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Committee advances package of capital‑formation and market‑structure bills, including Reg A+ changes and small‑business measures
Summary
The Financial Services Committee considered and advanced several capital‑formation bills — including changes to Regulation A+ (H.R. 65 41), the Small Business Relief Act (H.R. 41 30), and Protecting Private Job Creators Act (H.R. 39 59) — with debate focused on investor protections and access to public capital.
The committee considered a package of capital‑formation bills aimed at easing regulatory barriers for small and midsize companies seeking to raise capital. Lawmakers debated raising Regulation A+ offering caps, whether to exclude certain institutional investors from holder‑of‑record counts, and how to preserve investor protections.
Representative Stutzman (R-Ind.) described the Regulation A+ Improvement Act (H.R. 65 41) as a modernization that raises offering caps and indexes them to inflation; ranking Democrats urged a companion study to address structural barriers that have limited Reg A usage for operating companies. The Waters amendment proposing a study and other constraints was rejected in committee debate; the committee adopted the ANS and ordered the bill to be reported (recorded tally reported later in the transcript).
Representative Garbarino (R-N.Y.) introduced H.R. 41 30 (Small Business Relief Act) to exclude certain qualified institutional buyers from the holders‑of‑record calculation that triggers registration; Democrats raised concerns that the change could permit companies with many retail investors to avoid public reporting obligations and proposed amendments to require counting beneficial holders. After debate the committee adopted the ANS and ordered the bill to be reported.
Representative Downing (R-Mont.) and others described H.R. 39 59 (Protecting Private Job Creators Act) as a targeted fix to clarify SEC interpretation of Rule 15c2‑11 and restore longstanding practice for fixed‑income quotations; supporters argued the bill protects private‑market financing channels; critics said the bill risked undermining investor protections without targeted guardrails.
Several of these measures were ordered favorably reported after recorded committee votes; the clerk later reported recorded tallies in the transcript for the various measures (see committee roll‑call entries). Committee leadership indicated staff will make conforming edits and members have days to file views.
Sources: Committee transcript; roll‑call tallies reported by clerk.
