Jumpstart Our Business Startups Act

Floor Speech

Mr. VAN HOLLEN. Madam Speaker, the Senate amendment to the Jumpstart Our Business Startups, JOBS, Act represents an improvement over the original House-passed version of this legislation, and I will support it today.

Specifically, today's legislation strengthens the crowdfunding provisions of the JOBS Act by adding important investor protections. Under the revised bill, crowdfunding issuances will have to be offered through either an SEC-registered broker or an SEC-registered funding portal, which will further protect investors by improving accountability and enhancing regulatory oversight. Additionally, the maximum amount permitted to be raised in any one crowdfunding issuance has been reduced from $2 million to $1 million, and the maximum amount a non-accredited investor can invest has been limited to $2000 or 5 percent of income for those earning less than $100,000, and the lesser of $10,000 or 10 percent of income for those earning more than $100,000.

Madam Speaker, innovation and entrepreneurship in markets governed by clear and fair rules of the road has always been the key to our economic success. While I believe that there are stronger job creation measures we can and should be considering today, and that this legislation will itself merit continued oversight to ensure it is in fact striking an appropriate regulatory balance, I will support it today for the benefit it may provide.

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