COMPETE Act

Summary

Competitive and Open Markets that Protect and Enhance the Treatment of Entrepreneurs Act, or the COMPETE Act - Amends the Sarbanes-Oxley Act of 2002 regarding the management assessment of internal controls in the annual report of each issuer of registered securities to require certain rules of the Securities and Exchange Commission (SEC) to permit a small public company to elect voluntarily not to provide in its annual report an assessment of (or a related public accounting firm attestation concerning) the effectiveness of its internal control structure and financial reporting procedures, if it meets specified size criteria. Includes among such criteria: (1) total market capitalization of less than $700 million; (2) total product revenue of less than $125 million; and (3) fewer than 1500 record beneficial holders. Requires SEC rules to provide for random audits after the first year for which an attestation and report of such a small public company is made by a registered public accounting firm. Directs the SEC and the Public Company Accounting Oversight Board (Board) to: (1) alter the standard for review from a remote likelihood standard for noting weaknesses to a 5% de minimus material weakness criterion (based on 5% of net profits); (2) establish specific guidelines for measuring certain terms; and (3) modify independence rules to allow prudent interaction between registered public accounting firms performing such assessments and internal consultants. Directs the SEC and the Board to: (1) jointly study and report to Congress on the principles-based Turnbull Guidance under the securities laws of the United Kingdom; and (2) compare and contrast such principles to the implementation of Sarbanes-Oxley requirements.

This text is taken from the official record. PoliticalRepo does not editorialize.

Timeline

1. 17 May 2006

   Introduced

   Referred to the House Committee on Financial Services.

   Source: IntroReferral

2. 17 May 2006

   Introduced

   Introduced in House

   Source: IntroReferral

3. 17 May 2006

   Introduced

   Introduced in House

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

• Introduced in House · 17 May 2006 · Official file

Documents

3 official files

• Introduced in House (text)

  Introduced in House · EN · 17 May 2006

  ViewDownloadOpen at official source

• Introduced in House (PDF)

  Introduced in House · EN · 17 May 2006

  ViewDownloadOpen at official source

• Introduced in House

  summary · EN · 17 May 2006

  Open at official source

Sponsors

• Rep. Feeney, Tom [R-FL-24] · R · Sponsor
• Rep. Meeks, Gregory W. [D-NY-5] · D · Sponsor
• Pete Sessions · R · Sponsor
• Rep. Miller, Candice S. [R-MI-10] · R · Sponsor
• Jeb Hensarling · R · Sponsor
• WALTER JONES · R · Sponsor
• Virginia Foxx · R · Sponsor
• Rep. Garrett, Scott [R-NJ-5] · R · Sponsor
• Rep. Stearns, Cliff [R-FL-6] · R · Sponsor
• Rep. Tiahrt, Todd [R-KS-4] · R · Sponsor
• Roger Wicker · R · Sponsor
• ED ROYCE · R · Sponsor
• Rep. Pence, Mike [R-IN-6] · R · Sponsor
• Sen. Flake, Jeff [R-AZ] · R · Sponsor
• Michael Burgess · R · Cosponsor
• Rep. Linder, John [R-GA-7] · R · Cosponsor
• Rep. Kuhl, John R. "Randy", Jr. [R-NY-29] · R · Cosponsor
• Rep. Barrett, J. Gresham [R-SC-3] · R · Cosponsor
• Rep. Davis, Geoff [R-KY-4] · R · Cosponsor
• Marsha Blackburn · R · Cosponsor
• Trent Franks · R · Cosponsor
• ROBERT GOODLATTE · R · Cosponsor
• Steve King · R · Cosponsor
• Rep. Shadegg, John B. [R-AZ-3] · R · Cosponsor
• Louie Gohmert · R · Cosponsor
• Rep. McCotter, Thaddeus G. [R-MI-11] · R · Cosponsor
• · hsba00 · Standing

Related records

• related to ← COMPETE Act