New regs for Tuesday: SEC publishing crowdfunding rule

Regulators are publishing new rules and proposals to allow stocks to be sold through crowdfunding, change the testing requirements for car tires and adjust the rules for building AM radio towers.

Here’s a look at the regulations set to come out on Tuesday:

Finance:

The Securities and Exchange Commission (SEC) is publishing its proposal to allow companies to sell stocks online through crowdfunding. 

The SEC’s proposed regulations set rules of the road for the practice, which would be similar in essence to the way that artists and entrepreneurs solicit funds through websites like Kickstarter.com and indiegogo.com. Companies are currently unable to offer a stock in exchange for money through those websites.

The measure was called for by the 2012 Jumpstart Our Business Startups (JOBS) Act as a way to “provide startups and small businesses with capital by making relatively low dollar offerings of securities less costly,” according to the SEC.

Investors, businesses and the public will have 90 days to comment on the draft rules.

The SEC is also looking to change the way that some customers’ claims are treated. 

Additionally, the Consumer Financial Protection Bureau is publishing the list of countries that are exempted from rules on international money transfers known as remittances. 

Separately, the Federal Reserve Board is amending its required liability reserves for some banks and financial institutions. 

Transportation:

The Department of Transportation is issuing new procedures for testing car tires.

The department’s current process for testing new tires requires they travel along a 400-mile court near San Angelo, Texas. Parts of that course, however, are currently flooded, so the new regulation will provide alternative courses for testing tires.

“This change will not compromise the reliability of the treadwear grades, and will not impose or relax any substantive requirements or burdens on manufacturers,” the department said. 

The department is also extending the time for the public to comment on a proposal to examine safety issues for railroad tanker cars.

Communications:

The Federal Communications Commission (FCC) is issuing new rules for constructing AM radio towers. The regulations were developed by a group of broadcasters, manufacturers and engineers. 

Additionally, the FCC is modifying technical requirements to “eliminate potential harmful interference” on a band of the spectrum and announcing that the White House’s budget office has approved its data collection plans. 

Copyright:

The Library of Congress’s Copyright Royalty Board is setting rates and terms for some sound recordings from 2014 through 2018. 

Chemicals and drugs:

The Environmental Protection Agency (EPA) is declaring that the substance ortho-nitrotulene can “reasonably be anticipated to cause cancer in humans.” As a result, manufacturers that use the chemical will need to report to federal officials when they release more than a limited amount. 

The agency is also removing some regulations for a set of other chemicals. It will go through the normal rulemaking process, including a period of time for the public to comment, to replace the rules. 

The Food and Drug Administration is formally approving a number of new animal drug applications. 

Education:

The Department of Education is announcing that it will prioritize vocational rehabilitation counseling programs for some grant competitions.

The department said in its rule that there is a “national need” for the counselors, who assist state rehabilitation services and clinics.

Superfund:

The EPA is taking a Hollywood, S.C., site off of its Superfund list.