I 
116TH CONGRESS 
2D SESSION 
H. R. 6461 
To prohibit senior Government officials, including Members of Congress, from 
purchasing or selling certain investments, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 7, 2020 
Ms. GABBARD introduced the following bill; which was referred to the Com-
mittee on Financial Services, and in addition to the Committees on Agri-
culture, Oversight and Reform, House Administration, and the Judiciary, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of the 
committee concerned 
A BILL 
To prohibit senior Government officials, including Members 
of Congress, from purchasing or selling certain invest-
ments, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Integrity for Public 
Officials Act’’ or the ‘‘IPO Act’’. 
SEC. 2. DEFINITIONS. 
In this Act— 
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(1) the term ‘‘commodity’’ has the meaning 
given the term in section 1a of the Commodity Ex-
change Act (7 U.S.C. 1a); 
(2) the term ‘‘covered investment’’— 
(A) means investment in a security, a com-
modity, or a future, or any comparable eco-
nomic interest acquired through synthetic 
means such as the use of a derivative; and 
(B) does not include— 
(i) a widely held investment fund de-
scribed in section 102(f)(8) of the Ethics 
in Government Act of 1978 (5 U.S.C. 
App.); or 
(ii) a United States Treasury bill, 
note, or bond; 
(3) the term ‘‘covered person’’ means— 
(A) any individual described in section 
101(f) of the Ethics in Government Act of 1978 
(5 U.S.C. App.), including— 
(i) any individual in a position on any 
level of the Executive Schedule under sub-
chapter II of chapter 53 of title 5, United 
States Code; 
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(ii) a political appointee in the Execu-
tive Office of President or in the Office of 
the Vice President; and 
(iii) an individual employed in a posi-
tion in the executive branch of the Govern-
ment of a confidential or policy-deter-
mining character under schedule C of sub-
part C of part 213 of title 5, Code of Fed-
eral Regulations; 
(B) an individual employed in a position in 
the Senior Executive Service; 
(C) an individual employed in a position at 
the GS–14 level or higher; 
(D) an individual employed in a position 
not under the General Schedule for which the 
rate of basic pay is equal to or greater than the 
minimum rate of basic pay payable for GS–14 
of the General Schedule; and 
(E) the spouse of any Member of Congress 
(as that term is defined in section 109(12) of 
the Ethics in Government Act of 1978 (5 
U.S.C. App.)); 
(4) the term ‘‘future’’ means a financial con-
tract obligating the buyer to purchase an asset or 
the seller to sell an asset, such as a physical com-
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modity or a financial instrument, at a predetermined 
future date and price; and 
(5) the term ‘‘security’’ has the meaning given 
the term in section 3(a) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78c(a)). 
SEC. 3. PROHIBITIONS. 
(a) TRANSACTIONS.—Except as provided in sections 
4 and 5, no covered person may— 
(1) purchase or sell any covered investment; or 
(2) enter into a transaction that creates a net 
short position in any security. 
(b) POSITIONS.—A covered person may not serve as 
an officer or member of any board of any for-profit asso-
ciation, corporation, or other entity. 
SEC. 4. EXCEPTIONS. 
(a) INVESTMENTS
HELD
BEFORE
TAKING
OF-
FICE.— 
(1) IN GENERAL.—A covered person may have 
control over or knowledge of the management of any 
covered investment held by the covered person as of 
the day before the date on which the covered person 
took office (or in the case of a spouse described in 
section 2(3)(E), the date the applicable Member of 
Congress took office). 
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(2) PROHIBITION
ON
PURCHASING
OR
SELL-
ING.—A covered person may not buy or sell any in-
vestment described in paragraph (1) except in the 
case of— 
(A) placing the investment in a qualified 
blind trust described in section 5; or 
(B) divesting themselves of any investment 
under subsection (b). 
(b) DIVESTITURE.—A covered person may sell a cov-
ered investment during the 6-month period beginning 
on— 
(1) the date on which the covered person takes 
office (or in the case of a spouse described in section 
2(3)(E), the date the applicable Member of Congress 
took office); or 
(2) the date of enactment of this Act. 
SEC. 5. TRUSTS FOR LEGISLATIVE BRANCH OF GOVERN-
MENT. 
(a) IN GENERAL.—Consistent with section 7, on a 
case-by-case basis, the Select Committee on Ethics may 
authorize a covered person to place their securities hold-
ings in a qualified blind trust approved by the committee 
under section 102(f) of the Ethics in Government Act of 
1978 (5 U.S.C. App.). 
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(b) BLIND TRUST.—Consistent with section 7, a 
blind trust permitted under this section shall meet the cri-
teria in section 102(f)(4)(B) of the Ethics in Government 
Act of 1978 (5 U.S.C. App.), unless an alternative ar-
rangement is approved by the Select Committee on Ethics. 
SEC. 6. ADMINISTRATION FOR LEGISLATIVE BRANCH OF 
GOVERNMENT. 
(a) IN GENERAL.—Consistent with section 7, the pro-
visions of this Act shall be administered by the Select 
Committee on Ethics of the Senate and the Committee 
on Ethics of the House of Representatives. 
(b) GUIDANCE.—Consistent with section 7, the Select 
Committee on Ethics of the Senate and the Committee 
on Ethics of the House of Representatives are authorized 
to issue guidance on any matter contained in this Act, in-
cluding— 
(1) whether a covered person or spouse of a 
covered person may hold an employee stock option, 
or similar instrument, that had not vested before the 
date on which the covered person was elected; and 
(2) the process and timeline for when a covered 
person or spouse of a covered person shall no longer 
serve as an officer or member of any board of any 
for-profit association, corporation, or other entity. 
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SEC. 7. ADMINISTRATION FOR EXECUTIVE AND JUDICIAL 
BRANCHES OF GOVERNMENT. 
With respect to— 
(1) a covered person who is an officer or em-
ployee of the executive branch of the Government, 
the Director of the Office of Government Ethics 
shall carry out sections 5 and 6; and 
(2) a covered person who is an officer or em-
ployee of the judicial branch of the Government, the 
Judicial Conference shall carry out such sections. 
SEC. 8. ENFORCEMENT. 
Whoever knowingly fails to comply with this Act shall 
be subject to a civil penalty of not less than 10 percent 
of the value of the covered investment that was purchased 
or sold or the security in which a net short position was 
created in violation of this Act, as applicable. 
Æ 
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