House Committee on Investments and Financial Services to Study Crowd Funding
Although I've been a strong proponent of crowdfunding, including the Title III federal rules that are part of the 2012 JOBS Act, progress has been slow in coming to pass.
When the SEC announced its' proposed Title III rules late last year, I realized that we needed to raise the issue at the state level as well.
Today, our efforts have started to bear fruit.
Speaker of the House Joe Straus sent state representatives a list of interim charges last week, but this time committees were asked to focus on something they’ve never done before – starting a Kickstarter for Texas.
Speaker Joe Straus has charged the House Committee on Investments and Financial Services with studying crowd funding in Texas during the interim. It was among the charges Chairman Mike Villarreal (D-San Antonio) requested that the Speaker give to the Committee.
The crowd funding initiative was brought to Chairman Mike Villareal’s attention by businessmen in San Antonio. Roach said they hoped federal and state laws and regulations could pave the way for crowd funding to “democratize the investment process.”
Specifically, the legislature will analyze the costs and benefits of implementing an intrastate equity crowd funding system in Texas. Examine the programs other states have implemented and determine whether an equity crowd funding system is appropriate for Texas, and what statutory changes or regulations are necessary to implement equity crowd funding.