[106th Congress House Rules Manual -- House Document No. 106-320]
[From the U.S. Government Printing Office Online Database]
[DOCID:hrulest-83]
[Page 893-917]
Rule XXVI
financial disclosure
1. <> The Clerk shall send a copy of each report filed with the
Clerk under title I of the Ethics in Government Act of 1978 within the
seven-day period beginning on the date on which the report is filed to
the Committee on Standards of Official Conduct. By August 1 of each
year, the Clerk shall compile all such reports sent to him by Members
within the period beginning on January 1 and ending on June 15 of each
year and
[[Page 894]]
have them printed as a House document, which shall be made available to
the public.
2. For the purposes of this rule, the provisions of title I of the
Ethics in Government Act of 1978 shall be considered Rules of the House
as they pertain to Members, Delegates, the Resident Commissioner,
officers, and employees of the House.
The original version of this rule (former rule XLIV) was adopted in
the 90th Congress, in the same resolution that redefined the
jurisdiction of the Committee on Standards of Official Conduct (H. Res.
1099, Apr. 3, 1968, p. 8803). In the 91st Congress the rule was amended,
effective for years after 1970, to require public disclosure of: (1)
honoraria from a single source totaling $300 or more; and (2) each
creditor to whom was owed an unsecured loan or other indebtedness of
$10,000 or more outstanding for at least 90 days in the preceding
calendar year (H. Res. 796, May 26, 1970, p. 17019). It was further
amended in the 92d Congress to bring the Delegates and Resident
Commissioner within the definition of ``Members'' in the final sentence
of the rule (H. Res. 5, Jan. 22, 1971, p. 144; H. Res. 1153, Oct. 13,
1972, pp. 36021-23), and was amended in the 95th Congress to delete an
obsolete reference (H. Res. 5, Jan. 4, 1977, pp. 53-70). The rule was
completely amended in the 95th Congress, effective July 1, 1977, to: (1)
broaden the sources and minimum amounts of income reported; (2) require
reports to be filed with the Clerk as well as with the Committee on
Standards of Official Conduct; and (3) make reports available to the
public as printed House documents rather than having them maintained in
the Committee on Standards of Official Conduct (H. Res. 287, Mar. 2,
1977, pp. 5933-53). The rule was again amended in the 96th Congress to
incorporate by reference the relevant provisions of title I of the
Ethics in Government Act of 1978 as they pertain to Members, officers,
and employees of the House of Representatives (H. Res. 5, Jan. 15, 1979,
pp. 7-16). Clause 1 was amended by the Ethics Reform Act of 1989 to make
conforming changes in certain dates (P.L. 101-194). Before the House
recodified its rules in the 106th Congress, this provision was found in
former rule XLIV (H. Res. 5, Jan. 6, 1999, p. ----). This rule was
redesignated as rule XXVI in the 107th Congress (sec. 2(s), H. Res. 5,
Jan. 3, 2001, p. ----).
For an in-depth discussion of this rule prepared by the Committee on
Standards of Official Conduct, see the House Ethics Manual (102d Cong.,
2d Sess.).
Pertinent provisions of title I of the Ethics in Government Act of
1978 (5 U.S.C. App. 101-111) follow:
[[Page 895]]
Title I--Financial Disclosure Requirements of Federal Personnel
persons required to file
Sec. 101. (a) Within thirty days of assuming the position of an
officer or employee described in subsection (f), an individual shall
file a report containing the information described in section 102(b)
unless the individual has left another position described in subsection
(f) within thirty days prior to assuming such new position or has
already filed a report under this title with respect to nomination for
the new position or as a candidate for the position.
* * *
(c) Within thirty days of becoming a candidate as defined in section
301 of the Federal Campaign Act of 1971, in a calendar year for
nomination or election to the office of President, Vice President, or
Member of Congress, or on or before May 15 of that calendar year,
whichever is later, but in no event later than 30 days before the
election, and on or before May 15 of each successive year an individual
continues to be a candidate, an individual other than an incumbent
President, Vice President, or Member of Congress shall file a report
containing the information described in section 102(b). Notwithstanding
the preceding sentence, in any calendar year in which an individual
continues to be a candidate for any office but all elections for such
office relating to such candidacy were held in prior calendar years,
such individual need not file a report unless he becomes a candidate for
another vacancy in that office or another office during that year.
(d) Any individual who is an officer or employee described in
subsection (f) during any calendar year and performs the duties of his
position or office for a period in excess of sixty days in that calendar
year shall file on or before May 15 of the succeeding year a report
containing the information described in section 102(a).
(e) Any individual who occupies a position described in subsection (f)
shall, on or before the thirtieth day after termination of employment in
such position, file a report containing the information described in
section 102(a) covering the preceding calendar year if the report
required by subsection (d) has not been filed and covering the portion
of the calendar year in which such termination occurs up to the date the
individual left such office or position, unless such individual has
accepted employment in another position described in subsection (f).
(f) The officers and employees referred to in subsections (a), (d),
and (e) are-- * * *
(9) a Member of Congress as defined under section 109(12);
(10) an officer or employee of the Congress as defined under section
109(13);
* * *
[[Page 896]]
(g)(1) Reasonable extensions of time for filing any report may be
granted under procedures prescribed by the supervising ethics office for
each branch, but the total of such extensions shall not exceed ninety
days. * * *
(h) The provisions of subsections (a), (b), and (e) shall not apply to
an individual who, as determined by the designated agency ethics
official or Secretary concerned (or in the case of a Presidential
appointee under subsection (b), the Director of the Office of Government
Ethics), the congressional ethics committees, or the Judicial
Conference, is not reasonably expected to perform the duties of his
office or position for more than sixty days in a calendar year, except
that if such individual performs the duties of his office or position
for more than sixty days in a calendar year--
(1) the report required by subsections (a) and (b) shall be
filed within fifteen days of the sixtieth day, and
(2) the report required by subsection (e) shall be filed as
provided in such subsection.
(i) The supervising ethics office for each branch may grant a publicly
available request for a waiver of any reporting requirement under this
section for an individual who is expected to perform or has performed
the duties of his office or position less than one hundred and thirty
days in a calendar year, but only if the supervising ethics office
determines that--
(1) such individual is not a full-time employee of the
Government,
(2) such individual is able to provide services specially
needed by the Government,
(3) it is unlikely that the individual's outside employment or
financial interests will create a conflict of interest, and
(4) public financial disclosure by such individual is not
necessary in the circumstances.
contents of reports
Sec. 102. (a) Each report filed pursuant to section 101 (d) and (e)
shall include a full and complete statement with respect to the
following:
(1)(A) The source, type, and amount or value of income (other than
income referred to in subparagraph (B)) from any source (other than from
current employment by the United States Government), and the source,
date, and amount of honoraria from any source, received during the
preceding calendar year, aggregating $200 or more in value and,
effective January 1, 1991, the source, date, and amount of payments made
to charitable organizations in lieu of honoraria, and the reporting
individual shall simultaneously file with the applicable supervising
ethics office, on a confidential basis, a corresponding list of
recipients of all such payments, together with the dates and amounts of
such payments.
(B) The source and type of income which consists of dividends, rents,
interest, and capital gains, received during the preceding calendar year
which exceeds $200 in amount or value, and an indication of which of the
following categories the amount or value of such item of income is
within:
[[Page 897]]
(i) not more than $1,000,
(ii) greater than $1,000 but not more than $2,500,
(iii) greater than $2,500 but not more than $5,000,
(iv) greater than $5,000 but not more than $15,000,
(v) greater than $15,000 but not more than $50,000,
(vi) greater than $50,000 but not more than $100,000,
(vii) greater than $100,000 but not more than $1,000,000,
(viii) greater than $1,000,000 but not more than $5,000,000,
or
(ix) greater than $5,000,000.
(2)(A) The identity of the source, a brief description, and the value
of all gifts aggregating more than the minimal value as established by
section 7342(a)(5) of title 5, United States Code, or $250, whichever is
greater, received from any source other than a relative of the reporting
individual during the preceding calendar year, except that any food,
lodging, or entertainment received as personal hospitality of an
individual need not be reported, and any gift with a fair market value
of $100 or less, as adjusted at the same time and by the same percentage
as the minimal value is adjusted, need not be aggregated for purposes of
this subparagraph.
(B) The identity of the source and a brief description (including a
travel itinerary, dates, and nature of expenses provided) of
reimbursements received from any source aggregating more than the
minimal value as established by section 7342(a)(5) of title 5, United
States Code, or $250, whichever is greater, and received during the
preceding calendar year.
(C) In an unusual case, a gift need not be aggregated under
subparagraph (A) if a publicly available request for a waiver is
granted.
(3) The identity and category of value of any interest in property
held during the preceding calendar year in a trade or business, or for
investment or the production of income, which has a fair market value
which exceeds $1,000 as of the close of the preceding calendar year,
excluding any personal liability owed to the reporting individual by a
spouse, or by a parent, brother, sister, or child of the reporting
individual or of the reporting individual's spouse, or any deposits
aggregating $5,000 or less in a personal savings account. For purposes
of this paragraph, a personal savings account shall include any
certificate of deposit or any other form of deposit in a bank, savings
and loan association, credit union, or similar financial institution.
(4) The identity and category of value of the total liabilities owed
to any creditor other than a spouse, or a parent, brother, sister, or
child of the reporting individual or of the reporting individual's
spouse which exceed $10,000 at any time during the preceding calendar
year, excluding--
(A) any mortgage secured by real property which is a personal
residence of the reporting individual or his spouse; and
(B) any loan secured by a personal motor vehicle, household
furniture, or appliances, which loan does not exceed the
purchase price of the item which secures it.
[[Page 898]]
With respect to revolving charge accounts, only those with an
outstanding liability which exceeds $10,000 as of the close of the
preceding calendar year need be reported under this paragraph.
(5) Except as provided in this paragraph, a brief description, the
date, and category of value of any purchase, sale or exchange during the
preceding calendar year exceeds $1,000--
(A) in real property, other than property used solely as a
personal residence of the reporting individual or his spouse; or
(B) in stocks, bonds, commodities futures, and other forms of
securities.
Reporting is not required under this paragraph of any transaction solely
by and between the reporting individual, his spouse, or dependent
children.
(6)(A) The identity of all positions held on or before the date of
filing during the current calendar year (and, for the first report filed
by an individual, during the two-year period preceding such calendar
year) as an officer, director, trustee, partner, proprietor,
representative, employee, or consultant of any corporation, company,
firm, partnership, or other business enterprise, any nonprofit
organization, any labor organization, or any educational or other
institution other than the United States. This subparagraph shall not
require the reporting of positions held in any religious, social,
fraternal, or political entity and positions solely of an honorary
nature.
(B) If any person, other than the United States Government, paid a
nonelected reporting individual compensation in excess of $5,000 in any
of the two calendar years prior to the calendar year during which the
individual files his first report under this title, the individual shall
include in the report--
(i) the identity of each source of such compensation; and
(ii) a brief description of the nature of the duties performed
or services rendered by the reporting individual for each such
source.
The preceding sentence shall not require any individual to include in
such report any information which is considered confidential as a result
of a privileged relationship, established by law, between such
individual and any person nor shall it require an individual to report
any information with respect to any person for whom services were
provided by any firm or association of which such individual was a
member, partner, or employee unless such individual was directly
involved in the provision of such services.
(7) A description of the date, parties to, and terms of any agreement
or arrangement with respect to (A) future employment; (B) a leave of
absence during the period of the reporting individual's Government
service; (C) continuation of payments by a former employer other than
the United States Government; and (D) continuing participation in an
employee welfare or benefit plan maintained by a former employer.
(8) The category of the total cash value of any interest of the
reporting individual in a qualified blind trust, unless the trust
instrument was exe
[[Page 899]]
cuted prior to July 24, 1995 and precludes the beneficiary from
receiving information on the total cash value of any interest in the
qualified blind trust.
(b)(1) Each report filed pursuant to subsections (a), (b), and (c) of
section 101 shall include a full and complete statement with respect to
the information required by--
(A) paragraph (1) of subsection (a) for the year of filing and
the preceding calendar year,
(B) paragraphs (3) and (4) of subsection (a) as of the date
specified in the report but which is less than thirty-one days
before the filing date, and
(C) paragraphs (6) and (7) of subsection (a) as of the filing
date but for periods described in such paragraphs.
(2)(A) In lieu of filling out one or more schedules of a financial
disclosure form, an individual may supply the required information in an
alternative format, pursuant to either rules adopted by the supervising
ethics office for the branch in which such individual serves or pursuant
to a specific written determination by such office for a reporting
individual.
(B) In lieu of indicating the category of amount or value of any item
contained in any report filed under this title, a reporting individual
may indicate the exact dollar amount of such item.
(c) In the case of any individual described in section 101(e), any
reference to the preceding calendar year shall be considered also to
include that part of the calendar year of filing up to the date of the
termination of employment.
(d)(1) The categories for reporting the amount or value of the items
covered in paragraphs (3), (4), (5), and (8) of subsection (a) are as
follows:
(A) not more than $15,000;
(B) greater than $15,000 but not more than $50,000;
(C) greater than $50,000 but not more than $100,000;
(D) greater than $100,000 but not more than $250,000;
(E) greater than $250,000 but not more than $500,000;
(F) greater than $500,000 but not more than $1,000,000;
(G) greater than $1,000,000 but not more than $5,000,000;
(H) greater than $5,000,000 but not more than $25,000,000;
(I) greater than $25,000,000 but not more than $50,000,000;
and
(J) greater than $50,000,000.
(2) For the purposes of paragraph (3) of subsection (a) if the current
value of an interest in real property (or an interest in a real estate
partnership) is not ascertainable without an appraisal, an individual
may list (A) the date of purchase and the purchase price of the interest
in the real property, or (B) the assessed value of the real property for
tax purposes, adjusted to reflect the market value of the property used
for the assessment if the assessed value is computed at less than 100
percent of such market value, but such individual shall include in his
report a full and complete description of the method used to determine
such assessed value, instead
[[Page 900]]
of specifying a category of value pursuant to paragraph (1) of this
subsection. If the current value of any other item required to be
reported under paragraph (3) of subsection (a) is not ascertainable
without an appraisal, such individual may list the book value of a
corporation whose stock is not publicly traded, the net worth of a
business partnership, the equity value of an individually owned
business, or with respect to other holdings, any recognized indication
of value, but such individual shall include in his report a full and
complete description of the method used in determining such value. In
lieu of any value referred to in the preceding sentence, an individual
may list the assessed value of the item for tax purposes, adjusted to
reflect the market value of the item used for the assessment if the
assessed value is computed at less than 100 percent of such market
value, but a full and complete description of the method used in
determining such assessed value shall be included in the report.
(e)(1) Except as provided in the last sentence of this paragraph, each
report required by section 101 shall also contain information listed in
paragraphs (1) through (5) of subsection (a) of this section respecting
the spouse or dependent child of the reporting individual as follows:
(A) The source of items of earned income earned by a spouse
from any person which exceed $1,000 and the source and amount of
any honoraria received by a spouse, except that, with respect to
earned income (other than honoraria), if the spouse is self-
employed in business or a profession, only the nature of such
business or profession need be reported.
(B) All information required to be reported in subsection
(a)(1)(B) with respect to income derived by a spouse or
dependent child from any asset held by the spouse or dependent
child and reported pursuant to subsection (a)(3).
(C) In the case of any gifts received by a spouse or dependent
child which are not received totally independent of the
relationship of the spouse or dependent child to the reporting
individual, the identity of the source and a brief description
of gifts of transportation, lodging, food, or entertainment and
a brief description and the value of other gifts.
(D) In the case of any reimbursements received by a spouse or
dependent child which are not received totally independent of
the relationship of the spouse or dependent child to the
reporting individual, the identity of the source and a brief
description of each such reimbursement.
(E) In the case of items described in paragraphs (3) through
(5) of subsection (a), all information required to be reported
under these paragraphs other than items (i) which the reporting
individual certifies represent the spouse's or dependent child's
sole financial interest or responsibility and which the
reporting individual has no knowledge of, (ii) which are not in
any way, past or present, derived from the income, assets, or
activities of the reporting individual, and
[[Page 901]]
(iii) from which the reporting individual neither derives, nor
expects to derive, any financial or economic benefit.
(F) For purposes of this section, categories with amounts or
values greater than $1,000,000 set forth in sections
102(a)(1)(B) and 102(d)(1) shall apply to the income, assets, or
liabilities of spouses and dependent children only if the
income, assets, or liabilities are held jointly with the
reporting individual. All other income, assets, or liabilities
of the spouse or dependent children required to be reported
under this section in an amount or value greater than $1,000,000
shall be categorized only as an amount or value greater than
$1,000,000.
Reports required by subsections (a), (b), and (c) of section 101 shall,
with respect to the spouse and dependent child of the reporting
individual, only contain information listed in paragraphs (1), (3), and
(4) of subsection (a), as specified in this paragraph.
(2) No report shall be required with respect to a spouse living
separate and apart from the reporting individual with the intention of
terminating the marriage or providing for permanent separation; or with
respect to any income or obligations of an individual arising from the
dissolution of his marriage or the permanent separation from his spouse.
(f)(1) Except as provided in paragraph (2), each reporting individual
shall report the information required to be reported pursuant to
subsections (a), (b), and (c) of this section with respect to the
holdings of and the income from a trust or other financial arrangement
from which income is received by, or with respect to which a beneficial
interest in principal or income is held by, such individual, his spouse,
or any dependent child.
(2) A reporting individual need not report the holdings of or the
source of income from any of the holdings of--
(A) any qualified blind trust (as defined in paragraph (3));
(B) a trust--
(i) which was not created directly by such individual,
his spouse, or any dependent child, and
(ii) the holdings or sources of income of which such
individual, his spouse, and any dependent child have no
knowledge of; or
(C) an entity described under the provisions of paragraph (8),
but such individual shall report the category of the amount of
income received by him, his spouse, or any dependent child from
the trust or other entity under subsection (a)(1)(B) of this
section.
(3) For purpose of this subsection, the term ``qualified blind trust''
includes any trust in which a reporting individual, his spouse, or any
minor or dependent child has a beneficial interest in the principal or
income, and which meets the following requirements:
(A)(i) The trustee of the trust and any other entity
designated in the trust instrument to perform fiduciary duties
is a financial institution, an attorney, a certified public
accountant, a broker, or an investment advisor who--
[[Page 902]]
(I) is independent of and not associated with any
interested party so that the trustee or other person
cannot be controlled or influenced in the administration
of the trust by any interested party;
(II) is not and has not been an employee of or
affiliated with any interested party and is not a
partner of, or involved in any joint venture or other
investment with, any interested party; and
(III) is not a relative of any interested party.
(ii) Any officer or employee of a trustee or other entity
who is involved in the management or control of the trust--
(I) is independent of and not associated with any
interested party so that such officer or employee cannot
be controlled or influenced in the administration of the
trust by any interested party;
(II) is not a partner of, or involved in any joint
venture or other investment with, any interested party;
and
(III) is not a relative of any interested party.
(B) Any asset transferred to the trust by an interested party
is free of any restriction with respect to its transfer or sale
unless such restriction is expressly approved by the supervising
ethics office of the reporting individual.
(C) The trust instrument which establishes the trust provides
that--
(i) except to the extent provided in subparagraph (B)
of this paragraph, the trustee in the exercise of his
authority and discretion to manage and control the
assets of the trust shall not consult or notify any
interested party;
(ii) the trust shall not contain any asset the holding
of which by an interested party is prohibited by any law
or regulation;
(iii) the trustee shall promptly notify the reporting
individual and his supervising ethics office when the
holdings of any particular asset transferred to the
trust by any interested party are disposed of or when
the value of such holding is less than $1,000;
(iv) the trust tax return shall be prepared by the
trustee or his designee, and such return and any
information relating thereto (other than the trust
income summarized in appropriate categories necessary to
complete an interested party's tax return), shall not be
disclosed to any interested party;
(v) an interested party shall not receive any report
on the holdings and sources of income of the trust,
except a report at the end of each calendar quarter with
respect to the total cash value of the interest of the
interested party in the trust or the net income or loss
of the trust or any reports necessary to enable the
interested party to complete an individual tax return re
[[Page 903]]
quired by law or to provide the information required by
subsection (a)(1) of this section, but such report shall
not identify any asset or holding;
(vi) except for communications which solely consist of
requests for distributions of cash or other unspecified
assets of the trust, there shall be no direct or
indirect communication between the trustee and an
interested party with respect to the trust unless such
communication is in writing and unless it relates only
(I) to the general financial interest and needs of the
interested party (including, but not limited to, an
interest in maximizing income or long-term capital
gain), (II) to the notification of the trustee of a law
or regulation subsequently applicable to the reporting
individual which prohibits the interested party from
holding an asset, which notification directs that the
asset not be held by the trust, or (III) to directions
to the trustee to sell all of an asset initially placed
in the trust by an interested party which in the
determination of the reporting individual creates a
conflict of interest or the appearance thereof due to
the subsequent assumption of duties by the reporting
individual (but nothing herein shall require any such
direction); and
(vii) the interested parties shall make no effort to
obtain information with respect to the holdings of the
trust, including obtaining a copy of any trust tax
return filed or any information relating thereto except
as otherwise provided in this subsection.
(D) The proposed trust instrument and the proposed trustee is
approved by the reporting individual's supervising ethics
office.
(E) For purposes of this subsection, ``interested party''
means a reporting individual, his spouse, and any minor or
dependent child; ``broker'' has the meaning set forth in section
3(a)(4) of the Securities and Exchange Act of 1934 (15 U.S.C.
78c(a)(4)); and ``investment adviser'' includes any investment
adviser who, as determined under regulations prescribed by the
supervising ethics office, is generally involved in his role as
such an adviser in the management or control of trusts.
(F) Any trust qualified by a supervising ethics office before
the effective date of title II of the Ethics Reform Act of 1989
shall continue to be governed by the law and regulations in
effect immediately before such effective date.
(4)(A) An asset placed in a trust by an interested party shall be
considered a financial interest of the reporting individual, for the
purposes of any applicable conflict of interest statutes, regulations,
or rules of the Federal Government (including section 208 of title 18,
United States Code), until such time as the reporting individual is
notified by the trustee that such asset has been disposed of, or has a
value of less than $1,000.
(B)(i) The provisions of subparagraph (A) shall not apply with respect
to a trust created for the benefit of a reporting individual, or the
spouse,
[[Page 904]]
dependent child, or minor child of such a person, if the supervising
ethics office for such reporting individual finds that--
(I) the assets placed in the trust consist of a well-
diversified portfolio of readily marketable securities;
(II) none of the assets consist of securities of entities
having substantial activities in the area of the reporting
individual's primary area of responsibility;
(III) the trust instrument prohibits the trustee,
notwithstanding the provisions of paragraphs (3)(C) (iii) and
(iv) of this subsection, from making public or informing any
interested party of the sale of any securities;
(IV) the trustee is given power of attorney, notwithstanding
the provisions of paragraph (3)(C)(v) of this subsection, to
prepare on behalf of any interested party the personal income
tax returns and similar returns which may contain information
relating to the trust; and
(V) except as otherwise provided in this paragraph, the trust
instrument provides (or in the case of a trust established prior
to the effective date of this Act which by its terms does not
permit amendment, the trustee, the reporting individual, and any
other interested party agree in writing) that the trust shall be
administered in accordance with the requirements of this
subsection and the trustee of such trust meets the requirements
of paragraph (3)(A).
* * *
(5)(A) The reporting individual shall, within thirty days after a
qualified blind trust is approved by his supervising ethics office, file
with such office a copy of--
(i) the executed trust instrument of such trust (other than
those provisions which relate to the testamentary disposition of
the trust assets), and
(ii) a list of the assets which were transferred to such
trust, including the category of value of each asset as
determined under subsection (d) of this section.
This subparagraph shall not apply with respect to a trust meeting the
requirements for being considered a qualified blind trust under
paragraph (7) of this subsection.
(B) The reporting individual shall, within thirty days of transferring
an asset (other than cash) to a previously established qualified blind
trust, notify his supervising ethics office of the identity of each such
asset and the category of value of each asset as determined under
subsection (d) of this section.
(C) Within thirty days of the dissolution of a qualified blind trust,
a reporting individual shall--
(i) notify his supervising ethics office of such dissolution,
and
[[Page 905]]
(ii) file with such office a copy of a list of the assets of
the trust at the time of such dissolution and the category of
value under subsection (d) of this section of each such asset.
(D) Documents filed under subparagraphs (A), (B), and (C) of this
paragraph and the lists provided by the trustee of assets placed in the
trust by an interested party which have been sold shall be made
available to the public in the same manner as a report is made available
under section 105 and the provisions of that section shall apply with
respect to such documents and lists.
(E) A copy of each written communication with respect to the trust
under paragraph (3)(C)(vi) shall be filed by the person initiating the
communication with the reporting individual's supervising ethics office
within five days of the date of the communication.
(6)(A) A trustee of a qualified blind trust shall not knowingly and
willfully, or negligently, (i) disclose any information to an interested
party with respect to such trust that may not be disclosed under
paragraph (3) of this subsection; (ii) acquire any holding the ownership
of which is prohibited by the trust instrument; (iii) solicit advice
from any interested party with respect to such trust, which solicitation
is prohibited by paragraph (3) of this subsection or the trust
agreement; or (iv) fail to file any document required by this
subsection.
(B) A reporting individual shall not knowingly and willfully, or
negligently, (i) solicit or receive any information with respect to a
qualified blind trust of which he is an interested party that may not be
disclosed under paragraph (3)(C) of this subsection or (ii) fail to file
any document required by this subsection.
(C)(i) The Attorney General may bring a civil action in any
appropriate United States district court against any individual who
knowingly and willfully violates the provisions of subparagraph (A) or
(B) of this paragraph. The court in which such action is brought may
assess against such individual a civil penalty in any amount not to
exceed $10,000.
(ii) The Attorney General may bring a civil action in any appropriate
United States district court against any individual who negligently
violates the provisions of subparagraph (A) or (B) of this paragraph.
The court in which such action is brought may assess against such
individual a civil penalty in any amount not to exceed $5,000.
(7) Any trust may be considered to be a qualified blind trust if--
(A) the trust instrument is amended to comply with the
requirements of paragraph (3) or, in the case of a trust
instrument which does not by its terms permit amendment, the
trustee, the reporting individual, and any other interested
party agree in writing that the trust shall be administered in
accordance with the requirements of this subsection and the
trustee of such trust meets the requirements of paragraph
(3)(A); except that in the case of any interested party who is a
dependent child, a parent or guardian of such child may execute
the agreement referred to in this subparagraph;
[[Page 906]]
(B) a copy of the trust instrument (except testamentary
provisions) and a copy of the agreement referred to in
subparagraph (A), and a list of the assets held by the trust at
the time of approval by the supervising ethics office, including
the category of value of each asset as determined under
subsection (d) of this section, are filed with such office and
made available to the public as provided under paragraph (5)(D)
of this subsection; and
(C) the supervising ethics office determines that approval of
the trust arrangement as a qualified blind trust is in the
particular case appropriate to assure compliance with applicable
laws and regulations.
(8) A reporting individual shall not be required to report the
financial interests held by a widely held investment fund (whether such
fund is a mutual fund, regulated investment company, pension or deferred
compensation plan, or other investment fund), if--
(A)(i) the fund is publicly traded; or
(ii) the assets of the fund are widely diversified; and
(B) the reporting individual neither exercises control over
nor has the ability to exercise control over the financial
interests held by the fund.
(g) Political campaign funds, including campaign receipts and
expenditures, need not be included in any report filed pursuant to this
title.
(h) A report filed pursuant to subsection (a), (d), or (e) of section
101 need not contain the information described in subparagraphs (A),
(B), and (C) of subsection (a)(2) with respect to gifts and
reimbursements received in a period when the reporting individual was
not an officer or employee of the Federal Government.
(i) A reporting individual shall not be required under this title to
report--
(1) financial interests in or income derived from--
(A) any retirement system under title 5, United States
Code (including the Thrift Savings Plan under subchapter
III of chapter 84 of such title); or
(B) any other retirement system maintained by the
United States for officers or employees of the United
States, including the President, or for members of the
uniformed services; or
(2) benefits received under the Social Security Act.
filing of reports
Sec. 103. (a) Except as otherwise provided in this section, the
reports required under this title shall be filed by the reporting
individual with the designated agency ethics official at the agency by
which he is employed (or in the case of an individual described in
section 101(e), was employed) or in which he will serve. The date any
report is received (and the date of receipt of any supplemental report)
shall be noted on such report by such official.
[[Page 907]]
* * *
(g) Each supervising Ethics Office shall develop and make available
forms for reporting the information required by this title.
(h)(1) The reports required under this title shall be filed by a
reporting individual with--
(A)(i)(I) the Clerk of the House of Representatives, in the
case of a Representative in Congress, a Delegate to Congress,
the Resident Commissioner from Puerto Rico, an officer or
employee of the Congress whose compensation is disbursed by the
Clerk of the House of Representatives, an officer or employee of
the Architect of the Capitol, the United States Botanic Garden,
the Congressional Budget Office, the Government Printing Office,
the Library of Congress, or the Copyright Royalty Tribunal
(including any individual terminating service, under section
101(e), in any office or position referred to in this
subclause), or an individual described in section 101(c) who is
a candidate for nomination or election as a Representative in
Congress, a Delegate to Congress, or the Resident Commissioner
from Puerto Rico;
* * *
(ii) in the case of an officer or employee of the Congress as
described under section 101(f)(10) who is employed by an agency
or commission established in the legislative branch after the
date of the enactment of the Ethics Reform Act of 1989--
(I) the Secretary of the Senate or the Clerk of the
House of Representatives, as the case may be, as
designated in the statute establishing such agency or
commission; or
(II) if such statute does not designate such
committee, the Secretary of the Senate for agencies and
commissions established in even numbered calendar years,
and the Clerk of the House of Representatives for
agencies and commissions established in odd numbered
calendar years;
* * *
(2) The date any report is received (and the date of receipt
of any supplemental report) shall be noted on such report by
such committee.
(i) A copy of each report filed under this title by a Member or an
individual who is a candidate for the office of Member shall be sent by
the Clerk of the House of Representatives or Secretary of the Senate, as
the case may be, to the appropriate State officer designated under
section 316(a) of the Federal Election Campaign Act of 1971 of the State
represented by the Member or in which the individual is a candidate, as
the case may be, within the 30-day period beginning on the day the
report is filed with the Clerk or Secretary.
[[Page 908]]
(j)(1) A copy of each report filed under this title with the Clerk of
the House of Representatives shall be sent by the Clerk to the Committee
on Standards of Official Conduct of the House of Representatives within
the 7-day period beginning on the day the report is filed.
* * *
(k) In carrying out their responsibilities under this title with
respect to candidates for office, the Clerk of the House of
Representatives and the Secretary of the Senate shall avail themselves
of the assistance of the Federal Election Commission. The Commission
shall make available to the Clerk and the Secretary on a regular basis a
complete list of names and addresses of all candidates registered with
the Commission, and shall cooperate and coordinate its candidate
information and notification program with the Clerk and the Secretary to
the greatest extent possible.
failure to file or filing false reports
Sec. 104. (a) The Attorney General may bring a civil action in any
appropriate United States district court against any individual who
knowingly and willfully falsifies or who knowingly and willfully fails
to file or report any information that such individual is required to
report pursuant to section 102. The court in which such action is
brought may assess against such individual a civil penalty in any
amount, not to exceed $10,000.
(b) The head of each agency, each Secretary concerned, the Director of
the Office of Government Ethics, each congressional ethics committee, or
the Judicial Conference, as the case may be, shall refer to the Attorney
General the name of any individual which such official or committee has
reasonable cause to believe has willfully failed to file a report or has
willfully falsified or willfully failed to file information required to
be reported.
(c) The President, the Vice President, the Secretary concerned, the
head of each agency, the Office of Personnel Management, a congressional
ethics committee, and the Judicial Conference of the United States, may
take any appropriate personnel or other action in accordance with
applicable law or regulation against any individual failing to file a
report or falsifying or failing to report information required to be
reported.
(d)(1) Any individual who files a report required to be filed under
this title more than 30 days after the later of--
(A) the date such report is required to be filed pursuant to
the provisions of this title and the rules and regulations
promulgated thereunder; or
(B) if a filing extension is granted to such individual under
section 101(g), the last day of the filing extension period,
shall, at the direction of and pursuant to regulations issued by
the supervising ethics office, pay a filing fee of $200. All
such fees shall be deposited in the miscellaneous receipts of
the Treasury. The authority under this paragraph to direct the
payment of a filing fee may be delegated by
[[Page 909]]
the supervising ethics office in the executive branch to other
agencies in the executive branch.
(2) The supervising ethics office may waive the filing fee under this
subsection in extraordinary circumstances.
custody of and public access to reports
Sec. 105. (a) Each agency, each supervising ethics office in the
executive or judicial branch, the Clerk of the House of Representatives,
and the Secretary of the Senate shall make available to the public, in
accordance with subsection (b), each report filed under this title with
such agency or office or with the Clerk or the Secretary of the Senate.
* * *
(b)(1) Except as provided in the second sentence of this subsection,
each agency, each supervising ethics office in the executive or judicial
branch, the Clerk of the House of Representatives, and the Secretary of
the Senate shall, within thirty days after any report is received under
this title by such agency or office or by the Clerk or the Secretary of
the Senate, as the case may be, permit inspection of such report by or
furnish a copy of such report to any person requesting such inspection
or copy. With respect to any report required to be filed by May 15 of
any year, such report shall be made available for public inspection
within 30 calendar days after May 15 of such year or within 30 days of
the date of filing of such a report for which an extension is granted
pursuant to section 101(g). The agency, office, Clerk, or Secretary of
the Senate, as the case may be may require a reasonable fee to be paid
in any amount which is found necessary to recover the cost of
reproduction or mailing of such report excluding any salary of any
employee involved in such reproduction or mailing. A copy of such report
may be furnished without charge or at a reduced charge if it is
determined that waiver or reduction of the fee is in the public
interest.
(2) Notwithstanding paragraph (1), a report may not be made available
under this section to any person nor may any copy thereof be provided
under this section to any person except upon a written application by
such person stating--
(A) that person's name, occupation and address;
(B) the name and address of any other person or organization
on whose behalf the inspection or copy is requested; and
(C) that such person is aware of the prohibitions on the
obtaining or use of the report.
Any such application shall be made available to the public throughout
the period during which the report is made available to the public.
(3)(A) This section does not require the immediate and unconditional
availability of reports filed by an individual described in section
109(8) or 109(10) of this Act if a finding is made by the Judicial
Conference,
[[Page 910]]
in consultation with United States Marshall Service, that revealing
personal and sensitive information could endanger that individual.
(B) A report may be redacted pursuant to this paragraph only--
(i) to the extent necessary to protect the individual who
filed the report; and
(ii) for as long as the danger to such individual exists.
(C) The Administrative Office of the United States Courts shall submit
to the Committees on the Judiciary of the House of Representatives and
of the Senate an annual report with respect to the operation of this
paragraph including--
(i) the total number of reports redacted pursuant to this
paragraph;
(ii) the total number of individuals whose reports have been
redacted pursuant to this paragraph; and
(iii) the types of threats against individuals whose reports
are redacted, if appropriate.
(D) The Judicial Conference, in consultation with the Department of
Justice, shall issue regulations setting forth the circumstances under
which redaction is appropriate under this paragraph and the procedures
for redaction.
(E) This paragraph shall expire on December 31, 2001, and apply to
filings through calendar year 2001.
(c)(1) It shall be unlawful for any person to obtain or use a report--
(A) for any unlawful purpose;
(B) for any commercial purpose, other than by news and
communications media for dissemination to the general public;
(C) for determining or establishing the credit rating of any
individual; or
(D) for use, directly or indirectly, in the solicitation of
money for any political, charitable, or other purpose.
(2) The Attorney General may bring a civil action against any person
who obtains or uses a report for any purpose prohibited in paragraph (1)
of this subsection. The court in which such action is brought may assess
against such person a penalty in any amount not to exceed $10,000. Such
remedy shall be in addition to any other remedy available under
statutory or common law.
(d) Any report filed with or transmitted to an agency or supervising
ethics office or to the Clerk of the House of Representatives or the
Secretary of the Senate pursuant to this title shall be retained by such
agency or office or by the Clerk or the Secretary of the Senate, as the
case may be. Such report shall be made available to the public for a
period of six years after receipt of the report. After such six-year
period the report shall be destroyed unless needed in an ongoing
investigation, except that in the case of an individual who filed the
report pursuant to section 101(b) and was not subsequently confirmed by
the Senate, or who filed the report pursuant to section 101(c) and was
not subsequently elected, such reports
[[Page 911]]
shall be destroyed one year after the individual either is no longer
under consideration by the Senate or is no longer a candidate for
nomination or election to the Office of President, Vice President, or as
a Member of Congress, unless needed in an ongoing investigation.
review of reports
Sec. 106. (a)(1) Each designated agency ethics official or Secretary
concerned shall make provisions to ensure that each report filed with
him under this title is reviewed within sixty days after the date of
such filing, except that the Director of the Office of Government Ethics
shall review only those reports required to be transmitted to him under
this title within sixty days after the date of transmittal.
(2) Each congressional ethics committee and the Judicial Conference
shall make provisions to ensure that each report filed under this title
is reviewed within sixty days after the date of such filing.
(b)(1) If after reviewing any report under subsection (a), the
Director of the Office of Government Ethics, the Secretary concerned,
the designated agency ethics official, a person designated by the
congressional ethics committee, or a person designated by the Judicial
Conference, as the case may be, is of the opinion that on the basis of
information contained in such report the individual submitting such
report is in compliance with applicable laws and regulations, he shall
state such opinion on the report, and shall sign such report.
(2) If the Director of the Office of Government Ethics, the Secretary
concerned, the designated agency ethics official, a person designated by
the congressional ethics committee, or a person designated by the
Judicial Conference, after reviewing any report under subsection (a)--
(A) believes additional information is required to be
submitted, he shall notify the individual submitting such report
what additional information is required and the time by which it
must be submitted, or
(B) is of the opinion, on the basis of information submitted,
that the individual is not in compliance with applicable laws
and regulations, he shall notify the individual, afford a
reasonable opportunity for a written or oral response, and after
consideration of such response, reach an opinion as to whether
or not, on the basis of information submitted, the individual is
in compliance with such laws and regulations.
(3) If the Director of the Office of Government Ethics, the Secretary
concerned, the designated agency ethics official, a person designated by
a congressional ethics committee, or a person designated by the Judicial
Conference, reaches an opinion under paragraph (2)(B) that an individual
is not in compliance with applicable laws and regulations, the official
or committee shall notify the individual of that opinion and, after an
opportunity for personal consultation (if practicable), determine and
notify the individual of which steps, if any, would in the opinion of
such official or
[[Page 912]]
committee be appropriate for assuring compliance with such laws and
regulations and the date by which such steps should be taken. Such steps
may include, as appropriate--
(A) divestiture,
(B) restitution,
(C) the establishment of a blind trust,
(D) request for an exemption under section 208(b) of title 18,
United States Code, or
(E) voluntary request for transfer, reassignment, limitation
of duties, or resignation.
The use of any such steps shall be in accordance with such rules or
regulations as the supervising ethics office may prescribe.
(4) If steps for assuring compliance with applicable laws and
regulations are not taken by the date set under paragraph (3) by an
individual in a position in the executive branch (other than in the
Foreign Service or the uniformed services), appointment to which
requires the advice and consent of the Senate, the matter shall be
referred to the President for appropriate action.
(5) If steps for assuring compliance with applicable laws and
regulations are not taken by the date set under paragraph (3) by a
member of the Foreign Service or the uniformed services, the Secretary
concerned shall take appropriate action.
(6) If steps for assuring compliance with applicable laws and
regulations are not taken by the date set under paragraph (3) by any
other officer or employee, the matter shall be referred to the head of
the appropriate agency, the congressional ethics committee, or the
Judicial Conference, for appropriate action; except that in the case of
the Postmaster General or Deputy Postmaster General, the Director of the
Office of Government Ethics shall recommend to the Governors of the
Board of Governors of the United States Postal Service the action to be
taken.
(7) Each supervising ethics office may render advisory opinions
interpreting this title within its respective jurisdiction.
Notwithstanding any other provision of law, the individual to whom a
public advisory opinion is rendered in accordance with this paragraph,
and any other individual covered by this title who is involved in a fact
situation which is indistinguishable in all material aspects, and who
acts in good faith in accordance with the provisions and findings of
such advisory opinion shall not, as a result of such act, be subject to
any penalty or sanction provided by this title.
confidential reports and other additional requirements
Sec. 107. (a)(1) Each supervising ethics office may require officers
and employees under its jurisdiction (including special Government
employees as defined in section 202 of title 18, United States Code) to
file confidential financial disclosure reports, in such form as the
supervising ethics office may prescribe. The information required to be
reported under this sub
[[Page 913]]
section by the officers and employees of any department or agency shall
be set forth in rules or regulations prescribed by the supervising
ethics office, and may be less extensive than otherwise required by this
title, or more extensive when determined by the supervising ethics
office to be necessary and appropriate in light of sections 202 through
209 of title 18, United States Code, regulations promulgated thereunder,
or the authorized activities of such officers or employees. Any
individual required to file a report pursuant to section 101 shall not
be required to file a confidential report pursuant to this subsection,
except with respect to information which is more extensive than
information otherwise required by this title. Subsections (a), (b), and
(d) of section 105 shall not apply with respect to any such report.
(2) Any information required to be provided by an individual under
this subsection shall be confidential and shall not be disclosed to the
public.
(3) Nothing in this subsection exempts any individual otherwise
covered by the requirement to file a public financial disclosure report
under this title from such requirement.
(b) The provisions of this title requiring the reporting of
information shall supersede any general requirement under any other
provision of law or regulation with respect to the reporting of
information required for purposes of preventing conflicts of interest or
apparent conflicts of interest. Such provisions of this title shall not
supersede the requirements of section 7342 of title 5, United States
Code.
(c) Nothing in this Act requiring reporting of information shall be
deemed to authorize the receipt of income, gifts, or reimbursements; the
holding of assets, liabilities, or positions; or the participation in
transactions that are prohibited by law, Executive order, rule, or
regulation.
authority of comptroller general
Sec. 108. (a) The Comptroller General shall have access to financial
disclosure reports filed under this title for the purposes of carrying
out his statutory responsibilities.
(b) No later than December 31, 1992, and regularly thereafter, the
Comptroller General shall conduct a study to determine whether the
provisions of this title are being carried out effectively.
definitions
Sec. 109. For the purposes of this title, the term--
(1) ``congressional ethics committees'' means the Select Committee on
Ethics of the Senate and the Committee on Standards of Official Conduct
of the House of Representatives;
(2) ``dependent child'' means, when used with respect to any reporting
individual, any individual who is a son, daughter, stepson, or
stepdaughter and who--
(A) is unmarried and under age 21 and is living in the
household of such reporting individual; or
[[Page 914]]
(B) is a dependent of such reporting individual within the
meaning of section 152 of the Internal Revenue Code of 1986;
(3) ``designated agency ethics official'' means an officer or employee
who is designated to administer the provisions of this title within an
agency;
* * *
(5) ``gift'' means a payment, advance, forbearance, rendering, or
deposit of money, or any thing of value, unless consideration of equal
or greater value is received by the donor, but does not include--
(A) bequest and other forms of inheritance;
(B) suitable mementos of a function honoring the reporting
individual;
(C) food, lodging, transportation, and entertainment provided
by a foreign government within a foreign country or by the
United States Government, the District of Columbia, or a State
or local government or political subdivision thereof;
(D) food and beverages which are not consumed in connection
with a gift of overnight lodging;
(E) communications to the offices of a reporting individual,
including subscriptions to newspapers and periodicals; or
(F) consumable products provided by home-State businesses to
the offices of a reporting individual who is an elected
official, if those products are intended for consumption by
persons other than such reporting individual;
(6) ``honoraria'' has the meaning given such term in section 505 of
this Act;
(7) ``income'' means all income from whatever source derived,
including but not limited to the following items: compensation for
services, including fees, commissions, and similar items; gross income
derived from business (and net income if the individual elects to
include it); gains derived from dealings in property; interest; rents;
royalties; dividends; annuities; income from life insurance and
endowment contracts; pensions; income from discharge of indebtedness;
distributive share of partnership income; and income from an interest in
an estate or trust;
* * *
(11) ``legislative branch'' includes--
(A) the Architect of the Capitol;
(B) the Botanic Gardens;
(C) the Congressional Budget Office;
(D) the General Accounting Office;
(E) the Government Printing Office;
(F) the Library of Congress;
(G) the United States Capitol Police;
(H) the Office of Technology Assessment; and
[[Page 915]]
(I) any other agency, entity, office, or commission
established in the legislative branch;
(12) ``Member of Congress'' means a United States Senator, a
Representative in Congress, a Delegate to Congress, or the Resident
Commissioner from Puerto Rico;
(13) ``officer or employee of the Congress'' means--
(A) any individual described under subparagraph (B), other
than a Member of Congress or the Vice President, whose
compensation is disbursed by the Secretary of the Senate or the
Clerk of the House of Representatives;
(B)(i) each officer or employee of the legislative branch who,
for at least 60 days, occupies a position 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 General Schedule; and
(ii) at least one principal assistant designated for purposes
of this paragraph by each Member who does not have an employee
who occupies a position 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 General Schedule;
(14) ``personal hospitality of any individual'' means hospitality
extended for a nonbusiness purpose by an individual, not a corporation
or organization, at the personal residence of that individual or his
family or on property or facilities owned by that individual or his
family;
(15) ``reimbursement'' means any payment or other thing of value
received by the reporting individual, other than gifts, to cover travel-
related expenses of such individual other than those which are--
(A) provided by the United States Government, the District of
Columbia, or a State or local government or political
subdivision thereof;
(B) required to be reported by the reporting individual under
section 7342 of title 5, United States Code; or
(C) required to be reported under section 304 of the Federal
Election Campaign Act of 1971 (2 U.S.C. 434);
(16) ``relative'' means an individual who is related to the reporting
individual, as father, mother, son, daughter, brother, sister, uncle,
aunt, great aunt, great uncle, first cousin, nephew, niece, husband,
wife, grandfather, grandmother, grandson, granddaughter, father-in-law,
mother-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in-
law, stepfather, stepmother, stepson, stepdaughter, stepbrother,
stepsister, half brother, half sister, or who is the grandfather or
grandmother of the spouse of the reporting individual, and shall be
deemed to include the fiance or fiancee of the reporting individual;
* * *
(18) ``supervising ethics office'' means--
[[Page 916]]
(A) the Senate Committee on Ethics of the Senate, for
Senators, officers and employees of the Senate, and other
officers or employees of the legislative branch required to file
financial disclosure reports with the Secretary of the Senate
pursuant to section 103(h) of this title;
(B) the Committee on Standards of Official Conduct of the
House of Representatives, for Members, officers and employees of
the House of Representatives and other officers or employees of
the legislative branch required to file financial disclosure
reports with the Clerk of the House of Representatives pursuant
to section 103(h) of this title;
(C) the Judicial Conference for judicial officers and judicial
employees; and
(D) the Office of Government Ethics for all executive branch
officers and employees; and
(19) ``value'' means a good faith estimate of the dollar value if the
exact value is neither known nor easily obtainable by the reporting
individual.
notice of actions taken to comply with ethics agreements
Sec. 110. (a) In any case in which an individual agrees with that
individual's designated agency ethics official, the Office of Government
Ethics, a Senate confirmation committee, a congressional ethics
committee, or the Judicial Conference, to take any action to comply with
this Act or any other law or regulation governing conflicts of interest
of, or establishing standards of conduct applicable with respect to,
officers or employees of the Government, that individual shall notify in
writing the designated agency ethics official, the Office of Government
Ethics, the appropriate committee of the Senate, the congressional
ethics committee, or the Judicial Conference, as the case may be, of any
action taken by the individual pursuant to that agreement. Such
notification shall be made not later than the date specified in the
agreement by which action by the individual must be taken, or not later
than three months after the date of the agreement, if no date for action
is so specified.
(b) If an agreement described in subsection (a) requires that the
individual recuse himself or herself from particular categories of
agency or other official action, the individual shall reduce to writing
those subjects regarding which the recusal agreement will apply and the
process by which it will be determined whether the individual must
recuse himself or herself in a specific instance. An individual shall be
considered to have complied with the requirements of subsection (a) with
respect to such recusal agreement if such individual files a copy of the
document setting forth the information described in the preceding
sentence with such individual's designated agency ethics official or the
appropriate supervising ethics office within the time prescribed in the
last sentence of subsection (a).
administration of provisions
Sec. 111. The provisions of this title shall be administered by * * *
[[Page 917]]
* * *
(2) the Select Committee on Ethics of the Senate and the Committee on
Standards of Official Conduct of the House of Representatives, as
appropriate, with regard to officers and employees described in
paragraphs (9) and (10) of section 101(f).
* * *