[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 158 Agreed to Senate (ATS)]







104th CONGRESS
  1st Session
S. RES. 158

                   To provide for Senate gift reform.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                July 28 (legislative day, July 10), 1995

   Mr. McCain (for himself, Mr. Levin, Mr. Cohen, Mr. Wellstone, Mr. 
   Feingold, Mr. Lautenberg, Mr. Kyl, Mr. McConnell, Mr. Grams, Mr. 
    Abraham, Mr. Warner, Mr. Harkin, Mr. Bingaman, and Mr. Baucus) 
 submitted the following resolution; which was considered and agreed to

_______________________________________________________________________

                               RESOLUTION


 
                   To provide for Senate gift reform.
  Resolved,

SECTION 1. AMENDMENTS TO SENATE RULES.

    Rule XXXV of the Standing Rules of the Senate is amended to read as 
follows:
    ``1. (a)(1) No Member, officer, or employee of the Senate shall 
knowingly accept a gift except as provided in this rule.
    ``(2) A Member, officer, or employee may accept a gift (other than 
cash or cash equivalent) which the Member, officer, or employee 
reasonably and in good faith believes to have a value of less than $50, 
and a cumulative value from one source during a calendar year of less 
than $100. No gift with a value below $10 shall count toward the $100 
annual limit. No formal recordkeeping is required by this paragraph, 
but a Member, officer, or employee shall make a good faith effort to 
comply with this paragraph.
    ``(b)(1) For the purpose of this rule, the term `gift' means any 
gratuity, favor, discount, entertainment, hospitality, loan, 
forbearance, or other item having monetary value. The term includes 
gifts of services, training, transportation, lodging, and meals, 
whether provided in kind, by purchase of a ticket, payment in advance, 
or reimbursement after the expense has been incurred.
    ``(2)(A) A gift to a family member of a Member, officer, or 
employee, or a gift to any other individual based on that individual's 
relationship with the Member, officer, or employee, shall be considered 
a gift to the Member, officer, or employee if it is given with the 
knowledge and acquiescence of the Member, officer, or employee and the 
Member, officer, or employee has reason to believe the gift was given 
because of the official position of the Member, officer, or employee.
    ``(B) If food or refreshment is provided at the same time and place 
to both a Member, officer, or employee and the spouse or dependent 
thereof, only the food or refreshment provided to the Member, officer, 
or employee shall be treated as a gift for purposes of this rule.
    ``(c) The restrictions in subparagraph (a) shall not apply to the 
following:
            ``(1) Anything for which the Member, officer, or employee 
        pays the market value, or does not use and promptly returns to 
        the donor.
            ``(2) A contribution, as defined in the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 431 et seq.) that is lawfully 
        made under that Act, or attendance at a fundraising event 
        sponsored by a political organization described in section 
        527(e) of the Internal Revenue Code of 1986.
            ``(3) A gift from a relative as described in section 107(2) 
        of title I of the Ethics in Government Act of 1978 (Public Law 
        95-521).
            ``(4)(A) Anything provided by an individual on the basis of 
        a personal friendship unless the Member, officer, or employee 
        has reason to believe that, under the circumstances, the gift 
        was provided because of the official position of the Member, 
        officer, or employee and not because of the personal 
        friendship.
            ``(B) In determining whether a gift is provided on the 
        basis of personal friendship, the Member, officer, or employee 
        shall consider the circumstances under which the gift was 
        offered, such as:
                    ``(i) The history of the relationship between the 
                individual giving the gift and the recipient of the 
                gift, including any previous exchange of gifts between 
                such individuals.
                    ``(ii) Whether to the actual knowledge of the 
                Member, officer, or employee the individual who gave 
                the gift personally paid for the gift or sought a tax 
                deduction or business reimbursement for the gift.
                    ``(iii) Whether to the actual knowledge of the 
                Member, officer, or employee the individual who gave 
                the gift also at the same time gave the same or similar 
                gifts to other Members, officers, or employees.
            ``(5) A contribution or other payment to a legal expense 
        fund established for the benefit of a Member, officer, or 
        employee, that is otherwise lawfully made, subject to the 
        disclosure requirements of the Select Committee on Ethics, 
        except as provided in paragraph 3(c).
            ``(6) Any gift from another Member, officer, or employee of 
        the Senate or the House of Representatives.
            ``(7) Food, refreshments, lodging, and other benefits--
                    ``(A) resulting from the outside business or 
                employment activities (or other outside activities that 
                are not connected to the duties of the Member, officer, 
                or employee as an officeholder) of the Member, officer, 
                or employee, or the spouse of the Member, officer, or 
                employee, if such benefits have not been offered or 
                enhanced because of the official position of the 
                Member, officer, or employee and are customarily 
                provided to others in similar circumstances;
                    ``(B) customarily provided by a prospective 
                employer in connection with bona fide employment 
                discussions; or
                    ``(C) provided by a political organization 
                described in section 527(e) of the Internal Revenue 
                Code of 1986 in connection with a fundraising or 
                campaign event sponsored by such an organization.
            ``(8) Pension and other benefits resulting from continued 
        participation in an employee welfare and benefits plan 
        maintained by a former employer.
            ``(9) Informational materials that are sent to the office 
        of the Member, officer, or employee in the form of books, 
        articles, periodicals, other written materials, audiotapes, 
        videotapes, or other forms of communication.
            ``(10) Awards or prizes which are given to competitors in 
        contests or events open to the public, including random 
        drawings.
            ``(11) Honorary degrees (and associated travel, food, 
        refreshments, and entertainment) and other bona fide, 
        nonmonetary awards presented in recognition of public service 
        (and associated food, refreshments, and entertainment provided 
        in the presentation of such degrees and awards).
            ``(12) Donations of products from the State that the Member 
        represents that are intended primarily for promotional 
        purposes, such as display or free distribution, and are of 
        minimal value to any individual recipient.
            ``(13) Training (including food and refreshments furnished 
        to all attendees as an integral part of the training) provided 
        to a Member, officer, or employee, if such training is in the 
        interest of the Senate.
            ``(14) Bequests, inheritances, and other transfers at 
        death.
            ``(15) Any item, the receipt of which is authorized by the 
        Foreign Gifts and Decorations Act, the Mutual Educational and 
        Cultural Exchange Act, or any other statute.
            ``(16) Anything which is paid for by the Federal 
        Government, by a State or local government, or secured by the 
        Government under a Government contract.
            ``(17) A gift of personal hospitality (as defined in 
        section 109(14) of the Ethics in Government Act) of an 
        individual other than a registered lobbyist or agent of a 
        foreign principal.
            ``(18) Free attendance at a widely attended event permitted 
        pursuant to subparagraph (d).
            ``(19) Opportunities and benefits which are--
                    ``(A) available to the public or to a class 
                consisting of all Federal employees, whether or not 
                restricted on the basis of geographic consideration;
                    ``(B) offered to members of a group or class in 
                which membership is unrelated to congressional 
                employment;
                    ``(C) offered to members of an organization, such 
                as an employees' association or congressional credit 
                union, in which membership is related to congressional 
                employment and similar opportunities are available to 
                large segments of the public through organizations of 
                similar size;
                    ``(D) offered to any group or class that is not 
                defined in a manner that specifically discriminates 
                among Government employees on the basis of branch of 
                Government or type of responsibility, or on a basis 
                that favors those of higher rank or rate of pay;
                    ``(E) in the form of loans from banks and other 
                financial institutions on terms generally available to 
                the public; or
                    ``(F) in the form of reduced membership or other 
                fees for participation in organization activities 
                offered to all Government employees by professional 
                organizations if the only restrictions on membership 
                relate to professional qualifications.
            ``(20) A plaque, trophy, or other item that is 
        substantially commemorative in nature and which is intended 
        solely for presentation.
            ``(21) Anything for which, in an unusual case, a waiver is 
        granted by the Select Committee on Ethics.
            ``(22) Food or refreshments of a nominal value offered 
        other than as a part of a meal.
            ``(23) An item of little intrinsic value such as a greeting 
        card, baseball cap, or a T-shirt.
    ``(d)(1) A Member, officer, or employee may accept an offer of free 
attendance at a widely attended convention, conference, symposium, 
forum, panel discussion, dinner, viewing, reception, or similar event, 
provided by the sponsor of the event, if--
            ``(A) the Member, officer, or employee participates in the 
        event as a speaker or a panel participant, by presenting 
        information related to Congress or matters before Congress, or 
        by performing a ceremonial function appropriate to the 
        Member's, officer's, or employee's official position; or
            ``(B) attendance at the event is appropriate to the 
        performance of the official duties or representative function 
        of the Member, officer, or employee.
    ``(2) A Member, officer, or employee who attends an event described 
in clause (1) may accept a sponsor's unsolicited offer of free 
attendance at the event for an accompanying individual if others in 
attendance will generally be similarly accompanied or if such 
attendance is appropriate to assist in the representation of the 
Senate.
    ``(3) A Member, officer, or employee, or the spouse or dependent 
thereof, may accept a sponsor's unsolicited offer of free attendance at 
a charity event, except that reimbursement for transportation and 
lodging may not be accepted in connection with an event that does not 
meet the standards provided in paragraph 2.
    ``(4) For purposes of this paragraph, the term `free attendance' 
may include waiver of all or part of a conference or other fee, the 
provision of local transportation, or the provision of food, 
refreshments, entertainment, and instructional materials furnished to 
all attendees as an integral part of the event. The term does not 
include entertainment collateral to the event, nor does it include food 
or refreshments taken other than in a group setting with all or 
substantially all other attendees.
    ``(e) No Member, officer, or employee may accept a gift the value 
of which exceeds $250 on the basis of the personal friendship exception 
in subparagraph (c)(4) unless the Select Committee on Ethics issues a 
written determination that such exception applies. No determination 
under this subparagraph is required for gifts given on the basis of the 
family relationship exception.
    ``(f) When it is not practicable to return a tangible item because 
it is perishable, the item may, at the discretion of the recipient, be 
given to an appropriate charity or destroyed.
    ``2. (a)(1) A reimbursement (including payment in kind) to a 
Member, officer, or employee from an individual other than a registered 
lobbyist or agent of a foreign principal for necessary transportation, 
lodging and related expenses for travel to a meeting, speaking 
engagement, factfinding trip or similar event in connection with the 
duties of the Member, officer, or employee as an officeholder shall be 
deemed to be a reimbursement to the Senate and not a gift prohibited by 
this rule, if the Member, officer, or employee--
            ``(A) in the case of an employee, receives advance 
        authorization, from the Member or officer under whose direct 
        supervision the employee works, to accept reimbursement, and
            ``(B) discloses the expenses reimbursed or to be reimbursed 
        and the authorization to the Secretary of the Senate within 30 
        days after the travel is completed.
    ``(2) For purposes of clause (1), events, the activities of which 
are substantially recreational in nature, shall not be considered to be 
in connection with the duties of a Member, officer, or employee as an 
officeholder.
    ``(b) Each advance authorization to accept reimbursement shall be 
signed by the Member or officer under whose direct supervision the 
employee works and shall include--
            ``(1) the name of the employee;
            ``(2) the name of the person who will make the 
        reimbursement;
            ``(3) the time, place, and purpose of the travel; and
            ``(4) a determination that the travel is in connection with 
        the duties of the employee as an officeholder and would not 
        create the appearance that the employee is using public office 
        for private gain.
    ``(c) Each disclosure made under subparagraph (a)(1) of expenses 
reimbursed or to be reimbursed shall be signed by the Member or officer 
(in the case of travel by that Member or officer) or by the Member or 
officer under whose direct supervision the employee works (in the case 
of travel by an employee) and shall include--
            ``(1) a good faith estimate of total transportation 
        expenses reimbursed or to be reimbursed;
            ``(2) a good faith estimate of total lodging expenses 
        reimbursed or to be reimbursed;
            ``(3) a good faith estimate of total meal expenses 
        reimbursed or to be reimbursed;
            ``(4) a good faith estimate of the total of other expenses 
        reimbursed or to be reimbursed;
            ``(5) a determination that all such expenses are necessary 
        transportation, lodging, and related expenses as defined in 
        this paragraph; and
            ``(6) in the case of a reimbursement to a Member or 
        officer, a determination that the travel was in connection with 
        the duties of the Member or officer as an officeholder and 
        would not create the appearance that the Member or officer is 
        using public office for private gain.
    ``(d) For the purposes of this paragraph, the term `necessary 
transportation, lodging, and related expenses'--
            ``(1) includes reasonable expenses that are necessary for 
        travel for a period not exceeding 3 days exclusive of travel 
        time within the United States or 7 days exclusive of travel 
        time outside of the United States unless approved in advance by 
        the Select Committee on Ethics;
            ``(2) is limited to reasonable expenditures for 
        transportation, lodging, conference fees and materials, and 
        food and refreshments, including reimbursement for necessary 
        transportation, whether or not such transportation occurs 
        within the periods described in clause (1);
            ``(3) does not include expenditures for recreational 
        activities, not roes it include entertainment other than that 
        provided to all attendees as an integral part of the event, 
        except for activities or entertainment otherwise permissible 
        under this rule; and
            ``(4) may include travel expenses incurred on behalf of 
        either the spouse or a child of the Member, officer, or 
        employee, subject to a determination signed by the Member or 
        officer (or in the case of an employee, the Member or officer 
        under whose direct supervision the employee works) that the 
        attendance of the spouse or child is appropriate to assist in 
        the representation of the Senate.
    ``(e) The Secretary of the Senate shall make available to the 
public all advance authorizations and disclosures of reimbursement 
filed pursuant to subparagraph (a) as soon as possible after they are 
received.
    ``3. A gift prohibited by paragraph 1(a) includes the following:
            ``(a) Anything provided by a registered lobbyist or an 
        agent of a foreign principal to an entity that is maintained or 
        controlled by a Member, officer, or employee.
            ``(b) A charitable contribution (as defined in section 
        170(c) of the Internal Revenue Code of 1986) made by a 
        registered lobbyist or an agent of a foreign principal on the 
        basis of a designation, recommendation, or other specification 
        of a Member, officer, or employee (not including a mass mailing 
        or other solicitation directed to a broad category of persons 
        or entities), other than a charitable contribution permitted by 
        paragraph 4.
            ``(c) A contribution or other payment by a registered 
        lobbyist or an agent of a foreign principal to a legal expense 
        fund established for the benefit of a Member, officer, or 
        employee.
            ``(d) A financial contribution or expenditure made by a 
        registered lobbyist or an agent of a foreign principal relating 
        to a conference, retreat, or similar event, sponsored by or 
        affiliated with an official congressional organization, for or 
        on behalf of Members, officers, or employees.
    ``4. (a) A charitable contribution (as defined in section 170(c) of 
the Internal Revenue Code of 1986) made by a registered lobbyist or an 
agent of a foreign principal in lieu of an honorarium to a Member, 
officer, or employee shall not be considered a gift under this rule if 
it is reported as provided in subparagraph (b).
    ``(b) A Member, officer, or employee who designates or recommends a 
contribution to a charitable organization in lieu of honoraria 
described in subparagraph (a) shall report within 30 days after such 
designation or recommendation to the Secretary of the Senate--
            ``(1) the name and address of the registered lobbyist who 
        is making the contribution in lieu of honoraria;
            ``(2) the date and amount of the contribution; and
            ``(3) the name and address of the charitable organization 
        designated or recommended by the Member.
The Secretary of the Senate shall make public information received 
pursuant to this subparagraph as soon as possible after it is received.
    ``5. For purposes of this rule--
            ``(a) the term `registered lobbyist' means a lobbyist 
        registered under the Federal Regulation of Lobbying Act or any 
        successor statute; and
            ``(b) the term `agent of a foreign principal' means an 
        agent of a foreign principal registered under the Foreign 
        Agents Registration Act.
    ``6. All the provisions of this rule shall be interpreted and 
enforced solely by the Select Committee on Ethics.
The Select Committee on Ethics is authorized to issue guidance on any 
matter contained in this rule.''.

SEC. 2. ADDITIONAL DISCLOSURE IN THE SENATE OF THE VALUE OF CERTAIN 
              ASSETS UNDER THE ETHICS IN GOVERNMENT ACT OF 1978.

    (a) Categories of Income.--Rule XXXIV of the Standing Rules of the 
Senate is amended by adding at the end the following new paragraph:
    ``3. In addition to the requirements of paragraph 1, Members, 
officers, and employees of the Senate shall include in each report 
filed under paragraph 2 the following additional information:
            ``(a) For purposes of section 102(a)(1)(B) of the Ethics in 
        Government Act of 1978 additional categories of income as 
        follows:
                    ``(1) greater than $1,000,000 but not more than 
                $5,000,000, or
                    ``(2) greater than $5,000,000.
            ``(b) for purposes of section 102(d)(1) of the Ethics in 
        Government Act of 1978 additional categories of income as 
        follows:
                    ``(1) greater than $1,000,000 but not more than 
                $5,000,000;
                    ``(2) greater than $5,000,000 but not more than 
                $25,000,000;
                    ``(3) greater than $25,000,000 but not more than 
                $50,000,000; and
                    ``(4) greater than $50,000,000.
            ``(c) For purposes of this paragraph and section 102 of the 
        Ethics in Government Act of 1978, additional categories with 
        amounts or values greater than $1,000,000 set forth in section 
        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 section 102 and this paragraph in an amount or value 
        greater than $1,000,000 shall be categorized only as an amount 
        or value greater than $1,000,000.''.
    (b) Blind Trust Assets.--
            (1) In general.--Rule XXXIV of the Standing Rules of the 
        Senate is further amended by adding at the end following new 
        paragraph:
    ``4. In addition to the requirements of paragraph 1, Members, 
officers, and employees of the Senate shall include in each report 
filed under paragraph 2 an additional statement under section 102(a) of 
the Ethics in Government Act of 1978 listing the category of the total 
cash value of any interest of the reporting individual in a qualified 
blind trust as provided in section 102(d)(1) of the Ethics in 
Government Act of 1978, unless the trust instrument was executed 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.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply with respect to reports filed under title I of the 
        Ethics in Government Act of 1978 for calendar year 1996 and 
        thereafter.

SEC. 3. GIFTS IN THE JUDICIAL BRANCH.

    It is the sense of the Senate that the Judicial Conference of the 
United States should review and reevaluate its regulations pertaining 
to the acceptance of gifts and the acceptance of travel and travel-
related expenses and that such regulations should cover all judicial 
branch employees, including members and employees of the Supreme Court 
of the United States.

SEC. 4. ACCEPTANCE OF GIFTS BY THE COMMITTEE ON RULES AND 
              ADMINISTRATION.

    The Senate Committee on Rules and Administration, on behalf of the 
Senate, may accept a gift if the gift does not involve any duty, 
burden, or condition, or is not made dependent upon some future 
performance by the United States Senate. The Committee on Rules and 
Administration is authorized to promulgate regulations to carry out 
this section.

SEC. 5. EFFECTIVE DATE.

    This resolution and the amendment made by this resolution shall 
take effect on and be effective for calendar years beginning on January 
1, 1996.
                                 <all>
SRES 158 ATS----2