H.R. 2965: Small Business Regulatory Reduction Act of 2025

This bill, titled the Small Business Regulatory Reduction Act of 2025, aims to limit the regulatory impact on small businesses by establishing a regulatory budget for the Small Business Administration (SBA). Below are its key components:

Purpose of the Bill

The main goal of the bill is to ensure that the costs imposed on small businesses by federal rulemaking are kept to zero. This means that for each fiscal year starting from 2026, the SBA must not create or enforce regulations that would cost small businesses any money.

Key Definitions

• Administrator: Refers to the head of the Small Business Administration.
• Small Business: Defined as small business concerns as per the Small Business Act, unless specific definitions established by federal agencies are published.
• Small Business Regulatory Budget: Denotes the total cost to small businesses associated with federal rulemaking, including new costs from the introduction of new regulations or adjustments to existing ones.

Requirements Imposed by the Bill

Under this bill, the following requirements are set:

• Starting in fiscal year 2026, the Administrator must ensure that the small business regulatory budget remains at zero. This means that no new costs will be incurred by small businesses due to federal regulations.
• Every year, beginning 60 days after the end of fiscal year 2025, the Chief Counsel for the Office of Advocacy of the SBA must submit a report to Congress. This report will detail all rules issued by federal agencies that could impact small businesses in the previous fiscal year. The report must include:
  • A list of all such rules issued.
  • A breakdown of these rules by the issuing federal agency.

No Additional Funding

The bill also states that no extra funds will be authorized to implement these requirements. This implies that the SBA must work with existing resources to meet the new obligations imposed by this legislation.

Relevant Companies

None found