H.R.358 - No Corruption in Government Act (119th Congress)
Summary
H.R.358, the "No Corruption in Government Act," aims to address potential conflicts of interest and ethical concerns within the U.S. Congress. The bill focuses on three key areas: prohibiting insider trading by members of Congress and their spouses, extending the post-employment ban on lobbying by former members, and repealing automatic pay adjustments for members of Congress.
Title I, the "Prohibit Insider Trading Act," restricts the ability of members and their spouses to hold, purchase, or sell certain financial instruments, with exceptions for diversified funds and qualified blind trusts. Title II, the "Ban Members From Lobbying Act," increases the post-employment lobbying ban for former senators to 6 years and for former members of the House of Representatives to 3 years.
Finally, Title III eliminates automatic cost-of-living adjustments (COLAs) for congressional pay.
Expected Effects
The bill's enactment would likely lead to increased scrutiny of the financial activities of members of Congress and their spouses. It would also restrict the ability of former members to immediately lobby their former colleagues, potentially reducing the influence of special interests. The elimination of automatic pay adjustments could affect the attractiveness of congressional service and potentially impact the quality of candidates seeking office.
Potential Benefits
- Increased Public Trust: By addressing insider trading and lobbying concerns, the bill could restore public confidence in government.
- Reduced Influence of Special Interests: Extending the lobbying ban may limit the ability of former members to unduly influence legislative outcomes.
- Fairer Financial Markets: Prohibiting insider trading could create a more level playing field for all investors.
- Greater Accountability: The certification and audit requirements in Title I would enhance transparency and accountability.
- Potential Cost Savings: Eliminating automatic pay adjustments could result in modest savings for taxpayers.
Potential Disadvantages
- Potential for Unintended Consequences: The restrictions on financial instruments could disproportionately affect members with certain investment strategies.
- Difficulty in Enforcement: Proving insider trading violations can be challenging, even with the new regulations.
- Reduced Attractiveness of Congressional Service: Eliminating automatic pay adjustments could deter qualified individuals from seeking office.
- Possible Legal Challenges: The restrictions on financial activities and lobbying could face legal challenges based on constitutional grounds.
- Limited Scope: The bill does not address all potential sources of corruption or conflicts of interest in government.
Constitutional Alignment
The bill's provisions generally align with the Constitution's emphasis on representative government and the prevention of corruption. Article I, Section 6, addresses compensation for members of Congress, and the bill's repeal of automatic pay adjustments falls within Congress's power to determine its own compensation. The restrictions on insider trading and lobbying aim to ensure that members act in the public interest, consistent with the principles of a republican form of government. However, some may argue that the restrictions on financial activities and lobbying infringe on individual liberties, potentially raising First Amendment concerns regarding freedom of speech and association. These concerns would need to be balanced against the government's interest in preventing corruption and maintaining public trust.
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).