Bill > S2924

This bill requires the Securities and Exchange Commission (SEC) to conduct comprehensive studies and potential rulemaking regarding the definition of "small entity" under securities laws. Specifically, the bill mandates that the SEC perform two in-depth studies—one within one year of enactment and another five years later—to evaluate how the current definition of "small entity" aligns with the Regulatory Flexibility Act, considers the growth of U.S. financial markets, and ensures a meaningful number of entities are covered by the definition. After each study, the SEC must submit a report to Congress with detailed recommendations for amending the definition and then conduct a rulemaking process to potentially revise its rules accordingly. The bill also requires the SEC to make inflation adjustments to the dollar figures defining small entities every five years, using the Consumer Price Index for All Urban Consumers. The ultimate goal is to update and potentially expand the definition of "small entity" to better reflect current economic conditions and ensure appropriate regulatory treatment for smaller businesses and organizations.

Housing and Urban Affairs

https://www.congress.gov/bill/119th-congress/senate-bill/2924/all-info