Senate Approves Bills to Cut Red Tape That Hurts Job Creation

 

The New York State Senate today approved a regulatory reform package of bills that would help spur job growth by cutting the red tape that hurts small businesses and strangles economic growth. The three bills address one of the more frequently cited roadblocks to job creation – overly burdensome, costly, and unnecessary state rules and regulations.

Senator Patrick Gallivan (R-C-I, Elma), Deputy Republican Conference Leader for Economic Development, said, “Working in a bipartisan and collaborative way, we are making progress in our continuing effort to reform New York’s burdensome regulatory system.  This package of legislation will not only help cut the reams of red tape that hamper small and large business alike, it allows for a consistent and comprehensive review of rules and regulations so that we can reform or eliminate arbitrary, duplicative or out-of-date requirements.  There is more work to be done, but it is clear that the days of New York holding business back are over.  These reforms help clear the path for economic growth and job creation.”

Senator David Valesky (D-Oneida), said, “Creating a more business friendly environment is critical for economic development, especially in Upstate New York. We are making progress with new programs, but we also need to address existing problems that have made doing business in New York difficult, causing companies to shrink their workforce or leave the state entirely; this legislative package will help in that effort.”

Senator Kathleen A. Marchione (R,C-Halfmoon), Chair of the Senate’s Administrative Regulations Review Commission, said, “Cutting Albany’s bureaucratic, job-killing rules, regulations and red tape will make New York’s business climate more competitive and help build an economy that provides more opportunities for everyone to succeed. Last year, we made real progress -- historic progress -- in identifying 2,219 state rules and regulations to be reviewed, revised or eliminated. Today’s passage of our bi-partisan regulatory relief bills will help New York take the next steps toward regulatory relief to create more jobs and a prosperous economy that works for everyone. The Assembly should follow our lead and help us make 2014 the year of true regulatory reform.”

Senator David Carlucci (D, Rockland/Westchester), Past Chair of the Senate’s Administrative Regulations Review Commission, said, “Small businesses are the heart and soul of New York's economy and the driving force behind job creation in every corner of our state. By working together in a bipartisan fashion, my colleagues and I have delivered on ways to make doing business in our state easier while creating a more competitive and rewarding economic climate.”

Last year, the New York State Senate Majority Coalition held industry-specific public hearings across the state to listen to businesses and local officials and learn which rules, regulations, and mandates are the most useless, most costly, and should be eliminated. The coalition, led by Senators Gallivan, Valesky, Marchione, and Carlucci, issued a comprehensive report in January that shed light on New York State’s notoriously dense regulatory structure and identified 2,219 specific rules, regulations and practices that put New York’s businesses at a competitive disadvantage.

The report confirmed that along with the need to deliver relief from high taxes, burdensome and unnecessary regulations continue to be a major obstacle when it comes to revitalizing New York's economy. The report recognizes the importance of the state’s regulatory structure, but noted that rules should not be arbitrary, the reporting should not be duplicative, and the requirements should be easily accessible by those who must comply.

The bills passed today would create a more competitive environment for businesses so they can create new jobs and grow for the future. The measures include:

- Bill S5657B sponsored by Senators Gallivan, Marchione, and Carlucci – establishes a task force to conduct a comprehensive review of the State Administrative Procedure Act (SAPA). The task force would examine and make recommendations concerning the state’s rulemaking process and whether SAPA ensures the establishment of consistent, uniform rules or whether the process results in rules and regulations that are overly and unnecessarily burdensome and costly.

- Bill S1784 sponsored by Senator Carlucci - reforms SAPA to allow regulated businesses to petition a state agency for approval to use an alternative method to comply with a rule instead of the standards prescribed in the rule. Under current law, only groups of local governments can petition a state agency to use an alternative method to implement a rule.

- Bill S2158 sponsored by Senator Valesky – strengthens SAPA to require consideration of potential  adverse impacts on existing and future jobs and employment opportunities in the rulemaking process for state agencies.

The bills have been sent to the Assembly.