Rauner signs pro-growth bill restricting state regulators
State agencies can no longer pile rules and regulations onto Illinois businesses without first taking into account their economic effects.
Illinois Gov. Bruce Rauner signed a bill into law Aug. 3 that will provide more protections for Illinois business owners, especially small business owners, moving forward.
House Bill 5253, sponsored by Rep. Carol Sente, D-Buffalo Grove, requires state regulatory agencies to examine the potential economic impact that proposed regulations could have on small businesses. This bill also requires the state to provide a list of industries that would be affected by the proposed regulation, and for that list to be made available to the public. It will go into effect Jan. 1, 2019.
Simply put, bureaucratic government agencies can no longer pile rules and regulations onto businesses without first considering how they may negatively affect those businesses. Illinois Policy lobbied in support of this bill.
This is a win for businesses and consumers alike. Small businesses are disproportionately weighed down by over-burdensome regulations, as it’s more difficult for them to shoulder compliance costs compared with their larger competitors. This measure will also help to ensure regulations imposed are truly in the best interest of consumers and the public.
Moreover, by requiring a list of affected industries to be posted publically online, it will give entrepreneurs a heads up as to what could be coming down the regulatory pipeline. With this new transparency measure, they would also receive the ability to respond before the regulation becomes binding.
This new law builds upon a bill passed by the General Assembly and signed into law by Rauner in 2017. Senate Bill 867, introduced by state Sen. Thomas Cullerton, D-Villa Park, reduced certain filing fees for LLCs, thus reducing the licensing burden on small business. Both of these bills together provide relief for business owners from burdensome fees and regulations.
In addition to the obvious protections for businesses, this new law also signals the future of regulation in Illinois could be smarter than it is today. The Illinois General Assembly should continue these efforts by looking at more ways to make Illinois a state that attracts, rather than repels, business investment.