July 8, 1996
Joseph A. Dear
Assistant Secretary
Department of Labor
200 Constitution Avenue, N.W.
Washington, D.C. 20210
Dear Assistant Secretary:
The Office of Advocacy of the U.S. Small Business Administration (SBA) appreciates the opportunity to comment on the Occupational Safety and Health Administration's (OSHA) notice of intent to form a negotiated rulemaking advisory committee for developing a proposed rule on fire protection in shipyard employment.(1)
The Office of Advocacy of the SBA was established by Congress under Public Law No. 94-305 to advocate the views of small business before Federal agencies and Congress. Advocacy also is required by §612 of the Regulatory Flexibility Act (RFA)(2) to monitor agency compliance with the RFA. These comments are directed towards assuring that small businesses(3) are selected as members of the committee and that the impact of this rulemaking on small entities is fully considered.
First, the Office of Advocacy recommends that a preliminary analysis be completed to determine the size of firms within the regulated industry. This determination would provide useful information when selecting the employer members of the committee. It is appropriate to assure the committee representation reflects the average firm. For instance, if the majority of the shipyard employers have fewer than 20 employees, then these smallest firms should be given significant representation.
Second, we recommend that the statutory requirements under the RFA be fully explained to the committee. When the committee has completed its work, OSHA will be required to determine if this rulemaking has a significant economic impact on a substantial number of small entities. With this in mind, the committee will be more conscientious about considering alternatives for small firms and evaluating the economic impact on small entities. These considerations should be documented. The committee and OSHA also should take into account the definitions established in 13 CFR Part 121 which prevail for the purpose of analysis under RFA. For instance, small firms performing shipbuilding and repair are defined as those with less than 1000 employees.
Finally, we recommend a concerted effort be made to generate interest in this rule development or the proposed rule by publishing information in industry trade publications and in newspapers distributed in areas where the shipyard industry is concentrated. This exposure will facilitate industry review of the proposal.
The Office of Maritime Standards has offered to keep the Office of Advocacy involved during the negotiated rulemaking committee process. We appreciate this outreach. Taking steps to assure that small entities are full participants in this rulemaking will facilitate the implementation of §609(b) of RFA.(4)
If we can be of any assistance during this process, please contact me or Anita Drummond of my staff at (202) 205-6533.
Sincerely,
Jere W. Glover
Chief Counsel for Advocacy
END NOTES
1. Fed. Reg., Vol. 61, No. 110, pp.28824-22829 (June 6, 1996).
2. 5 U.S.C. §§601-612.
3. Defined in 5 U.S.C. §601 and 13 CFR Part 121.
4. Small Business Advocacy Review Panels.