Congressman Sean Duffy today voted in favor of H.R. 3606 the Jumpstart Our Business Startups Act (JOBS Act) which removes government barriers to job creation. The JOBS Act, comprised of six bills previously approved through the Financial Services Committee where Rep. Duffy sits, is designed to help startups and entrepreneurs access capital and create jobs.
The JOBS Act passed the House with strong bipartisan support 390-23 and after the vote today, Rep. Duffy released the following statement:
"It's so important that we get Government out of the way of small businesses and entrepreneurs who remain the lifeblood of our local economy. As I travel around the 7th district, I hear from many small business men and women who tell me that our Government makes it much too difficult for them to grow, hire and attract new investors. I'm thrilled the House came together in bipartisan fashion to pass the JOBS Act which removes many of these barriers. I'm also encouraged by the statements coming from the White House expressing support for this legislation, too. I commend my colleagues on the Financial Services Committee for all their hard work, and encourage the Senate to take this bill up immediately."
Background:The following bills are part of the JOBS Act:
H.R. 3606, the Reopening American Capital Markets to Emerging Growth Companies Act of 2011, introduced by Reps. Stephen Fincher and John Carney, makes it easier for more small and medium size companies to access the capital markets by reducing the cost of going public.
H.R. 2940, introduced by Rep. Kevin McCarthy, removes the regulatory ban that prevents small, privately held companies from using advertisements to solicit accredited investors across the country.
H.R. 2930, introduced by Rep. Patrick McHenry, removes SEC restrictions that prevent "crowdfunding" so entrepreneurs can raise equity capital from a large pool of small investors who may or may not be considered "accredited" by the SEC.
H.R. 1070, the "Small Company Capital Formation Act," which was introduced by Rep. David Schweikert, makes it easier for small businesses to go public by increasing the offering threshold for companies exempted from SEC registration from $5 million to $50 million
H.R. 2167, the "Private Company Flexibility and Growth Act," which was introduced by Rep. Schweikert, removes an impediment to capital formation for small companies by raising the shareholder threshold for mandatory registration with the SEC from 500 to 1,000 shareholders.
H.R. 4088, the "Capital Expansion Act," which was introduced by Representative Ben Quayle, is a modified version of legislation previously approved by the House. It raises the threshold for mandatory registration under the Securities Exchange Act of 1934 from 500 shareholders to 2,000 shareholders for all banks and bank holding companies and raises the shareholder deregistration threshold from 300 shareholders to 1,200 shareholders.