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Background Paper on the Office of Advocacy, 2009-2016

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Background Paper on the Office of Advocacy, 2009-2016 Background Paper on the Office of Advocacy 2009 - 2016 The mission, activities, and accomplishments of the Office of Advocacy from 2009 to 2016 Release Date: October 2016 Created by Congress in 1976, the Office of Advocacy of the U.S. Small Business Administration (SBA) is an independent voice for small business within the federal government. Appointed by the President and confirmed by the U.S. Senate, the Chief Counsel for Advocacy directs the office. The Chief Counsel advances the views, concerns, and interests of small business before Congress, the White House, federal agencies, federal courts, and state policy makers. Economic research, policy analyses, and small business outreach help identify issues of concern. Regional Advocates and an office in Washington, DC, support the Chief Counsel’s efforts. The views expressed by Advocacy here do not necessarily reflect the position of the Administration or the SBA because Advocacy is an independent entity within the U.S. Small Business Administration. Background Paper on the Office of Advocacy 2009 - 2016 The mission, activities, and accomplishments of the Office of Advocacy from 2009 to 2016 Release Date: October 2016 Chief Counsels for Advocacy Milton D. Stewart, 1978–1981 Frank S. Swain, 1981–1989 Thomas P. Kerester, 1992–1993 Jere W. Glover, 1994–2001 Thomas M. Sullivan, 2002–2008 Winslow L. Sargeant, 2010–2015 Darryl L. DePriest, 2015–present First Chief Counsel, Milton D. Stewart From left to right: DePriest, Swain, Kerester, Glover, Sullivan, and Sargeant Page | ii Background Paper on the Office of Advocacy, 2009–2016 Foreword The Office of Advocacy takes great pride in presenting to its many stakeholders this Background Paper on the Office of Advocacy: 2009 – 2016. In preparation for the change in administrations that will follow the 2016 election, I directed Advocacy’s staff to prepare this resource to help the new administration’s transition team understand the mission, responsibilities, and activities of our office. It includes a history of Advocacy and extensive reference materials that make it the most comprehensive single publication on Advocacy ever published. Although the paper is designed to be of special use to the transition team and new staff, we are again making the entire paper available to the general public and posting it on our website. We are also continuing an Advocacy tradition of publicly releasing our transition paper before the election. This document updates the last edition of the background paper, published in 2008. Much has happened since then that will be covered in this report, including important new legislation, Executive Orders, and special initiatives. Advocacy has accomplished a lot in the last eight years, and in the pages that follow we have summarized these accomplishments. The report is organized so that its various chapters can be used as freestanding reference sources for specific areas such as Advocacy history, economic research, or regulatory issues. It is exhaustively documented and includes 21 appendices with reference materials. Since 2009, Advocacy has reviewed annually from 1200 to 1500 public regulatory notices. Through its electronic e-notify system, Advocacy also annually receives from agencies about 600 notifications of regulatory activity. More than 500 regulatory proposals are annually reviewed in confidential interagency consultations prior to their publication. From FY 2009 through FY 2016, Advocacy hosted 201 regulatory roundtables on a wide variety of issues at which public stakeholders and agency officials could share information in an informal setting. During the same period, Advocacy submitted 256 formal public comment letters to 59 agencies throughout government. Advocacy also provided Regulatory Flexibility Act training to more than 1,100 policymakers and regulatory development officials in these agencies. From FY 2009 through FY 2016, the office’s regulatory advocacy resulted in one-time cost savings of nearly $46 billion, with annually recurring savings of nearly $25 billion. Also since 2009, Advocacy published almost 200 research or data products, and it introduced a variety of new products in more user-friendly formats. Advocacy presented testimony before 14 congressional hearings. It sponsored six major conferences or symposia, and the electronic circulation of our monthly Background Paper on the Office of Advocacy, 2009–2016 Page | iii newsletter, The Small Business Advocate, grew to 37,000. Advocacy’s regional advocates participated in nearly 3,000 outreach events and brought Advocacy’s work to communities throughout the country, including visits by Advocacy staff to all 50 states. Advocacy devoted resources to two special initiatives, one on innovation and the other on international trade, and the office now formally participates in U.S. trade negotiations, using its regulatory experience to advance the interests of American small businesses and reduce regulatory trade barriers to large new markets. Advocacy’s whole team made this record possible, and I am very proud of the work that they do. In the last eight years, the office has seen the retirement of a number of long-time professional staff members, but we have been fortunate in recruiting many exceptionally qualified professionals to fill positions opened by these retirements. We now have a great mix of young, old, and in between, ranging from new hires to staff with more than 35 years of service. The new look of some Advocacy products, and our increasing use of social media, reflect the fresh ideas that Advocacy’s changing staff have brought to our mission. I want to especially thank my predecessor as Chief Counsel, Dr. Winslow Sargeant, for his outstanding leadership of Advocacy through most of the period covered by this transition paper. Dr. Sargeant’s accomplishments were many. Of special importance was the reinvigoration of our Office of Economic Research with the hiring of a new Chief Economist and several exceptional economists. The ten regional advocates that he hired, and who are all still on our team, have been outstanding and extended the reach of Advocacy across the United States. Dr. Sargeant’s private sector business experience gave him special qualifications to guide Advocacy’s aforementioned innovation initiative. Winslow left Advocacy in great shape, and I have very much appreciated his support and good counsel. In closing, I would like to thank Advocacy’s extended family of stakeholders for all the support that they provide to us. We could not be successful without the daily help of our friends in small business organizations and trade associations, congressional offices, and executive branch agencies. We pledge to them that Advocacy will do everything possible to ensure a smooth transition. Darryl L. DePriest Chief Counsel for Advocacy October 31, 2016 Page | iv Background Paper on the Office of Advocacy, 2009–2016 Table of Contents Foreword ......................................................................................................................................... iii Chapter 1. Introduction................................................................................................................... 1 Advocacy Background and Mission ............................................................................................. 2 Executive Summary. ............................................................................................................ 2 The mission of Advocacy. .................................................................................................... 2 Early federal efforts assisting smaller firms. ....................................................................... 3 The Small Business Act. ....................................................................................................... 4 Executive Order 11518........................................................................................................ 5 Public Law 93-386. .............................................................................................................. 6 Public Law 94-305. .............................................................................................................. 6 The new Office of Advocacy. .............................................................................................. 8 Additional duties. ................................................................................................................ 9 The Regulatory Flexibility Act. .......................................................................................... 13 The Small Business Regulatory Enforcement Fairness Act. .............................................. 14 Executive Order 13272...................................................................................................... 16 The Small Business Jobs Act of 2010................................................................................. 18 The Small Business Constituency .............................................................................................. 19 The number of small businesses. ...................................................................................... 20 Job creation by small firms. .............................................................................................. 20 Employment by firm size. ................................................................................................. 20 Women, minority and veteran entrepreneurs. ...............................................................
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