SEC. 2. FCC RULES FOR HIDDEN CONFLICTS OF INTEREST. 
Section 554 of title 5, United States Code, is amend-
ed by adding at the end the following: 
‘‘(f) The Federal Communications Commission shall 
create and implement rules requiring public disclosure of 
contributions received by any party that submits to the 
Commission facts, arguments, offers of settlement, or pro-
posals of adjustment (either electronically or in writing), 
whenever such contributions may constitute a potential 
conflict of interest. The rules shall apply to all Commission 
proceedings, including rulemaking proceedings, transfers 
of licenses, mergers, combinations, and adjudicatory pro-
ceedings. Contributions subject to these rules must include 
but need not be limited to financial contributions, con-
tributions in-kind, language to be filed, and offers of em-
ployment. Contributions may constitute a potential con-
flict of interest if made by a party which has a direct fi-
nancial interest in the outcome of a pending Commission 
proceeding. Such rules implemented by the Commission 
shall include a requirement of a description of any con-
tributions received from any party or applicant within one 
year of a merger, combination, transfer of licenses, rule-
making, or adjudicatory proceeding pending before the 
Commission, where such contributions may constitute a 
conflict of interest.’’. 
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SEC. 3. PROHIBITION ON FORMER OFFICIALS’ ACCEPT-
ANCE OF EMPLOYMENT. 
(a) A former official of the Federal Communications 
Commission may not accept employment from a regulated 
entity as an employee, officer, director, or consultant of 
the regulated entity within a period of one year after such 
former official— 
(1) presided over a proceeding in the transfer 
of licenses acquired or formerly held by the entity of-
fering employment to the officer; 
(2) presided over a merger, combination, or ad-
judicatory proceeding in which the entity offering 
employment was a party to the proceeding; or 
(3) issued for the Commission— 
(A) a decision to approve a transfer of li-
censes to the entity offering employment; 
(B) a decision in a complaint or other ad-
judicatory proceeding in which the entity offer-
ing employment was a party; 
(b) A former official of the Commission who know-
ingly accepts compensation in violation shall be subject to 
administrative actions and penalties as set forth in section 
4. 
(c) A regulated entity that offers employment to a 
former or current official of the Commission knowing that 
such offer is accepted by the former or current official in 
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violation of this subsection shall be subject to administra-
tive actions and penalties as set forth in section 4. 
(d) Regulations implementing this subsection shall in-
clude procedures for an official or former official of the 
Commission to request advice from the appropriate des-
ignated Commission ethics official regarding whether the 
official or former official would be precluded by this sub-
section from accepting compensation from a particular 
regulated entity. 
SEC. 4. PENALTIES AND ADMINISTRATIVE ACTIONS. 
The Attorney General may bring civil action in an 
appropriate United States District Court against any per-
son who engages in conduct constituting a violation of sec-
tion 3. Upon proof of such conduct by a preponderance 
of the evidence, the person is subject to a civil penalty. 
An individual who engages in such conduct is subject to 
a civil penalty of not more than $50,000 for each violation 
plus twice the amount of compensation which the indi-
vidual was offered for the prohibited conduct. An organi-
zation that engages in such conduct is subject to a civil 
penalty of not more than $500,000 for each violation plus 
twice the amount of compensation which the organization 
received or offered for the prohibited conduct. 
Æ 
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