Small Business Regulatory Reduction Act of 2025

Key Points

• Starting in 2026, the Small Business Administration must make sure its new or changed rules do not raise overall costs for small businesses. If a new rule adds costs, it must cut or simplify other rules so costs stay at zero or lower.
• Each year, a report to Congress will list every federal agency’s rules that affect small businesses and add up the total cost for each agency, making it clear who is adding costs.
• Other agencies are not required to keep costs at zero. They only have to be reported on, so most small firms may not see big changes right away.
• No new money is provided to do this, so the Small Business Administration must handle it with its current staff and budget.
• Many small business costs come from tax, labor, health, and environmental rules, so the biggest near-term effect is more transparency, not large immediate savings.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.