I 

115TH CONGRESS 

1ST SESSION H. R. 732 

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 30, 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, Mr. BUCK, Mr. 

RATCLIFFE, Mr. TROTT, Mr. BISHOP of Michigan, Mrs. ROBY, Mr. 

GAETZ, Mr. BIGGS, Mrs. MIMI WALTERS of California, and Mr. GRIFFITH) 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 or a payment pursuant to section 

14 3663 of title 18, United States Code. 

15 (b) PENALTY.—Any official or agent of the Govern16 ment who violates subsection (a), shall be subject to the 

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

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

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

20 apply only in the case of a settlement agreement concluded 

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

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

23 means a settlement agreement resolving a civil action or 

24 potential civil action, a plea agreement, a deferred pros25 ecution agreement, or a non-prosecution agreement. 

26 (e) REPORTS ON SETTLEMENT AGREEMENTS.— 


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

2 first fiscal year that begins after the date of the en3 actment of this Act, and annually thereafter, the 

4 head of each Federal agency shall submit electroni5 cally to the Congressional Budget Office a report on 

6 each settlement agreement entered into by that 

7 agency during that fiscal year that directs or pro8 vides for a payment to a person or entity other than 

9 the United States that provides restitution for or 

10 otherwise directly remedies actual harm (including 

11 to the environment) directly and proximately caused 

12 by the party making the payment, or constitutes 

13 payment for services rendered in connection with the 

14 case, including the parties to each settlement agree15 ment, the source of the settlement funds, and where 

16 and how such funds were and will be distributed. 

17 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

18 No additional funds are authorized to be appro19 priated to carry out this subsection. 

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

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

22 of the enactment of this Act. 

23 (f) ANNUAL AUDIT REQUIREMENT.— 

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

25 first fiscal year that begins after the date of the enVerDate Sep 11 2014 00:52 Feb 03, 2017 Jkt 069200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H732.IH H732

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1 actment of this Act, and annually thereafter, the In2 spector General of each Federal agency shall submit 

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

4 Budget and on Appropriations of the House of Rep5 resentatives and the Senate, on any settlement 

6 agreement entered into in violation of this section by 

7 that agency. 

8 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

9 No additional funds are authorized to be appro10 priated to carry out this subsection. 

Æ 


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