Requiring Specific Legislative Authority for Agency Rule-Making Would Help Washington Businesses
Carl Gipson, Director, Center for Small Business, January, 2009
A proposal has been introduced in the legislature that would revise rule-making requirements to assure that the legislature can carefully review rules that impose significant burdens on Washington businesses before the rules take effect.
Small businesses, those with fewer than 50 employees, face far higher regulatory compliance costs than larger businesses. The U.S. Small Business Administration says that businesses with fewer than 20 employees spend 45% more per employee than larger firms to comply with just federal regulations.
A firm with fewer than 20 employees spends on average $7,647 per employee to comply with federal regulations, while a firm with over 500 employees spends $5,282 per employee.
Total state regulations have expanded to fill 32 phonebook-sized volumes, which together form a stack of paper over five feet high. These rules have the force of law, and they strictly control and limit the day-to-day activities of every person and business in this state.
Read the full Legislative Memo here