Bill Details
HR.358 - 119th Congress
Status
Latest action
2025-01-13 - Referred to the Committee on House Administration, and in addition to the Committees on Ways and Means, the Judiciary, and Oversight and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Introduced Date
2025-01-13
Policy Area
Congress
Committees
Sponsors
Cosponsors
8
0
0
AI Summary This summary was generated by AI from the bill text. AI can get information wrong.
This bill would put new limits on how members of Congress can handle money, how soon former members can lobby Congress, and whether members get automatic pay raises. It would bar members of Congress and their spouses from buying, selling, or holding many kinds of investments that could create a conflict of interest, such as stocks, futures, commodities, and similar investments made through options or derivatives. It would still allow some common investments, like diversified mutual funds, diversified exchange-traded funds, Thrift Savings Plan accounts, Treasury bills, notes, and bonds. The bill would also make the post-employment lobbying ban much longer and would end automatic cost-of-living pay increases for members of Congress.
- Members of Congress and their spouses could not buy, sell, or own covered financial instruments while the member is in office, unless the assets are in a qualified blind trust.
- If they break the investment rules, they could have to give up any profits, lose tax benefits on losses, and face civil fines.
- Members would have to certify that they are following the rules, and ethics offices would publish those certifications and review compliance at least every two years.
- Former senators would face a 6-year ban on lobbying Congress, former House members would face a 3-year ban, and some House officers would face a 1-year ban. The bill would also end automatic pay raises for members of Congress.
Official Summaries
No Corruption in Government Act
This bill lengthens the limitations on former Congress Members' contact with the legislative branch and restricts certain financial transactions by Members and their spouses.
Specifically, the bill lengthens the cooling off period that prohibits former Members from contacting Members, officers, or employees of the House or Senate on behalf of a third party. During this post-employment waiting period, a former Member may not communicate with the intent to influence the official actions of a Member, officer, or employee of the House of Representatives or Senate. The bill lengthens the waiting period from one to three years after a Member of the House leaves office and from two to six years after a Senator leaves office.
Next, the bill prohibits Members of Congress and their spouses from holding, buying, or selling financial instruments such as stocks, securities futures, and commodities while the Member holds office. However, covered financial instruments may be held in a qualified blind trust. A Member or spouse who violates this provision must disgorge any resulting profits, may not take a related financial loss as an income tax deduction, and may be fined up to $50,000. The supervising ethics office of each chamber must audit Members' compliance with these requirements every two years.
Additionally, the bill eliminates automatic annual increases to Members' pay beginning in the 120th Congress.
Current Full Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 358 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 358
To amend title 5, United States Code, to prohibit insider trading by
Members of Congress and their spouses, to amend title 18, United States
Code, to extend the length of the post-employment ban on lobbying by
Members of Congress, to repeal the automatic adjustment in the pay of
Members of Congress, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 13, 2025
Mr. Nunn of Iowa (for himself and Ms. Perez) introduced the following
bill; which was referred to the Committee on House Administration, and
in addition to the Committees on Ways and Means, the Judiciary, and
Oversight and Government Reform, for a period to be subsequently
determined by the Speaker, in each case for consideration of such
provisions as fall within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend title 5, United States Code, to prohibit insider trading by
Members of Congress and their spouses, to amend title 18, United States
Code, to extend the length of the post-employment ban on lobbying by
Members of Congress, to repeal the automatic adjustment in the pay of
Members of Congress, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``No Corruption in Government Act''.
TITLE I--PROHIBITING INSIDER TRADING BY MEMBERS OF CONGRESS
SEC. 101. SHORT TITLE.
This title may be cited as the ``Prohibit Insider Trading Act''.
SEC. 102. PROHIBITING TRANSACTIONS AND OWNERSHIP OF CERTAIN FINANCIAL
INSTRUMENTS BY MEMBERS OF CONGRESS AND THEIR SPOUSES.
(a) In General.--Chapter 131 of title 5, United States Code, is
amended by adding after subchapter III the following:
``SUBCHAPTER IV--RESTRICTIONS REGARDING FINANCIAL INSTRUMENTS
``Sec. 13151. Definitions
``In this subchapter:--
``(1) the term `covered financial instrument'--
``(A) means--
``(i) any investment in--
``(I) a security (as defined in
section 3(a) of Securities Exchange Act
of 1934 (15 U.S.C. 78c(a)));
``(II) a security future (as
defined in that section); or
``(III) a commodity (as defined in
section 1a of the Commodity Exchange
Act (7 U.S.C. 1a)); and
``(ii) any economic interest comparable to
an interest described in subclause (I) that is
acquired through synthetic means, such as the
use of a derivative, including an option,
warrant, or other similar means; and
``(B) does not include--
``(i) a diversified mutual fund;
``(ii) a diversified exchange-traded fund;
``(iii) any investment in the Thrift
Savings Plan; or
``(iv) a United States Treasury bill, note,
or bond;
``(2) the term `Member of Congress' has the meaning given
that term in section 13101;
``(3) the term `supervising ethics office' has the meaning
given that term in section 13101; and
``(4) the term `qualified blind trust' has the meaning
given that term in section 13104(f)(3).
``Sec. 13152. Prohibition on certain transactions and holdings
involving covered financial instruments
``(a) Prohibition.--Except as provided in subsection (b), a Member
of Congress and the Member's spouse may not, during the term of service
of the Member, hold, purchase, or sell any covered financial
instrument.
``(b) Exceptions.--The prohibition under subsection (a)--
``(1) shall begin to apply with respect to a Member of
Congress who commences service as a Member after the date of
enactment of this subchapter on the date that is seven days
after the first date of the initial term of service; and
``(2) does not apply to a covered financial instrument held
in a qualified blind trust operated on behalf of, or for the
benefit of, a Member of Congress or the Member's spouse.
``(c) Penalties.--
``(1) Disgorgement.--A Member of Congress and the Member's
spouse shall disgorge to the general fund of the Treasury any
profit from a transaction or holding involving a covered
financial instrument that is conducted in violation of this
section.
``(2) Income tax.--A loss from a transaction or holding
involving a covered financial instrument that is conducted in
violation of this section may not be deducted from the amount
of income tax owed by the applicable Member of Congress or the
Member's spouse.
``(3) Fines.--A Member of Congress who holds or conducts a
transaction involving a covered financial instrument in
violation of this section may be subject to a civil fine as
described under section 13106(a).
``Sec. 13153. Supervising ethics office certification of compliance and
audit
``(a) Certification.--
``(1) In general.--Not later than seven days after the
beginning of any session of Congress, each Member of Congress
shall submit to the supervising ethics office a written
certification that the Member and the Member's spouse has
achieved compliance with the requirements of this subchapter.
``(2) Publication.--The supervising ethics office shall
publish each certification submitted under paragraph (1) on a
publicly available website.
``(b) Audit.--Not less than every two years, the supervising ethics
office shall conduct an audit of the compliance by Members of Congress
with the requirements of this subchapter.''.
(b) Clerical Amendment.--The table of sections for such chapter 131
is amended by inserting after the item relating to section 13146 the
following:
``subchapter iv--restrictions regarding financial instruments
``13151. Definitions.
``13152. Prohibition on certain transactions and holdings involving
covered financial instruments.
``13153. Supervising ethics office certification of compliance and
audit.''.
(c) Application.--The amendments made by subsection (a) shall begin
to apply to Members of Congress and their spouses on the first day of
the second session of the One Hundred Nineteenth Congress.
TITLE II--INCREASING LENGTH OF POST-EMPLOYMENT LOBBYING BAN
SEC. 201. SHORT TITLE.
This title may be cited as the ``Ban Members From Lobbying Act''.
SEC. 202. INCREASE IN LENGTH OF POST-EMPLOYMENT BAN ON LOBBYING OF
CONGRESS BY FORMER MEMBERS.
(a) Length of Post-Employment Ban.--
(1) 6-year ban for former senators.--Subparagraph (A) of
section 207(e)(1) of title 18, United States Code, is amended
by striking ``within 2 years after that person leaves office''
and inserting ``within 6 years after that person leaves
office''.
(2) 3-year ban for former members of the house of
representatives.--Paragraph (1) of section 207(e) of such title
is amended by striking subparagraph (B) and inserting the
following:
``(B) Members of the house of representatives.--Any
person who is a Member of the House of Representatives
and who, within 3 years after that person leaves
office, knowingly makes, with the intent to influence,
any communication to or appearance before any Member,
officer, or employee of either House of Congress and
any employee of any other legislative office of the
Congress, on behalf of any other person (except the
United States) in connection with any matter on which
such former Member seeks action by a Member, officer,
or employee of either House of Congress, in his or her
official capacity, shall be punished as provided in
section 216 of this title.
``(C) Officers of the house of representatives.--
Any person who is an elected officer of the House of
Representatives and who, within 1 year after that
person leaves office, knowingly makes, with the intent
to influence, any communication to or appearance before
any Member, officer, or employee of the House of
Representatives, on behalf of any other person (except
the United States) in connection with any matter on
which such former elected officer seeks action by a
Member, officer, or employee of either House of
Congress, in his or her official capacity, shall be
punished as provided in section 216 of this title.''.
(b) Effective Date.--The amendments made by this section shall
apply with respect to any individual who, on or after the date of the
enactment of this Act, leaves an office to which section 207(e)(1) of
title 18, United States Code, applies.
TITLE III--ELIMINATING MEMBER COLA
SEC. 301. ELIMINATION OF AUTOMATIC PAY ADJUSTMENTS FOR MEMBERS OF
CONGRESS.
(a) In General.--Paragraph (2) of section 601(a) of the Legislative
Reorganization Act of 1946 (2 U.S.C. 4501) is repealed.
(b) Technical and Conforming Amendments.--Section 601(a) of such
Act (2 U.S.C. 4501) is amended--
(1) by striking ``(a)(1)'' and inserting ``(a)'';
(2) by redesignating subparagraphs (A), (B), and (C) as
paragraphs (1), (2), and (3), respectively; and
(3) by striking ``as adjusted by paragraph (2) of this
subsection'' and inserting ``adjusted as provided by law''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on the date on which the One Hundred
Twentieth Congress convenes.
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