U.S. Senators Katie Britt, Catherine Cortez Masto Introduce the Improving Access to Small Business Information Act

WASHINGTON, D.C. — U.S. Senators Katie Britt (R-Ala.) and Catherine Cortez-Masto (D-Nev.) today introduced the Improving Access to Small Business Information Act to streamline the process of information gathering for the Securities and Exchange Commission’s (SEC) Office of the Advocate for Small Business Capital Formation.

“Needless red tape is holding our small businesses back. Small businesses create opportunity, jobs, and economic growth in every corner of our nation—they deserve a federal government that works with them and considers their perspectives during actions and rulemakings,” said Senator Britt. “This commonsense legislation would slash red tape, ensure the SEC can better advocate for entrepreneurs, and remove roadblocks to American economic prosperity. I will always stand up for small businesses across Alabama and our nation, and the Improving Access to Small Business Information Act is further proof of that commitment.”

The Office of the Advocate for Small Business Capital Formation was established by Congress in 2016 to represent the interests of small businesses and their investors at the SEC and in the capital markets. Under the Paper Reduction Act of 1995 (PRA), the Office is currently required to receive formal approval from the Office of Management and Budget (OMB) to conduct any type of information collection from small businesses. This approval process, which can often take over one year, has reduced the Office’s ability to survey small businesses, and in turn, inform the SEC regarding possible rulemakings and the impacts to these businesses.

“Congress created the Office of the Advocate for Small Business Capital Formation to support the entrepreneurs that are the backbone of our communities. Now, it’s time for us to support the good work the Office does,” said Senator Cortez Masto. “By streamlining the information gathering process, this bipartisan legislation will allow Congress to hear from our small business owners more quickly and rapidly respond to their evolving needs.”

The Improving Access to Small Business Information Act would amend the Securities Exchange Act of 1934 to specify that certain actions of the Office—such as conducting field surveys—are not a collection of information under the PRA. This would allow the Office to prioritize facilitating access to capital without bureaucratic delays.

U.S. Representatives Young Kim (R-Calif.) and Josh Gottheimer (D-N.J.) sponsored the House version, which passed earlier this year with strong bipartisan support by a vote of 387-12.

Senator Britt is a tireless champion for Main Street America and local Alabama small businesses, advocating for policies that ensure they have the opportunity to grow and thrive. Earlier this year, she introduced the bipartisan Small Entity Update Act to modernize the SEC’s regulatory framework to provide relief for small businesses and entrepreneurs and ensure current and future rulemakings from the SEC do not impose unnecessary or overly burdensome requirements on these businesses.

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