Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
The bill directs the Securities and Exchange Commission (SEC) to study and report on how it defines “small entity” under section 601 of title 5 (Regulatory Flexibility Act). Within one year and again five years later the SEC must study alignment with RFA findings, market growth, and how to ensure a meaningful number of entities qualify, then recommend and adopt rule changes after notice-and-comment.
Liberals worry expansion undermines investor protections; conservatives emphasize relief.
Relative to its intended legislative type, this bill is a well-specified statutory mandate for agency study, reporting, and subsequent rulemaking on the definition of 'small entity' for SEC activities.
The bill directs the Securities and Exchange Commission (SEC) to study and report on how it defines “small entity” under section 601 of title 5 (Regulatory Flexibility Act).
Within one year and again five years later the SEC must study alignment with RFA findings, market growth, and how to ensure a meaningful number of entities qualify, then recommend and adopt rule changes after notice-and-comment.
The SEC must also adjust any dollar thresholds in its small-entity definition for inflation every five years using CPI‑U.
Narrow, administratively focused, and low controversy increase prospects, though legislative calendar and committee priorities create uncertainty.
Relative to its intended legislative type, this bill is a well-specified statutory mandate for agency study, reporting, and subsequent rulemaking on the definition of 'small entity' for SEC activities. It contains clear timelines, defined deliverables, and integration with existing statutory text.
Liberals worry expansion undermines investor protections; conservatives emphasize relief.
These are examples from the analysis, not a ranked list of the most-affected groups.
Liberals worry expansion undermines investor protections; conservatives emphasize relief.
Generally cautious.
Supports updating outdated thresholds to help truly small firms, but worries the provision could be used to expand exemptions and weaken investor protections.
Will demand strong safeguards and transparency in SEC rulemaking.
Pragmatic and cautiously supportive of study-and-rulemaking if evidence justifies changes.
Values periodic updates and inflation adjustments but wants clear methodology, cost-benefit analysis, and safeguards against unintended deregulatory effects.
Generally favorable.
Sees this as a pro‑business, deregulatory step that modernizes definitions and reduces compliance burdens for small firms.
Wants prompt SEC action to maximize regulatory relief.
Reached or meaningfully advanced
Reached or meaningfully advanced
Still ahead
Still ahead
Still ahead
Narrow, administratively focused, and low controversy increase prospects, though legislative calendar and committee priorities create uncertainty.
The bill has not accumulated any surfaced votes yet.
Liberals worry expansion undermines investor protections; conservatives emphasize relief.
Narrow, administratively focused, and low controversy increase prospects, though legislative calendar and committee priorities create uncer…
Relative to its intended legislative type, this bill is a well-specified statutory mandate for agency study, reporting, and subsequent rulemaking on the definition of 'small entity' for SEC activities. It contains clear…
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