In response to a U.S. Environmental Protection Agency (EPA) request for comment on updating its cost-benefit analysis of its regulations, AGC submitted an August 13 letter to the agency stating that consistent and transparent cost-benefit analysis can improve regulations and limit arbitrary and capricious decisions.  AGC highlights six rulemakings affecting construction where EPA’s cost benefit analysis is particularly troublesome.  In these examples: the costs significantly outweighed the benefits; the analysis was performed with deficient data; the agency relied on non-quantified or indirect benefits to justify tighter controls; or the baseline assumptions about industry practices were outdated or ill-informed.
The construction industry is extensively regulated by the agency; and EPA regulations account for most of the annual estimated benefits and costs of all major federal regulations.  AGC urges the agency to apply cost-benefit analysis principles to the maximum extent possible under law and consider the full range of costs imposed on small businesses.
For more information, contact Leah Pilconis at [email protected].