115TH CONGRESS 

1ST SESSION H. R. 732 

AN ACT 

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, 
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1 SECTION 1. SHORT TITLE. 

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

3 Funds Act of 2017’’. 

4 SEC. 2. LIMITATION ON DONATIONS MADE PURSUANT TO 

5 SETTLEMENT AGREEMENTS TO WHICH THE 

6 UNITED STATES IS A PARTY. 

7 (a) LIMITATION ON REQUIRED DONATIONS.—An of8 ficial or agent of the Government may not enter into or 

9 enforce any settlement agreement on behalf of the United 

10 States, directing or providing for a payment or loan to 

11 any person or entity other than the United States, other 

12 than a payment or loan that provides restitution for or 

13 otherwise directly remedies actual harm (including to the 

14 environment) directly and proximately caused by the party 

15 making the payment or loan, and, to the extent any victim 

16 thereof was an identifiable person, suffered by the payee 

17 or lendee, or constitutes payment for services rendered in 

18 connection with the case or a payment pursuant to section 

19 3663 of title 18, United States Code. 

20 (b) LIMITATION ON CY-PRE`S.—Amounts remaining 

21 after all claims have been satisfied shall be repaid propor22 tionally to each party who contributed to the original pay23 ment. 

24 (c) PENALTY.—Any official or agent of the Govern25 ment who violates subsection (a) or (b), shall be subject 
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1 to the same penalties that would apply in the case of a 

2 violation of section 3302 of title 31, United States Code. 

3 (d) EFFECTIVE DATE.—Subsections (a), (b), and (c) 

4 apply only in the case of a settlement agreement concluded 

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

6 (e) DEFINITION.—The term ‘‘settlement agreement’’ 

7 means a settlement agreement resolving a civil action or 

8 potential civil action, a plea agreement, a deferred pros9 ecution agreement, or a non-prosecution agreement. 

10 (f) REPORTS ON SETTLEMENT AGREEMENTS.— 

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

12 first fiscal year that begins after the date of the en13 actment of this Act, and annually thereafter, the 

14 head of each Federal agency shall submit electroni15 cally to the Congressional Budget Office a report on 

16 each settlement agreement entered into by that 

17 agency during that fiscal year that directs or pro18 vides for a payment or loan to a person or entity 

19 other than the United States that provides restitu20 tion for or otherwise directly remedies actual harm 

21 (including to the environment) directly and proxi22 mately caused by the party making the payment or 

23 loan, or constitutes payment for services rendered in 

24 connection with the case, including the parties to 

25 each settlement agreement, the source of the settle-
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1 ment funds, and where and how such funds were 

2 and will be distributed. 

3 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

4 No additional funds are authorized to be appro5 priated to carry out this subsection. 

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

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

8 of the enactment of this Act. 

9 (g) ANNUAL AUDIT REQUIREMENT.— 

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

11 first fiscal year that begins after the date of the en12 actment of this Act, and annually thereafter, the In13 spector General of each Federal agency shall submit 

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

15 Budget and on Appropriations of the House of Rep16 resentatives and the Senate, on any settlement 

17 agreement entered into in violation of this section by 

18 that agency. 
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1 (2) PROHIBITION ON ADDITIONAL FUNDING.— 

2 No additional funds are authorized to be appro3 priated to carry out this subsection. 

Passed the House of Representatives October 24, 

2017. 

Attest: 

Clerk. 
115TH CONGRESS 

1ST SESSION H. R. 732 

AN ACT 

To limit donations made pursuant to settlement 

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