I 

115TH CONGRESS 

1ST SESSION H. R. 522 

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 

JANUARY 13, 2017 

Mr. GOODLATTE (for himself, Mr. PETERSON, Mr. SENSENBRENNER, Mr. 

SMITH of Texas, Mr. CHABOT, Mr. ISSA, Mr. KING of Iowa, Mr. FRANKS

of Arizona, Mr. GOHMERT, Mr. JORDAN, Mr. POE of Texas, Mr. 

CHAFFETZ, Mr. MARINO, Mr. GOWDY, Mr. LABRADOR, Mr. 

FARENTHOLD, Mr. COLLINS of Georgia, Mr. DESANTIS, Mrs. MIMI WALTERS of California, Mr. BUCK, Mr. RATCLIFFE, Mr. TROTT, Mr. BISHOP

of Michigan, Mrs. ROBY, Mr. GAETZ, Mr. BIGGS, and Mr. JOHNSON of 

Louisiana) 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 2017’’. 


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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 concluded 

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.—Beginning at the end of the 

26 first fiscal year that begins after the date of the enVerDate Sep 11 2014 23:46 Jan 26, 2017 Jkt 069200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H522.IH H522

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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 provides 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 constitutes 

11 payment for services rendered in connection with the 

12 case, including the parties to each settlement agree13 ment, the source of the settlement funds, and where 

14 and how such funds were and will be distributed. 

15 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

16 No additional funds are authorized to be appro17 priated to carry out this subsection. 

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

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

20 of the enactment of this Act. 

21 (f) ANNUAL AUDIT REQUIREMENT.— 

22 (1) IN GENERAL.—Beginning at the end of the 

23 first fiscal year that begins after the date of the en24 actment of this Act, and annually thereafter, the In25 spector General of each Federal agency shall submit 


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1 a report to the Committees on the Judiciary, on the 

2 Budget and on Appropriations of the House of Rep3 resentatives and the Senate, on any settlement 

4 agreement entered into in violation of this section by 

5 that agency. 

6 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

7 No additional funds are authorized to be appro8 priated to carry out this subsection. 

Æ 


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