Prove It Act

Increased Transparency on Indirect Costs: The bill requires agencies to consider foreseeable potential indirect costs that a proposed rule might impose on small entities, including those that conduct business with directly regulated entities (Section 2, amending section 603(b)).

Right to Petition for Review: Small entities or organizations representing them can petition the Chief Counsel for Advocacy of the Small Business Administration to review an agency's certification that a rule won't have a significant economic impact (Section 2, Sec. 605A(a)(1)).

Access to a Full Review Process: If a petition shows merit, the Chief Counsel conducts a full review, which includes a meeting with the petitioner and agency representatives to discuss economic implications (Section 2, Sec. 605A(d)(1)).

Accountability for Agency Cooperation: If an agency fails to attend required meetings or assist in a full review, the final rule will not apply to small entities (Section 2, Sec. 605A(d)(4)).

Public Access to Guidance: For rules likely to have a significant economic impact, agencies must publish all guidance documents and allow for public comments to ensure small entities can provide feedback (Section 3, amending section 609).

Automatic Review Triggers: The bill introduces a process where, if an agency fails to conduct a required periodic review of a rule within 10 years, the Chief Counsel notifies the agency that the rule has ceased to be effective (Section 4, amending section 610).

Burden of Petitioning: Small entities wishing to challenge a certification must follow a specific, detailed process, which includes providing contact information, organizational status, specific problems, and proposed solutions (Section 2, Sec. 605A(a)(3)).

Limitations on Assistance: During consultations, the Chief Counsel is limited to describing the process and helping clarify the petition, and is strictly prohibited from advising a petitioner on whether to amend or withdraw a petition (Section 2, Sec. 605A(b)(3)).

Rule Invalidation/Cessation: Rules may cease to be effective if an agency fails to conduct a required review within a 10-year period (Section 4, amending section 610).