CHAMBER OF COMMERCE

OF THE

UNITED STATES OF AMERICA

R. BR U C E J O S T E N
EXECUTIVE VICE PRESIDENT GOVERNMENT AFFAIRS

1615 H STREET, N.W. WASHINGTON, D.C. 20062-2000 202/463-5310

September 21, 2011

TO THE MEMBERS OF THE U.S. HOUSE OF REPRESENTATIVES: The U.S. Chamber of Commerce, the worlds largest business federation representing the interests of more than three million businesses and organizations of every size, sector, and region, supports H.R. 2401, the Transparency in Regulatory Analysis of Impacts on the Nation (TRAIN) Act of 2011, which would require the federal government to consider the true economic impact of its major environmental regulationsan analysis mandated by existing law but routinely ignored by the current Environmental Protection Agency (EPA). The Chamber also supports amendments expected to be offered that would expand the list of regulations subject to economic analysis under the bill and provide EPA the ability to consider costs and feasibility when setting National Ambient Air Quality Standards (NAAQS) under the Clean Air Act. Regulations are a necessary part of a complex society. But an unbalanced regulatory process has led to an unprecedented increase in major, economically significant regulations, some of which are harming the economy and inhibiting job creation. Nowhere is this problem more pronounced than at EPA, which has spent the past 30 months issuing a wide array of large, expensive regulations that affect virtually every facet of the U.S. economy, from homeowners, hospitals and farmers to small businesses and manufacturers. These regulations are often onesided, agenda-driven rules brought about by closed-door judicial settlements with special interest groups. The businesses caught in the agencys crosshairs are usually not included in the process until the draft rule is written, when it is too late to make a real difference. In theory, businesses are protected from unsound regulations by a host of laws enacted by Congress to ensure that all Americans are given a fair opportunity to participate in the regulatory processlaws like the Regulatory Flexibility Act, Unfunded Mandate Reform Act, Data Quality Act, and provisions in every major environmental law requiring EPA to perform a continuing study of the effect of its regulations on employment or the threat of job loss. However, EPA consistently fails to adhere to any of these laws. In the case of job loss evaluations, EPA often ignores this requirement altogether. The TRAIN Act would put the brakes on several of EPAs most damaging regulations until a full study of their cumulative impact is doneone that includes not only health and social benefits but actual impact on economic competitiveness, trade, energy supplies, consumer spending, and jobs. The TRAIN Act would create an independent committee to carry out the study, cutting down on the common problem of EPA conducting an overly-rosy analysis to justify the rule it wants to put in place.

The Chamber supports amendments expected to be offered to H.R. 2401 that would expand the list of regulations covered by the bill to other economically-unsound rules, such as Cement MACT air toxics standards. The Chamber also strongly supports an amendment expected to be offered that would provide the EPA Administrator the ability to consider cost and feasibility when setting NAAQS. Such authority could have helped avoid the potential disaster of EPAs proposed Ozone NAAQS reconsideration, which the President wisely sent back to the agency due to its high cost. The Chamber believes that comprehensive regulatory reform is needed to restore balance to the regulatory process. The TRAIN Act would be an important part of this effort. The TRAIN Act would ensure that EPAs current regulations protect Americas citizens and natural resources without harming the national economy or competitiveness. The Chamber urges you to approve H.R. 2401. The Chamber may consider votes on, or in relation to, H.R. 2401 in our annual How They Voted scorecard. Sincerely,

R. Bruce Josten