BREAKING NEWS: Shortly after being sworn into office on Friday, President Donald J. Trump put pen to paper and signed an Executive Order declaring an immediate freeze on any new Federal regulations. The Executive Order also directs federal agencies to do anything in their power to ease the regulatory burden on the public as it relates to Obamacare-related rules.
In anticipation of this order, federal agencies over the past few days have rushed to write as many new regulations as they could complete before Trump’s swearing in. According to The Hill, the Federal Register was “overwhelmed Thursday with nearly 1,500 pages worth of rules from federal agencies.”
This is a positive first step by Trump in reversing the many thousands of onerous federal regulations that have been strangling small businesses, entrepreneurs, and middle class workers across the nation. Recent regulations could prove fatal to many companies across the nation – regulations like the FDA’s takeover of the premium cigar industry, for example. Those regulations would treat single-ingredient, hand rolled premium cigars as if they were cigarettes, requiring small family boutique cigar shops to pay potentially hundreds of thousands of dollars per blend in FDA approval processes. These regulations are estimated to potentially destroy tens of thousands of jobs at small and family-owned businesses, but they are listed in the recent report compiled by the Republicans in the House among the regulations for Trump to consider abolishing in his first 100 days in office. I reached out to Glynn Loope, the Executive Director of Cigar Rights of America. Mr. Loope told me that they are “Hopeful that this is just beginning of a process that will roll back the current draconian rules that have been imposed on the premium cigar industry, and a serious step toward protecting the industry from future regulatory threats. Over 2,000 American small businesses, a central part of our trade relationship with Latin America, and a supply chain that spans from Florida to Pennsylvania depends upon it.”
Federal regulations were estimated to cost over $2 TRILLION dollars in 2012 alone, and typically consume about 21 percent of the average business’ payroll costs, according to a 2014 report by the National Association of Manufacturers.
Ending costly federal regulations have long been a main concern of small-government conservative Republicans and libertarians. This action by Trump on his very first day in office should encourage these groups, and bring them the first ray of hope after a very dark eight years.