WASHINGTON, D.C. – This week, Congressman Brad Finstad (MN-01),  member of the House Small Business Committee, voted to pass H.R. 4305, the Destroying Unnecessary, Misaligned, and Prohibitive (DUMP) Red Tape Act, legislation that  requires the Small Business Administration Office of Advocacy to create and maintain a “Red Tape Hotline” for small business owners to report burdensome regulations in real time and ensure those concerns are systematically reviewed by an independent advocate.?

With U.S. small businesses bearing a disproportionately higher burden of regulatory costs, the DUMP Red Tape Act ensures the concerns of small business owners are heard. Specifically, this legislation adds a layer of transparency across federal agencies and holds the government accountable for highlighting the areas in need of reform.

“The DUMP Red Tape Act is commonsense legislation to protect from an out-of-control bureaucracy that has made owning and operating a small business unnecessarily onerous. As a small business owner myself, I understand firsthand the ways our federal government has acted more as a hinderance than a partner, and it is time that we provide these critical small business owners with the tools to fight back.” said Rep. Finstad.

Background:

• During the Biden Administration, the U.S. experienced an unprecedented surge in federal regulations.
• A 2024 report by the House Committee on Oversight found that the Biden Administration added $1.7 trillion in new regulatory costs, which amounted to 300 million regulatory additional paperwork hours and created unnecessary obstacles for small business owners, making it more difficult to grow their businesses.
• Congressman Finstad has also introduced the Prove It Act which works to give small businesses a seat at the table in our nation’s regulatory process, requiring federal agencies to assess the impact of new regulations on small businesses.