Popular legislation to help small businesses raise capital survived a Senate Democratic challenge Tuesday and appeared headed for Senate passage later in the week.
The legislation, a package of measures to ease federal regulations that can hamper small businesses and startups seeking investors, sailed through the House two weeks ago on a 390-23 vote and has the backing of President Barack Obama.
But it met resistance from some Senate Democrats, who said the legislation lacked adequate investor protections and could lead to the kinds of abuses and fraud prevalent during the dot.com and mortgage industry meltdowns. Their attempt to rewrite the bill to add more federal oversight and investor protections was defeated 55-44, with almost every Republicans voting against it. Sixty votes were needed to advance the Democratic alternative.
The Senate is now likely to pass the House bill by week’s end, although one more sticking point remains before it can go to the White House for the president’s signature: The Senate was also voting Tuesday to link the small business bill to reauthorization of the Export-Import Bank, an agency that helps finance sales of U.S. products overseas.
Read more at Official Wire. By Jim Abrams, AP.