Washington, DC (October 17, 2018) – The Trump Administration’s effort to slash red tape is a largely untold story that deserves more attention, said the Job Creators Network today.
“I don’t think that people realize how important this is,” said Alfredo Ortiz, JCN President and CEO. “Deregulation was the spark, and the tax cuts were the fuel.”
Ortiz said the President’s early executive orders slashing unnecessary rules and mandates provided immediate relief to beleaguered small businesses that were under assault from various regulatory agencies for the previous eight years.
“The economic boom started almost precisely when President Trump took office, and that’s because one of his first actions was to slash the excessive red tape of the previous administration,” he said. “That sent a powerful signal to small business owners that things were getting better.”
The Office of Management and Budget announced today that the administration cut $23 billion in regulatory costs in 2017. It also repealed 12 existing regulations for every new one approved.
“Dealing with red tape is costlier for small businesses than for large corporations,” said Ortiz. “That’s because small businesses don’t have stables of lawyers and compliance experts to help them navigate the rules. In most cases, they have to hire expensive outside consultants, or the business owner has to take on that responsibility. Either way, regulatory compliance is a hidden tax that is a drain on the small business sector.”
Ortiz said that while the Tax Cuts and Jobs Act is the most visible economic policy, regulatory reform is also important.
“The Tax Cuts and Jobs Act is a massive boost to the economy, and it’s been especially important to small businesses. But the deregulation is also very important,” said Ortiz. “Healthcare reform is the third major goal for small businesses, and the administration has made some important regulatory changes there as well.”
Ortiz pointed to new rules expanding Association Health Plans and short-term health insurance policies, both of which regulatory changes expand choices and drive down costs for small businesses.
“The new health care regulations are major policy shifts that we believe will have dramatic results in the near future,” said Ortiz.