John has his terminology mixed up. I believe he was stating E-LSA, when he was actually meaning Experimental Amature Built, within the LSA rules.
Another reform currently on deck is the Part 23 reform to make it follow ASTM guidelines, similar to the S-LSA rules. This will make his concern about the S-LSA manufacturers moot as well.
If you read the PBOR2 as it sits now, it is a step in the right direction, but the reform has lost a lot of its relief from rules and actually puts in place some new ones that may be difficult to muster. There are concerns that family practitioners will not want to sign off on these 4 year exams due to the liability exposure. I'm not a doctor, but have heard this come up as related to malpractice insurance costs, etc.
Without devolving into the politics of it, I'm actually hoping the current version dies where it is and that the congress will finally pass a long term budget measure for the FAA which contains the original PBOR.