Representatives John Carney (D-Delaware), Andrew Crenshaw (R-Florida), Sean Duffy (R-Wisconsin) and Mike Quigley (D-Illinois) introduced legislation on Wednesday that would ensure small and midsize businesses have a strong, independent voice at the U.S. Securities & Exchange Commission.
The legislation, HR 3784, the SEC Small Business Advocate Office Act of 2015, would establish an Office of the Small Business Advocate at the SEC, formalize the current SEC Advisory Committee on Small & Emerging Companies as a permanent Small Business Advisory Committee, and bring the annual Government-Business Forum on Small Business Capital Formation under the authority of the newly formed office.
ACG signed on to a support letter with industry groups including the Small Business Investor Alliance, the National Venture Capital Association and the U.S. Chamber of Commerce, among others.
“ACG looks forward to working with the bill’s sponsors to ensure that small and midsize businesses have representation,” said Amber Landis, ACG vice president of public policy, who expects the bill will move quickly through the House and reach the Senate by the end of 2015.
Currently, there is no independent voice at the SEC to bring attention to the important goals of facilitating capital formation and helping small businesses across the country access the capital they need to grow and create jobs. The regulations and policy decisions made by the SEC weigh heavily on small and midsize businesses seeking to access the capital markets, and often create significant regulatory burdens on investors in small and midsize businesses.
The new office will be a strong, independent voice for America’s small businesses at the SEC, helping the SEC to meet some of its core missions: facilitating and encouraging capital formation, maintaining fair, orderly and efficient markets and protecting investors.
In September 2014, former SEC Commissioner Daniel Gallagher highlighted the necessity of such an advocate office, pointing out that small business is “regularly and systematically under-represented in the legislative and regulatory process,” and that “issues specific to small business capital formation too often remain on the proverbial back burner.”
For more information, please contact Amber Landis, vice president of public policy, at firstname.lastname@example.org.