THE DAILY WHIP: TUESDAY, JANUARY 10, 2017

House Meets At:First Vote Predicted:Last Vote Predicted:

10:00 a.m.: Morning Hour
12:00 p.m.: Legislative Business

Fifteen “One Minutes”
1:30 – 2:30 p.m.5:00 – 6:00 p.m. 

H.Res. 33 – Rule providing for consideration of both H.R. 5 – Regulatory Accountability Act of 2017 (Rep. Goodlatte – Judiciary) and H.R. 79HALOS Act (Rep. Chabot – Financial Services) (One hour of debate).  The Rules Committee has recommended one Rule which would provide for consideration of two bills.

For H.R. 5, the Rules Committee has recommended a structured Rule that provides for one hour of general debate equally divided and controlled by the Majority Leader and the Minority Leader or their respective designees.  The Rule provides for consideration of 16 amendments, each debatable for 10 minutes, equally controlled by the proponent and opponent of the amendment. The Rule allows one motion to recommit, with or without instructions, and waives all points of order against the legislation.

For H.R. 79, 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 or their respective designees.  The Rule provides for consideration of 2 amendments, each debatable for 10 minutes, equally controlled by the proponent and opponent of the amendment. 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. 79 – 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. 79 is essentially the same as H.R. 4498, which passed the House on April 27, 2016 by a vote of 325-89.  That vote can be found here.  The bill 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 2 amendments, debatable for 10 minutes, equally divided between the offeror and an opponent.  The amendments are:

Velázquez Amendment. Requires the event sponsor to provide attendees with a written disclosure outlining the nature of the event and the risks of investing in the securities for sale.  It would also clarify that attendance at an event does not in itself establish a pre-existing relationship for the purposes of Rule 506(b).
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.

Bill Text for H.R. 79:
PDF Version

Suspensions (8 bills)

  1. H.R. 306 – Energy Efficient Government Technology Act (Rep. Eshoo – Energy and Commerce)
  2. H.R. 288 – Small Business Broadband Deployment Act (Rep. Walden – Energy and Commerce)
  3. H.R. 321 – Inspiring the Next Space Pioneers, Innovators, Researchers, and Explorers (INSPIRE) Women Act (Rep. Comstock – Science, Space, and Technology)
  4. H.R. 255 – Promoting Women in Entrepreneurship Act (Rep. Esty – Science, Space, and Technology)
  5. H.R. 239 – Support for Rapid Innovation Act of 2017, as amended (Rep. Ratcliffe – Homeland Security)
  6. H.R. 240 – Leveraging Emerging Technologies Act of 2017, as amended (Rep. Ratcliffe – Homeland Security)
  7. H.R. 274 – Modernizing Government Travel Act (Rep. Moulton – Oversight and Government Reform)
  8. H.R. 39 – TALENT Act of 2017 (Rep. McCarthy – Oversight and Government Reform)

TOMORROW’S OUTLOOK
The GOP Leadership has announced the following schedule for Wednesday, January 11: The House will meet at 12:00 p.m. for legislative business.  The House is expected to consider H.R. 5 – Regulatory Accountability Act of 2017 (Rep. Goodlatte – Judiciary).  

 
The Daily Quote

"Republican leaders on Capitol Hill are scrambling to ease growing concerns among GOP lawmakers about rushing to repeal the federal health-care law before plans for a replacement take firmer shape, addressing complications to the effort to deliver on one of the party’s signature campaign promises… The legislative crossroads highlights a key dilemma facing Republicans as they look to make good on their long-stated goal of shredding the law known as Obamacare: Although there is broad consensus in the party about doing away with the law, there is far less agreement about what a substitute should look like — or even how quickly one needs to be in place."

      -    Washington Post, 1/9/2017