Editor’s Note: See A Website Dedicated to the Implementation of a Regulatory Budget.
Dear Members of Congress,
On behalf of the undersigned organizations and our members, we call on Congress to implement a regulatory budget to address the cost of federal regulations, which frequently have an effect similar to tax increases. Like federal spending, regulations and their costs should be capped, tracked and disclosed annually.
The need for reform is urgent. The government’s cost burden imposed on American families and businesses extends well beyond taxes, deficits, and borrowing. The country spends hundreds of billions of dollars each year on red tape. That’s a big drain on the economy, entrepreneurship and job creation. And, it is more than simply regulated businesses who pay the price. Just as firms pass on tax costs, firms also pass on regulatory compliance costs. This burden has not gone unnoticed, as the most recent edition of Gallup’s annual Governance survey found, 49 percent of Americans say the government regulates business too much, while 21 percent say it regulates too little, a near-low percentage.
Note that the idea of a regulatory budget is not new. Former Sen. Lloyd Bentsen (D-Tex.) proposed legislation in 1979 to cap compliance costs and establish an annual regulatory budget. More recently, Sen. Mike Lee (R-Utah) put forward a “Regulatory Cost Assessment Act”. . . .