Countering America’s regulatory burden: Congress sees jobs as topmost priority

{mosads}This new focus echoes President Obama’s recent call for a review of regulations that threaten job creation, and hurt small businesses in particular. The president said that in order “to help our companies compete, we also have to knock down barriers that stand in the way of their success.” To that end, he ordered the immediate review of government rules and promised to fix those that are duplicative and place an unnecessary burden on businesses.

Small business owners are cautiously hopeful that the combined efforts of the President Obama and Chairman Issa will lead to change. Witnesses at Chairman Issa’s hearing spoke about a variety of regulations that need to be fixed, reformed or rethought.

Beyond the traditional agencies and departments (like OSHA, EPA and Labor) that remain the source of concern for business owners, the Administration and Congress need to turn their attention to the Department of Education, as well.

The department is finalizing regulations, such as the “Gainful Employment” rule, that would target for-profit colleges by cutting off federal student aid in accordance with unacceptable student debt-to-income ratios. The plan unfairly singles out for-profit schools, which serve students who otherwise wouldn’t have access to higher education. The U.S. Chamber of Commerce warns that if these rules are passed it will result in 100,000 jobs lost and a $5.3 billion burden on taxpayers – outcomes we can ill afford.

{mosads}This week, a bi-partisan coalition led by Chairman John Kline (R-Minn.) of the House Education and Workforce Committee, Chairwoman Virginia Foxx (R-N.C.) of the Subcommittee on Higher Education, and Reps. Alcee Hastings (D-Fla.) and Carolyn McCarthy (D-N.Y.), have offered an amendment to the Fiscal Year 2011 Continuing Resolution. The amendment, which will likely be presented for vote on Wednesday, February 16, would prevent the Department of Education from funding the implementation of the Gainful Employment rule.

The Small Business & Entrepreneurship Council is urging the full House to get behind this legislative effort to defund the Gainful Employment rule.  As our economy gathers momentum, we must fully support the career schools and programs that are a life line for tens of thousands of Americans looking to advance their workforce skills.

These institutions and the students they serve are an essential part of our nation’s recovery. By blocking Gainful Employment, we will ensure that students most in need – including many minority students – will continue to have access to valuable career college options that help them get jobs. Career colleges graduate skilled workers that our nation’s small business owners rely upon. This is a labor stream we must continue to invest in as the economy improves.

Karen Kerrigan is the president & CEO of the Small Business & Entrepreneurship Council.