H.R. 7852: No Getting Rich in Congress Act

This bill, known as the "No Getting Rich in Congress Act," proposes new ethics obligations and restrictions for Members of Congress, their spouses, and dependents. Below is a summary of the key provisions of the bill:

Restrictions on Investment Trading

The bill introduces strict limits on trading investments defined as "covered investments," which include:

• Digital assets
• Securities
• Commodities
• Futures or any comparable economic interest (including derivatives)

Members of Congress and covered individuals (which include the President, Vice President, and certain candidates) are prohibited from buying or selling covered investments unless they are held in a qualified blind trust. There are exceptions for trades made by dependents if not owned by the covered individual and performed as part of the spouse's primary occupation.

Additionally, covered individuals must disclose their investment activities on a quarterly basis to a supervising ethics office to ensure compliance.

Penalties for Violations

If a covered individual violates the trading restrictions, they would face penalties which may include:

• Payment to the Treasury equal to the profits of the violating transactions
• Possible additional fines up to three times the value of the covered investment

Certain sources, like official allowances or campaign contributions, cannot be used to pay these penalties.

Lifetime Lobbying Ban on Former Officials

The bill establishes a lifetime ban on former Members of Congress and appointees in specific positions from lobbying for specified foreign countries (e.g., China, Russia, Iran). Violations of this ban would result in penalties as stipulated by existing laws.

Registration and Reporting Requirements for Spouses of Federal Officials

The bill mandates that spouses of senior federal officials register and disclose their lobbying activities. The registration must occur within 45 days of the enactment of the necessary guidelines. Spouses must report their advocacy work quarterly, detailing any covered activities on behalf of clients.

These reports must be filed electronically and will be publicly accessible for transparency.

Prohibition on Corporate Board Service

Members of Congress and their spouses are generally prohibited from serving on the boards of for-profit companies, except where the spouse was already serving before the enactment of the bill. Such spousal board members must disclose their activities quarterly along with any relevant lobbying activities of the corporation.

Additional Gift Disclosure Requirements

The bill proposes amendments to existing rules on gift disclosures to include "covered relatives," ensuring transparency about gifts received by spouses of Congress members.

Clarifications and Definitions

The bill provides detailed definitions for terms used, such as "covered investment," "covered individual," and "covered advocacy activity," ensuring clarity on who is affected by these regulations and what activities are included under the restrictions.

Relevant Companies

None found