[Congressional Record Volume 160, Number 8 (Tuesday, January 14, 2014)]
[House]
[Pages H192-H196]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      SMALL BUSINESS MERGERS, ACQUISITIONS, SALES, AND BROKERAGE 
                       SIMPLIFICATION ACT OF 2013

  Mr. GARRETT. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 2274) to amend the Securities Exchange Act of 1934 to 
provide for a notice-filing registration procedure for brokers 
performing services in connection with the transfer of ownership of 
smaller privately held companies and to provide for regulation 
appropriate to the limited scope of the activities of such brokers, as 
amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 2274

       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 Business Mergers, 
     Acquisitions, Sales, and Brokerage Simplification Act of 
     2013''.

     SEC. 2. REGISTRATION EXEMPTION FOR MERGER AND ACQUISITION 
                   BROKERS.

       Section 15(b) of the Securities Exchange Act of 1934 (15 
     U.S.C. 78o(b)) is amended by adding at the end the following:
       ``(13) Registration exemption for merger and acquisition 
     brokers.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     an M&A broker shall be exempt from registration under this 
     section.
       ``(B) Excluded activities.--An M&A broker is not exempt 
     from registration under this paragraph if such broker does 
     any of the following:
       ``(i) Directly or indirectly, in connection with the 
     transfer of ownership of an eligible privately held company, 
     receives, holds, transmits, or has custody of the funds or 
     securities to be exchanged by the parties to the transaction.
       ``(ii) Engages on behalf of an issuer in a public offering 
     of any class of securities that is registered, or is required 
     to be registered, with the Commission under section 12 or 
     with respect to which the issuer files, or is required to 
     file, periodic information, documents, and reports under 
     subsection (d).
       ``(C) Rule of construction.--Nothing in this paragraph 
     shall be construed to limit any other authority of the 
     Commission to exempt any person, or any class of persons, 
     from any provision of this title, or from any provision of 
     any rule or regulation thereunder.
       ``(D) Definitions.--In this paragraph:
       ``(i) Control.--The term `control' means the power, 
     directly or indirectly, to direct the management or policies 
     of a company, whether through ownership of securities, by 
     contract, or otherwise. There is a presumption of control for 
     any person who--

       ``(I) is a director, general partner, member or manager of 
     a limited liability company, or officer exercising executive 
     responsibility (or has similar status or functions);
       ``(II) has the right to vote 20 percent or more of a class 
     of voting securities or the power to sell or direct the sale 
     of 20 percent or more of a class of voting securities; or
       ``(III) in the case of a partnership or limited liability 
     company, has the right to receive upon dissolution, or has 
     contributed, 20 percent or more of the capital.

       ``(ii) Eligible privately held company.--The term `eligible 
     privately held company' means a company that meets both of 
     the following conditions:

       ``(I) The company does not have any class of securities 
     registered, or required to be registered, with the Commission 
     under section 12 or with respect to which the company files, 
     or is required to file, periodic information, documents, and 
     reports under subsection (d).
       ``(II) In the fiscal year ending immediately before the 
     fiscal year in which the services of the M&A broker are 
     initially engaged with respect to the securities transaction, 
     the company meets either or both of the following conditions 
     (determined in accordance with the historical financial 
     accounting records of the company):

[[Page H193]]

       ``(aa) The earnings of the company before interest, taxes, 
     depreciation, and amortization are less than $25,000,000.
       ``(bb) The gross revenues of the company are less than 
     $250,000,000.
       ``(iii) M&A broker.--The term `M&A broker' means a broker, 
     and any person associated with a broker, engaged in the 
     business of effecting securities transactions solely in 
     connection with the transfer of ownership of an eligible 
     privately held company, regardless of whether the broker acts 
     on behalf of a seller or buyer, through the purchase, sale, 
     exchange, issuance, repurchase, or redemption of, or a 
     business combination involving, securities or assets of the 
     eligible privately held company, if the broker reasonably 
     believes that--

       ``(I) upon consummation of the transaction, any person 
     acquiring securities or assets of the eligible privately held 
     company, acting alone or in concert, will control and, 
     directly or indirectly, will be active in the management of 
     the eligible privately held company or the business conducted 
     with the assets of the eligible privately held company; and
       ``(II) if any person is offered securities in exchange for 
     securities or assets of the eligible privately held company, 
     such person will, prior to becoming legally bound to 
     consummate the transaction, receive or have reasonable access 
     to the most recent year-end balance sheet, income statement, 
     statement of changes in financial position, and statement of 
     owner's equity of the issuer of the securities offered in 
     exchange, and, if the financial statements of the issuer are 
     audited, the related report of the independent auditor, a 
     balance sheet dated not more than 120 days before the date of 
     the offer, and information pertaining to the management, 
     business, results of operations for the period covered by the 
     foregoing financial statements, and material loss 
     contingencies of the issuer.

       ``(E) Inflation adjustment.--
       ``(i) In general.--On the date that is 5 years after the 
     date of the enactment of the Small Business Mergers, 
     Acquisitions, Sales, and Brokerage Simplification Act of 
     2013, and every 5 years thereafter, each dollar amount in 
     subparagraph (D)(ii)(II) shall be adjusted by--

       ``(I) dividing the annual value of the Employment Cost 
     Index For Wages and Salaries, Private Industry Workers (or 
     any successor index), as published by the Bureau of Labor 
     Statistics, for the calendar year preceding the calendar year 
     in which the adjustment is being made by the annual value of 
     such index (or successor) for the calendar year ending 
     December 31, 2012; and
       ``(II) multiplying such dollar amount by the quotient 
     obtained under subclause (I).

       ``(ii) Rounding.--Each dollar amount determined under 
     clause (i) shall be rounded to the nearest multiple of 
     $100,000.''.

     SEC. 3. EFFECTIVE DATE.

       This Act and any amendment made by this Act shall take 
     effect on the date that is 90 days after the date of the 
     enactment of this Act.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
Jersey (Mr. Garrett) and the gentlewoman from Alabama (Ms. Sewell) each 
will control 20 minutes.
  The Chair recognizes the gentleman from New Jersey.


                             General Leave

  Mr. GARRETT. Mr. Speaker, I ask unanimous consent that all Members 
have 5 legislative days within which to revise and extend their remarks 
and to submit extraneous materials for the Record on H.R. 2274, as 
amended, currently under consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New Jersey?
  There was no objection.
  Mr. GARRETT. Mr. Speaker, at this point, I yield myself such time as 
I may consume.
  I rise in support of this good piece of legislation, H.R. 2274. It is 
the Small Business Mergers, Acquisitions, Sales, and Brokerage 
Simplification Act. It is introduced by the gentleman from Michigan 
(Mr. Huizenga), who will be speaking momentarily.
  Mr. Speaker, during the period of overly burdensome Big Government--
of ObamaCare and of Dodd-Frank and thousands and thousands more 
regulations costing Americans literally trillions of dollars--it is 
really no surprise that the economic growth and job creation in this 
country remain sluggish.
  America's small businesses are the primary engine of job creation, 
for they are the ones who are disproportionately affected by simply a 
deluge of new rules and regulations coming out of Washington daily. In 
fact, according to a recent survey, small businesses continue to 
identify government regulation and red tape as the single most 
important problem facing them.
  While our colleagues in the Senate appear unwilling these days to 
pass any legislation to help create jobs, well, we have H.R. 2274 in 
the House that we take up, and it is done in a bipartisan manner. It is 
a commonsense piece of legislation that will remove some of these 
unnecessary regulations and obstacles to small business development, 
growth, and job creation.
  What it would do is exempt brokers who perform services in connection 
with the transfer of ownership of small, privately held companies--that 
are also known as M&A brokers--from the SEC's costly one-size-fits-all 
registration requirements that we have right now.
  While terms that we sometimes hear in the press and elsewhere--
mergers, acquisitions, brokers--may give you the image of big Wall 
Streets and what have you, make no mistake about it, this bill is about 
helping Main Street.
  M&A brokers play a very, very important role helping small businesses 
and small business owners successfully navigate their way through and 
transfer their company, or sell their company, to new owners, new 
enterprises, instead of simply closing up their shop and going out of 
business.
  Yet under the current SEC one-size-fits-all registration regime, M&A 
brokers face a myriad of costly regulations. Unfortunately, M&A brokers 
have to pass these costs on to, well, other small businesses and, of 
course, eventually the public.
  It is no wonder this legislation has now received widespread and 
bipartisan support. In fact, this bill was unanimously approved by the 
committee 57-0. Let me get that straight: 57-0.
  I would like to thank the sponsor, Mr. Huizenga, for all his hard 
work on this legislation and bringing it to the floor at a time like 
this when America's small businesses are struggling through a mire of 
regulation and red tape. This type of bipartisan pro-small business, 
pro-jobs legislation is exactly the type of thing we need.
  I urge my colleagues on both sides to pass it, as we did in the 
committee, in a bipartisan manner.
  Mr. Speaker, I reserve the balance of my time.
  Ms. SEWELL of Alabama. Mr. Speaker, I yield myself such time as I may 
consume.
  Today, I rise in support of H.R. 2274, the Small Business Mergers, 
Acquisitions, Sales, and Brokerage Simplification Act of 2013.
  H.R. 2274 provides a much-needed exemption and clarification for 
current M&A brokers who perform services in connection with the 
transfer and ownership of small- and medium-sized businesses in 
privately negotiated transactions.
  Small- and medium-sized businesses play a critical role in our 
economy. They provide jobs, they spur innovation, and they strengthen 
our overall economy. In fact, over the past decade and a half, 
America's small businesses and entrepreneurs have created 65 percent of 
all new jobs in this country.
  As businesses grow, many small- and medium-sized businesses reach a 
point where they want to and need to expand their businesses. They turn 
to mergers and acquisition professionals to facilitate such sales.
  Currently, M&A brokers who facilitate the private sale of small- and 
medium-sized privately owned companies must register with the SEC. SEC 
registration as a broker also requires membership in FINRA--the 
Financial Industry Regulatory Authority.
  The burdens and costs of initial broker-dealer registration and 
ongoing compliance with both SEC and FINRA requirements are 
substantial. These costs adversely impact and unnecessarily increase 
the costs that business owners incur to sell, buy, or grow their small- 
and medium-sized businesses.
  H.R. 2274 is a legislative acknowledgement that one size does not, 
indeed, fit all when it comes to transactions. Prior to my election, I 
was a securities lawyer with over a decade of experience working in 
capital markets for a Wall Street law firm. I had the opportunity to 
work on a variety of transactions.
  Not all mergers and acquisitions are alike, and so not all require 
the same type of registration and requirements. Some transactions are 
privately negotiated transmissions of relatively small dollar amounts 
with sophisticated investors, not for public sale. By streamlining and 
simplifying the regulatory structures of these small- and medium-sized 
businesses, we allow them to safely, efficiently, and effectively sell 
their companies while preserving growth and protecting jobs in these 
companies.

[[Page H194]]

  This bill, H.R. 2274, allows smaller privately held companies to save 
time and money on the services rendered during the transfer of 
ownership allowing for smooth sale and transfer. To qualify for the 
exemption, the transaction would have to involve a business with less 
than $250 million in gross revenues and/or pre-tax earnings of less 
than $25 million with no securities, and the buyer of the business is 
someone who will actively manage and control the business, either 
directly or indirectly.
  I fully support this bipartisan legislation and its efforts to 
simplify the regulatory structure in the sale and transfer of ownership 
of small- and medium-sized businesses in privately negotiated 
transactions.
  This reform was welcomed by regulators and passed, as the chairman of 
the subcommittee so accurately noted, by a vote of 57-0, unanimously, 
with full bipartisan support. The ABA Private Placement Broker-Dealer 
Task Force recommended this change in its 2005 report, which is 
available on the SEC Web site. Similar recommendations to simplify 
broker-dealer registration for M&A brokers were made in the final 
report by the advisory committee to the SEC on small business companies 
in 2006.
  I think appropriately scaling Federal registration of M&A brokers is 
a good thing. It is something that I would not only support, but 
encourage my colleagues to support as well.
  H.R. 2274 would amend the Exchange Act by adding a new subsection, 
section 15, which would govern broker-dealer registration. The 
amendment would cut regulatory costs incurred by sellers and buyers of 
small-and mid-sized privately held companies in privately negotiated 
transactions.
  Federal law would continue to provide important investor protections 
through the SEC registration and SEC regulation of the capital, 
custody, margin, recordkeeping, bonding, and operational reporting 
requirements applicable to M&A brokers, and existing State security 
laws will continue to apply.

                              {time}  1245

  I think that this is sensible legislation that should be supported by 
both sides of the aisle. I am indeed honored to stand with my 
colleagues in support of H.R. 2274.
  Mr. GARRETT. I thank the gentlelady for working with us on this, as 
she says, sensible piece of legislation.
  And with that, I yield such time as the gentleman may consume to the 
gentleman from Michigan (Mr. Huizenga), the sponsor of the legislation 
before the House at this time.
  Mr. HUIZENGA of Michigan. Mr. Speaker, I rise today to encourage 
passage of H.R. 2274, the Small Business Mergers, Acquisitions, Sales, 
and Brokerage Simplification Act. Maybe we need to work on the titles 
getting a little simpler, too. It is very complex. It is a very complex 
set of laws and rules that have been put in place.
  I do want to say thank you to my subcommittee chairman, Mr. Garrett, 
and Ranking Member Sewell for their work on this, as well as Chairman 
Hensarling and Ranking Member Waters, as we have explored this and dove 
headfirst, really, into this issue.
  It has been estimated, Mr. Speaker, that there are approximately 10 
trillion--that's ``trillion'' with a ``t''--privately-owned, small 
family-owned type of businesses that will be sold or potentially closed 
in the coming years as baby boomers retire.
  Now, we want to see one of those things happen. We want people to see 
the fruits of their hard work over the years, and we want to see them 
be able to sell those companies. We don't want to see them close them 
unnecessarily, because we know the impact that happens to small 
communities, much like has happened in some of my hometown communities, 
when we have seen that happen.
  Mergers and acquisitions are also known as M&A. Brokers play a 
critical role in facilitating the transfer of ownership of these 
smaller privately held companies. Currently, all M&A brokers are 
subject to costly, burdensome requirements which adversely impact and 
unnecessarily increase the cost that business owners incur when they 
buy or sell their businesses. Often we have heard anecdotally and 
statistically that they have to make a decision sometimes. They can't 
move ahead and can't really afford to sell that small--literally, 
sometimes--corner store, mom-and-pop-type operation, and so they end of 
closing it because they can't afford to go through the sale.
  In fact, the issue has been highlighted by the SEC's Forum on Small 
Business Capital Formation, which, for the last 7 years--that is over 
the last two administrations, this current administration and the last 
administration--has repeatedly recommended that the SEC modernize and 
streamline the regulation of M&A brokers. But, unfortunately, the SEC 
has never acted on these recommendations.
  Well, we think the time is up. We believe that 7 years is long 
enough. It is time that this body and hopefully our colleagues in the 
Senate, as well, will take this bill and finally put some closure to 
this issue. That is why I, along with Representatives Brian Higgins and 
Bill Posey, introduced H.R. 2274. This bipartisan bill would create a 
simplified system for brokers performing services in connection with 
the transfer of ownership of smaller privately held companies.
  By simplifying the regulation and reducing the cost of these business 
brokerage services, these smaller privately owned companies would be 
able to safely, efficiently, and effectively transfer their company, 
preserving jobs currently in existence, while also allowing for 
continued economic growth and job creation to take place at these 
companies.
  There is no risk to the public; there is no threat to the safety and 
soundness of our economic system; but it is very, very important to 
those communities that have those kinds of businesses in them and where 
they are located.
  In October 2013, a piece in The Hill newspaper, Michael Nall, 
president of the Alliance of Merger & Acquisition Advisors, a leading 
international organization serving the middle-market M&A industry, 
stated:

       H.R. 2274, the Small Business Mergers, Acquisitions, Sales, 
     and Brokerage Simplification Act of 2013 is an excellent 
     bipartisan bill, one whose time has come. Congress should get 
     it done before the end of the year.

  Sorry, Mr. Nall. We are a little behind schedule, but we are getting 
there.
  He goes on:

       It's not a sexy bill, not one that prime time TV will be 
     talking about, and not one that will evoke a question in the 
     next Presidential debates; but it is a bill that does have 
     teeth, and it is a serious and substantive piece of small 
     business legislation.

  Well, maybe we can inject this into the next Presidential election 
because this ultimately is about the foundation of our country. It is 
about that ability for entrepreneurs to go out, strike out on their 
own, go become successful and then reap the rewards of that and, all 
the while, provide jobs to communities like we all represent.
  Well, in today's highly charged political environment, it is nice to 
show the American people that a positive, effective initiative can be 
considered and passed with strong bipartisan support. In fact, this 
important legislation, as has been mentioned, overwhelmingly passed the 
Financial Services Committee by a bipartisan vote of 57-0. It is 
legislation like H.R. 2274 that demonstrates Congress can act in a 
bipartisan manner to positively impact the lives of Americans.
  Mr. Speaker, with that I urge a ``yes'' vote on this legislation, and 
I look forward to working with my Senate colleague to see H.R. 2274 
make it to President Obama's desk.
  I want to thank Chairman Garrett for his leadership on this issue.
  Ms. SEWELL of Alabama. Mr. Speaker, I yield such time as he may 
consume to the gentleman from Connecticut (Mr. Himes).
  Mr. HIMES. Mr. Speaker, I thank my good friend from Alabama for 
yielding me time, and my friend from New Jersey and Mr. Huizenga for 
the sponsorship and leadership on this bill.
  I rise in strong support of H.R. 2274.
  We spend a lot of time in this Chamber talking about the American 
Dream, and of course in many cases the apex of the American Dream is 
when that entrepreneur who started a bunch of restaurants or car washes 
or a local retailer or a local service organization, after working hard 
over a period of a lifetime, has the opportunity to reap

[[Page H195]]

the rewards of that labor, to sell that business, and to really achieve 
that success an individual worked a lifetime to do.
  Of course, if you have run car washes or restaurants or retail 
operations, you probably know very little about the very complicated 
task of selling a small business. There is no reason in the world why 
that transaction, which again is at the very apex of the American 
Dream, should be overburdened by regulatory costs that don't make 
sense.
  At the end of the day, the M&A brokers that we are talking about here 
are not selling stocks to retail investors. They are not marketing 
mortgages. They are doing a very technical transaction that, again, is 
so important to wealth creation in this country.

  So I thank my colleagues on the other side.
  I don't want to let the moment go by without reminding my good friend 
from New Jersey that, as he blanket condemns regulation today on the 
floor, there are 300,000 people without drinking water in West Virginia 
today, in the greatest country on Earth, not because there is too much 
regulation, but because the regulations weren't good enough.
  Years ago in west Texas, a fertilizer train blew up, killing 15 
people and injuring 160 people, not because there was too much 
regulation, but because there was poor regulation.
  In the area of our expertise, financial services, this economy was 
also devastated, not because there was too much regulation, but because 
there was effectively no regulation under derivatives--complicated, 
large instruments that brought down institutions like AIG and others 
because, before Dodd-Frank, you could go into a neighborhood and sell 
somebody a mortgage without asking for their income.
  We succeed and the economy succeeds because we do exactly this, 
because we find the right balance. We acknowledge that good regulation 
can save lives in Texas, drinking water in West Virginia, and prevent 
the destruction of $17 trillion of American's wealth as occurred 5 
years ago.
  Again, I celebrate and thank my good friend from New Jersey and 
promise to continue this dialogue on how we don't condemn all 
regulation, but seek a balance that allows our economy to thrive as it 
always has.
  Mr. GARRETT. Mr. Speaker, the gentleman from Connecticut has the 
unique ability, in order to come to the floor and work in a manner 
where both sides said we had a bipartisan joint piece of legislation, a 
jobs-creating legislation, to turn this moment into a partisan attack.
  No, I never once said I am against a blanket condemnation of all 
regulations. In fact, if the gentleman from Connecticut had listened 
closely, he would have heard that we are, I think, in a bipartisan 
manner, opposed to overly excessive regulation, regulation that does 
not make sense, regulation that hurts jobs. I think that is what his 
colleague also said. She is opposed to those unnecessary regulations, 
and that is what this bill is about. We are in favor--I think the 
gentlelady and I both said this--of smart regulation. That is what this 
bill before us is about trying to achieve.
  If he wants to take a look at bad regulation, all we need to do is 
look at the excessive and the inappropriate regulation that we had 
prior to the '08 crisis, the fact that we had examiners and regulators 
in each and every one of the major failed institutions that led up to 
this crisis, and those individuals failed to do their jobs. Those 
individuals failed to find the problems before they came to a head. 
Those individuals failed to find situations even when they were told 
about them in such cases as Stanford or Madoff or a list of other ones 
I could go down here as well.
  We had regulators who did not perform their job. Even though they had 
the authority, the ability, the financing, the money and everything 
else necessary to do it, they turned a blind eye to it and failed to do 
so. This is not a time for a partisanship. This a time to commend both 
the sponsor of the legislation and the gentlelady who joins with me on 
this to say that we can get together; we can find commonality when we 
want to have smart legislation and smart regulation. And I think that 
is what we should be commending and moving forward on this legislation 
today.
  With that, I don't believe we have any other speakers; but I reserve 
the balance of my time to close, unless the minority have other 
speakers.
  Ms. SEWELL of Alabama. Mr. Speaker, I yield such time as he may 
consume to the gentleman from Illinois (Mr. Schneider).
  Mr. SCHNEIDER. Mr. Speaker, I rise in strong support of the Small 
Business Mergers, Acquisitions, Sales, and Brokerage Simplification Act 
of 2013, H.R. 2274.
  I want to thank Congresswoman Sewell and Congressman Huizenga for 
bringing this bipartisan bill to the floor.
  Small businesses are the fabric of our economy and oftentimes the 
fabric of the communities in which we live. Many of these businesses 
are family-owned businesses. They provide the wherewithal, the 
stability, and the future aspirations for many families. These 
businesses frequently are passed from generation to generation, but 
sometimes the next generation does not or is not able to take over the 
next business.
  It is critical for our communities and critical for our economies 
that these businesses are able to pass to a new owner to continue to 
employ people, to continue to drive our economy, and that is exactly 
what this bill does. It allows those businesses to bring in the 
expertise, to bring in the knowledge, to bring in the capacity, to move 
from generation to generation even outside the family. So that is why I 
rise and I encourage my colleagues to support this bill.
  Ms. SEWELL of Alabama. Mr. Speaker, I yield myself such time as I may 
consume.
  Right-sizing Federal regulation on M&A brokers in these small 
business transactions I believe makes good sense. All of us have small- 
and medium-size business owners in our districts who sooner or later 
will want to sell or grow their businesses through acquisition or 
transfer of ownership. They will seek advice and hire highly trained 
professionals to help them find and screen potential targets. These 
buyers and sellers are represented by lawyers and accountants who will 
conduct the due diligence. They will rely on written representations 
and warranties in these negotiated transactions for their protections.
  We should reduce the barriers to capital formation, and this bill is 
an important step towards that. This bill, by streamlining small 
private transactions, will free up SEC resources to protect the public 
against public markets and passive investors.
  As baby boomers age, there is a tremendous transfer of wealth and 
streamlining that will occur over the next generation. As my colleagues 
so aptly said, it is estimated that over $10 trillion of privately 
owned businesses will be sold or closed as baby boomers retire.
  Jobs are preserved and created when existing businesses are acquired 
by entrepreneurs or other companies. In Main Street, typically business 
brokers play a vital role in facilitating these private business 
mergers and acquisitions. This bill will encourage such business 
growth.
  Helping our small businesses is not a partisan issue. We all benefit 
when small businesses grow and flourish. I look forward to continuing 
to work with my colleagues on both sides of the aisle to make strategic 
and economically beneficial policy decisions that will be smart 
regulations, that will strengthen our economy and create jobs.
  I urge my colleagues to vote ``yes'' on H.R. 2274, and I yield back 
the balance of my time.

                              {time}  1300

  Mr. GARRETT. Mr. Speaker, I begin by thanking the gentlelady for her 
leadership on this legislation, adopting the word I just used, which is 
smart regulation is smart legislation, but also the words you used as 
well as far as reducing barriers and streamlining, which is really what 
the gentleman from Michigan has accomplished in this legislation that 
is before us.
  The other takeaway I am going to take from the gentlewoman's comment 
as well is twofold: A, this is being done in a bipartisan manner; but 
B, we need to move this thing forward. By that, I

[[Page H196]]

mean the House of Representatives today, in a bipartisan manner, is 
going to be moving a good piece of job-creating legislation.
  The next step, we know, of course, is just across the Capitol, in the 
U.S. Senate. We want to make sure that this legislation, in a 
bipartisan manner, also moves there as well. Hopefully, we can link 
arms and join in getting them to move this legislation there as well.
  With that, I thank the gentlelady. I thank the gentleman from 
Michigan (Mr. Huizenga) for all of his leadership in the committee and 
his work on this legislation and the other legislation he is leading on 
as well.
  With that, I encourage the passage of H.R. 2274, and I yield back the 
balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from New Jersey (Mr. Garrett) that the House suspend the 
rules and pass the bill, H.R. 2274, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. GARRETT. Mr. Speaker, on that I demand the yeas and nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further 
proceedings on this motion will be postponed.

                          ____________________