,i  #aai? ,,congress  #b;d ,session  ,h4
 ,r4 #gahg  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,janu>y #ba1 #bjbf,mr4
 ,nunn ( ,i[a 7= himself & ,mr4 ,meeks7 
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,f9ancial ,s]vices  ,a 
,,bill  ,to am5d ! ,securities ,ex*ange 
,act ( #aicd to provide an exemption f !
 def9ition ( a brok] = a c]ta9 regi/]$  
repres5tative-own$ p]sonal s]vices      
entity1 & = o!r purposes4  #a4 ,%ort    
title ,?is ,act may be cit$ z ! ,cl>ity 
= ,comp5sation ,act4  #b4 ,brok]        
def9ition exception = regi/]$           
repres5tative-own$ p]sonal s]vices      
entity  7a7 ,9 g5]al ,section #c7;a77#d7
 ( ! ,securities ,ex*ange ,act ( #aicd  
7#ae ,u4,s4,c4 #gh;c7a77#d77 is am5d$ by
 add+ at ! end ! foll[+3  7,g7          
,exception = regi/]$ repres5tative-own$ 
p]sonal s]vices entity  7i7 ,9 g5]al ,a 
p]sonal s]vices entity %all n be        
consid]$ a brok] solely by reason (     
receiv+ comp5sation on behalf ( a       
regi/]$ repres5tative f t               

repres5tative's brok] at ! direction (  
su* repres5tative1 if-- 7,i7 ! brok]    
in/ructs or o!rwise approves ! am\nt &  
tim+ ( ! paym5t & ma9ta9s records reg>d+
 ! paym5t made2  7,,ii7 ! p]sonal       
s]vices entity does n hold itself out z 
a brok]2  7,,iii7 ! p]sonal s]vices     
entity does n engage 9 brok] or deal]   
activity1 o!r ?an ! receipt (           
comp5sation on behalf ( ! regi/]$       
repres5tative2  7,,iv7 ! brok] ma9ta9s  
adequate sup]vision & control ov] !     
regi/]$ repres5tative2  7,v7 ! brok] & !
 p]sonal s]vices entity h a writt5      
agreem5t gov]n+ _! relation%ip & !      
responsibilities ( ea* p>ty reg>d+      
comp5sation arrangem5ts2  7,,vi7 !      
p]sonal s]vices entity is only own$ by--
 7aa7 ! regi/]$ repres5tative2  7bb7 if 
! regi/]$ repres5tative is an           
individual1 imm$iate family memb]s ( !  
regi/]$ repres5tative2 or  7cc7 entities
 :olly own$ by-- 7,,aa7 ! regi/]$       
repres5tative2 or 7,,bb7 if ! regi/]$   
repres5tative is an individual1 imm$iate

 family memb]s ( ! regi/]$              
repres5tative2 &  7,,vii7 ! p]sonal     
s]vices entity meets su* o!r requirem5ts
 z ! ,commission may prescribe1 by rule4
  7ii7 ,ov]sight & exam9ation ,9 ord] to
 ensure t a p]sonal s]vices entity t is 
n consid]$ a brok] by reason ( ?is      
subp>agraph cont9ues to meet !          
requirem5ts to n be consid]$ a brok] by 
reason ( ?is subp>agraph1 ! p]sonal     
s]vices entity %all ma9ta91 & make      
available ^u reque/ to ! ,commission & !
 applicable self-regulatory             
organization1 all books & records t     
bo?-- 7,i7 ! brok] f :i* ! p]sonal      
s]vices entity receives comp5sation is  
requir$ to ma9ta9 & make available to ! 
,commission & ! applicable              
self-regulatory organization2 &  7,,ii7 
! ,commission det]m9es necess>y &       
appropriate to demon/rate t ! p]sonal   
s]vices entity cont9ues to meet !       
requirem5ts to n be consid]$ a brok] by 
reason ( ?is subp>agraph4  7iii7        
,def9itions ,9 ?is subp>agraph3 7,i7    

,applicable self-regulatory organization
 ,) respect to a p]sonal s]vices entity 
or a regi/]$ repres5tative ( a brok]1 ! 
t]m applicable self-regulatory          
organization means ea* self-regulatory  
organization ) :i* ! relat$ brok] is    
requir$ to be regi/]$4  7,,ii7 ,brok] or
 deal] activity ,! t]m brok] or deal]   
activity means an activity und]tak5 by a
 brok] or a deal] :o is regi/]$1 or     
requir$ to be regi/]$1 "u ?is ,act4     
7,,iii7 ,imm$iate family memb] ,)       
respect to an individual1 ! t]m imm$iate
 family memb] means a sp\se1 *ild1 p>5t1
 bro!r1 si/]1 gr&p>5t1 gr&*ild1 /epp>5t1
 /ep*ild1 /epbro!r1 or /epsi/] ( !      
individual4  7,,iv7 ,p]sonal s]vices    
entity ,! t]m p]sonal s]vices entity    
means an entity t is e/abli%$ by a      
regi/]$ repres5tative to receive        
comp5sation = ! s]vices ( ! regi/]$     
repres5tative & = adm9i/rative purposes 
& o!r b5efits4  7,v7 ,regi/]$           
repres5tative ,) respect to a brok]1 !  
t]m regi/]$ repres5tative means a p]son 

:o is-- 7aa7 an associat$ p]son ( a     
brok] or deal] ) respect to ! brok]2 &  
7bb7 regi/]$ ) ! applicable             
self-regulatory organization4  4  7b7   
,effective date ,section #c7;a77#d77;,g7
 ( ! ,securities ,ex*ange ,act ( #aicd1 
z add$ by subsection 7a71 %all take     
effect on ! date t is #ahj days aft] !  
date ( ! enactm5t ( ?is ,act4