H.R.3182 - To amend title 5, United States Code, to prohibit Members of Congress and their spouses from trading stock, and for other purposes. (119th Congress)
Summary
H.R.3182 aims to amend Title 5 of the United States Code to prohibit Members of Congress and their spouses from trading stocks and certain other financial instruments. The bill seeks to prevent potential conflicts of interest arising from access to non-public information. It defines covered financial instruments and provides exceptions for diversified mutual funds, exchange-traded funds, the Thrift Savings Plan, and U.S. Treasury securities.
Expected Effects
If enacted, H.R.3182 would restrict the ability of Members of Congress and their spouses to engage in transactions involving individual stocks and similar investments. This could lead to a decrease in perceived corruption and an increase in public trust in government. The bill includes provisions for civil fines for violations.
Potential Benefits
- Increased public trust in government by reducing potential conflicts of interest.
- Leveling the playing field for average investors by preventing insider trading.
- Promoting ethical behavior among elected officials.
- Reducing the influence of personal financial gain on legislative decisions.
- Strengthening the integrity of the legislative process.
Potential Disadvantages
- Potential limitations on the financial freedom of Members of Congress and their spouses.
- Possible difficulties in enforcing the restrictions and monitoring compliance.
- Risk of unintended consequences or loopholes that could be exploited.
- Could deter qualified individuals from seeking public office due to financial restrictions.
- May require complex legal interpretations and create administrative burdens.
Constitutional Alignment
The bill's alignment with the Constitution is primarily concerned with potential infringements on personal property rights versus the government's interest in maintaining ethical standards and preventing corruption. While the Constitution does not explicitly address stock trading by members of Congress, it does grant Congress the power to regulate its own affairs (Article I, Section 5). The restrictions imposed by the bill could be viewed as necessary and proper for ensuring the integrity of the legislative process, thus aligning with the spirit of the Constitution.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).