BIO Applauds House Passage of the JOBS and Investor Confidence Act of 2018
BIO Applauds House Passage of the JOBS and Investor Confidence Act of 2018
The JOBS and Investor Confidence Act of 2018, which includes the Fostering Innovation Act, provides much needed regulatory relief for pre-revenue innovators
Washington, DC (July 17, 2018) – Today, the Biotechnology Innovation Organization (BIO) applauds the passage by the House of Representatives of the JOBS and Investor Confidence Act of 2018 (S. 488), or JOBS Act 3.0, in a widely bipartisan vote of 406-4. This legislation, which includes the Fostering Innovation Act (H.R. 1645), would significantly improve the ability of emerging biotech companies to invest their capital in the drug discovery process.
“House passage of the JOBS Act 3.0 is a tremendous step forward for small, pre-revenue innovators. If enacted, this legislation would allow these companies to invest more of their limited resources into advancing meaningful biomedical research, rather than complying with costly and unnecessary regulatory requirements,” said BIO President and CEO Jim Greenwood. “Thanks to the leadership of Financial Services Committee Chairman Hensarling and Ranking Member Waters, today’s vote demonstrates that it is a bipartisan priority to undertake meaningful regulatory reform to advance innovation and the efficiency of public capital markets.”
BIO also commends Reps. Kyrsten Sinema (D-AZ) and Trey Hollingsworth (R-IN) for introducing and championing the Fostering Innovation Act, which provides targeted regulatory relief from the costly external auditor attestation requirements under Sarbanes-Oxley 404(b) for certain pre-revenue innovators.
“We commend Representatives Sinema and Hollingsworth for their commitment to ensuring that small innovators and emerging biotech companies can devote more of the capital they need toward lifesaving and life-enhancing research,” Greenwood added. “More than 260 emerging biotechs have gone public under the JOBS Act, and the Fostering Innovation Act would further support their growth by right-sizing the regulatory framework for pre-revenue innovators while maintaining important investor protections.”
