II 115th CONGRESS 2d Session S. 3579 IN THE SENATE OF THE UNITED STATES October 11, 2018 Mr. Rounds introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To require the Securities and Exchange Commission to revise the definitions of a small business and small organization for purposes of assessing the impact of the rulemakings of the Commission under the Investment Advisers Act of 1940.

1. Short title This Act may be cited as the Investment Adviser Regulatory Flexibility Improvement Act . 2. Definition of small business or small organization (a) In general Not later than 1 year after the date of enactment of this Act, the Securities and Exchange Commission shall revise the definitions of small business and small organization under section 275.0–7 of title 17, Code of Federal Regulations, to provide alternative methods under which a business or organization may qualify as a small business or small organization under that section. (b) Considerations In making the revision required under subsection (a), the Securities and Exchange Commission shall consider whether the alternative methods under which a business or organization may qualify as a small business or small organization under section 275.0–7 of title 17, Code of Federal Regulations, should include a threshold with respect to the number of non-clerical employees of the business or organization.