I 
118TH CONGRESS 
1ST SESSION H. R. 4222 
To require executive branch agencies to prohibit conflicting financial interests 
through prohibited holdings regulations. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 20, 2023 
Mr. LANGWORTHY (for himself and Mr. KILMER) introduced the following bill; 
which was referred to the Committee on Oversight and Accountability 
A BILL 
To require executive branch agencies to prohibit conflicting 
financial interests through prohibited holdings regulations. 
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 ‘‘Executive Branch Con-
flict of Interest Prevention Act of 2023’’. 
SEC. 2. ESTABLISHMENT OF PROHIBITED HOLDINGS REGU-
LATIONS. 
(a) DEFINITIONS.—In this Act: 
(1) COVERED
GOVERNMENT
OFFICIAL.—The 
term ‘‘covered government official’’ includes any offi-
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cer or employee who occupies a position classified 
above GS–15 of the General Schedule or, in the case 
of positions not under the General Schedule— 
(A) for which the rate of basic pay is equal 
to or greater than 120 percent of the minimum 
rate of basic pay payable for GS–15 of the Gen-
eral Schedule; 
(B) each member of a uniformed service 
whose pay grade is at or in excess of O–7 under 
section 201 of title 37, United States Code; and 
(C) each officer or employee in any other 
position determined by the Director of the Of-
fice of Government Ethics to be of equal classi-
fication. 
(2) DIVERSIFIED FUND.—The term ‘‘diversified 
fund’’ means a widely held investment fund de-
scribed in section 13104(f)(8) of title 5, United 
States Code, that does not have a stated policy of 
concentrating its investments in any industry, busi-
ness, or single country other than the United States. 
(b) IN GENERAL.—Subject to any exception for an 
interest held through a diversified fund or a qualified blind 
trust, no covered government official shall own any finan-
cial interest in a corporation, business, partnership, or 
other for-profit entity that is determined to be— 
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(1) substantially regulated by the agency or 
otherwise directly influenced by the action of the ex-
ecutive agency; 
(2) a major contractor of the agency; 
(3) an organization that has substantial lob-
bying contacts with the agency; or 
(4) an organization that otherwise poses the re-
alistic potential for creating a substantial appear-
ance of a conflict of interest. 
(c) GUIDANCE.—The Director of the Office of Gov-
ernment Ethics shall issue guidance to executive agencies 
regarding the meaning of the terms ‘‘substantially regu-
lated’’, ‘‘major contractor’’, ‘‘substantial lobbying con-
tacts’’, and ‘‘substantial appearance of a conflict of inter-
est’’ specifically in the context of this Act. 
(d) REPORT.—If an agency head determines that no 
financial interest meets the criteria established in sub-
section (b), as defined by the Director of the Office of Gov-
ernment Ethics pursuant to subsection (c), and that 
issuance of a prohibited holdings regulation under this 
regulation is not possible, the head of the agency shall sign 
a report to Congress that— 
(1) explains in detail why there is no realistic 
potential for any officer or employee described in 
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subsection (a) to encounter a conflict of interest in 
the performance of official duties; 
(2) describes in detail all steps undertaken by 
the agency to evaluate the potential for conflicts of 
interest to arise at the agency; and 
(3) if any part of the agency is within the juris-
diction of an inspector general, shall include a writ-
ten assessment by the Inspector General of the po-
tential for conflicts of interest to arise in connection 
with the performance of official duties by officers 
and employees described in subsection (a). 
(e) EVALUATION.—If an agency has issued a prohib-
ited holdings regulation prior to the date of enactment of 
this Act, the agency head shall evaluate whether that regu-
lation should cover any additional types of interests not 
currently covered. If the agency head determines that ex-
pansion of the regulation’s coverage is not currently war-
ranted, the agency head shall so advise Congress in writ-
ing and shall not be required to issue a new regulation 
under this Act. 
(f) WAIVERS.—Any regulation prohibiting potentially 
conflicting financial interests, whether issued pursuant to 
this Act or prior to the date of enactment of this Act, 
may, if deemed appropriate by both the agency head and 
the Director of the Office of Government Ethics, permit 
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individual waivers in unusual circumstances, provided that 
the regulation requires the agency to submit the waiver 
to the Director for publication on the official website of 
the Office of Government Ethics, subject to applicable rou-
tine destruction requirements. 
Æ 
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