A bill that passed the South Carolina House is now awaiting a vote in the Senate Judiciary Subcommittee that could significantly reduce the regulatory burden on small businesses across the state, including the 4,200+ small businesses in Spartanburg County.
The Small Business Regulatory Freedom Act introduces several key reforms. First, any regulation with an estimated economic impact of at least $1 million over five years must be approved by the General Assembly before taking effect. Second, for every new regulation added, two existing regulations must be reviewed for removal. Third, it prohibits courts from automatically deferring to agency interpretations of statutes, requiring independent judicial judgment.
Small business owners in Spartanburg have long cited regulatory compliance costs as a barrier to growth. From licensing requirements to environmental permits, the cumulative burden can be especially heavy for businesses with fewer than 50 employees.
The bill’s two-for-one provision mirrors a federal executive order and would force state agencies to prioritize necessity and efficiency when considering new regulatory actions.
The Senate Judiciary Subcommittee is expected to schedule a vote in the coming weeks. If passed, the reforms would apply to all new state regulations going forward.
