[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4164 Introduced in House (IH)]
113th CONGRESS
2d Session
H. R. 4164
To exempt smaller public companies from requirements relating to the
use of Extensible Business Reporting Language for periodic reporting to
the Securities and Exchange Commission, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 6, 2014
Mr. Hurt (for himself and Ms. Sewell of Alabama) introduced the
following bill; which was referred to the Committee on Financial
Services
_______________________________________________________________________
A BILL
To exempt smaller public companies from requirements relating to the
use of Extensible Business Reporting Language for periodic reporting to
the Securities and Exchange Commission, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small Company Disclosure
Simplification Act''.
SEC. 2. EXEMPTION FROM XBRL REQUIREMENTS FOR EMERGING GROWTH COMPANIES
AND OTHER SMALLER COMPANIES.
(a) Exemption for Emerging Growth Companies.--Emerging growth
companies are exempted from the requirements to use Extensible Business
Reporting Language (XBRL) for financial statements and other periodic
reporting required to be filed with the Commission under the securities
laws. Such companies may elect to use XBRL for such reporting.
(b) Exemption for Other Smaller Companies.--Issuers with total
annual gross revenues of less than $250,000,000 are exempt from the
requirements to use XBRL for financial statements and other periodic
reporting required to be filed with the Commission under the securities
laws. Such issuers may elect to use XBRL for such reporting. An
exemption under this subsection shall continue in effect until the
later of--
(1) the date that is five years after the date of enactment
of this Act; or
(2) a determination by the Commission, by order after
conducting the analysis required by section 3, that the
benefits of such requirements to such issuers outweigh the
costs.
(c) Modifications to Regulations.--Not later than 60 days after the
date of enactment of this Act, the Commission shall revise its
regulations under parts 229, 230, 232, 239, 240, and 249 of title 17,
Code of Federal Regulations, to reflect the exemptions set forth in
subsections (a) and (b).
SEC. 3. ANALYSIS BY THE SEC.
The Commission shall conduct an analysis of the costs and benefits
to issuers described in section 2(b) of the requirements to use XBRL
for financial statements and other periodic reporting required to be
filed with the Commission under the securities laws. Such analysis
shall include an assessment of--
(1) how such costs and benefits may differ from the costs
and benefits identified by the Commission in the order relating
to interactive data to improve financial reporting (dated
January 30, 2009; 74 Fed. Reg. 6776) because of the size of
such issuers;
(2) the effects on efficiency, competition, capital
formation, and financing and on analyst coverage of such
issuers (including any such effects resulting from use of XBRL
by investors); and
(3) the costs to such issuers of--
(A) submitting data to the Commission in XBRL;
(B) posting data on the website of the issuer in
XBRL;
(C) software necessary to prepare, submit, or post
data in XBRL; and
(D) any additional consulting services or filing
agent services.
SEC. 4. REPORT TO CONGRESS.
Not later than one year after the date of enactment of this Act,
the Commission shall provide the Committee on Financial Services of the
House of Representatives and the Committee on Banking, Housing, and
Urban Affairs of the Senate a report regarding--
(1) the progress in implementing XBRL reporting within the
Commission;
(2) the use of XBRL data by Commission officials;
(3) the use of XBRL data by investors;
(4) the results of the analysis required by section 3; and
(5) any additional information the Commission considers
relevant for increasing transparency, decreasing costs, and
increasing efficiency of regulatory filings with the
Commission.
SEC. 5. DEFINITIONS.
As used in this Act, the terms ``Commission'', ``emerging growth
company'', ``issuer'', and ``securities laws'' have the meanings given
such terms in section 3 of the Securities Exchange Act of 1934 (15
U.S.C. 78c).
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