5 U.S.C. § 603 — Initial regulatory flexibility analysis

Page 222 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 602 1 So in original. The comma probably should be a semicolon. tation, Energy, and Homeland Security, and the Envi- ronmental Protection Agency shall develop plans for implementing the requirements of this memorandum, providing technical assistance to nonfederal actors en- gaged in predevelopment activities, and educating grantees and the public on the benefits of predevelopment and the Federal resources available for these activities. These agencies shall also work to- gether to develop a guide for nonfederal actors under- taking nonfederal predevelopment activities that in- cludes best practices on how to evaluate and compare traditional and alternative financing strategies. No later than 60 days after the date of this memorandum, these agencies shall provide these plans and the best practice guide to the Director of the National Eco- nomic Council. Subsequently, these agencies shall pro- vide regular updates to the Director of the National Economic Council on their progress in increasing sup- port for predevelopment activities. SEC. 5. General Provisions. (a) Nothing in this memo- randum shall be construed to impair or otherwise af- fect: (i) the authority granted by law to an executive de- partment or agency, or the head thereof; or (ii) the functions of the Director of the Office of Man- agement and Budget relating to budgetary, administra- tive, or legislative proposals. (b) This memorandum is not intended to, and does not, create any right or benefit, substantive or proce- dural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person. (c) The Secretary of Transportation is hereby author- ized and directed to publish this memorandum in the Federal Register. BARACK OBAMA. § 602. Regulatory agenda (a) During the months of October and April of each year, each agency shall publish in the Fed- eral Register a regulatory flexibility agenda which shall contain— (1) a brief description of the subject area of any rule which the agency expects to propose or promulgate which is likely to have a sig- nificant economic impact on a substantial number of small entities; (2) a summary of the nature of any such rule under consideration for each subject area list- ed in the agenda pursuant to paragraph (1), the objectives and legal basis for the issuance of the rule, and an approximate schedule for completing action on any rule for which the agency has issued a general notice of proposed rulemaking,1 and (3) the name and telephone number of an agency official knowledgeable concerning the items listed in paragraph (1). (b) Each regulatory flexibility agenda shall be transmitted to the Chief Counsel for Advocacy of the Small Business Administration for com- ment, if any. (c) Each agency shall endeavor to provide no- tice of each regulatory flexibility agenda to small entities or their representatives through direct notification or publication of the agenda in publications likely to be obtained by such small entities and shall invite comments upon each subject area on the agenda. (d) Nothing in this section precludes an agen- cy from considering or acting on any matter not included in a regulatory flexibility agenda, or requires an agency to consider or act on any matter listed in such agenda. (Added Pub. L. 96–354, § 3(a), Sept. 19, 1980, 94 Stat. 1166.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective Jan. 1, 1981, see section 4 of Pub. L. 96–354, set out as a note under section 601 of this title. § 603. Initial regulatory flexibility analysis (a) Whenever an agency is required by section 553 of this title, or any other law, to publish gen- eral notice of proposed rulemaking for any pro- posed rule, or publishes a notice of proposed rulemaking for an interpretative rule involving the internal revenue laws of the United States, the agency shall prepare and make available for public comment an initial regulatory flexibility analysis. Such analysis shall describe the im- pact of the proposed rule on small entities. The initial regulatory flexibility analysis or a sum- mary shall be published in the Federal Register at the time of the publication of general notice of proposed rulemaking for the rule. The agency shall transmit a copy of the initial regulatory flexibility analysis to the Chief Counsel for Ad- vocacy of the Small Business Administration. In the case of an interpretative rule involving the internal revenue laws of the United States, this chapter applies to interpretative rules published in the Federal Register for codification in the Code of Federal Regulations, but only to the ex- tent that such interpretative rules impose on small entities a collection of information re- quirement. (b) Each initial regulatory flexibility analysis required under this section shall contain— (1) a description of the reasons why action by the agency is being considered; (2) a succinct statement of the objectives of, and legal basis for, the proposed rule; (3) a description of and, where feasible, an estimate of the number of small entities to which the proposed rule will apply; (4) a description of the projected reporting, recordkeeping and other compliance require- ments of the proposed rule, including an esti- mate of the classes of small entities which will be subject to the requirement and the type of professional skills necessary for preparation of the report or record; (5) an identification, to the extent prac- ticable, of all relevant Federal rules which may duplicate, overlap or conflict with the proposed rule. (c) Each initial regulatory flexibility analysis shall also contain a description of any signifi- cant alternatives to the proposed rule which ac- complish the stated objectives of applicable statutes and which minimize any significant economic impact of the proposed rule on small entities. Consistent with the stated objectives of applicable statutes, the analysis shall discuss significant alternatives such as— (1) the establishment of differing compliance or reporting requirements or timetables that take into account the resources available to small entities; Page 223 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 604 1 So in original. Two pars. (6) have been enacted. (2) the clarification, consolidation, or sim- plification of compliance and reporting re- quirements under the rule for such small enti- ties; (3) the use of performance rather than design standards; and (4) an exemption from coverage of the rule, or any part thereof, for such small entities. (d)(1) For a covered agency, as defined in sec- tion 609(d)(2), each initial regulatory flexibility analysis shall include a description of— (A) any projected increase in the cost of credit for small entities; (B) any significant alternatives to the pro- posed rule which accomplish the stated objec- tives of applicable statutes and which mini- mize any increase in the cost of credit for small entities; and (C) advice and recommendations of rep- resentatives of small entities relating to issues described in subparagraphs (A) and (B) and subsection (b). (2) A covered agency, as defined in section 609(d)(2), shall, for purposes of complying with paragraph (1)(C)— (A) identify representatives of small entities in consultation with the Chief Counsel for Ad- vocacy of the Small Business Administration; and (B) collect advice and recommendations from the representatives identified under sub- paragraph (A) relating to issues described in subparagraphs (A) and (B) of paragraph (1) and subsection (b). (Added Pub. L. 96–354, § 3(a), Sept. 19, 1980, 94 Stat. 1166; amended Pub. L. 104–121, title II, § 241(a)(1), Mar. 29, 1996, 110 Stat. 864; Pub. L. 111–203, title X, § 1100G(b), July 21, 2010, 124 Stat. 2112.) Editorial Notes AMENDMENTS 2010—Subsec. (d). Pub. L. 111–203 added subsec. (d). 1996—Subsec. (a). Pub. L. 104–121, § 241(a)(1)(B), in- serted at end ‘‘In the case of an interpretative rule in- volving the internal revenue laws of the United States, this chapter applies to interpretative rules published in the Federal Register for codification in the Code of Federal Regulations, but only to the extent that such interpretative rules impose on small entities a collec- tion of information requirement.’’ Pub. L. 104–121, § 241(a)(1)(A), which directed the in- sertion of ‘‘, or publishes a notice of proposed rule- making for an interpretative rule involving the inter- nal revenue laws of the United States’’ after ‘‘proposed rule’’ was executed by making the insertion where those words appeared in first sentence to reflect the probable intent of Congress. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2010 AMENDMENT Amendment by Pub. L. 111–203 effective on the des- ignated transfer date, see section 1100H of Pub. L. 111–203, set out as a note under section 552a of this title. EFFECTIVE DATE OF 1996 AMENDMENT Amendment by Pub. L. 104–121 effective on expiration of 90 days after Mar. 29, 1996, but inapplicable to inter- pretative rules for which a notice of proposed rule- making was published prior to Mar. 29, 1996, see section 245 of Pub. L. 104–121, set out as a note under section 601 of this title. EFFECTIVE DATE Section effective Jan. 1, 1981, except that the require- ments of this section applicable only to rules for which a notice of proposed rulemaking was issued on or after Jan. 1, 1981, see section 4 of Pub. L. 96–354, set out as a note under section 601 of this title. § 604. Final regulatory flexibility analysis (a) When an agency promulgates a final rule under section 553 of this title, after being re- quired by that section or any other law to pub- lish a general notice of proposed rulemaking, or promulgates a final interpretative rule involv- ing the internal revenue laws of the United States as described in section 603(a), the agency shall prepare a final regulatory flexibility anal- ysis. Each final regulatory flexibility analysis shall contain— (1) a statement of the need for, and objec- tives of, the rule; (2) a statement of the significant issues raised by the public comments in response to the initial regulatory flexibility analysis, a statement of the assessment of the agency of such issues, and a statement of any changes made in the proposed rule as a result of such comments; (3) the response of the agency to any com- ments filed by the Chief Counsel for Advocacy of the Small Business Administration in re- sponse to the proposed rule, and a detailed statement of any change made to the proposed rule in the final rule as a result of the com- ments; (4) a description of and an estimate of the number of small entities to which the rule will apply or an explanation of why no such esti- mate is available; (5) a description of the projected reporting, recordkeeping and other compliance require- ments of the rule, including an estimate of the classes of small entities which will be subject to the requirement and the type of profes- sional skills necessary for preparation of the report or record; (6) 1 a description of the steps the agency has taken to minimize the significant economic impact on small entities consistent with the stated objectives of applicable statutes, in- cluding a statement of the factual, policy, and legal reasons for selecting the alternative adopted in the final rule and why each one of the other significant alternatives to the rule considered by the agency which affect the im- pact on small entities was rejected; and (6) 1 for a covered agency, as defined in sec- tion 609(d)(2), a description of the steps the agency has taken to minimize any additional cost of credit for small entities. (b) The agency shall make copies of the final regulatory flexibility analysis available to members of the public and shall publish in the Federal Register such analysis or a summary thereof. (Added Pub. L. 96–354, § 3(a), Sept. 19, 1980, 94 Stat. 1167; amended Pub. L. 104–121, title II,