Encouraging Local Emerging Ventures and Economic Growth Act of 2025

Floor Speech

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Mr. NUNN of Iowa. Mr. Speaker, I thank Chairwoman Wagner for leading this charge on a bipartisan effort.

I rise today to support our bipartisan ELEVATE Act. I helped lead this Small Business effort to help not only the heartland but also our entrepreneurs and innovators across the country.

Let me start by saying we all know this to be true: The American capital markets are the envy of the world. Part of that strength comes from the bipartisan work of this very Chamber, particularly with the passage of the JOBS Act 13 years ago.

One of the biggest successes of that law was the creation of the emerging growth companies, or EGCs, to encourage smaller companies to go public here right in the United States.

The JOBS Act didn't expand just that opportunity, it created new jobs. In the 4 years after that change, EGCs made up 90 percent of our initial public offerings. Moreover, it created 82,000 new jobs, new careers, right here in the U.S.

I believe we can't stop there. Across Iowa's Third District, my home district, I hear from small business owners who want to reinvest in new equipment, help expand their workforce, and give back to their communities through new innovation.

The question remains: What is holding them back? Well, Mr. Speaker, it is quite simply a deck that has been stacked against them by SEC rules that make accessing investment capital complex, more expensive, and harder for those who don't live on the East or West Coast who snap up the lion's share of investment dollars before it can even get to the heart of the heartland.

Iowa's businesses, America's businesses, deserve an equal opportunity to access the capital they need to grow right on Main Street. These businesses are not backed by billion-dollar valuations or teams of high-powered lawyers. What they do have is grit, innovation, and the drive to succeed. They are not asking for special treatment, Mr. Speaker, just a fair chance to compete.

Imagine the economic momentum we could unleash right here if we made it easier for those businesses to connect with investors and bring them to the rest of America.

That is why I introduced the ELEVATE Act. This bill makes a simple, commonsense fix to help level the playing field for growing businesses. In Iowa, you know baseball is big business. When you have the opportunity to build it, Mr. Speaker, they will come, just like ``Field of Dreams.''

It allows EGC spinoffs to file confidentially with the SEC, requiring 24 months of audited financials rather than the historic 36 months that had red tape and additional costs. This ensures quality while minimizing the impact.

These changes align to the rules so that all EGCs, whether standalone or part of a larger spinoff, can compete.

Mr. Speaker, quite simply, this is about fairness. It allows small businesses in rural America to play by the same rules as companies on Wall Street. It is about giving a startup in Pella the same shot as a company in Palo Alto.

It is about jobs, real jobs right here at home.

We know the JOBS Act worked. Now, we have a chance to build on that success. By passing the ELEVATE Act, we make it easier for Main Street businesses to get access to the capital they need.

I thank my colleagues on the other side of the aisle, particularly Representative Bynum, for working with me to ensure that we give every American business a fair chance at success. I thank Chairman Hill for his leadership on the Financial Services Committee, and I thank subcommittee chairwoman Ann Wagner who knows capital markets probably better than anyone on this House floor.

Mr. Speaker, I urge my colleagues to support the bipartisan ELEVATE Act.

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