Governor Signs Serpa Bill to Analyze Small Business Regulations

Under provisions of the new law (2012-H 8024A), each affected agency shall review 25 percent of its regulations each year for four years until all existing regulations have been evaluated for any adverse impacts on small businesses and economic impact statements have been prepared, with the exception of emergency regulations.

The law excludes certain entities from the definition of “small business,” including financial institutions, insurance companies, mineral, oil and gas brokers, subdividers, developers, landscape architectural firms, nonprofit institutions, businesses offering entertainment activities and productions and utilities companies. It also shifts oversight of proposed small business regulation from the Rhode Island Economic Development Corporation to the Office of Management and Budget. The Office of Regulatory Reform, which falls under the Office of Management and Budget in the new provisions, is authorized to coordinate, provide technical assistance and oversee state agency regulatory review and accompanying economic impact statements on small businesses.

Co-sponsors of the bill include Representatives Patricia L. Morgan (R-Dist. 26, West Warwick, Coventry, Warwick), Joseph A. Trillo (R-Dist. 24, Warwick), Frank G. Ferri (D-Dist. 22, Warwick) and Cale P. Keable (D-Dist. 47, Burrillville, Glocester).