THE DAILY WHIP: WEDNESDAY, APRIL 27, 2016

H.Res. 701– Rule providing for consideration of H.R. 4498 – Helping Angels Lead Our Startups Act (Rep. Chabot – Financial Services) (One hour of debate).  The Rules Committee has recommended a structured Rule that provides for one hour of general debate equally divided and controlled by the Chair and Ranking Member of the Committee on Financial Services.  The Rule allows for 1 amendment, debatable for 10 minutes equally divided between the offeror and an opponent.  The Rule allows one motion to recommit, with or without instructions, and waives all points of order against the legislation.  Members are urged to VOTE NO.

H.R. 4498 – Helping Angels Lead Our Startups Act (Rep. Chabot – Financial Services) (One hour of debate).  This bill would amend certain provisions of the JOBS Act (“Jumpstart Our Business Startups Act,” H.R. 3606), which was enacted in April 2012.  The JOBS Act was intended to help companies, especially newer and smaller companies, stimulate capital formation, in part by relaxing certain securities regulations to enable startups to use general solicitation or general advertising for securities offerings, provided that sales are limited to “accredited investors.” It also requires that qualifying companies take reasonable steps to verify that all purchasers of the securities are accredited investors (under SEC rules, accredited investors are individuals who meet certain minimum income or net worth levels).  H.R. 4498 would effectively remove the verification requirement if the solicitation and advertising connected to “crowdfunding” takes the form of a “sales pitch” sponsored by angel investor groups, non-profits, trade associations, universities, units of government, and certain other entities. 

The Rule makes in order 1 amendment, debatable for 10 minutes, equally divided between the offeror and an opponent.  The amendment is:

Waters Amendment. Limits the types of fees “demo day” sponsors can collect.  Also, limits the attendance at “demo days” to only individuals with financial sophistication, and requires an issuer to be a real business.  Under SEC rules, accredited investors are individuals who meet certain minimum income or net worth levels.

Suspensions (4 bills)

1. H.R. 4923 – American Manufacturing Competitiveness Act of 2016 (Rep. Brady (TX) – Ways and Means)
2. H.R. 4240– No Fly for Foreign Fighters Act (Rep. Jackson-Lee – Judiciary)
3. H.R. 699 – Email Privacy Act (Rep. Yoder – Judiciary)
4. S. 1890 – Defend Trade Secrets Act of 2016 (Sen. Hatch – Judiciary)

Postponed Suspensions (2 bills)

1. H.R. 5019 – Fair Access to Investor Research Act of 2016 (Rep. Hill – Financial Services)
2. H.R. 2901 – Flood Insurance Market Parity and Modernization Act (Rep. Ross – Financial Services)

TOMORROW’S OUTLOOK
The GOP Leadership has announced the following schedule for Thursday, April 28: The House will meet at 12:00 p.m. for legislative business. The House is expected to consider H.R. 4901 – Scholarships for Opportunity and Results Reauthorization Act (Rep. Chaffetz – Oversight and Government Reform) (Subject to a Rule).  The House is also expected to begin consideration of H.J.Res. 88 – Disapproving the rule submitted by the Department of Labor relating to the definition of the term “Fiduciary” (Rep. Roe – Education and the Workforce) (Subject to a Rule).