IB 
Union Calendar No. 95 
119TH CONGRESS 
1ST SESSION H. R. 3382 
[Report No. 119–125] 
To require the Securities and Exchange Commission to carry out a study 
and rulemaking on the definition of the term ‘‘small entity’’ under 
the securities laws for purposes of chapter 6 of title 5, United States 
Code, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 14, 2025 
Mrs. WAGNER (for herself, Mr. TORRES of New York, Mr. CASTEN, Mr. 
DAVID SCOTT of Georgia, and Mr. SESSIONS) introduced the following 
bill; which was referred to the Committee on Financial Services 
JUNE 3, 2025 
Additional sponsors: Mr. HIMES, Mr. VINDMAN, and Mr. LAWLER 
JUNE 3, 2025 
Reported with an amendment, committed to the Committee of the Whole 
House on the State of the Union, and ordered to be printed 
[Strike out all after the enacting clause and insert the part printed in italic] 
[For text of introduced bill, see copy of bill as introduced on May 14, 2025] 
VerDate Sep 11 2014 
00:47 Jun 04, 2025
Jkt 059200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6652
E:\BILLS\H3382.RH
H3382
kjohnson on DSK7ZCZBW3PROD with $$_JOB
A BILL 
To require the Securities and Exchange Commission to carry 
out a study and rulemaking on the definition of the 
term ‘‘small entity’’ under the securities laws for pur-
poses of chapter 6 of title 5, United States Code, and 
for other purposes. 
VerDate Sep 11 2014 
00:47 Jun 04, 2025
Jkt 059200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6652
E:\BILLS\H3382.RH
H3382
kjohnson on DSK7ZCZBW3PROD with $$_JOB
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Small Entity Update 
Act’’. 
SEC. 2. STUDIES, REPORTS, AND RULES REGARDING SMALL 
ENTITIES. 
(a) DEFINITIONS.—In this section— 
(1) the term ‘‘Commission’’ means the Securities 
and Exchange Commission; and 
(2) the term ‘‘small entity’’— 
(A) has the meaning given the term in sec-
tion 601 of title 5, United States Code, with re-
spect to the activities of the Commission; and 
(B) includes any definition established by 
the Commission of the term ‘‘small business’’, 
‘‘small organization’’, ‘‘small governmental juris-
diction’’, or ‘‘small entity’’ under paragraph (3), 
(4), (5), or (6), respectively, of section 601 of 
title 5, United States Code, with respect to the 
activities of the Commission. 
(b) STUDIES AND REPORTS.—Not later than 1 year 
after the date of enactment of this Act, and again 5 years 
thereafter, the Commission shall— 
VerDate Sep 11 2014 
00:47 Jun 04, 2025
Jkt 059200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6203
E:\BILLS\H3382.RH
H3382
kjohnson on DSK7ZCZBW3PROD with $$_JOB
(1) conduct a study of the definition of the term 
‘‘small entity’’ with respect to the activities of the 
Commission for the purposes of chapter 6 of title 5, 
United States Code, which shall consider— 
(A) the extent to which the definition of the 
term ‘‘small entity’’, as in effect during the pe-
riod in which the study is conducted, aligns with 
the findings and declarations made under section 
2(a) of the Regulatory Flexibility Act (5 U.S.C. 
601 note); 
(B) the amount by which financial markets 
in the United States have grown since the last 
time the Commission amended the definition of 
the term ‘‘small entity’’, if applicable; and 
(C) how the Commission should define the 
term ‘‘small entity’’ to ensure that a meaningful 
number of entities would fall under that defini-
tion; and 
(2) submit to Congress a report that includes— 
(A) the results of the applicable study con-
ducted under paragraph (1); and 
(B) specific and detailed recommendations 
on the ways in which the Commission could 
amend the definition of the term ‘‘small entity’’ 
to— 
VerDate Sep 11 2014 
00:47 Jun 04, 2025
Jkt 059200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6203
E:\BILLS\H3382.RH
H3382
kjohnson on DSK7ZCZBW3PROD with $$_JOB
(i) be consistent with the results de-
scribed in subparagraph (A); and 
(ii) expand the number of entities cov-
ered by such definition. 
(c) RULEMAKING.—Concurrently with, or after the 
completion of, each study required under subsection (b), the 
Commission shall, subject to public notice and comment, re-
vise the rules of the Commission consistent with the results 
of such study. 
(d) INFLATION ADJUSTMENTS.—After the Commission 
issued the final rule revisions required under subsection (c), 
and every 5 years thereafter, the Commission shall adjust 
any dollar figures under the definition of small entity estab-
lished by the Commission to reflect the change in the Con-
sumer Price Index for All Urban Consumers published by 
the Bureau of Labor Statistics of the Department of Labor. 
VerDate Sep 11 2014 
00:47 Jun 04, 2025
Jkt 059200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6203
E:\BILLS\H3382.RH
H3382
kjohnson on DSK7ZCZBW3PROD with $$_JOB