Mr. Chabot, Mr. King of Iowa, Mr.
Westmoreland, Mr. Pence, Mr. Akin, and Mr. Keller) introduced the
following bill; which was referred to the Committee on the Judiciary,
and in addition to the Committee on Small Business, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To amend chapter 6 of title 5, United States Code (commonly known as
the Regulatory Flexibility Act), to ensure complete analysis of
potential impacts on small entities of rules, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Regulatory
Flexibility Improvements Act''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Clarification and expansion of rules covered by the Regulatory
Flexibility Act.
Sec. 4. Requirements providing for more detailed analyses.
Sec. 5. Repeal of procedure for waiver and delay.
Sec. 6. Procedures for gathering comments.
Sec. 7. Periodic review of rules.
Sec. 8. Judicial review of compliance with the requirements of the
Regulatory Flexibility Act available after
publication of the final rule.
Sec. 9. Establishment and approval of small business concern size
standards by Chief Counsel for Advocacy.
Sec. 10. Additional powers of the Chief Counsel for Advocacy.
Sec. 11. Clerical amendments.
SEC. 2. FINDINGS.
Congress finds the following:
(1) A vibrant and growing small business sector is critical
to creating jobs in a dynamic economy.
(2) Regulations designed for application to large-scale
entities have been applied uniformly to small businesses and
other small entities even though the problems sought to be
solved by such regulations are not usually caused by these
small businesses and other small entities.
(3) Uniform Federal regulatory and reporting requirements
in many instances have imposed on small businesses and other
small entities unnecessary and disproportionately burdensome
demands, including legal, accounting, and consulting costs.
(4) Since 1980, Federal agencies have been required to
recognize and take account of the differences in the scale and
resources of regulated entities but have failed to do so.
(5) Alternative regulatory approaches that do not conflict
with the stated objectives of the statutes the regulations seek
to implement may be available and may minimize the significant
economic impact of regulations on small businesses and other
small entities.
(6) Federal agencies have failed to analyze and uncover
less costly alternative regulatory approaches, despite the fact
that the chapter 6 of title 5, United States Code (commonly
known as the Regulatory Flexibility Act), requires them to do
so.
(7) Federal agencies continue to interpret chapter 6 of
title 5, United States Code, in a manner that permits them to
avoid their analytical responsibilities.
(8) The existing oversight of the compliance of Federal
agencies with the analytical requirements to assess regulatory
impacts on small businesses and other small entities and obtain
input from the Chief Counsel for Advocacy has not sufficiently
modified the Federal agency regulatory culture.
(9) Significant changes are needed in the methods by which
Federal agencies develop and analyze regulations, receive input
from affected entities, and develop regulatory alternatives
that will lessen the burden or maximize the benefits of final
rules to small businesses and other small entities.
(10) It is the intention of the Congress to amend chapter 6
of title 5, United States Code, to ensure that all impacts,
including foreseeable indirect effects, of proposed and final
rules are considered by agencies during the rulemaking process
and that the agencies assess a full range of alternatives that
will limit adverse economic consequences or enhance economic
benefits.
(11) Federal agencies should be capable of assessing the
impact of proposed and final rules without delaying the
regulatory process or impinging on the ability of Federal
agencies to fulfill their statutory mandates.
SEC. 3. CLARIFICATION AND EXPANSION OF RULES COVERED BY THE REGULATORY
FLEXIBILITY ACT.
(a) In General.--Paragraph (2) of section 601 of title 5, United
States Code, is amended to read as follows:
``(2) Rule.--The term `rule' has the meaning given such
term in section 551(4) of this title, except that--
``(A) such term includes any rule of general
applicability governing grants to State and local
governments for which the agency provides an
opportunity for notice and comment; and
``(B) such term does not include a rule of
particular (and not general) applicability relating to
rates, wages, corporate or financial structures or
reorganizations thereof, prices, facilities,
appliances, services, or allowances therefor or to
valuations, costs or accounting, or practices relating
to such rates, wages, structures, prices, appliances,
services, or allowances.''.
(b) Inclusion of Rules With Indirect Effects.--Section 601 of title
5, United States Code, is amended by adding at the end the following
new paragraph:
``(9) Economic impact.--The term `economic impact' means,
with respect to a proposed or final rule--
``(A) any direct economic effect on small entities
of such rule; and
``(B) any indirect economic effect on small
entities which is reasonably foreseeable and results
from such rule (without regard to whether small
entities will be directly regulated by the rule).''.
(c) Inclusion of Rules With Beneficial Effects.--
(1) Initial regulatory flexibility analysis.--Subsection
(c) of section 603 of title 5, United States Code, is amended
by striking the first sentence and inserting ``Each initial
regulatory flexibility analysis shall also contain a detailed
description of alternatives to the proposed rule which minimize
any significant adverse economic impact or maximize any
significant beneficial economic impact on small entities.''.
(2) Final regulatory flexibility analysis.--Paragraph (5)
of section 604(a) of title 5, United States Code, is amended by
striking ``minimize the significant economic impact'' and
inserting ``minimize the significant adverse economic impact or
maximize the significant beneficial economic impact''.
(d) Inclusion of Rules Affecting Tribal Organizations.--Paragraph
(5) of section 601 of title 5, United States Code, is amended by
inserting ``and tribal organizations (as defined in section 4(l) of the
Indian Self-Determination and Education Assistance Act (25 U.S.C.
450b(l))),'' after ``special districts,''.
(e) Inclusion of Land Management Plans and Formal Rulemaking.--
(1) Initial regulatory flexibility analysis.--Subsection
(a) of section 603 of title 5, United States Code, is amended
in the first sentence--
(A) by striking ``or'' after ``proposed rule,'';
and
(B) by inserting ``publishes a revision or
amendment to a land management plan, or issues a
proposed rule made on the record after opportunity for
an agency hearing,'' after ``United States,''.
(2) Final regulatory flexibility analysis.--Subsection (a)
of section 604 of title 5, United States Code, is amended in
the first sentence--
(A) by striking ``or'' after ``proposed
rulemaking,''; and
(B) by inserting ``, adopts a revision or amendment
to a land management plan, or issues a final rule made
on the record after opportunity for an agency
hearing,'' after ``section 603(a),''.
(3) Land management plan defined.--Section 601 of title 5,
United States Code (as amended by subsection (b)), is further
amended by adding at the end the following new paragraph:
``(10) Land management plan.--
``(A) In general.--The term `land management plan'
means--
``(i) any plan developed by the Secretary
of Agriculture under section 6 of the Forest
and Rangeland Renewable Resources Planning Act
of 1974 (16 U.S.C. 1604); and
``(ii) any plan developed by the Secretary
of Interior under section 202 of the Federal
Land Policy and Management Act of 1976 (43
U.S.C. 1712).
``(B) Revision.--The term `revision' means any
change to a land management plan which--
``(i) in the case of a plan described in
subparagraph (A)(i), is made under section
6(f)(5) of the Forest and Rangeland Renewable
Resources Planning Act of 1974 (16 U.S.C.
1604(f)(5)); or
``(ii) in the case of a plan described in
subparagraph (A)(ii), is made under section
1610.5-6 of title 43, Code of Federal
Regulations (or any successor regulation).
``(C) Amendment.--The term `amendment' means any
change to a land management plan which--
``(i) in the case of a plan described in
subparagraph (A)(i), is made under section
6(f)(4) of the Forest and Rangeland Renewable
Resources Planning Act of 1974 (16 U.S.C.
1604(f)(4)) and with respect to which the
Secretary of Agriculture prepares a statement
described in section 102(2)(C) of the National
Environmental Policy Act of 1969 (42 U.S.C.
4332(2)(C)); or
``(ii) in the case of a plan described in
subparagraph (A)(ii), is made under section
1610.5-5 of title 43, Code of Federal
Regulations (or any successor regulation) and
with respect to which the Secretary of the
Interior prepares a statement described in
section 102(2)(C) of the National Environmental
Policy Act of 1969 (42 U.S.C. 4332(2)(C)).''.
(f) Inclusion of Certain Interpretive Rules Involving the Internal
Revenue Laws Which Impose Recordkeeping Requirements, etc.--
(1) In general.--Subsection (a) of section 603 of title 5,
United States Code, is amended by striking the period at the
end and inserting ``or a recordkeeping requirement, and without
regard to whether such requirement is imposed by statute or
regulation.''.
(2) Collection of information.--Paragraph (7) of section
601 of title 5, United States Code, is amended to read as
follows:
``(7) Collection of information.--The term `collection of
information' has the meaning given such term in section 3502(3)
of title 44, United States Code.''.
(3) Recordkeeping requirement.--Paragraph (8) of section
601 of title 5, United States Code, is amended to read as
follows:
``(8) Recordkeeping requirement.--The term `recordkeeping
requirement' has the meaning given such term in section
3502(13) of title 44, United States Code.''.
(g) Definition of Small Organization.--Paragraph (4) of section 601
of title 5, United States Code, is amended to read as follows:
``(4) Small organization.--
``(A) In general.--The term `small organization'
means any not-for-profit enterprise which, as of the
issuance of the notice of proposed rulemaking--
``(i) in the case of an enterprise which is
described by a classification code of the North
American Industrial Classification System, does
not exceed the size standard established by the
Administrator of the Small Business
Administration pursuant to section 3 of the
Small Business Act (15 U.S.C. 632) for small
business concerns described by such
classification code, and
``(ii) in the case of any other enterprise,
has a net worth that does not exceed $7,000,000
and has not more than 500 employees.
``(B) Local labor organizations.--In the case of
any local labor organization, subparagraph (A) shall be
applied without regard to any national or international
organization of which such local labor organization is
a part.
``(C) Professional and trade associations.--In the
case of any professional or trade association,
subparagraph (A) shall be applied without regard to the
net worth or number of employees of any member of such
association.
``(D) Agency definitions.--Subparagraphs (A), (B),
and (C) shall not apply to the extent that an agency
establishes, after opportunity for public comment, one
or more definitions for such term which are appropriate
to the activities of the agency and publishes such
definition(s) in the Federal Register.''.
SEC. 4. REQUIREMENTS PROVIDING FOR MORE DETAILED ANALYSES.
(a) Initial Regulatory Flexibility Analysis.--Subsection (b) of
section 603 of title 5, United States Code, is amended to read as
follows:
``(b) Each initial regulatory flexibility analysis required under
this section shall contain a detailed statement--
``(1) describing the reasons why action by the agency is
being considered;
``(2) describing the objectives of, and legal basis for,
the proposed rule;
``(3) estimating the number and type of small entities to
which the proposed rule will apply;
``(4) describing the projected reporting, recordkeeping,
and other compliance requirements of the proposed rule,
including an estimate of the classes of small entities which
will be subject to the requirement and the type of professional
skills necessary for preparation of the report and record;
``(5) describing all relevant Federal rules which may
duplicate, overlap, or conflict with the proposed rule, or the
reasons why such a description could not be provided; and
``(6) estimating the additional cumulative economic impact
of the proposed rule on small entities beyond that already
imposed on the class of small entities by the agency or why
such an estimate is not available.''.
(b) Final Regulatory Flexibility Analysis.--
(1) In general.--
(A) Paragraph (1) of section 604(a) of title 5,
United States Code, is amended by striking
``succinct''.
(B) Paragraph (2) of such section is amended by
striking ``summary'' each place it appears and
inserting ``statement''.
(C) Paragraph (3) of such section is amended by
striking ``an explanation'' and inserting ``a detailed
explanation''.
(D) Paragraphs (3), (4), and (5) of such section
are each amended by inserting ``detailed'' before
``description''.
(2) Inclusion of response to comments on certification of
proposed rule.--Paragraph (2) of section 604(a) of title 5,
United States Code, is amended by inserting ``(or certification
of the proposed rule under section 605(b))'' after ``initial
regulatory flexibility analysis''.
(3) Inclusion of response to comments filed by chief
counsel for advocacy.--Subsection (a) of section 604 of title
5, United States Code, is amended by redesignating paragraphs
(3), (4), and (5) as paragraphs (4), (5), and (6),
respectively, and inserting after paragraph (2) the following
new paragraph:
``(3) the agency's response to any comments filed by the
Chief Counsel for Advocacy in response to the proposed rule,
and a detailed statement of any changes made to the proposed
rule in the final rule as a result of such comments;''.
(4) Publication of analysis on website, etc.--Subsection
(b) of section 604 of title 5, United States Code, is amended
to read as follows:
``(b) The agency shall make copies of the final regulatory
flexibility analysis available to the public, including placement of
the entire analysis on the agency's website, and shall publish in the
Federal Register the final regulatory flexibility analysis, or a
summary thereof which includes the telephone number, mailing address,
and link to the website where the complete analysis may be obtained.''.
(c) Cross-References to Other Analyses.--Subsection (a) of section
605 of title 5, United States Code, is amended to read as follows:
``(a) A Federal agency shall be treated as satisfying any
requirement regarding the content of an agenda or regulatory
flexibility analysis under section 602, 603, or 604, if such agency
provides in such agenda or analysis a cross-reference to the specific
portion of another agenda or analysis which is required by any other
law and which satisfies such requirement.''.
(d) Certifications.--Subsection (b) of such section is amended--
(1) by inserting ``detailed'' before ``statement''; and
(2) by inserting ``and legal'' after ``factual''.
(e) Quantification Requirements.--Section 607 of title 5, United
States Code, is amended to read as follows:
``Sec. 607. Quantification requirements
``In complying with sections 603 and 604, an agency shall provide--
``(1) a quantifiable or numerical description of the
effects of the proposed or final rule and alternatives to the
proposed or final rule; or
``(2) a more general descriptive statement and a detailed
statement explaining why quantification is not practicable or
reliable.''.
SEC. 5. REPEAL OF PROCEDURE FOR WAIVER AND DELAY.
(a) In General.--Title 5, United States Code, is amended by
striking section 608.
(b) Conforming Amendments.--
(1) Paragraphs (1) and (2) of section 611(a) of title 5,
United States Code, are each amended by striking ``608(b),''.
(2) Paragraph (3) of such section is amended--
(A) by striking subparagraph (B); and
(B) by striking ``(3)(A) A small entity'' and
inserting the following:
``(3) A small entity''.
SEC. 6. PROCEDURES FOR GATHERING COMMENTS.
Section 609 of title 5, United States Code, is amended by striking
subsection (b) and all that follows and inserting the following new
subsections:
``(b)(1) Prior to publication of any proposed rule described in
subsection (e), an agency making such rule shall notify the Chief
Counsel for Advocacy and provide the Chief Counsel with--
``(A) all materials prepared or utilized by the agency in
making the proposed rule, including the draft of the proposed
rule; and
``(B) information on the potential adverse and beneficial
economic impacts of the proposed rule on small entities and the
type of small entities that might be affected.
``(2) An agency shall not be required under paragraph (1) to
provide the exact language of any draft if the rule--
``(A) relates to the internal revenue laws of the United
States; or
``(B) is proposed by an `independent regulatory agency', as
that term is defined in section 3502(5) of title 44, United
States Code.
``(c) Not later than 15 days after the receipt of such information,
the Chief Counsel for Advocacy shall--
``(1) identify small entities or representatives of small
entities or a combination of both for the purpose of obtaining
advice, input, and recommendations from those persons about the
potential economic impacts of the proposed rule and the
compliance of the agency with section 603 or section 605(b) of
this title; and
``(2) convene a review panel consisting of an employee from
the Office of Advocacy, an employee from the agency making the
rule, and in the case of an agency other than an independent
regulatory agency (as defined in section 3502(5) of title 44,
United States Code), an employee from the Office of Information
and Regulatory Affairs of the Office of Management and Budget
to review the information provided to the Chief Counsel under
subsection (b).
``(d)(1) Not later than 60 days after the review panel described in
subsection (c)(2) is convened, the Chief Counsel for Advocacy shall,
after consultation with the members of such panel, submit a report to
the agency and, in the case of an agency other than an independent
regulatory agency (as defined in section 3502(5) of title 44, United
States Code), the Office of Information and Regulatory Affairs of the
Office of Management and Budget.
``(2) Such report shall include an assessment of the impact of the
proposed rule on small entities and a discussion of any alternatives
that will minimize adverse economic impacts or maximize beneficial
economic impacts on small entities.
``(3) Such report shall become part of the rulemaking record. In
the publication of the proposed rule, the agency shall explain what
actions, if any, the agency took in response to such report.
``(e) A proposed rule is described by this subsection if the
Administrator of the Office of Information and Regulatory Affairs of
the Office of Management and Budget, the head of the agency (or the
delegatee of the head of the agency), or an independent regulatory
agency determines that the proposed rule is likely to result in--
``(1) an annual effect on the economy of $100,000,000 or
more;
``(2) a major increase in costs or prices for consumers,
individual industries, Federal, State, or local governments,
tribal organizations, or geographic regions;
``(3) significant adverse effects on competition,
employment, investment, productivity, innovation, or on the
ability of United States-based enterprises to compete with
foreign-based enterprises in domestic and export markets; or
``(4) a significant economic impact on a substantial number
of small entities.
``(f) Upon application by the agency, the Chief Counsel for
Advocacy may waive the requirements of subsections (b) through (e) if
the Chief Counsel determines that compliance with the requirements of
such subsections are impracticable, unnecessary, or contrary to the
public interest.''.
SEC. 7. PERIODIC REVIEW OF RULES.
Section 610 of title 5, United States Code, is amended to read as
follows:
``Sec. 610. Periodic review of rules
``(a) Not later than 180 days after the enactment of the Regulatory
Flexibility Improvements Act, each agency shall publish in the Federal
Register and place on its website a plan for the periodic review of
rules issued by the agency which the head of the agency determines has
a significant economic impact on a substantial number of small
entities. Such determination shall be made without regard to whether
the agency performed an analysis under section 604. The purpose of the
review shall be to determine whether such rules should be continued
without change, or should be amended or rescinded, consistent with the
stated objectives of applicable statutes, to minimize any significant
adverse economic impacts or maximize any significant beneficial
economic impacts on a substantial number of small entities. Such plan
may be amended by the agency at any time by publishing the revision in
the Federal Register and subsequently placing the amended plan on the
agency's website.
``(b) The plan shall provide for the review of all such agency
rules existing on the date of the enactment of the Regulatory
Flexibility Improvements Act within 10 years of the date of publication
of the plan in the Federal Register and for review of rules adopted
after the date of enactment of the Regulatory Flexibility Improvements
Act within 10 years after the publication of the final rule in the
Federal Register. If the head of the agency determines that completion
of the review of existing rules is not feasible by the established
date, the head of the agency shall so certify in a statement published
in the Federal Register and may extend the review for not longer than 2
years after publication of notice of extension in the Federal Register.
Such certification and notice shall be sent to the Chief Counsel for
Advocacy and the Congress.
``(c) Each agency shall annually submit a report regarding the
results of its review pursuant to such plan to the Congress and, in the
case of agencies other than independent regulatory agencies (as defined
in section 3502(5) of title 44, United States Code) to the
Administrator of the Office of Information and Regulatory Affairs of
the Office of Management and Budget. Such report shall include the
identification of any rule with respect to which the head of the agency
made a determination described in paragraph (5) or (6) of subsection
(d) and a detailed explanation of the reasons for such determination.
``(d) In reviewing rules under such plan, the agency shall consider
the following factors:
``(1) The continued need for the rule.
``(2) The nature of complaints received by the agency from
small entities concerning the rule.
``(3) Comments by the Regulatory Enforcement Ombudsman and
the Chief Counsel for Advocacy.
``(4) The complexity of the rule.
``(5) The extent to which the rule overlaps, duplicates, or
conflicts with other Federal rules and, unless the head of the
agency determines it to be infeasible, State and local rules.
``(6) The contribution of the rule to the cumulative
economic impact of all Federal rules on the class of small
entities affected by the rule, unless the head of the agency
determines that such calculations cannot be made and reports
that determination in the annual report required under
subsection (c).
``(7) The length of time since the rule has been evaluated
or the degree to which technology, economic conditions, or
other factors have changed in the area affected by the rule.
``(e) The agency shall publish in the Federal Register and on its
website a list of rules to be reviewed pursuant to such plan. Such
publication shall include a brief description of the rule, the reason
why the agency determined that it has a significant economic impact on
a substantial number of small entities (without regard to whether it
had prepared a final regulatory flexibility analysis for the rule), and
request comments from the public, the Chief Counsel for Advocacy, and
the Regulatory Enforcement Ombudsman concerning the enforcement of the
rule.''.
SEC. 8. JUDICIAL REVIEW OF COMPLIANCE WITH THE REQUIREMENTS OF THE
REGULATORY FLEXIBILITY ACT AVAILABLE AFTER PUBLICATION OF
THE FINAL RULE.
(a) In General.--Paragraph (1) of section 611(a) of title 5, United
States Code, is amended by striking ``final agency action'' and
inserting ``such rule''.
(b) Jurisdiction.--Paragraph (2) of such section is amended by
inserting ``(or which would have such jurisdiction if publication of
the final rule constituted final agency action)'' after ``provision of
law,''.
(c) Time for Bringing Action.--Paragraph (3) of such section (as
amended by section 5(b)(2)) is amended--
(1) by striking ``final agency action'' and inserting
``publication of the final rule''; and
(2) by inserting ``, in the case of a rule for which the
date of final agency action is the same date as the publication
of the final rule,'' after ``except that''.
(d) Intervention by Chief Counsel for Advocacy.--Subsection (b) of
section 612 of title 5, United States Code, is amended by inserting
before the first period ``or agency compliance with section 601, 604,
605(b), 609, or 610''.
SEC. 9. ESTABLISHMENT AND APPROVAL OF SMALL BUSINESS CONCERN SIZE
STANDARDS BY CHIEF COUNSEL FOR ADVOCACY.
(a) In General.--Subparagraph (A) of section 3(a)(2) of the Small
Business Act (15 U.S.C. 632(a)(2)(A)) is amended to read as follows:
``(A) In general.--In addition to the criteria
specified in paragraph (1)--
``(i) the Administrator may specify
detailed definitions or standards by which a
business concern may be determined to be a
small business concern for purposes of this Act
or the Small Business Investment Act of 1958;
and
``(ii) the Chief Counsel for Advocacy may
specify such definitions or standards for
purposes of any other Act.''.
(b) Approval by Chief Counsel.--Clause (iii) of section 3(a)(2)(C)
of the Small Business Act (15 U.S.C. 632(a)(2)(C)(iii)) is amended to
read as follows:
``(iii) except in the case of a size
standard prescribed by the Administrator, is
approved by the Chief Counsel for Advocacy.''.
(c) Industry Variation.--Paragraph (3) of section 3(a) of the Small
Business Act (15 U.S.C. 632(a)(3)) is amended--
(1) by inserting ``and Chief Counsel for Advocacy'' before
``shall ensure''; and
(2) by inserting ``or Chief Counsel for Advocacy'' before
the period at the end.
(d) Judicial Review of Size Standards Approved by Chief Counsel.--
Section 3(a) of the Small Business Act (15 U.S.C. 632(a)) is amended by
adding at the end the following new paragraph:
``(4) Judicial Review of Standards Approved by Chief Counsel.--In
the case of an action for judicial review of a rule which includes a
definition or standard approved by the Chief Counsel for Advocacy under
this subsection, the party seeking such review shall be entitled to
join the Chief Counsel as a party in such action.''.
SEC. 10. ADDITIONAL POWERS OF THE CHIEF COUNSEL FOR ADVOCACY.
(a) In General.--Chapter 6 of title 5, United States Code, is
amended by adding at the end the following new section:
``Sec. 613. Additional powers of Chief Counsel for Advocacy
``(a)(1) Not later than 270 days after the date of the enactment of
the Regulatory Flexibility Improvements Act, the Chief Counsel for
Advocacy shall, after opportunity for notice and comment under section
553, issue rules governing agency compliance with this chapter. The
Chief Counsel may modify or amend such rules after notice and comment
under section 553. This chapter (other than this subsection and section
614) shall not apply with respect to the issuance, modification, and
amendment of rules under this paragraph.
``(2) An agency shall not issue rules which supplement the rules
issued under subsection (a) unless such agency has first consulted with
the Chief Counsel for Advocacy to ensure that such supplemental rules
comply with this chapter and the rules issued under paragraph (1).
``(b) Notwithstanding any other law, the Chief Counsel for Advocacy
may intervene in any adjudication before any Federal agency (unless
such agency is authorized to impose a fine or penalty under such
adjudication), and may inform the agency of the impact that any
decision on the record may have on small entities. The Chief Counsel
shall not initiate an appeal with respect to any adjudication in which
the Chief Counsel intervenes under this subsection.
``(c) The Chief Counsel for Advocacy may file comments in response
to any agency notice requesting comment, regardless of whether the
agency is required to file a general notice of proposed rulemaking
under section 553.''.
(b) Jurisdiction of Court of Appeals Over Rules Implementing the
Regulatory Flexibility Act.--
(1) In general.--Section 2342 of title 28, United States
Code, is amended--
(A) in paragraph (6), by striking ``and'' at the
end;
(B) in paragraph (7), by striking the period at the
end and inserting ``; and''; and
(C) by adding at the end the following new
paragraph:
``(8) all final rules under section 613(a) of title 5,
United States Code.''.
(2) Conforming amendments.--Paragraph (3) of section 2341
of title 28, United States Code, is amended--
(A) in subparagraph (D), by striking ``and'' at the
end;
(B) in subparagraph (E), by striking the period at
the end and inserting ``; and''; and
(C) by adding at the end the following new
subparagraph:
``(F) the Office of Advocacy of the Small Business
Administration, when the final rule is under section
613(a) of title 5, United States Code.''.
(c) Authorization to Intervene and Comment on Agency Compliance
With Administrative Procedure.--Subsection (b) of section 612 of title
5, United States Code, is amended by inserting ``chapter 5, and chapter
7,'' after ``this chapter,''.
SEC. 11. CLERICAL AMENDMENTS.
(a) Section 601 of title 5, United States Code, is amended--
(1) in paragraph (1)--
(A) by striking the semicolon at the end and
inserting a period; and
(B) by striking ``(1) the term'' and inserting the
following:
``(1) Agency.--The term'';
(2) in paragraph (3)--
(A) by striking the semicolon at the end and
inserting a period, and
(B) by striking ``(3) the term'' and inserting the
following:
``(3) Small business.--The term'';
(3) in paragraph (5)--
(A) by striking the semicolon at the end and
inserting a period, and
(B) by striking ``(5) the term'' and inserting the
following:
``(5) Small governmental jurisdiction.--The term''; and
(4) in paragraph (6)--
(A) by striking ``; and'' and inserting a period,
and
(B) by striking ``(6) the term'' and inserting the
following:
``(6) Small entity.--The term''.
(b) The heading of section 605 of title 5, United States Code, is
amended to read as follows:
``Sec. 605. Incorporations by reference and certifications''.
(c) The table of sections for chapter 6 of title 5, United States
Code, is amended--
(1) by striking the item relating to section 605 and
inserting the following new item:
``605. Incorporations by reference and certifications.'';
(2) by striking the item relating to section 607 and
inserting the following new item:
``607. Quantification requirements.'';
(3) by striking the item relating to section 608; and
(4) by inserting at the end the following new item:
``613. Additional powers of Chief Counsel for Advocacy.''.
<all>
Introduced in House
Introduced in House
Referred to the Committee on the Judiciary, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on the Judiciary, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on the Judiciary, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Subcommittee on Commercial and Administrative Law.
Committee Hearings Held.
Subcommittee Hearings Held.
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