Biotechnology Innovation Organization (BIO) has thanked Sen. Thom Tillis (R-NC) and Sen. Gary Peters (D-MI) for introducing the Fostering Innovation Act, according to a company press release
The legislation will work alongside the JOBS Act and aims to bring down the regulatory costs for biotech small businesses, according to the release.
JOBS Act gives emerging growth companies a five-year exemption from auditor attestation requirements in the Sarbanes-Oxley, the release said. The Fostering Innovation Act would expand the exemption for five more years with the goal of allowing small biotech firms to focus on research and development and reducing regulation.
Jim Greenwood, president and CEO of BIO, lauded the legislation.
"By allowing innovative small businesses to focus their investment capital on science rather than compliance, the Fostering Innovation Act would allow these emerging innovators to remain focused on delivering groundbreaking cures and treatments to patients," Greenwood said.
The Fostering Innovation Act was introduced in the House by Reps. Kyrsten Sinema (D-AZ) and Trey Hollingsworth (R-IN). It was advanced by the House Financial Services Committee in a bipartisan 48-12 vote, the release said.