II 

114TH CONGRESS 

1ST SESSION S. 426 

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 SENATE OF THE UNITED STATES 

FEBRUARY 10, 2015 

Ms. AYOTTE introduced the following bill; which was read twice and referred 

to the Committee on Homeland Security and Governmental Affairs 

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. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Small Business Regu5 latory Flexibility Improvements Act of 2015’’. 


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1 SEC. 2. CLARIFICATION AND EXPANSION OF RULES COV2 ERED BY THE REGULATORY FLEXIBILITY 

3 ACT. 

4 (a) IN GENERAL.—Paragraph (2) of section 601 of 

5 title 5, United States Code, is amended to read as follows: 

6 ‘‘(2) RULE.—The term ‘rule’— 

7 ‘‘(A) has the meaning given such term in 

8 section 551(4); and 

9 ‘‘(B) does not include— 

10 ‘‘(i) a rule pertaining to the protection 

11 of the rights of or benefits for veterans; or 

12 ‘‘(ii) a rule of particular (and not gen13 eral) applicability relating to— 

14 ‘‘(I) rates, wages, corporate or fi15 nancial structures or reorganizations 

16 thereof, prices, facilities, appliances, 

17 services, or allowances therefor; or 

18 ‘‘(II) valuations, costs or ac19 counting, or practices relating to 

20 rates, wages, structures, prices, facili21 ties, appliances, services, or allow22 ances described in subclause (I).’’. 

23 (b) INCLUSION OF RULES WITH INDIRECT EF24 FECTS.—Section 601 of title 5, United States Code, is 

25 amended by adding at the end the following: 


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1 ‘‘(9) ECONOMIC IMPACT.—The term ‘economic 

2 impact’ means, with respect to a proposed or final 

3 rule— 

4 ‘‘(A) any direct economic effect on small 

5 entities of the rule; and 

6 ‘‘(B) any indirect economic effect (includ7 ing compliance costs and effects on revenue) on 

8 small entities which is reasonably foreseeable 

9 and results from the rule (without regard to 

10 whether small entities will be directly regulated 

11 by the rule).’’. 

12 (c) INCLUSION OF RULES WITH BENEFICIAL EF13 FECTS.— 

14 (1) INITIAL REGULATORY FLEXIBILITY ANAL15 YSIS.—Section 603(c) of title 5, United States Code, 

16 is amended by striking the first sentence and insert17 ing ‘‘Each initial regulatory flexibility analysis shall 

18 also contain a detailed description of alternatives to 

19 the proposed rule which minimize any adverse sig20 nificant economic impact or maximize any beneficial 

21 significant economic impact on small entities.’’. 

22 (2) FINAL REGULATORY FLEXIBILITY ANAL23 YSIS.—Section 604(a) of title 5, United States Code, 

24 is amended, in the first paragraph designated as 

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1 cant economic impacts), by striking ‘‘minimize the 

2 significant economic impact’’ and inserting ‘‘mini3 mize the adverse significant economic impact or 

4 maximize the beneficial significant economic im5 pact’’. 

6 (d) INCLUSION OF RULES AFFECTING TRIBAL ORGA7 NIZATIONS.—Section 601(5) of title 5, United States 

8 Code, is amended by striking ‘‘special districts,’’ and in9 serting ‘‘special districts and tribal organizations (as de10 fined in section 4(l) of the Indian Self-Determination and 

11 Education Assistance Act (25 U.S.C. 450b(l)))’’. 

12 (e) INCLUSION OF LAND MANAGEMENT PLANS AND

13 FORMAL RULEMAKING.— 

14 (1) INITIAL REGULATORY FLEXIBILITY ANAL15 YSIS.—Section 603(a) of title 5, United States Code, 

16 is amended in the first sentence— 

17 (A) by striking ‘‘or’’ after ‘‘proposed 

18 rule,’’; and 

19 (B) by inserting ‘‘or publishes a revision or 

20 amendment to a land management plan,’’ after 

21 ‘‘United States,’’. 

22 (2) FINAL REGULATORY FLEXIBILITY ANAL23 YSIS.—Section 604(a) of title 5, United States Code, 

24 is amended in the first sentence— 


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1 (A) by striking ‘‘or’’ after ‘‘proposed rule2 making,’’; and 

3 (B) by inserting ‘‘or adopts a revision or 

4 amendment to a land management plan,’’ after 

5 ‘‘section 603(a),’’. 

6 (3) LAND MANAGEMENT PLAN DEFINED.—Sec7 tion 601 of title 5, United States Code, as amended 

8 by subsection (b), is amended by adding at the end 

9 the following: 

10 ‘‘(10) LAND MANAGEMENT PLAN.— 

11 ‘‘(A) IN GENERAL.—The term ‘land man12 agement plan’ means— 

13 ‘‘(i) any plan developed by the Sec14 retary of Agriculture under section 6 of 

15 the Forest and Rangeland Renewable Re16 sources Planning Act of 1974 (16 U.S.C. 

17 1604); and 

18 ‘‘(ii) any plan developed by the Sec19 retary of the Interior under section 202 of 

20 the Federal Land Policy and Management 

21 Act of 1976 (43 U.S.C. 1712). 

22 ‘‘(B) REVISION.—The term ‘revision’, re23 lating to a land management plan, means any 

24 change that— 


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1 ‘‘(i) in the case of a plan described in 

2 subparagraph (A)(i), is made under section 

3 6(f)(5) of the Forest and Rangeland Re4 newable Resources Planning Act of 1974 

5 (16 U.S.C. 1604(f)(5)); or 

6 ‘‘(ii) in the case of a plan described in 

7 subparagraph (A)(ii), is made under sec8 tion 1610.5–6 of title 43, Code of Federal 

9 Regulations (or any successor regulation). 

10 ‘‘(C) AMENDMENT.—The term ‘amend11 ment’, relating to a land management plan, 

12 means any change that— 

13 ‘‘(i) in the case of a plan described in 

14 subparagraph (A)(i), is made under section 

15 6(f)(4) of the Forest and Rangeland Re16 newable Resources Planning Act of 1974 

17 (16 U.S.C. 1604(f)(4)) and with respect to 

18 which the Secretary of Agriculture pre19 pares a statement described in section 

20 102(2)(C) of the National Environmental 

21 Policy Act of 1969 (42 U.S.C. 

22 4332(2)(C)); or 

23 ‘‘(ii) in the case of a plan described in 

24 subparagraph (A)(ii), is made under sec25 tion 1610.5–5 of title 43, Code of Federal 


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1 Regulations (or any successor regulation) 

2 and with respect to which the Secretary of 

3 the Interior prepares a statement described 

4 in section 102(2)(C) of the National Envi5 ronmental Policy Act of 1969 (42 U.S.C. 

6 4332(2)(C)).’’. 

7 (f) INCLUSION OF CERTAIN INTERPRETIVE RULES

8 INVOLVING THE INTERNAL REVENUE LAWS.— 

9 (1) IN GENERAL.—Section 603(a) of title 5, 

10 United States Code, is amended by striking the pe11 riod at the end and inserting ‘‘or a recordkeeping re12 quirement, and without regard to whether such re13 quirement is imposed under the internal revenue 

14 laws directly or under the interpretative rules.’’. 

15 (2) COLLECTION OF INFORMATION.—Paragraph 

16 (7) of section 601 of title 5, United States Code, is 

17 amended to read as follows: 

18 ‘‘(7) COLLECTION OF INFORMATION.—The term 

19 ‘collection of information’ has the meaning given 

20 such term in section 3502(3) of title 44.’’. 

21 (3) RECORDKEEPING REQUIREMENT.—Para22 graph (8) of section 601 of title 5, United States 

23 Code, is amended to read as follows: 


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1 ‘‘(8) RECORDKEEPING REQUIREMENT.—The 

2 term ‘recordkeeping requirement’ has the meaning 

3 given such term in section 3502(13) of title 44.’’. 

4 (g) DEFINITION OF SMALL ORGANIZATION.—Para5 graph (4) of section 601 of title 5, United States Code, 

6 is amended to read as follows: 

7 ‘‘(4) SMALL ORGANIZATION.— 

8 ‘‘(A) IN GENERAL.—The term ‘small orga9 nization’ means any nonprofit enterprise which, 

10 as of the issuance of the notice of proposed 

11 rulemaking— 

12 ‘‘(i) in the case of an enterprise which 

13 is described by a classification code of the 

14 North American Industrial Classification 

15 System, does not exceed the size standard 

16 established by the Administrator of the 

17 Small Business Administration pursuant to 

18 section 3 of the Small Business Act (15 

19 U.S.C. 632) for small business concerns 

20 described by such classification code; and 

21 ‘‘(ii) in the case of any other enter22 prise— 

23 ‘‘(I) has a net worth that does 

24 not exceed $7,000,000; and 


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1 ‘‘(II) has not more than 500 em2 ployees. 

3 ‘‘(B) LOCAL LABOR ORGANIZATIONS.—In 

4 the case of any local labor organization (as de5 fined in section 2 of the National Labor Rela6 tions Act (29 U.S.C. 152)), subparagraph (A) 

7 shall be applied without regard to any national 

8 or international organization of which such local 

9 labor organization is a part. 

10 ‘‘(C) AGENCY DEFINITIONS.—Subpara11 graphs (A) and (B) shall not apply to the ex12 tent that an agency, after consultation with the 

13 Office of Advocacy of the Small Business Ad14 ministration and after opportunity for public 

15 comment— 

16 ‘‘(i) establishes 1 or more definitions 

17 for the term ‘small organization’ which are 

18 appropriate to the activities of the agency; 

19 and 

20 ‘‘(ii) publishes such definitions in the 

21 Federal Register.’’. 

22 SEC. 3. EXPANSION OF REPORT OF REGULATORY AGENDA. 

23 Section 602 of title 5, United States Code, is amend24 ed— 

25 (1) in subsection (a)— 


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1 (A) in paragraph (2), by striking ‘‘, and’’ 

2 at the end and inserting ‘‘;’’; 

3 (B) by redesignating paragraph (3) as 

4 paragraph (4); and 

5 (C) by inserting after paragraph (2) the 

6 following: 

7 ‘‘(3) a brief description of the sector of the 

8 North American Industrial Classification System 

9 that is primarily affected by any rule which the 

10 agency expects to propose or promulgate which is 

11 likely to have a significant economic impact on a 

12 substantial number of small entities; and’’; and 

13 (2) by striking subsection (c) and inserting the 

14 following: 

15 ‘‘(c) Not later than 3 days after the date on which 

16 an agency publishes a regulatory flexibility agenda under 

17 subsection (a) in the Federal Register— 

18 ‘‘(1) the agency shall prominently display a 

19 plain language summary of the information con20 tained in the regulatory flexibility agenda on the 

21 website of the agency; and 

22 ‘‘(2) the Office of Advocacy of the Small Busi23 ness Administration shall prominently display a 

24 plain language summary of the regulatory agenda on 


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1 the website of the Office, as part of a compilation 

2 of such summaries.’’. 

3 SEC. 4. REQUIREMENTS PROVIDING FOR MORE DETAILED 

4 ANALYSES. 

5 (a) INITIAL REGULATORY FLEXIBILITY ANALYSIS.— 

6 Subsection (b) of section 603 of title 5, United States 

7 Code, is amended to read as follows: 

8 ‘‘(b) Each initial regulatory flexibility analysis re9 quired under this section shall contain a detailed state10 ment— 

11 ‘‘(1) describing the reasons why action by the 

12 agency is being considered; 

13 ‘‘(2) describing the objectives of, and legal basis 

14 for, the proposed rule; 

15 ‘‘(3) estimating the number and type of small 

16 entities to which the proposed rule will apply; 

17 ‘‘(4) describing the projected reporting, record18 keeping, and other compliance requirements of the 

19 proposed rule, including an estimate of the classes of 

20 small entities which will be subject to the require21 ment and the type of professional skills necessary 

22 for preparation of the report and record; 

23 ‘‘(5) describing all relevant Federal rules which 

24 may duplicate, overlap, or conflict with the proposed 


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1 rule, or the reasons why such a description could not 

2 be provided; 

3 ‘‘(6) estimating the additional cumulative eco4 nomic impact of the proposed rule on small entities 

5 beyond that already imposed on the class of small 

6 entities by the agency or why such an estimate is 

7 not available; 

8 ‘‘(7) describing any disproportionate economic 

9 impact on small entities or a specific class of small 

10 entities; and 

11 ‘‘(8) describing any impairment of the ability of 

12 small entities to have access to credit.’’. 

13 (b) FINAL REGULATORY FLEXIBILITY ANALYSIS.— 

14 (1) IN GENERAL.—Section 604(a) of title 5, 

15 United States Code, is amended— 

16 (A) in paragraph (4), by striking ‘‘an ex17 planation’’ and inserting ‘‘a detailed expla18 nation’’; 

19 (B) in each of paragraphs (4), (5), and the 

20 first paragraph designated as paragraph (6) 

21 (relating to minimization of significant eco22 nomic impacts), by inserting ‘‘detailed’’ before 

23 ‘‘description’’; 

24 (C) in the first paragraph designated as 

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1 nificant economic impacts), by striking ‘‘and’’ 

2 at the end; 

3 (D) in the second paragraph (6), by strik4 ing the period and inserting ‘‘; and’’; 

5 (E) by redesignating the second paragraph 

6 designated as paragraph (6) (relating to cov7 ered agencies) as paragraph (7); and 

8 (F) by adding at the end the following: 

9 ‘‘(8) a detailed description of any dispropor10 tionate economic impact on small entities or a spe11 cific class of small entities.’’. 

12 (2) INCLUSION OF RESPONSE TO COMMENTS ON

13 CERTIFICATION OF PROPOSED RULE.—Section 

14 604(a)(2) of title 5, United States Code, is amended 

15 by inserting ‘‘(or certification of the proposed rule 

16 under section 605(b))’’ after ‘‘initial regulatory flexi17 bility analysis’’. 

18 (3) PUBLICATION OF ANALYSIS ON WEBSITE.— 

19 Subsection (b) of section 604 of title 5, United 

20 States Code, is amended to read as follows: 

21 ‘‘(b) An agency shall— 

22 ‘‘(1) make copies of each final regulatory flexi23 bility analysis available to the public, including 

24 placement of the entire analysis on the website of 

25 the agency; and 


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1 ‘‘(2) publish in the Federal Register the final 

2 regulatory flexibility analysis, or a summary thereof 

3 which includes the telephone number, mailing ad4 dress, and link to the website where the complete 

5 analysis may be obtained.’’. 

6 (c) CROSS-REFERENCES TO OTHER ANALYSES.— 

7 Subsection (a) of section 605 of title 5, United States 

8 Code, is amended to read as follows: 

9 ‘‘(a) An agency shall be considered to have satisfied 

10 any requirement regarding the content of an agenda or 

11 regulatory flexibility analysis under section 602, 603, or 

12 604, if the agency provides in the agenda or analysis a 

13 cross-reference to the specific portion of another agenda 

14 or analysis which is required by any other law and which 

15 satisfies the requirement.’’. 

16 (d) CERTIFICATIONS.—Section 605(b) of title 5, 

17 United States Code, is amended— 

18 (1) by inserting ‘‘detailed’’ before ‘‘statement’’ 

19 the first place it appears; and 

20 (2) by inserting ‘‘and legal’’ after ‘‘factual’’. 

21 (e) QUANTIFICATION REQUIREMENTS.—Section 607 

22 of title 5, United States Code, is amended to read as fol23 lows: 


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1 ‘‘§ 607. Quantification requirements 

2 ‘‘In complying with sections 603 and 604, an agency 

3 shall provide— 

4 ‘‘(1) a quantifiable or numerical description of 

5 the effects of the proposed or final rule and alter6 natives to the proposed or final rule; or 

7 ‘‘(2) a more general descriptive statement and 

8 a detailed statement explaining why quantification is 

9 not practicable or reliable.’’. 

10 SEC. 5. REPEAL OF WAIVER AND DELAY AUTHORITY; ADDI11 TIONAL POWERS OF THE CHIEF COUNSEL 

12 FOR ADVOCACY. 

13 (a) IN GENERAL.—Section 608 of title 5, United 

14 States Code, is amended to read as follows: 

15 ‘‘§ 608. Additional powers of Chief Counsel for Advo16 cacy 

17 ‘‘(a) RULES GOVERNING AGENCY COMPLIANCE.— 

18 ‘‘(1) IN GENERAL.—Not later than 270 days 

19 after the date of the enactment of the Small Busi20 ness Regulatory Flexibility Improvements Act of 

21 2015, the Chief Counsel for Advocacy of the Small 

22 Business Administration shall, after opportunity for 

23 notice and comment under section 553, issue rules 

24 governing agency compliance with this chapter. The 

25 Chief Counsel may modify or amend such rules after 

26 notice and comment under section 553. This chapter 


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1 (other than this subsection) shall not apply with re2 spect to the issuance, modification, and amendment 

3 of rules under this paragraph. 

4 ‘‘(2) LIMITATION ON SUPPLEMENTAL RULES.— 

5 An agency may not issue rules which supplement the 

6 rules issued under paragraph (1) unless the agency 

7 has first consulted with the Chief Counsel for Advo8 cacy to ensure that the supplemental rules comply 

9 with this chapter and the rules issued under para10 graph (1). 

11 ‘‘(b) INTERVENTION.— 

12 ‘‘(1) IN GENERAL.—Notwithstanding any other 

13 provision of law, the Chief Counsel for Advocacy of 

14 the Small Business Administration may intervene in 

15 any agency adjudication (unless such agency is au16 thorized to impose a fine or penalty under such ad17 judication), and may inform the agency of the im18 pact that any decision on the record may have on 

19 small entities. 

20 ‘‘(2) LIMITATION.—The Chief Counsel shall not 

21 initiate an appeal with respect to any adjudication in 

22 which the Chief Counsel intervenes under this sub23 section. 

24 ‘‘(c) RESPONSE TO AGENCY NOTICES.—The Chief 

25 Counsel for Advocacy may file comments in response to 


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1 any agency notice requesting comment, regardless of 

2 whether the agency is required to file a general notice of 

3 proposed rulemaking under section 553.’’. 

4 (b) CONFORMING AMENDMENTS.—Section 611(a) of 

5 title 5, United States Code, is amended— 

6 (1) in paragraph (1), by striking ‘‘608(b),’’; 

7 (2) in paragraph (2), by striking ‘‘608(b),’’; 

8 and 

9 (3) in paragraph (3)— 

10 (A) by striking subparagraph (B); and 

11 (B) by striking ‘‘(3)(A) A small entity’’ 

12 and inserting ‘‘(3) A small entity’’. 

13 SEC. 6. PROCEDURES FOR GATHERING COMMENTS. 

14 Section 609 of title 5, United States Code, is amend15 ed— 

16 (1) in subsection (a), by inserting ‘‘IN GEN17 ERAL.—’’ before ‘‘When any rule is promulgated’’; 

18 and 

19 (2) by striking subsection (b) and all that fol20 lows and inserting the following: 

21 ‘‘(b) INFORMATION TO CHIEF COUNSEL.— 

22 ‘‘(1) IN GENERAL.—Before publishing a pro23 posed rule described in subsection (e), the agency 

24 issuing the rule shall notify the Chief Counsel for 


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1 Advocacy of the Small Business Administration and 

2 provide the Chief Counsel with— 

3 ‘‘(A) all materials prepared or used by the 

4 agency in preparing the proposed rule, includ5 ing the draft of the proposed rule; and 

6 ‘‘(B) information on the potential adverse 

7 and beneficial economic impacts of the proposed 

8 rule on small entities and the type of small enti9 ties that might be affected. 

10 ‘‘(2) EXCEPTION.—An agency shall not be re11 quired under paragraph (1) to provide the exact lan12 guage of any draft if— 

13 ‘‘(A) the rule relates to the internal rev14 enue laws of the United States; or 

15 ‘‘(B) the agency issuing the rule is an 

16 independent regulatory agency (as defined in 

17 section 3502(5) of title 44). 

18 ‘‘(c) CHIEF COUNSEL ACTION.—Not later than 15 

19 days after the receipt of materials and information under 

20 subsection (b), the Chief Counsel for Advocacy of the 

21 Small Business Administration shall— 

22 ‘‘(1) identify small entities or representatives of 

23 small entities or a combination of both for the pur24 pose of obtaining advice, input, and recommenda25 tions from those persons about— 


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1 ‘‘(A) the potential economic impacts of the 

2 proposed rule; and 

3 ‘‘(B) the compliance of the agency with 

4 section 603; and 

5 ‘‘(2) convene a review panel to review the mate6 rials and information provided to the Chief Counsel 

7 under subsection (b), which shall consist of— 

8 ‘‘(A) an employee from the Office of Advo9 cacy of the Small Business Administration; 

10 ‘‘(B) an employee from the agency issuing 

11 the rule; and 

12 ‘‘(C) in the case of an agency other than 

13 an independent regulatory agency (as defined in 

14 section 3502(5) of title 44), an employee from 

15 the Office of Information and Regulatory Af16 fairs of the Office of Management and Budget. 

17 ‘‘(d) REPORT.— 

18 ‘‘(1) IN GENERAL.—Not later than 60 days 

19 after the review panel described in subsection (c)(2) 

20 is convened, the Chief Counsel for Advocacy of the 

21 Small Business Administration shall, after consulta22 tion with the members of the review panel, submit 

23 a report to— 

24 ‘‘(A) the agency; and 


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1 ‘‘(B) in the case of an agency other than 

2 an independent regulatory agency (as defined in 

3 section 3502(5) of title 44), the Office of Infor4 mation and Regulatory Affairs of the Office of 

5 Management and Budget. 

6 ‘‘(2) CONTENTS.—Each report under para7 graph (1) shall include— 

8 ‘‘(A) an assessment of the economic impact 

9 of the proposed rule on small entities, including 

10 an assessment of the proposed rule’s impact on 

11 the cost that small entities pay for energy; 

12 ‘‘(B) an assessment of the impact of the 

13 proposed rule on start-up costs for small enti14 ties; and 

15 ‘‘(C) a discussion of any alternatives that 

16 will minimize adverse significant economic im17 pacts or maximize beneficial significant eco18 nomic impacts on small entities. 

19 ‘‘(3) TREATMENT OF REPORTS.—Each report 

20 under paragraph (1) shall become part of the rule21 making record. In the publication of the proposed 

22 rule, the agency shall explain what actions, if any, 

23 the agency took in response to the report. 

24 ‘‘(e) RULES COVERED.—A proposed rule described in 

25 this subsection is a proposed rule that the Administrator 


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1 of the Office of Information and Regulatory Affairs of the 

2 Office of Management and Budget, the head of the agen3 cy, or an independent regulatory agency determines is like4 ly to result in— 

5 ‘‘(1) an annual effect on the economy of 

6 $100,000,000 or more; 

7 ‘‘(2) a major increase in costs or prices for con8 sumers, individual industries, Federal, State, or local 

9 governments, tribal organizations, or geographic re10 gions; 

11 ‘‘(3) significant adverse effects on competition, 

12 employment, investment, productivity, innovation, or 

13 on the ability of United States-based enterprises to 

14 compete with foreign-based enterprises in domestic 

15 and export markets; or 

16 ‘‘(4) a significant economic impact on a sub17 stantial number of small entities. 

18 ‘‘(f) WAIVER AUTHORITY.—Upon application by an 

19 agency, the Chief Counsel for Advocacy of the Small Busi20 ness Administration may waive the requirements of sub21 sections (b) through (e) if the Chief Counsel determines 

22 that compliance with the requirements of such subsections 

23 are impracticable, unnecessary, or contrary to the public 

24 interest. 

25 ‘‘(g) REQUESTS FOR REPORTS.— 


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1 ‘‘(1) IN GENERAL.—A small entity or a rep2 resentative of a small entity may submit a request 

3 that the agency provide a copy of the report pre4 pared under subsection (d) and all materials and in5 formation provided to the Chief Counsel for Advo6 cacy of the Small Business Administration under 

7 subsection (b). 

8 ‘‘(2) PRODUCTION.—Not later than 10 business 

9 days after receiving a request under paragraph (1), 

10 an agency shall provide the report, materials, and 

11 information requested to the small entity or rep12 resentative of a small entity making the request, ex13 cept that the agency shall not disclose any informa14 tion that is prohibited from disclosure to the public 

15 pursuant to section 552(b).’’. 

16 SEC. 7. PERIODIC REVIEW OF RULES. 

17 Section 610 of title 5, United States Code, is amend18 ed to read as follows: 

19 ‘‘§ 610. Periodic review of rules 

20 ‘‘(a) DEFINITIONS.—In this section— 

21 ‘‘(1) the term ‘covered rule’ means a rule issued 

22 by an agency that the head of the agency determines 

23 has a significant economic impact on a substantial 

24 number of small entities, which shall be determined 


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1 without regard to whether the agency performed an 

2 analysis under section 604; and 

3 ‘‘(2) the term ‘plan’ means a plan for the peri4 odic review of covered rules developed under sub5 section (b)(1). 

6 ‘‘(b) DEVELOPMENT OF PLAN FOR PERIODIC RE7 VIEW.— 

8 ‘‘(1) IN GENERAL.—Not later than 180 days 

9 after the date of enactment of the Small Business 

10 Regulatory Flexibility Improvements Act of 2015, 

11 each agency shall develop, publish in the Federal 

12 Register, and place on the website of the agency a 

13 plan for the periodic review of the covered rules of 

14 the agency. 

15 ‘‘(2) PURPOSE.—The purpose of a plan shall be 

16 to determine whether the covered rules of the agency 

17 should be continued without change, or should be 

18 amended or rescinded, consistent with the stated ob19 jectives of applicable statutes, to minimize any ad20 verse significant economic impacts or maximize any 

21 beneficial significant economic impacts on a substan22 tial number of small entities. 

23 ‘‘(3) REVISIONS.—A plan may be amended by 

24 an agency at any time by publishing the revision in 


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1 the Federal Register and placing the amended plan 

2 on the website of the agency. 

3 ‘‘(c) PLAN REQUIREMENTS.— 

4 ‘‘(1) DEADLINES.—A plan shall— 

5 ‘‘(A) except as provided in paragraph (2), 

6 provide for the review of all covered rules of the 

7 agency in effect on the date of the enactment 

8 of the Small Business Regulatory Flexibility 

9 Improvements Act of 2015 by not later than 10 

10 years after the date of publication of the initial 

11 plan in the Federal Register; and 

12 ‘‘(B) provide for the review of each covered 

13 rule of the agency adopted after the date of en14 actment of the Small Business Regulatory 

15 Flexibility Improvements Act of 2015 by not 

16 later than 10 years after the date of publication 

17 of the final rule in the Federal Register. 

18 ‘‘(2) EXTENSION OF INITIAL DEADLINE.—If 

19 the head of an agency determines that completion of 

20 the review of covered rules described in paragraph 

21 (1)(A) is not feasible by date described in such para22 graph, not later than the date described in such 

23 paragraph, the head of the agency— 

24 ‘‘(A) shall publish in the Federal Register 

25 and submit to Congress and the Chief Counsel 


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1 for Advocacy a statement certifying the deter2 mination of the head of the agency; and 

3 ‘‘(B) may extend the period for completing 

4 the review for not longer than 2 years after 

5 publication of notice of extension in the Federal 

6 Register. 

7 ‘‘(d) INCLUSION OF SMALL BUSINESSES.—A plan 

8 shall detail how an agency will— 

9 ‘‘(1) conduct outreach to and meaningfully in10 clude small businesses (including small business con11 cerns owned and controlled by women, small busi12 ness concerns owned and controlled by veterans, and 

13 small business concerns owned and controlled by so14 cially and economically disadvantaged individuals (as 

15 such terms are defined in the Small Business Act 

16 (15 U.S.C. 631 et seq.))) for the purposes of car17 rying out this section; and 

18 ‘‘(2) contact small businesses and gather their 

19 input on covered rules of the agency. 

20 ‘‘(e) REPORTING.—Each agency shall annually sub21 mit to Congress, the Chief Counsel for Advocacy of the 

22 Small Business Administration, and, in the case of agen23 cies other than independent regulatory agencies (as de24 fined in section 3502(5) of title 44) to the Administrator 

25 of the Office of Information and Regulatory Affairs of the 


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1 Office of Management and Budget a report regarding the 

2 results of the review of the agency under the plan of the 

3 agency, which shall include the identification of any cov4 ered rule with respect to which the head of the agency 

5 made a determination described in subparagraph (E) or 

6 (F) of subsection (f)(2) and a detailed explanation of the 

7 reasons for such determination. 

8 ‘‘(f) AMENDMENT OR RECESSION OF RULES.— 

9 ‘‘(1) IN GENERAL.—In reviewing a covered rule 

10 under subsections (b) through (e), an agency shall 

11 amend or rescind the covered rule to minimize any 

12 adverse significant economic impact on a substantial 

13 number of small entities or disproportionate eco14 nomic impact on a specific class of small entities, or 

15 maximize any beneficial significant economic impact 

16 of the rule on a substantial number of small entities 

17 to the greatest extent possible, consistent with the 

18 stated objectives of applicable statutes. 

19 ‘‘(2) FACTORS.—In amending or rescinding a 

20 covered rule, an agency shall consider— 

21 ‘‘(A) the continued need for the covered 

22 rule; 

23 ‘‘(B) the nature of complaints received by 

24 the agency from small entities concerning the 

25 covered rule; 


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1 ‘‘(C) comments by the Regulatory Enforce2 ment Ombudsman and the Chief Counsel for 

3 Advocacy of the Small Business Administration; 

4 ‘‘(D) the complexity of the covered rule; 

5 ‘‘(E) the extent to which the covered rule 

6 overlaps, duplicates, or conflicts with other Fed7 eral rules and, unless the head of the agency 

8 determines it to be infeasible, State, territorial, 

9 and local rules; 

10 ‘‘(F) the contribution of the covered rule to 

11 the cumulative economic impact of all Federal 

12 rules on the class of small entities affected by 

13 the covered rule, unless the head of the agency 

14 determines that such calculations cannot be 

15 made and includes a discussion of that deter16 mination in the annual report required under 

17 subsection (e); and 

18 ‘‘(G) the length of time since the covered 

19 rule has been evaluated or the degree to which 

20 technology, economic conditions, or other fac21 tors have changed in the area affected by the 

22 covered rule. 

23 ‘‘(g) RULES TO BE REVIEWED.—Each year, each 

24 agency shall— 


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1 ‘‘(1) publish in the Federal Register and on the 

2 website of the agency a list of covered rules to be 

3 reviewed pursuant to the plan of the agency, which 

4 shall include— 

5 ‘‘(A) a solicitation of public comments on 

6 any further inclusions or exclusions of rules 

7 from the list; and 

8 ‘‘(B) a brief description of— 

9 ‘‘(i) the covered rule; and 

10 ‘‘(ii) the reason why the agency deter11 mined that the covered rule has a signifi12 cant economic impact on a substantial 

13 number of small entities; 

14 ‘‘(2) request comments from the public, the 

15 Chief Counsel for Advocacy of the Small Business 

16 Administration, and the Regulatory Enforcement 

17 Ombudsman concerning the enforcement of the cov18 ered rule; and 

19 ‘‘(3) respond to any comments received under 

20 paragraph (1) or (2).’’. 


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1 SEC. 8. JUDICIAL REVIEW OF COMPLIANCE WITH THE RE2 QUIREMENTS OF THE REGULATORY FLEXI3 BILITY ACT AVAILABLE AFTER PUBLICATION 

4 OF THE FINAL RULE. 

5 (a) IN GENERAL.—Section 611(a) of title 5, United 

6 States Code, is amended— 

7 (1) in paragraph (1), by striking ‘‘final agency 

8 action’’ and inserting ‘‘such rule’’; 

9 (2) in paragraph (2), by inserting ‘‘(or which 

10 would have such jurisdiction if publication of the 

11 final rule constituted final agency action)’’ after 

12 ‘‘provision of law,’’; and 

13 (3) in paragraph (3)— 

14 (A) by striking ‘‘final agency action’’ the 

15 first place it appears and inserting ‘‘publication 

16 of the final rule’’; and 

17 (B) by inserting ‘‘, in the case of a rule for 

18 which the date of final agency action is the 

19 same date as the publication of the final rule,’’ 

20 after ‘‘except that’’. 

21 (b) INTERVENTION BY CHIEF COUNSEL FOR ADVO22 CACY.—Section 612(b) of title 5, United States Code, is 

23 amended by inserting before the first period ‘‘or agency 

24 compliance with section 601, 603, 604, 605(b), 609, or 

25 610’’. 


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1 SEC. 9. JURISDICTION OF COURT OF APPEALS OVER RULES 

2 IMPLEMENTING THE REGULATORY FLEXI3 BILITY ACT. 

4 (a) IN GENERAL.—Section 2342 of title 28, United 

5 States Code, is amended— 

6 (1) in paragraph (6), by striking ‘‘and’’ at the 

7 end; 

8 (2) in paragraph (7), by striking the period at 

9 the end and inserting ‘‘; and’’; and 

10 (3) by inserting after paragraph (7) the fol11 lowing: 

12 ‘‘(8) all final rules under section 608(a) of title 

13 5.’’. 

14 (b) CONFORMING AMENDMENTS.—Section 2341(3) 

15 of title 28, United States Code, is amended— 

16 (1) in subparagraph (D), by striking ‘‘and’’ at 

17 the end; 

18 (2) in subparagraph (E), by striking the period 

19 at the end and inserting ‘‘; and’’; and 

20 (3) by adding at the end the following: 

21 ‘‘(F) the Office of Advocacy of the Small 

22 Business Administration, when the final rule is 

23 under section 608(a) of title 5.’’. 

24 (c) AUTHORIZATION TO INTERVENE AND COMMENT

25 ON AGENCY COMPLIANCE WITH ADMINISTRATIVE PROCE26 DURE.—Section 612(b) of title 5, United States Code, is 


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1 amended, in the second sentence, by inserting ‘‘chapter 

2 5, and chapter 7,’’ after ‘‘this chapter,’’. 

3 SEC. 10. ESTABLISHMENT AND APPROVAL OF SMALL BUSI4 NESS CONCERN SIZE STANDARDS BY CHIEF 

5 COUNSEL FOR ADVOCACY. 

6 (a) IN GENERAL.—Subparagraph (A) of section 

7 3(a)(2) of the Small Business Act (15 U.S.C. 632(a)(2)) 

8 is amended to read as follows: 

9 ‘‘(A) IN GENERAL.—In addition to the cri10 teria specified in paragraph (1)— 

11 ‘‘(i) the Administrator may specify de12 tailed definitions or standards by which a 

13 business concern may be determined to be 

14 a small business concern for purposes of 

15 this Act or the Small Business Investment 

16 Act of 1958; and 

17 ‘‘(ii) the Chief Counsel for Advocacy 

18 may specify such definitions or standards 

19 for purposes of any other Act.’’. 

20 (b) APPROVAL BY CHIEF COUNSEL.—Clause (iii) of 

21 section 3(a)(2)(C) of the Small Business Act (15 U.S.C. 

22 632(a)(2)(C)) is amended to read as follows: 

23 ‘‘(iii) is approved— 

24 ‘‘(I) by the Administrator; or 


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1 ‘‘(II) in the case of a size stand2 ard that is not prescribed by the Ad3 ministrator, by the Chief Counsel for 

4 Advocacy.’’. 

5 (c) INDUSTRY VARIATION.—Section 3(a)(3) of the 

6 Small Business Act (15 U.S.C. 632(a)(3)) is amended— 

7 (1) by inserting ‘‘or Chief Counsel for Advo8 cacy, as appropriate,’’ before ‘‘shall ensure’’; and 

9 (2) by inserting ‘‘or Chief Counsel for Advo10 cacy’’ before the period at the end. 

11 (d) JUDICIAL REVIEW OF SIZE STANDARDS AP12 PROVED BY CHIEF COUNSEL.—Section 3(a) of the Small 

13 Business Act (15 U.S.C. 632(a)) is amended by adding 

14 at the end the following new paragraph: 

15 ‘‘(9) JUDICIAL REVIEW OF STANDARDS AP16 PROVED BY CHIEF COUNSEL.—In the case of an ac17 tion for judicial review of a rule which includes a 

18 definition or standard approved by the Chief Counsel 

19 for Advocacy under this subsection, the party seek20 ing such review shall be entitled to join the Chief 

21 Counsel as a party in such action.’’. 

22 SEC. 11. TECHNICAL AND CONFORMING AMENDMENTS. 

23 (a) DEFINITIONS.—Section 601 of title 5, United 

24 States Code, is amended— 


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1 (1) in the matter preceding paragraph (1), by 

2 striking ‘‘this chapter—’’ and inserting ‘‘this chap3 ter:’’; 

4 (2) in paragraph (1)— 

5 (A) by striking the semicolon at the end 

6 and inserting a period; and 

7 (B) by striking ‘‘(1) the term’’ and insert8 ing ‘‘(1) AGENCY.—The term’’; 

9 (3) in paragraph (3)— 

10 (A) by striking the semicolon at the end 

11 and inserting a period; and 

12 (B) by striking ‘‘(3) the term’’ and insert13 ing ‘‘(3) SMALL BUSINESS.—The term’’; 

14 (4) in paragraph (5)— 

15 (A) by striking the semicolon at the end 

16 and inserting a period; and 

17 (B) by striking ‘‘(5) the term’’ and insert18 ing ‘‘(5) SMALL GOVERNMENTAL JURISDIC19 TION.—The term’’; 

20 (5) in paragraph (6)— 

21 (A) by striking ‘‘; and’’ and inserting a pe22 riod; and 

23 (B) by striking ‘‘(6) the term’’ and insert24 ing ‘‘(6) SMALL ENTITY.—The term’’; and 

25 (6) by adding at the end the following: 


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1 ‘‘(11) COVERED AGENCY.—The term ‘covered 

2 agency’ means— 

3 ‘‘(A) the Environmental Protection Agen4 cy; 

5 ‘‘(B) the Consumer Financial Protection 

6 Bureau of the Federal Reserve System; and 

7 ‘‘(C) the Occupational Safety and Health 

8 Administration of the Department of Labor.’’. 

9 (b) INCORPORATIONS BY REFERENCE AND CERTIFI10 CATIONS.—Section 605 of title 5, United States Code, is 

11 amended, in the heading, by striking ‘‘Avoidance of 

12 duplicative or unnecessary analyses’’ and in13 serting ‘‘Incorporations by reference and cer14 tifications’’. 

15 (c) TABLE OF SECTIONS.—The table of sections for 

16 chapter 6 of title 5, United States Code, is amended— 

17 (1) by striking the item relating to section 605 

18 and inserting the following: 

‘‘605. Incorporations by reference and certifications.’’; 

19 (2) by striking the item relating to section 607 

20 and inserting the following: 

‘‘607. Quantification requirements.’’; 

21 and 

22 (3) by striking the item relating to section 608 

23 and inserting the following: 

‘‘608. Additional powers of Chief Counsel for Advocacy.’’. 


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1 (d) OTHER CONFORMING AMENDMENTS.— 

2 (1) Section 603(d) title 5, United States Code, 

3 is amended— 

4 (A) by striking paragraph (2); 

5 (B) by striking ‘‘(1) For a covered agency, 

6 as defined in section 609(d)(2),’’ and inserting 

7 ‘‘For a covered agency,’’; 

8 (C) by striking ‘‘(A) any’’ and inserting 

9 ‘‘(1) any’’; 

10 (D) by striking ‘‘(B) any’’ and inserting 

11 ‘‘(2) any’’; and 

12 (E) by striking ‘‘(C) advice’’ and inserting 

13 ‘‘(3) advice’’. 

14 (2) Section 604(a)(7) of title 5, United States 

15 Code, as redesignated by section 4(b)(1)(E), is 

16 amended by striking ‘‘, as defined in section 

17 609(d)(2),’’ 

18 SEC. 12. AGENCY PREPARATION OF GUIDES. 

19 Section 212(a)(5) the Small Business Regulatory En20 forcement Fairness Act of 1996 (5 U.S.C. 601 note) is 

21 amended to read as follows: 

22 ‘‘(5) AGENCY PREPARATION OF GUIDES.—The 

23 agency shall, in its sole discretion, taking into ac24 count the subject matter of the rule and the lan25 guage of relevant statutes, ensure that the guide is 


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1 written using sufficiently plain language likely to be 

2 understood by affected small entities. Agencies may 

3 prepare separate guides covering groups or classes of 

4 similarly affected small entities and may cooperate 

5 with associations of small entities to distribute such 

6 guides. In developing guides, agencies shall solicit 

7 input from affected small entities or associations of 

8 affected small entities. An agency may prepare 

9 guides and apply this section with respect to a rule 

10 or a group of related rules.’’. 

11 SEC. 13. COMPTROLLER GENERAL REPORT. 

12 Not later than 90 days after the date of enactment 

13 of this Act, the Comptroller General of the United States 

14 shall complete and publish a study that examines whether 

15 the Chief Counsel for Advocacy of the Small Business Ad16 ministration has the capacity and resources to carry out 

17 the duties of the Chief Counsel under this Act and the 

18 amendments made by this Act. 

Æ 


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