[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3779 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 3779
To amend chapter 131 of title 5, United States Code, and the STOCK Act
to require certain senior officials to report payments received from
the Federal Government, to improve the filing and disclosure of
financial disclosures by Members of Congress, congressional staff, very
senior employees, and others, and to ban stock trading for certain
senior Government officials, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 5, 2025
Mr. Min (for himself, Ms. Norton, Ms. Ansari, Mr. Levin, Ms. Tlaib, Mr.
Deluzio, Mrs. Ramirez, Mr. Keating, Mr. Horsford, and Mr. Stanton)
introduced the following bill; which was referred to the Committee on
Oversight and Government Reform, and in addition to the Committees on
House Administration, the Judiciary, and Ways and Means, 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 chapter 131 of title 5, United States Code, and the STOCK Act
to require certain senior officials to report payments received from
the Federal Government, to improve the filing and disclosure of
financial disclosures by Members of Congress, congressional staff, very
senior employees, and others, and to ban stock trading for certain
senior Government officials, 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 ``STOCK Act 2.0''.
SEC. 2. REPORTING OF APPLICATIONS FOR, OR RECEIPT OF, PAYMENTS FROM
FEDERAL GOVERNMENT.
(a) In General.--Section 13103 of title 5, United States Code, is
amended by adding at the end the following:
``(i) Reporting of Applications for, or Receipt of, Payments From
Federal Government.--
``(1) Definitions.--In this subsection:
``(A) Covered payment.--
``(i) In general.--The term `covered
payment' means a payment of money or any other
item of value made, or promised to be made, by
the Federal Government.
``(ii) Inclusions.--The term `covered
payment' includes--
``(I) a loan agreement, contract,
or grant made, or promised to be made,
by the Federal Government; and
``(II) such other types of payment
of money or items of value as the
Secretary of the Treasury, in
consultation with the Director of the
Office of Government Ethics, may
establish, by regulation.
``(iii) Exclusions.--The term `covered
payment' does not include--
``(I) any salary or compensation
for service performed as, or
reimbursement of personal outlay by, an
officer or employee of the Federal
Government; or
``(II) any tax refund (including a
refundable tax credit).
``(B) Covered person.--The term `covered person'
means--
``(i) an individual described in any of
paragraphs (1) through (10) of section
13105(l); or
``(ii) a spouse or dependent child of an
individual described in clause (i).
``(C) Dependent child.--The term `dependent child'
means, with respect to any individual described in
subparagraph (B)(i), any individual who is--
``(i) under the age of 19; and
``(ii) a dependent of the individual
described in subparagraph (B)(i) within the
meaning of section 152 of the Internal Revenue
Code of 1986.
``(2) Reporting requirement.--Not later than 30 days after
the date of receipt of a notice of any application for, or
receipt of, a covered payment by a covered person (including
any business owned and controlled by the covered person), but
in no case later than 45 days after the date on which the
covered payment is made or promised to be made, the covered
person shall submit to the applicable supervising ethics office
a report describing the covered payment.
``(3) Fine for failure to report.--Notwithstanding section
13106(d), a covered person shall be assessed a fine, pursuant
to regulations issued by the applicable supervising ethics
office, of $5,000 in each case in which the covered person
fails to file a report required under this subsection.''.
(b) Report Contents.--Section 13104 of title 5, United States Code,
is amended by adding at the end the following:
``(j) Payments From Federal Government.--Each report filed pursuant
to subsection (i) of section 13103 shall include--
``(1) an identification of each type of payment or item of
value applied for, or received, from the Federal Government;
``(2)(A) the name of each recipient of each payment or item
of value identified under paragraph (1); and
``(B) the relationship of each recipient named
under subparagraph (A) to the person filing the report;
``(3) a description of the date on which, as applicable--
``(A) an application for a payment or other item of
value was submitted to the Federal Government; and
``(B) the payment or item of value was received
from the Federal Government; and
``(4) a description of the amount of each applicable
payment or item of value.''.
(c) Technical and Conforming Amendments.--
(1) Persons required to file.--Section 13103(f) of title 5,
United States Code, is amended--
(A) in paragraph (9), by striking ``as defined in
section 13101 of this title'';
(B) in paragraph (10), by striking ``as defined in
section 13101 of this title'';
(C) in paragraph (11), by striking ``as defined in
section 13101 of this title''; and
(D) in paragraph (12), by striking ``as defined in
section 13101 of this title''.
(2) Contents of reports.--Section 13104(a) of title 5,
United States Code, is amended in the matter preceding
paragraph (1), by striking ``section 13103(d) and (e)'' and
inserting ``subsection (d) or (e) of section 13103''.
(d) Effective Date.--The amendments made by this section shall
apply to relevant applications submitted to, and payments made or
promised to be made by, the Federal Government on or after the date
that is 90 days after the date of enactment of this Act.
SEC. 3. INCLUSION OF FEDERAL RESERVE OFFICIALS.
(a) In General.--Notwithstanding any other provision of law, each
provision of law described in subsection (b) shall apply to a
president, vice president, or director of a Federal Reserve bank.
(b) Description of Provisions of Law.--The provisions of law
referred to in subsection (a) are--
(1) subchapter I of chapter 131 of title 5, United States
Code;
(2) the STOCK Act (Public Law 112-105; 126 Stat. 291); and
(3) subsections (h) and (i) of section 21A of the
Securities Exchange Act of 1934 (15 U.S.C. 78u-1).
(c) Supervising Ethics Office.--For purposes of this section and
the provisions of law described in subsection (b), the supervising
ethics office for a president of a Federal Reserve bank, vice president
of a Federal Reserve bank, or director of a Federal Reserve bank shall
be the Inspector General of the Board of Governors of the Federal
Reserve System and the Bureau of Consumer Financial Protection.
SEC. 4. PENALTY FOR NONCOMPLIANCE.
(a) In General.--Section 13106(a)(2)(B)(ii) of title 5, United
States Code, is amended by striking ``fined under title 18'' and
inserting ``fined $1,000 in each case in which the individual fails to
file a transaction report required under this Act''.
(b) Rules, Regulations, Guidance, and Documents.--Not later than 1
year after the date of enactment of this Act, each supervising ethics
office (as defined in section 13101 of title 5, United States Code)
(including the Administrative Office of the United States Courts, as
applicable) shall amend the rules, regulations, guidance, documents,
papers, and other records of the supervising ethics office in
accordance with the amendment made by this section.
SEC. 5. BANNING CONFLICTED INTERESTS.
(a) In General.--
(1) Banning conflicted interests.--Chapter 131 of title 5,
United States Code, is amended by adding at the end the
following:
``SUBCHAPTER IV--BANNING CONFLICTED INTERESTS
``Sec. 13161. Definitions
``In this subchapter:
``(1) Commodity.--The term `commodity' has the meaning
given the term in section 1a of the Commodity Exchange Act (7
U.S.C. 1a).
``(2) Covered financial interest.--
``(A) In general.--The term `covered financial
interest' 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 future;
``(III) a commodity (as defined in
section 1a of the Commodity Exchange
Act (7 U.S.C. 1a)); or
``(IV) cryptocurrency, such as a
coin or token--
``(aa) received in
connection with an initial coin
offering; or
``(bb) issued or
distributed using distributed
ledger or blockchain
technology; and
``(ii) any economic interest comparable to
an interest described in clause (i) that is
acquired through synthetic means, such as the
use of a derivative, including an option,
warrant, or other similar means.
``(B) Exclusions.--The term `covered financial
interest' does not include--
``(i) an investment fund registered as an
investment company under section 3 of the
Investment Company Act of 1940 (15 U.S.C. 80a-
3) that is diversified as defined in section
2640.102 of title 5, Code of Federal
Regulations;
``(ii) compensation from the primary
occupation of the spouse of an individual
described in subparagraphs (A) through (G) of
paragraph (3), or any security that is issued
or paid by an operating business that is the
primary employer of such a spouse that is
issued or paid to such a spouse; or
``(iii) a United States Treasury bill,
note, or bond.
``(3) Covered individual.--The term `covered individual'
means--
``(A) a Member of Congress (as defined in section
13101);
``(B) the President;
``(C) the Vice President;
``(D) a special Government employee (as that term
is defined in section 202 of title 18, United States
Code);
``(E) the Chief Justice of the United States;
``(F) an Associate Justice of the Supreme Court of
the United States;
``(G) a member of the Board of Governors of the
Federal Reserve System;
``(H) a president or vice president of a Federal
Reserve bank; or
``(I) the spouse or dependent child of an
individual described in subparagraphs (A) through (G).
``(4) Dependent child.--The term `dependent child' means
any individual who is--
``(A) under the age of 19; and
``(B) a dependent of an individual described in
subparagraphs (A) through (G) of paragraph (3) within
the meaning of section 152 of the Internal Revenue Code
of 1986.
``(5) Future.--The term `future' means--
``(A) a security future (as defined in section 3(a)
of Securities Exchange Act of 1934 (15 U.S.C. 78c(a)));
and
``(B) any other contract for the sale of a
commodity for future delivery.
``(6) Supervising ethics office.--The term `supervising
ethics office', with respect to a covered individual, has the
meaning given the term in section 13101 with respect to that
covered individual.
``Sec. 13162. Prohibitions
``(a) Transactions.--Except as provided in section 13163, no
covered individual may--
``(1) hold, purchase, sell, or conduct any type of
transaction with respect to a covered financial interest; or
``(2) enter into a transaction that creates a net short
position in any security.
``(b) Positions.--A covered individual may not serve as an officer
or member of any board of any for-profit association, corporation, or
other entity.
``(c) Cooling-Off Period.--Any individual subject to the
restrictions contained in subsection (a) who, within 120 days after
such individual ceases to be a covered individual, engages in any of
the actions under such subsection, shall be in violation of this
subchapter.
``Sec. 13163. Divestiture
``(a) Covered Financial Interests Acquired Prior to Federal Service
or Enactment of Stock Act 2.0.--With respect to any covered financial
interest held by a covered individual, the covered individual shall
sell the covered financial interest during the applicable 120-day
period beginning on the later of--
``(1) the date on which an individual becomes a covered
individual; or
``(2) the date of enactment of STOCK Act 2.0.
``(b) Covered Financial Interests Acquired Through Inheritance
After the Applicable Period.--
``(1) In general.--A covered individual who inherits a
covered financial interest after the conclusion of the
applicable 120-day period described in subsection (a) shall
sell the covered financial interest during the 120-day period
beginning on the date on which the covered financial interest
is inherited.
``(2) Extensions.--A covered individual may request, and
the supervising ethics office may grant, 1 or more reasonable
extensions of the period described under paragraph (1), subject
to the conditions that--
``(A) the total period of time covered by all
extensions granted for the covered financial interest
shall not exceed 150 days; and
``(B) the period covered by a single extension
shall be not longer than 45 days.
``Sec. 13164. Certificate of compliance
``Each covered individual shall submit to the supervising ethics
office a written certification that such covered individual has
achieved compliance with the requirements of this subchapter.
``Sec. 13165. Publication
``Each supervising ethics office shall make publicly available on a
website of such office the following:
``(1) Within 30 days of receipt, each request for an
extension under section 13163(b)(2).
``(2) The outcome of the decision to grant or deny each
such request within 30 days of such decision.
``Sec. 13166. Enforcement
``A covered individual who fails to comply with this subchapter
shall be assessed a fine by the supervising ethics office of not less
than 10 percent of the value of the covered financial interest that was
purchased, sold, or held, or the security in which a net short position
was created, in violation of this title, as applicable.
``Sec. 13167. Applicability
``This subchapter shall apply to any covered financial interest
held in any trust with respect to which the covered individual is a
beneficial owner, regardless of whether the trust is a qualified blind
trust.''.
(2) Clerical amendment.--The table of sections for chapter
131 of title 5, United States Code, is amended by adding at the
end the following:
``subchapter iv--banning conflicted interests
``13161. Definitions.
``13162. Prohibitions.
``13163. Divestiture.
``13164. Certificate of compliance.
``13165. Publication.
``13166. Enforcement.
``13167. Applicability.''.
(b) Certificate of Divestiture.--Section 1043(b)(2)(B) of the
Internal Revenue Code of 1986 is amended to read as follows:
``(B) that has been issued by--
``(i) the President or the Director of the
Office of Government Ethics, in the case of
executive branch officers or employees or the
spouse or dependent child of a member of the
Board of Governors of the Federal Reserve
System,
``(ii) the Director of the Office of
Government Ethics, in the case of the
President, Vice President, or the spouse or
dependent child of the President or Vice
President,
``(iii) the Judicial Conference of the
United States (or its designee), in the case of
judicial officers or the spouse or dependent
child of the Chief Justice or the Associate
Justice,