WASHINGTON — House Financial Services Committee Chair Jeb Hensarling, R-Texas, urged the Senate Thursday to pass a bipartisan capital formation plan that overwhelmingly passed the House in July.
The House passed the JOBS and Investor Confidence Act of 2018, commonly referred to as the JOBS Act 3.0, in June with more than 400 votes. Hensarling touted the bill as a way to expand on legislation enacted the month before rolling back certain provisions of the Dodd-Frank Act.
The package of legislation was designed to promote entrepreneurial capitalism and venture capital, yet it also contains certain regulatory relief provisions for financial institutions — such as extending the period between living-will submissions, delaying a risk-based capital rule for credit unions and exempting nonbanks from mandatory stress test requirements.
“I've been in this body for 16 years, Mr. Speaker, and I've learned a few things,” Hensarling said, speaking on the House floor. “One of the things I've learned is never underestimate the Senate's capacity to do nothing. And unfortunately, so far, the United States Senate has done nothing on a bill that passed 406-4.”
The original iteration of the bill was the Jumpstart Our Businesses Startups Act, which President Obama signed into law in 2012 to help small businesses secure funding. Hensarling’s version would make it easier for businesses to go public.
“We cannot be blinded by the fact that as good as the economy is of today, we still have to concentrate on the economy of tomorrow,” Hensarling said. “And we need to know, can we ensure that the seed capital is there? Can we make sure that our public policy nourishes the drivers of tomorrow's economy, the next Amazons, the next Googles, the next Ubers; where are they going to come from?”
“I’ve known the leader, probably first met him in 1984, he has always kept his word,” Hensarling said at the time. “I have no doubt this will be voted on. Again, the timing in this Congress is a little up in the air.”
However, the current congressional term will end soon and Hensarling is set to retire at the end of this year. If the Senate does not consider JOBS Act 3.0 by the end of the session, the bill would have to be reintroduced and sponsored by another member of Congress.
