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SBA official denies accusations that office works to block regulations
Responding to criticism from a pair of pro-regulation groups, a Small Business Administration (SBA) official said Monday that his office is looking out for the little guy — not seeking to undermine the federal rule-making process.
Winslow Sargeant, chief counsel for the SBA’s Office of Advocacy, said the office is representing the interests of millions of small-business owners when it gets involved with proposed regulations.
“Our role, as mandated by Congress, is not to block rules and regulations or make them less effective. Regulations are needed for a society to properly function,” Sargeant said in a written statement. “Our office simply works with policy makers to achieve the results they want, while easing the burden of those regulations on small businesses.”
The remarks follow last month’s release of two reports alleging that the little-known Office of Advocacy has worked to water down or block regulations at the behest of industry groups.
They contend the office uses overly broad standards to define what counts as a small business, and hosts regular roundtable meetings with representatives of trade groups and lobbyists who represent the interests of big and small businesses alike.
The resulting comments issued by the office to influence proposed rules often reflect the wishes of industry, not just small business, according to the reports.
Sargeant maintained that the office is focused on aiding small businesses that do not have the means to monitor the stream of proposed rules and regulations issued by federal agencies. Last week the office issued its own report, saying its work last year alone saved start-ups $2.4 billion in regulatory costs.
“We believe that when small businesses have the opportunity to participate in the rule-making process and agencies take those concerns into account, it makes the rule or regulation more effective and longer lasting,” he said.
