; and (B) in the case of a petition described in such paragraph that is filed by a small entity on its own behalf or jointly with other small entities, to reduce the costs and procedural obligations associated with filing such petition. (b) Deferred application of regulations (1) In general Except as provided in paragraphs (2) and (3), in the case of a regulation issued by the Commission under this Act, the Commission shall defer application to small entities of such regulation for not less than 1 year after the latest date on which such regulation becomes effective for an entity that is not a small entity. (2) Exclusion Paragraph (1) shall not apply if the statutory provision under which the regulation is issued expressly states that the Commission may not exercise the authority granted under such paragraph to defer the application of such regulation to small entities. (3) Limitations The Commission may decline to grant some or all small entities a deferral under paragraph (1), or may grant some or all small entities a deferral under such paragraph for less than 1 year, if— (A) the Commission finds (and incorporates the finding and a statement of reasons therefore in the order or other decision document in which the regulation is adopted) that— (i) the regulation is principally intended— (I) to reduce waste, fraud, and abuse by a small entity; or (II) to protect public safety; and (ii) no deferral or deferral for less than 1 year would be in the public interest