Congresswoman McCollum's Remarks Regarding H.R. 10, the REINS Act

Mr. Speaker, I rise to strongly oppose the REINS Act (H.R. 10). This reckless legislation would put American families at risk while doing nothing to create jobs.

If enacted, H.R. 10 would delay and possibly block agency rulemaking in critical areas of public health and safety. This legislation would require that any ''major'' new rule be approved by Congress and the President within 70 legislative days. If Congress fails to act by the deadline, the proposed rule could not be reviewed again until the next Congress. My Republican colleagues do not deny this cumbersome process would prevent many new rules from taking effect. They argue preventing new rules is necessary to stimulate hiring and strengthen the economy.

The House Republican majority has used similar justifications to undermine existing regulations that create a level-playing field for business and protect the health and safety of American families. Earlier this month, Republicans passed the Regulatory Flexibility Improvements Act (H.R. 527) and Regulatory Accountability Act (H.R. 3010). These bills add new layers of bureaucracy intended to hamper enforcement of important environmental, labor, financial and food safety laws.

Evidence does not support Republican claims that federal regulation is to blame for persistently-high unemployment. According to the Bureau of Labor Statistics (BLS), only 0.3 percent of Americans laid off in 2010 lost their jobs due to ''government regulations.'' In 2011, the BLS found even fewer layoffs attributable to regulations--0.18 percent. A McClatchy News survey of small businesses in August 2011 did not identify a single business owner who complained about regulation in their industry. In fact, McClatchy reported that ''most seemed to welcome it and some pointed to the lack of regulation in mortgage lending as a principal cause of the financial crisis that brought about the Great Recession of 2007-9 and its grim aftermath.''

Bruce Bartlett, a former advisor to Republican Presidents Ronald Reagan and George H.W. Bush, said congressional Republicans' anti-regulatory fervor has nothing to do with jobs. Bartlett recently wrote: ''Regulatory uncertainty is a canard invented by Republicans that allows them to use current economic problems to pursue an agenda supported by the business community year in and year out. In other words, it is a simple case of political opportunism, not a serious effort to deal with high unemployment.''

Economists from across the political spectrum agree the real impediment to hiring is weak demand in the economy. Increasing demand is the focus of President Obama's proposed American Jobs Act, which independent economists say would create over 1 million jobs. Despite the jobs crisis facing over 14 million Americans, House Republican leaders refuse to bring the American Jobs Act to the floor for a vote.

H.R. 10 and other anti-regulatory bills will not only fail to create jobs, they expose American families and small businesses to new and unnecessary risks. President Obama has threatened to veto the bill, arguing it would ''delay and in many cases thwart'' implementation of important rules and increase unnecessary confusion and uncertainty in the economy. The Coalition for Sensible Safeguards warns that H.R. 10 ''would make it virtually impossible for federal agencies to ensure that American families are protected from tainted food, unsafe drugs, predatory financial schemes, dirty air and water, and dangerous workplaces.''

Abandoning Americans to an unregulated marketplace is not a solution for economic growth--it is a sure threat to public safety. In recent years, many Americans have died as a result of E.coli and salmonella outbreaks in our food supply. A failure to enforce federal workplace safety standards resulted in the tragic deaths of 29 miners in West Virginia. Under-regulation allowed irresponsible bankers and mortgage lenders to destroy the education and retirement savings of millions of Americans. America is, in fact, facing a regulatory crisis. Not the crisis of ''over-regulation'' my Republican colleagues claim, but a series of crises resulting from a failure to enforce and enact common-sense rules.

Sensible regulation is necessary for an efficient, fair and innovative private market. But we should not be surprised that industry will not always support--and rarely ask--to be regulated. History shows that industry groups initially opposed new requirements for seat belts and air bags, limitations on mercury pollution and even restrictions against child labor. In the short-term, narrow private interests often conflict with the broader public interest. Over time, well-designed and consistently-enforced rules often prove to be less costly and more beneficial than originally expected.

Democrats and Republicans should be working together to improve the federal regulatory structure. Our shared focus in Congress should be on reforming regulations to increase results and reduce costs. Partisan attempts to weaken common sense rules and protections will not make our economy--or our country--stronger.

I urge my colleagues to reject H.R. 10 because it undermines public safety and distracts Congress from the urgent task of creating jobs.