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C. Describe how the agency consolidated or simplified the compliance and reporting requirements for small
businesses and identify the skills necessary to comply with the reporting requirements.
The proposed rules pertain to individuals and not small businesses. There would be no differing compliance or
reporting requirements or timetables for small businesses.
D. Describe how the agency established performance standards to replace design or operation standards required
by the proposed rules.
The department did not set up performance standards to replace design or operation standards, because they are
unnecessary for the proposed rules.
20. Identify any disproportionate impact the proposed rules may have on small businesses because of their size or
geographic location.
The proposed rules do not have a disproportionate impact on small businesses because of their size or geographic
location.
21. Identify the nature of any report and the estimated cost of its preparation by small businesses required to
comply with the proposed rules.
There are no reports or report preparation costs for small businesses.
22. Analyze the costs of compliance for all small businesses affected by the proposed rules, including costs of
equipment, supplies, labor, and increased administrative costs.
There are no costs of compliance expected for small businesses because the proposed rules affect individual licensees
and not small businesses.
23. Identify the nature and estimated cost of any legal, consulting, or accounting services that small businesses
would incur in complying with the proposed rules.
The proposed rules apply to individuals and not small businesses. Therefore, there is no estimated cost for legal,
consulting, or accounting services that small businesses would incur.
24. Estimate the ability of small businesses to absorb the costs without suffering economic harm and without
adversely affecting competition in the marketplace.
Since the rules affect individual licensees rather than small businesses, the rules do not cause economic harm or
adversely affect a small business’ competition in the marketplace.
25. Estimate the cost, if any, to the agency of administering or enforcing a rule that exempts or sets lesser
standards for compliance by small businesses.
The proposed rules impose requirements on individual licensees rather than small businesses. Even if a licensee’s
practice qualifies as a small business, the department cannot exempt the licensee’s small business because it would
create disparity in regulation of the profession. Therefore, exempting or setting lesser standards of competence for
small businesses is not in the best interest of the public.
26. Identify the impact on the public interest of exempting or setting lesser standards of compliance for small
businesses.
The proposed rules impose requirements on individual licensees rather than small businesses. Even if a licensee’s
practice qualifies as a small business, the department cannot exempt the licensee’s small business because it would
create disparity in regulation of the profession. Therefore, exempting or setting lesser standards of competence for
small businesses is not in the best interest of the public.
27. Describe whether and how the agency has involved small businesses in the development of the proposed rules.
Development of the proposed rules occurred in consultation with, and approval of, the Michigan Board of
Accountancy, whose members include employees of small businesses. However, the department did not involve any
other small businesses in the development of the proposed rules because the proposed rules impose requirements on
individual licensees rather than small businesses.
A. If small businesses were involved in the development of the rules, please identify the business(es).
Development of the proposed rules occurred in consultation with, and approval of, the Michigan Board of
Accountancy, whose members include employees of small businesses. However, the department did not involve any
other small businesses in the development of the proposed rules because the proposed rules impose requirements on
individual licensees rather than small businesses.
Cost-Benefit Analysis of Rules (independent of statutory impact)
MCL 24.245(3)