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Small Business Regulatory Reduction: Zero Net Cost Rulemaking starting 2026.

This Act requires the Small Business Administration (SBA) to ensure that the net cost of its new regulations on small businesses is zero or less, starting in fiscal year 2026. This means any new costly rule must be offset by repealing or modifying an existing rule, aiming to reduce the overall regulatory burden. Furthermore, the law mandates annual reporting to Congress detailing the total regulatory costs imposed on small businesses by all federal agencies, increasing transparency.
Key points
Starting in 2026, the Small Business Administration (SBA) must not impose any net new regulatory costs on small businesses.
If the SBA issues a costly new rule, it must repeal or modify an existing rule to offset that financial burden (the "net zero" principle).
The law requires annual reports detailing the total regulatory costs imposed on small businesses by every federal agency.
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VOTING RESULTS
2025-12-03
54%
For 223
Against 190
Abstain 0
Full voting results open_in_new
Passed House
Citizen Poll
No votes cast
Additional Information
Print number: 119_HR_2965
Sponsor: Rep. Van Duyne, Beth [R-TX-24]
Process start date: 2025-04-17
Voting date: 2025-12-03
Meeting no: 1
Voting no: 310