In Case You Missed It

Last week, the House of Representatives overwhelmingly passed the bipartisan INVEST Act by a vote of 302 to 123. The bill, led by House Committee on Financial Services Chairman French Hill (AR-02), Subcommittee on Capital Markets Chairman Ann Wagner (MO-02), Rep. Gregory Meeks (NY-05), and Rep. Josh Gotthemier (NJ-05), will cut red tape in Washington, empower entrepreneurs and small businesses, and provide more Americans with the opportunity to invest.

Additional Resources:

-         Click here for a one-pager.

-         Click here for a section-by-section.

-         Click here for a WTAS on the bill.

-         Click here for Chairman Hill and Subcommittee Chairman Wagner’s op-ed.

-         Click here for Chairman Hill’s LTE in the WSJ.

Last week, Committee Republicans highlighted the importance of the INVEST Act while debating it on the House Floor. Here’s what they said:

Chairman Hill stated, “This work tonight, Mr. Chairman, represents over a decade of effort on a bipartisan basis, both sides of the aisle, to advance economic growth for our citizens, for our businesses, by advancing their ability in a lower cost, more effective way of raising money from working out of your garage and crowd sourcing your idea to bring your idea to life through angel investing, all the way through to lowering the cost to be a public company.”

Subcommittee Chair on Capital Markets Wagner said, “America's economic strength has always come from our builders, inventors, and risk-takers. We are a nation of startups, born in garages and family businesses turned thriving enterprises, and dreamers who take an idea and make it real. But today, too many of those dreams face serious obstacles. Right now, three areas, Silicon Valley, Boston, and New York account for nearly three-quarters of all venture capital funding. Entrepreneurs across the country are told move to a coast or "move on." Meanwhile, mountains of red tape are stifling growth when a founder spends more time navigating Washington rules than creating jobs. Something is broken. We cannot win the next century with a playbook written in the last one. The INVEST Act is our course correction, and it builds on proven success.”

Full Committee Vice Chairman Bill Huizenga (MI-04) said, “H.R. 3383 expands access to capital for small businesses, increases investor opportunities for all, and strengthens our public markets. Last year as part of the Committee's capital formation agenda, we heard from everyday Americans who, despite the odds, succeeded in achieving their dreams. Today's bill reflects their priorities and the priorities of millions of Americans who are looking for financial security and a better future.”

Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence Chair Bryan Steil (WI-01) said, “Outdated capital market rules, they're holding back innovation, they're limiting investor access by weighing down our economy, by weighing down the engine of our economy, they're raising costs and stifling growth. The INVEST Act will help to address these challenges. It expands access to capital for smaller companies by making targeted reforms to crowd funding rules and venture investment restrictions. It opens up investment opportunities to more working Americans saving for their retirements. Opportunities that are currently reserved for the rich. INVEST also streamlines disclosures for startups and I like that it includes my WKSI bill that alters the status of more companies. More companies can sell securities to the public quicker and with less costs. This bill helps modernize our capital markets to lower costs, reduce complexity, and opens opportunities for more Americans.”

Subcommittee on Housing and Insurance Chair Mike Flood (NE-01) said, “The INVEST Act will expand access to capital for startups in small businesses, create new pathways for retail investors, and provide greater opportunity to more Americans.”

Rep. Zach Nunn (IA-03) said, “We should remove barriers, not continue to create or make them harder. Because a startup in Perry, Iowa, deserves the same shot at success as one in Palo Alto, California. The INVEST Act delivers fairness and my work on the ELEVATE Act delivers it right to the heart of this country.”

Rep. Mike Haridopolos (FL-08) said, “Our capital markets are the fuel and ultimately the rocket boosters for innovation. And this bill, the INVEST Act, launches economic growth. I'm also proud that my bill, the Green Lighting Growth Act, is a part of this package, ripping away the red tape that has strangled emerging companies in the JOBS Act. No more bureaucratic handcuffs. Instead, we're giving startups the engine they need to grow.”

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