OFFICIALS LEGISLATION INTEREST GROUPS PUBLIC STATEMENTS COMMITTEES VETOES

Regulation A+ Improvement Act of 2017

Floor Speech

Date: March 15, 2018
Location: Washington, DC
Issues: Business and Consumers Finance and Banking

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Mr. HILL. Mr. Speaker, I, too, want to add my congratulations to Mr. MacArthur for continuing to find ways to improve Mr. Obama's and this committee's excellent work on the JOBS Act from some 8 years ago. We have learned a lot. We have seen the benefits of the JOBS Act, and today we have a chance to make it even better by improving Reg. A+.

I appreciate Mr. MacArthur's personal story about his entrepreneurship and how this is an opportunity for more investors in our country and more capital for our entrepreneurs.

Mr. Speaker, this week I attended a meeting where people asked: Why do we need more public companies?

Gosh, that is an easy rhetorical question.

Because we have half the number of public companies we had during the Reagan administration, and we need them for our young people to invest in. We need them for our union workers to have an earning asset in their pension fund.

So we need more public companies in this Nation to share the growth and prosperity of this Nation. That is what this legislation is all about.

I thank Mr. MacArthur for his very straightforward, bipartisan, commonsense increase in the authority from $50 million to $75 million for young, growing companies to raise money under Reg. A+.

Former SEC Commissioner Dan Gallagher advocated the increase in the offering threshold to even $100 million before the SEC adopted their final rule.

Mr. Gallagher expressed his disappointment that this offering threshold was not raised in the final rule from that original statutory cap of $50 million.

We have support through the commission and through the staff for raising this amount, Mr. Speaker, to help our entrepreneurs. Expanding Reg. A+ to include offerings up to $75 million will allow private companies to consider a mini-IPO under Reg. A+. This will give us more competition for capital, driving down cost of capital, driving up the number of opportunities for people to take advantage of going public, growing a prosperous company, and sharing that equity with investors through their exchange-traded fund, through their pension plan, through their 401(k) plan. We want more opportunities to share our Nation's prosperity.

I thank my friend, Mr. MacArthur, for his thoughtful work, and I thank our chairman for his leadership on the committee.

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