Prove It Act of 2025

This bill changes the rules for how federal agencies must consider the effects of new regulations on small businesses, small organizations, and small local governments. When agencies create new rules, they would now have to look at indirect costs those rules might cause for small groups, not just direct costs. If an agency says a rule won't significantly affect small businesses, it must notify the Small Business Administration's Office of Advocacy, and small businesses can challenge that decision through a petition process. If the Office of Advocacy finds the rule actually would have a big impact on many small businesses, the agency has to do a full analysis, and if the agency refuses to cooperate in the review, the final rule won't apply to small businesses at all.

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