Title: Presidential Conflicts of Interest Act of 2019
Policy area: Government Operations and Politics

Summary:
Presidential Conflicts of Interest Act of 2019
This bill requires the President and Vice President to submit to Congress and the Office of Government Ethics a disclosure of financial interests.
The President and Vice President shall (1) include a detailed description of each financial interest of the President and Vice President, the spouse of the President and Vice President, or a minor child of the President and Vice President; and (2) include the tax returns filed by or on behalf of the President and Vice President for the three most recent taxable years.
The President, the Vice President, the spouse of the President or Vice President, and any minor child of the President or Vice President must divest any financial interest posing a potential conflict of interest by transferring such interest to a qualified blind trust.
The Office of Government Ethics shall submit to Congress, the President, and the Vice President an annual report regarding the financial interests of such officials, their spouses, and any of their minor children.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 882 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  1st Session
                                 S. 882

 To address financial conflicts of interest of the President and Vice 
                               President.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 26, 2019

 Ms. Warren (for herself, Ms. Baldwin, Mr. Bennet, Mr. Blumenthal, Mr. 
Booker, Mr. Brown, Ms. Cantwell, Mr. Cardin, Mr. Carper, Mr. Casey, Mr. 
Coons, Ms. Duckworth, Mr. Durbin, Mrs. Feinstein, Mrs. Gillibrand, Ms. 
Harris, Ms. Hirono, Ms. Klobuchar, Mr. Leahy, Mr. Markey, Mr. Merkley, 
Mr. Murphy, Mrs. Murray, Mr. Peters, Mr. Reed, Ms. Smith, Ms. Stabenow, 
 Mr. Udall, Mr. Van Hollen, Mr. Whitehouse, and Mr. Wyden) introduced 
the following bill; which was read twice and referred to the Committee 
             on Homeland Security and Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
 To address financial conflicts of interest of the President and Vice 
                               President.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Presidential Conflicts of Interest 
Act of 2019''.

SEC. 2. DIVESTITURE OF PERSONAL FINANCIAL INTERESTS OF THE PRESIDENT 
              AND VICE PRESIDENT THAT POSE A POTENTIAL CONFLICT OF 
              INTEREST.

    (a) Definitions.--
            (1) In general.--In this section--
                    (A) the term ``conflict-free holding'' means a 
                financial interest described in section 102(f)(8) of 
                the Ethics in Government Act of 1978 (5 U.S.C. App.);
                    (B) the term ``financial interest posing a 
                potential conflict of interest'' means a financial 
                interest of the President, the Vice President, the 
                spouse of the President or Vice President, or a minor 
                child of the President or Vice President, as 
                applicable, that--
                            (i) would constitute a financial interest 
                        described in subsection (a) of section 208 of 
                        title 18, United States Code--
                                    (I) if--
                                            (aa) for purposes of such 
                                        section 208, the terms 
                                        ``officer'' and ``employee'' 
                                        included the President and the 
                                        Vice President; and
                                            (bb) the President or Vice 
                                        President, as applicable, 
                                        participated as described in 
                                        subsection (a) of such section 
                                        208 in relation to such 
                                        financial interest; and
                                    (II) determined without regard to 
                                any exception under subsection (b) of 
                                such section 208; or
                            (ii) may constitute a present, emolument, 
                        office, or title, of any kind whatever, from 
                        any king, prince, or foreign state (including 
                        from an entity owned or controlled by a foreign 
                        government), within the meaning of article I, 
                        section 9 of the Constitution of the United 
                        States;
                    (C) the term ``qualified blind trust'' has the 
                meaning given that term in section 102(f)(3) of the 
                Ethics in Government Act of 1978 (5 U.S.C. App.), 
                unless otherwise specified in this Act; and
                    (D) the term ``tax return''--
                            (i) means any Federal income tax return and 
                        any amendment or supplement thereto, including 
                        supporting schedules, attachments, or lists 
                        which are supplemental to, or part of, the 
                        return for the taxable year; and
                            (ii) includes any information return that 
                        reports information that does or may affect the 
                        liability for tax for the taxable year.
            (2) Applicability of ethics in government act of 1978.--For 
        purposes of the definition of ``qualified blind trust'' in this 
        section, the term ``supervising ethics officer'' in section 
        102(f)(3) of the Ethics in Government Act of 1978 (5 U.S.C. 
        App.) means the Director of the Office of Government Ethics.
    (b) Initial Financial Disclosure.--
            (1) Submission of disclosure.--
                    (A) In general.--Not later than 30 days after 
                assuming the office of President or Vice President, 
                respectively, the President and Vice President shall 
                submit to Congress and the Director of the Office of 
                Government Ethics a disclosure of financial interests.
                    (B) Application to sitting president and vice 
                president.--For any individual who is serving as the 
                President or Vice President on the date of enactment of 
                this Act, the disclosure of financial interests shall 
                be submitted to Congress and the Director of the Office 
                of Government Ethics not later than 30 days after the 
                date of enactment of this Act.
            (2) Contents.--
                    (A) President.--The disclosure of financial 
                interests submitted under paragraph (1) by the 
                President shall--
                            (i) describe in detail each financial 
                        interest of the President, the spouse of the 
                        President, or a minor child of the President;
                            (ii) at a minimum, include the information 
                        relating to each such financial interest that 
                        is required for reports under section 102 of 
                        the Ethics in Government Act of 1978 (5 U.S.C. 
                        App.); and
                            (iii) include the tax returns filed by or 
                        on behalf of the President for--
                                    (I) the 3 most recent taxable 
                                years; and
                                    (II) each taxable year for which an 
                                audit of the return by the Internal 
                                Revenue Service is pending on the date 
                                the report is filed.
                    (B) Vice president.--The disclosure of financial 
                interests submitted under paragraph (1) by the Vice 
                President shall--
                            (i) describe in detail each financial 
                        interest of the Vice President, the spouse of 
                        the Vice President, or a minor child of the 
                        Vice President;
                            (ii) at a minimum, include the information 
                        relating to each such financial interest that 
                        is required for reports under section 102 of 
                        the Ethics in Government Act of 1978 (5 U.S.C. 
                        App.); and
                            (iii) include the tax returns filed by or 
                        on behalf of the Vice President for--
                                    (I) the 3 most recent taxable 
                                years; and
                                    (II) each taxable year for which an 
                                audit of the return by the Internal 
                                Revenue Service is pending on the date 
                                the report is filed.
    (c) Divestiture of Financial Interests Posing a Potential Conflict 
of Interest.--
            (1) In general.--The President, the Vice President, the 
        spouse of the President or Vice President, and any minor child 
        of the President or Vice President shall divest of any 
        financial interest posing a potential conflict of interest by 
        transferring such interest to a qualified blind trust.
            (2) Trustee duties.--Within a reasonable period of time 
        after the date a financial interest is transferred to a 
        qualified blind trust under paragraph (1), the trustee of the 
        qualified blind trust shall--
                    (A) sell the financial interest; and
                    (B) use the proceeds of the sale of the financial 
                interest to purchase conflict-free holdings.
    (d) Review by Office of Government Ethics.--
            (1) In general.--The Director of the Office of Government 
        Ethics shall submit to Congress, the President, and the Vice 
        President an annual report regarding the financial interests of 
        the President, the Vice President, the spouse of the President 
        or Vice President, and any minor child of the President or Vice 
        President.
            (2) Contents.--Each report submitted under paragraph (1) 
        shall--
                    (A) indicate whether any financial interest of the 
                President, the Vice President, the spouse of the 
                President or Vice President, or a minor child of the 
                President or Vice President is a financial interest 
                posing a potential conflict of interest;
                    (B) evaluate whether any previously held financial 
                interest of the President, the Vice President, the 
                spouse of the President or Vice President, or a minor 
                child of the President or Vice President that was a 
                financial interest posing a potential conflict of 
                interest was divested in accordance with subsection 
                (c); and
                    (C) redact such information as the Director of the 
                Office of Government Ethics determines necessary for 
                preventing identity theft, such as social security 
                numbers or taxpayer identification numbers.
    (e) Enforcement.--
            (1) In general.--The Attorney General, the attorney general 
        of any State, or any person aggrieved by any violation of 
        subsection (c) may seek declaratory or injunctive relief in a 
        court of competent jurisdiction if--
                    (A) the Director of the Office of Government Ethics 
                is unable to issue a report indicating whether the 
                President or the Vice President is in substantial 
                compliance with subsection (c); or
                    (B) there is probable cause to believe that the 
                President or the Vice President has not complied with 
                subsection (c).
            (2) Fair market value.--In granting injunctive relief to 
        the plaintiff, the court shall ensure that any divestment 
        procedure shall ensure the fair market return for any asset 
        that is liquidated.

SEC. 3. RECUSAL OF APPOINTEES.

    Section 208 of title 18, United States Code, is amended by adding 
at the end the following:
    ``(e)(1) Any officer or employee appointed by the President shall 
recuse himself or herself from any particular matter involving specific 
parties in which a party to that matter is--
            ``(A) the President who appointed the officer or employee, 
        which shall include any entity in which the President has a 
        substantial interest; or
            ``(B) the spouse of the President who appointed the officer 
        or employee, which shall include any entity in which the spouse 
        of the President has a substantial interest.
    ``(2)(A) Subject to subparagraph (B), if an officer or employee is 
recused under paragraph (1), a career appointee in the agency of the 
officer or employee shall perform the functions and duties of the 
officer or employee with respect to the matter.
    ``(B)(i) In this subparagraph, the term `Commission' means a board, 
commission, or other agency for which the authority of the agency is 
vested in more than 1 member.
    ``(ii) If the recusal of a member of a Commission from a matter 
under paragraph (1) would result in there not being a statutorily 
required quorum of members of the Commission available to participate 
in the matter, notwithstanding such statute or any other provision of 
law, the members of the Commission not recused under paragraph (1) 
may--
            ``(I) consider the matter without regard to the quorum 
        requirement under such statute;
            ``(II) delegate the authorities and responsibilities of the 
        Commission with respect to the matter to a subcommittee of the 
        Commission; or
            ``(III) designate an officer or employee of the Commission 
        who was not appointed by the President who appointed the member 
        of the Commission recused from the matter to exercise the 
        authorities and duties of the recused member with respect to 
        the matter.
    ``(3) Any officer or employee who negligently violates paragraph 
(1) shall be subject to the penalties set forth in section 216.
    ``(4) For purposes of this section, the term `particular matter' 
shall have the meaning given the term in section 207(i).''.

SEC. 4. CONTRACTS BY THE PRESIDENT OR VICE PRESIDENT.

    (a) Amendment.--Section 431 of title 18, United States Code, is 
amended--
            (1) in the section heading, by inserting ``the President, 
        Vice President, or a'' after ``Contracts by''; and
            (2) in the first undesignated paragraph, by inserting ``the 
        President or Vice President,'' after ``Whoever, being''.
    (b) Table of Sections Amendment.--The table of sections for chapter 
23 of title 18, United States Code, is amended by striking the item 
relating to section 431 and inserting the following:

``431. Contracts by the President, Vice President, or a Member of 
                            Congress.''.

SEC. 5. PRESIDENTIAL TAX TRANSPARENCY.

    (a) In General.--Title I of the Ethics in Government Act of 1978 (5 
U.S.C. App.) is amended--
            (1) by inserting after section 102 the following:

``SEC. 102A. DISCLOSURE OF TAX RETURNS.

    ``(a) Definitions.--In this section--
            ``(1) the term `covered candidate' means an individual--
                    ``(A) required to file a report under section 
                101(c); and
                    ``(B) who is nominated by a major party as a 
                candidate for the office of President; and
            ``(2) the term `covered individual' means--
                    ``(A) a President required to file a report under 
                subsection (a) or (d) of section 101; and
                    ``(B) an individual who occupies the office of the 
                President required to file a report under section 
                101(e);
            ``(3) the term `major party' has the meaning given the term 
        in section 9002 of the Internal Revenue Code of 1986; and
            ``(4) the term `income tax return' means, with respect to 
        any covered candidate or covered individual, any return (within 
        the meaning of section 6103(b) of the Internal Revenue Code of 
        1986) related to Federal income taxes, but does not include--
                    ``(A) information returns issued to persons other 
                than such covered candidate or covered individual, and
                    ``(B) declarations of estimated tax.
    ``(b) Disclosure.--
            ``(1) Covered individuals.--
                    ``(A) In general.--In addition to the information 
                described in subsections (a) and (b) of section 102, a 
                covered individual shall include in each report 
                required to be filed under this title a copy of the 
                income tax returns of the covered individual for the 3 
                most recent taxable years for which a return have been 
                filed with the Internal Revenue Service as of the date 
                on which the report is filed.
                    ``(B) Failure to disclose.--If an income tax return 
                is not disclosed under subparagraph (A), the Director 
                of the Office of Government Ethics shall submit to the 
                Secretary of the Treasury a request that the Secretary 
                of the Treasury provide the Director of the Office of 
                Government Ethics with a copy of the income tax return.
                    ``(C) Publicly available.--Each income tax return 
                submitted under this paragraph shall be filed with the 
                Director of the Office of Government Ethics and made 
                publicly available in the same manner as the 
                information described in subsections (a) and (b) of 
                section 102.
                    ``(D) Redaction of certain information.--Before 
                making any income tax return submitted under this 
                paragraph available to the public, the Director of the 
                Office of Government Ethics shall redact such 
                information as the Director of the Office of Government 
                Ethics, in consultation with the Secretary of the 
                Treasury (or a delegate of the Secretary), determines 
                appropriate.
            ``(2) Candidates.--
                    ``(A) In general.--Not later than 15 days after the 
                date on which a covered candidate is nominated, the 
                covered candidate shall amend the report filed by the 
                covered candidate under section 101(c) with the Federal 
                Election Commission to include a copy of the income tax 
                returns of the covered candidate for the 3 most recent 
                taxable years for which a return has been filed with 
                the Internal Revenue Service.
                    ``(B) Failure to disclose.--If an income tax return 
                is not disclosed under subparagraph (A) the Federal 
                Election Commission shall submit to the Secretary of 
                the Treasury a request that the Secretary of the 
                Treasury provide the Federal Election Commission with 
                the income tax return.
                    ``(C) Publicly available.--Each income tax return 
                submitted under this paragraph shall be filed with the 
                Federal Election Commission and made publicly available 
                in the same manner as the information described in 
                section 102(b).
                    ``(D) Redaction of certain information.--Before 
                making any income tax return submitted under this 
                paragraph available to the public, the Federal Election 
                Commission shall redact such information as the Federal 
                Election Commission, in consultation with the Secretary 
                of the Treasury (or a delegate of the Secretary) and 
                the Director of the Office of Government Ethics, 
                determines appropriate.
            ``(3) Special rule for sitting presidents.--Not later than 
        30 days after the date of enactment of this section, the 
        President shall submit to the Director of the Office of 
        Government Ethics a copy of the income tax returns described in 
        paragraph (1)(A).''; and
            (2) in section 104--
                    (A) in subsection (a)--
                            (i) in paragraph (1), in the first 
                        sentence, by inserting ``or any individual who 
                        knowingly and willfully falsifies or who 
                        knowingly and willfully fails to file an income 
                        tax return that such individual is required to 
                        disclose pursuant to section 102A'' before the 
                        period; and
                            (ii) in paragraph (2)(A)--
                                    (I) in clause (i), by inserting 
                                ``or falsify any income tax return that 
                                such person is required to disclose 
                                under section 102A'' before the 
                                semicolon; and
                                    (II) in clause (ii), by inserting 
                                ``or fail to file any income tax return 
                                that such person is required to 
                                disclosed under section 102A'' before 
                                the period;
                    (B) in subsection (b), in the first sentence by 
                inserting ``or willfully failed to file or has 
                willfully falsified an income tax return required to be 
                disclosed under section 102A'' before the period;
                    (C) in subsection (c), by inserting ``or failing to 
                file or falsifying an income tax return required to be 
                disclosed under section 102A'' before the period; and
                    (D) in subsection (d)(1)--
                            (i) in the matter preceding subparagraph 
                        (A), by inserting ``or files an income tax 
                        return required to be disclosed under section 
                        102A'' after ``title''; and
                            (ii) in subparagraph (A), by inserting ``or 
                        such income tax return, as applicable,'' after 
                        ``report''.
    (b) Authority To Disclose Information.--
            (1) In general.--Section 6103(l) of the Internal Revenue 
        Code of 1986 is amended by adding at the end the following new 
        paragraph:
            ``(23) Disclosure of return information of presidents and 
        certain presidential candidates.--
                    ``(A) Disclosure of returns of presidents.--
                            ``(i) In general.--The Secretary shall, 
                        upon written request from the Director of the 
                        Office of Government Ethics pursuant to section 
                        102A(b)(1)(B) of the Ethics in Government Act 
                        of 1978, provide to officers and employees of 
                        the Office of Government Ethics a copy of any 
                        income tax return of the President which is 
                        required to be filed under section 102A of such 
                        Act.
                            ``(ii) Disclosure to public.--The Director 
                        of the Office of Government Ethics may disclose 
                        to the public the income tax return of any 
                        President which is required to be filed with 
                        the Director pursuant to section 102A of the 
                        Ethics in Government Act of 1978.
                    ``(B) Disclosure of returns of certain candidates 
                for president.--
                            ``(i) In general.--The Secretary shall, 
                        upon written request from the Chairman of the 
                        Federal Election Commission pursuant to section 
                        102A(b)(2)(B) of the Ethics in Government Act 
                        of 1978, provide to officers and employees of 
                        the Federal Election Commission copies of the 
                        applicable returns of any person who has been 
                        nominated as a candidate of a major party (as 
                        defined in section 9002(a)) for the office of 
                        President.
                            ``(ii) Disclosure to public.--The Federal 
                        Election Commission may disclose to the public 
                        applicable returns of any person who has been 
                        nominated as a candidate of a major party (as 
                        defined in section 9002(6)) for the office of 
                        President and which is required to be filed 
                        with the Commission pursuant to section 102A of 
                        the Ethics in Government Act.
                    ``(C) Applicable returns.--For purposes of this 
                paragraph, the term `applicable returns' means, with 
                respect to any candidate for the office of President, 
                income tax returns for the 3 most recent taxable years 
                for which a return has been filed as of the date of the 
                nomination.''.
            (2) Conforming amendments.--Section 6103(p)(4) of such 
        Code, in the matter preceding subparagraph (A) and in 
        subparagraph (F)(ii), is amended by striking ``or (22)'' and 
        inserting ``(22), or (23)'' each place it appears.

SEC. 6. SENSE OF CONGRESS REGARDING VIOLATIONS.

    It is the sense of Congress that a violation of section 2 of this 
Act or the Ethics in Government Act of 1978 (5 U.S.C. App.) by the 
President or the Vice President would constitute a high crime or 
misdemeanor under article II, section 4 of the Constitution of the 
United States.

SEC. 7. RULE OF CONSTRUCTION.

    Nothing in this Act or an amendment made by this Act shall be 
construed to violate the Constitution of the United States.

SEC. 8. SEVERABILITY.

    If any provision of this Act or any amendment made by this Act, or 
any application of such provision or amendment to any person or 
circumstance, is held to be unconstitutional, the remainder of the 
provisions of this Act and the amendments made by this Act, and the 
application of the provision or amendment to any other person or 
circumstance, shall not be affected.
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