H.R. 3135 · Where this bill is now
In committee
Introduced in the House, sent to the Committee on Financial Services, May 1, 2025
What this bill does
In plain words · AI-written from the official summaryLets companies issue more securities under Regulation A
Ever wondered how small companies raise money without going through the full process of registering with the Securities and Exchange Commission (SEC). Regulation A lets them do that with smaller offerings. This bill would allow those same companies to issue an additional class of securities—basically another type of investment in their company—as long as it's similar enough to their first offering and stays within certain dollar limits.
How it affects you
If you invest in small companies through these exempt offerings, this could give you more investment options. Small business owners and startups using Regulation A would have more flexibility to raise capital in ways that work for their company's needs.
Read the official summary (Introduced in House, May 1, 2025)
Regulation Advancement for Capital Enhancement Act of 2025 or the RACE Act of 2025
This bill allows issuers with offerings that were previously exempted from securities registration requirements to issue an additional class of securities if certain criteria are met.
Specifically, this bill allows an issuer who issued securities under Regulation A (a small offering of securities exempt from registration requirements) to issue an additional class of securities if the securities in the additional class are substantially similar to the original class and the offering amount does not exceed specified dollar limits. However, the securities offered in the additional class are not required to have the same nature or terms.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 3135
A BILL
RACE Act of 2025
Sponsor: Rep. Andy Barr (R-KY-6) · Introduced May 1, 2025 · Finance and Financial Sector · 1 version of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action May 1, 2025: “Referred to the House Committee on Financial Services.”