U.S. Sen. Rick Scott has introduced the Small Business Regulatory Flexibility Improvements Act in the Senate, joining a parallel effort in the House to alter how federal agencies assess the economic impact of proposed regulations on smaller companies.

Reducing Regulatory Burden

The legislation targets federal rulemakers by requiring designated agencies to analyze both the direct and indirect economic effects of potential rules, including expected compliance costs and revenue impacts. Under the bill, agencies would also have to outline alternatives designed to reduce adverse economic impacts or increase benefits for small entities, publish detailed numerical analyses online, and eliminate certain waivers that previously allowed agencies to bypass initial flexibility reviews.

The measure also expands the scope of the Regulatory Flexibility Act to cover additional administrative actions, such as revisions to land management plans and interpretive rules. Advocates of the measure point to federal estimates indicating that regulations cost the national economy more than $2 trillion every year, placing a disproportionate burden on smaller operations with fewer resources to manage compliance.

U.S. Rep. Ben Cline (R-Va.) introduced the House version of the legislation in January 2025, which advanced out of the House Judiciary Committee in June 2025. Sen. Scott and Rep. Cline expressed concerns regarding how federal requirements affect prospective business owners across the country, with Sen. Scott stating that it’s the government’s job to ensure hardworking people can live out the American Dream without excessive regulation.

Original reporting: Tampa Free Press — read the source article.