I 

118TH CONGRESS 

1ST SESSION H. R. 788 

To limit donations made pursuant to settlement agreements to which the 

United States is a party, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 2, 2023 

Mr. GOODEN of Texas (for himself, Mr. DESJARLAIS, Mr. TIFFANY, Mr. NORMAN, Mr. MOOLENAAR, Mr. LUETKEMEYER, Mr. PERRY, Mr. ISSA, Mr. 

WEBER of Texas, Mr. BIGGS, Ms. TENNEY, Mr. ELLZEY, Mr. PALMER, 

and Mr. CLINE) introduced the following bill; which was referred to the 

Committee on the Judiciary 

A BILL 

To limit donations made pursuant to settlement agreements 

to which the United States is a party, and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Stop Settlement Slush 

5 Funds Act of 2023’’. 


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1 SEC. 2. LIMITATION ON DONATIONS MADE PURSUANT TO 

2 SETTLEMENT AGREEMENTS TO WHICH THE 

3 UNITED STATES IS A PARTY. 

4 (a) LIMITATION ON REQUIRED DONATIONS.—An of5 ficial or agent of the Government may not enter into or 

6 enforce any settlement agreement on behalf of the United 

7 States directing or providing for a payment to any person 

8 or entity other than the United States, other than a pay9 ment that provides restitution for or otherwise directly 

10 remedies actual harm (including to the environment) di11 rectly and proximately caused by the party making the 

12 payment, or constitutes payment for services rendered in 

13 connection with the case. 

14 (b) PENALTY.—Any official or agent of the Govern15 ment who violates subsection (a), shall be subject to the 

16 same penalties that would apply in the case of a violation 

17 of section 3302 of title 31, United States Code. 

18 (c) EFFECTIVE DATE.—Subsections (a) and (b) 

19 apply only in the case of a settlement agreement entered 

20 on or after the date of enactment of this Act. 

21 (d) DEFINITION.—The term ‘‘settlement agreement’’ 

22 means a settlement agreement resolving a civil action or 

23 potential civil action. 

24 (e) REPORTS ON SETTLEMENT AGREEMENTS.— 

25 (1) IN GENERAL.—Not later than at the end of 

26 the first fiscal year that begins after the date of enVerDate Sep 11 2014 06:23 Feb 24, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H788.IH H788

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1 actment of this Act, and annually thereafter, the 

2 head of each Federal agency shall submit electroni3 cally to the Congressional Budget Office a report on 

4 each settlement agreement entered into by that 

5 agency during that fiscal year that directs or pro6 vides for a payment to a person or entity other than 

7 the United States that is providing restitution for or 

8 otherwise directly remedies actual harm (including 

9 to the environment) directly and proximately caused 

10 by the party making the payment, or that con11 stitutes payment for services rendered in connection 

12 with the case, which shall include the parties to each 

13 settlement agreement, the source of the settlement 

14 funds, and where and how such funds were and will 

15 be distributed. 

16 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

17 No additional funds are authorized to be appro18 priated to carry out this subsection. 

19 (3) SUNSET.—This subsection shall cease to be 

20 effective on the date that is 7 years after the date 

21 of enactment of this Act. 

22 (f) ANNUAL AUDIT REQUIREMENT.— 

23 (1) IN GENERAL.—Not later than at the end of 

24 the first fiscal year that begins after the date of en25 actment of this Act, and annually thereafter, the InVerDate Sep 11 2014 06:23 Feb 24, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H788.IH H788

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1 spector General of each Federal agency shall submit 

2 a report on any settlement agreement entered into 

3 in violation of this section by that agency to— 

4 (A) the Committee on the Judiciary, the 

5 Committee on the Budget, and the Committee 

6 on Appropriations of the Senate; and 

7 (B) the Committee on the Judiciary, the 

8 Committee on the Budget, and the Committee 

9 on Appropriations of the House of Representa10 tives. 

11 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

12 No additional funds are authorized to be appro13 priated to carry out this subsection. 

Æ 


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