[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1171 Introduced in Senate (IS)]

<DOC>






118th CONGRESS
  1st Session
                                S. 1171

To amend chapter 131 of title 5, United States Code, to prevent Members 
   of Congress and their spouses and dependent children from trading 
           stocks and owning stocks, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 17, 2023

  Mr. Merkley (for himself, Mr. Brown, Mrs. Gillibrand, Mr. King, Mr. 
  Sanders, Ms. Stabenow, Mrs. Shaheen, Ms. Duckworth, Mr. Casey, Mr. 
  Welch, Mr. Lujan, Mr. Fetterman, Ms. Hirono, Ms. Cortez Masto, Ms. 
  Baldwin, Mr. Van Hollen, Mr. Cardin, Mr. Tester, Mr. Heinrich, Mr. 
  Kaine, and Mr. Blumenthal) introduced the following bill; which was 
   read twice and referred to the Committee on Homeland Security and 
                          Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
To amend chapter 131 of title 5, United States Code, to prevent Members 
   of Congress and their spouses and dependent children from trading 
           stocks and owning stocks, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Ending Trading and Holdings In 
Congressional Stocks (ETHICS) Act''.

SEC. 2. PLACEMENT OF CERTAIN ASSETS OF MEMBERS OF CONGRESS AND THEIR 
              SPOUSES AND DEPENDENT CHILDREN IN QUALIFIED BLIND TRUSTS.

    (a) In General.--Chapter 131 of title 5, United States Code, is 
amended by adding at the end the following:

   ``Subchapter IV--Certain Assets of Members of Congress and Their 
                     Spouses and Dependent Children

``Sec. 13161. Definitions
    ``In this title:
            ``(1) Commodity.--The term `commodity' has the meaning 
        given the term in section 1a of the Commodity Exchange Act (7 
        U.S.C. 1a).
            ``(2) Covered investment.--
                    ``(A) In general.--The term `covered investment' 
                means--
                            ``(i) an investment in--
                                    ``(I) a security;
                                    ``(II) a commodity; or
                                    ``(III) a future;
                            ``(ii) any economic interest comparable to 
                        an interest described in clause (i) that is 
                        acquired through synthetic means, such as the 
                        use of a derivative, including an option, 
                        warrant, or other, similar means; or
                            ``(iii) any interest described in clause 
                        (i) or (ii) that is held directly, or in which 
                        an individual has an indirect, beneficial, or 
                        economic interest, through--
                                    ``(I) an investment fund or holding 
                                company;
                                    ``(II) a trust (other than a 
                                qualified blind trust);
                                    ``(III) an employee benefit plan; 
                                or
                                    ``(IV) a deferred compensation 
                                plan, including a carried interest or 
                                other agreement tied to the performance 
                                of an investment, other than a fixed 
                                cash payment.
                    ``(B) Exclusions.--The term `covered investment' 
                does not include--
                            ``(i) a diversified mutual fund (including 
                        any holdings of such a fund);
                            ``(ii) a diversified exchange-traded fund 
                        (including any holdings of such a fund);
                            ``(iii) a United States Treasury bill, 
                        note, or bond;
                            ``(iv) compensation from the primary 
                        occupation of the spouse of a Member of 
                        Congress, or any security that is issued or 
                        paid by an operating business that is the 
                        primary employer of such a spouse that is 
                        issued or paid to such a spouse;
                            ``(v) holding and acquiring any security 
                        that is issued or paid as compensation from 
                        corporate board service by the spouse of a 
                        Member of Congress, including the dividend 
                        reinvestment in the same security received from 
                        the corporate board service by the spouse of a 
                        Member of Congress;
                            ``(vi) any covered investment that is 
                        traded by the spouse of a Member of Congress in 
                        the course of performing the primary occupation 
                        of such a spouse, provided the investment is 
                        not owned by a covered person;
                            ``(vii) any investment fund held in a 
                        Federal, State, or local government employee 
                        retirement plan;
                            ``(viii) a tax-free State or municipal 
                        bond;
                            ``(ix) an interest in a small business 
                        concern, if the supervising ethics office 
                        determines that the small business concern does 
                        not present a conflict of interest, and, in the 
                        case of an investment in a family farm or ranch 
                        that qualifies as an interest in a small 
                        business concern, a future or commodity 
                        directly related to the farming activities and 
                        products of the farm or ranch;
                            ``(x) holding investment-grade corporate 
                        bonds, provided that the corporate bonds are 
                        held by an individual who is a covered person 
                        on the date of enactment of the Ending Trading 
                        and Holdings In Congressional Stocks (ETHICS) 
                        Act;
                            ``(xi) any share of Settlement Common Stock 
                        issued under section 7(g)(1)(A) of the Alaska 
                        Native Claims Settlement Act (43 U.S.C. 
                        1606(g)(1)(A)); or
                            ``(xii) any share of Settlement Common 
                        Stock, as defined in section 3 of the Alaska 
                        Native Claims Settlement Act (43 U.S.C. 1602).
            ``(3) Covered person.--The term `covered person' means--
                    ``(A) a Member of Congress; and
                    ``(B) a spouse or dependent child of a Member of 
                Congress.
            ``(4) Custody.--The term `custody' has the meaning given 
        the term in section 275.206(4)-2(d) of title 17, Code of 
        Federal Regulations (as in effect on the date of enactment of 
        the Ending Trading and Holdings In Congressional Stocks 
        (ETHICS) Act or a successor regulation).
            ``(5) Dependent child.--The term `dependent child' means, 
        with respect to any Member of Congress any individual who is--
                    ``(A) under the age of 19; and
                    ``(B) a dependent of the Member of Congress within 
                the meaning of section 152 of the Internal Revenue Code 
                of 1986.
            ``(6) Diversified.--The term `diversified', with respect to 
        a fund, trust, or plan, means that the fund, trust, or plan 
        does not have a stated policy of concentrating its investments 
        in any industry, business, or single country other than the 
        United States.
            ``(7) Future.--The term `future' means--
                    ``(A) a security future (as defined in section 3(a) 
                of the Securities Exchange Act of 1934 (15 U.S.C. 
                78c(a))); and
                    ``(B) any other contract for the sale of a 
                commodity for future delivery.
            ``(8) Illiquid investment.--The term `illiquid investment' 
        means an interest in a private fund, as defined in section 
        202(a)(29) of the Investment Advisers Act of 1940 (15 U.S.C. 
        80b-2).
            ``(9) Initial property.--The term `initial property' means 
        an asset or financial interest transferred to a qualified blind 
        trust by, or on behalf of, an interested party or a relative of 
        an interested party, regardless of whether the asset or 
        financial interest is transferred to the qualified blind trust 
        on or after the date of establishment of the qualified blind 
        trust.
            ``(10) Interested party.--The term `interested party' has 
        the meaning given the term in section 13104(f)(3)(E).
            ``(11) Member of congress; supervising ethics office.--The 
        terms `Member of Congress' and `supervising ethics office' have 
        the meaning given those terms in section 13101.
            ``(12) Qualified blind trust.--The term `qualified blind 
        trust' means a qualified blind trust (as defined in section 
        13104(f)(3)) that has been approved in writing by the 
        applicable supervising ethics office under section 
        13104(f)(3)(D).
            ``(13) Security.--The term `security' has the meaning given 
        the term in section 3(a) of the Securities Exchange Act of 1934 
        (15 U.S.C. 78c(a)).
            ``(14) Small business concern.--The term `small business 
        concern' has the meaning given the term under section 3 of the 
        Small Business Act (15 U.S.C. 632).
``Sec. 13162. Trading covered investments
    ``(a) Ban on Trading.--Except as provided in subsections (b) and 
(c)--
            ``(1) effective on the date of enactment of the Ending 
        Trading and Holdings In Congressional Stocks (ETHICS) Act, a 
        Member of Congress shall not purchase any covered investment;
            ``(2) effective on the date that is 90 days after the date 
        of enactment of the Ending Trading and Holdings In 
        Congressional Stocks (ETHICS) Act, a Member of Congress shall 
        not sell any covered investment, except as provided in section 
        13163(a)(2); and
            ``(3) on and after the effective date described in section 
        13163(k), a covered person that is a spouse or dependent child 
        of a Member of Congress shall not purchase any covered 
        investment or sell any covered investment, except as provided 
        in section 13163(a)(2).
    ``(b) Optional Divestment Window.--Notwithstanding subsection (a)--
            ``(1) a Member of Congress who is sworn as a Member of 
        Congress on or before the date of enactment of the Ending 
        Trading and Holdings In Congressional Stocks (ETHICS) Act may 
        sell a covered investment within 90 days of the date of 
        enactment of such act, provided that the Member of Congress may 
        not sell any covered investment at any time outside of that 
        period while the Member of Congress serves the term for which 
        the Member of Congress was elected or is reelected or appointed 
        as a Member of Congress except as provided in section 
        13163(a)(2); and
            ``(2) a Member of Congress who is sworn as a Member of 
        Congress after the date of enactment of the Ending Trading and 
        Holdings In Congressional Stocks (ETHICS) Act may sell a 
        covered investment within 90 days of commencing the term of 
        service as a Member of Congress, provided that the Member of 
        Congress may not sell any covered investment at any time 
        outside of that period while the Member of Congress serves the 
        term for which the Member of Congress was elected or is 
        reelected or appointed as a Member of Congress except as 
        provided in section 13163(a)(2).
    ``(c) Exception.--Notwithstanding subsection (a), a covered person 
may divest a covered investment as directed by the relevant supervising 
ethics office pursuant to this Act.
    ``(d) Joint Covered Investment.--Any covered investment reported to 
the supervising ethics office as jointly owned by a Member of Congress 
and the spouse of the Member of Congress shall be deemed to be a 
covered investment of the Member of Congress for purposes of this 
section.
``Sec. 13163. Addressing owned covered investments
    ``(a) Members of Congress.--
            ``(1) Certification.--Not later than 60 days after the 
        applicable effective date described in subsection (j), a Member 
        of Congress shall submit to the supervising ethics office a 
        certification, which the supervising ethics office shall 
        publish online that certifies that--
                    ``(A) each covered investment owned by, or in the 
                custody of, the Member of Congress, or a spouse or 
                dependent child of the Member of Congress, will, by the 
                applicable deadline under paragraph (2), be--
                            ``(i) divested, as described in paragraph 
                        (2)(B); or
                            ``(ii) placed in a qualified blind trust, 
                        including through the establishment of a 
                        qualified blind trust for that purpose, if 
                        necessary, as described in paragraph (2)(A); 
                        and
                    ``(B) no spouse or dependent child of the Member of 
                Congress owns, or has custody of, covered investments 
                with a cumulative amount equal to more than $10,000, in 
                accordance with paragraph (6).
            ``(2) Divestiture or placement in qualified blind trust.--
                    ``(A) Requirement.--Subject to paragraphs (3) and 
                (6) and subsection (b)(2), not later than 120 days 
                after the applicable effective date described in 
                subsection (j), a Member of Congress shall divest, or 
                place in a qualified blind trust (including by 
                establishing a qualified blind trust for that purpose, 
                if necessary), each covered investment owned or in the 
                custody of--
                            ``(i) the Member of Congress; or
                            ``(ii) a spouse or dependent child of the 
                        Member of Congress.
                    ``(B) Divestiture.--A covered person shall divest 
                any covered investment owned by or in the custody of 
                the covered person that is not placed in a qualified 
                blind trust not later than the date described in 
                subparagraph (A), subject to any extension granted 
                under paragraph (3).
                    ``(C) Qualified blind trusts.--
                            ``(i) Mandatory sale of initial property in 
                        qualified blind trust.--
                                    ``(I) In general.--Subject to 
                                clause (ii), if a covered person 
                                places, or has placed before the 
                                applicable effective date described in 
                                subsection (j), 1 or more covered 
                                investments in a qualified blind trust, 
                                the trustee of the qualified blind 
                                trust shall divest any such covered 
                                investment not later than the date 
                                specified in subclause (II).
                                    ``(II) Deadline.--The date 
                                specified in this subclause is--
                                            ``(aa) with respect to a 
                                        covered investment placed in a 
                                        qualified blind trust before 
                                        the applicable effective date 
                                        described in subsection (j), 
                                        120 days after such applicable 
                                        effective date; and
                                            ``(bb) with respect to a 
                                        covered investment placed in a 
                                        qualified blind trust on or 
                                        after the applicable effective 
                                        date described in subsection 
                                        (j), 120 days after the date of 
                                        creation of the qualified blind 
                                        trust, as dated by the executed 
                                        qualified blind trust 
                                        agreement.
                                    ``(III) Notice of compliance.--
                                            ``(aa) In general.--Subject 
                                        to item (bb), upon completion 
                                        of the divestiture of all 
                                        initial property pursuant to 
                                        subclause (I)--

                                                    ``(AA) the trustee 
                                                of a qualified blind 
                                                trust shall submit to 
                                                the supervising ethics 
                                                office and each 
                                                beneficiary of the 
                                                trust a written notice 
                                                stating that all 
                                                initial property of the 
                                                qualified blind trust 
                                                has been divested; and

                                                    ``(BB) the 
                                                supervising ethics 
                                                office shall publish 
                                                the notice described in 
                                                subitem (AA) on the 
                                                website of the 
                                                supervising ethics 
                                                office.

                                            ``(bb) Contents.--Each 
                                        notice described in item 
                                        (aa)(AA)--

                                                    ``(AA) shall only 
                                                identify the initial 
                                                property generally by 
                                                referring to the 
                                                complete list of assets 
                                                described in section 
                                                13104(f)(5)(A)(ii); and

                                                    ``(BB) may not 
                                                contain any other 
                                                information relating to 
                                                any holding of the 
                                                qualified blind trust 
                                                or the timing of any 
                                                divestiture.

                            ``(ii) Extension of mandatory sale of 
                        initial property.--
                                    ``(I) Request.--A covered person 
                                may apply to the supervising ethics 
                                office for an extension of the period 
                                described in clause (i)(I) if the size 
                                or complexity of the covered 
                                investments in the qualified blind 
                                trust warrant such extension.
                                    ``(II) Duration.--An extension 
                                granted under subclause (I) shall not 
                                exceed 90 days.
                    ``(D) Illiquid investments.--
                            ``(i) Sale.--Not later than 90 days after 
                        the date on which a covered person is 
                        contractually permitted to sell an illiquid 
                        investment, the covered person shall divest the 
                        illiquid investment.
                            ``(ii) Prohibition.--A covered person may 
                        not place an illiquid investment in any 
                        qualified blind trust under subparagraph (A).
                    ``(E) Trustees.--A trustee of a qualified blind 
                trust--
                            ``(i) shall be required to be a financial 
                        institution, as defined in section 1a of the 
                        Commodity Exchange Act (7 U.S.C. 1a); and
                            ``(ii) except for a financial institution, 
                        may not be--
                                    ``(I) an attorney;
                                    ``(II) a certified public 
                                accountant;
                                    ``(III) a broker, as defined in 
                                section 3(a) of the Securities Exchange 
                                Act of 1934 (15 U.S.C. 78c(a)); or
                                    ``(IV) an investment advisor.
            ``(3) Extension of assets being placed in qualified blind 
        trusts.--If a covered person is unable to place a covered 
        investment in a qualified blind trust by the date described in 
        paragraph (2)(A), the applicable Member of Congress may 
        request, and the supervising ethics office may grant, 1 or more 
        reasonable extensions, subject to the conditions that--
                    ``(A) the total period of time covered by all 
                extensions granted for the covered investment shall not 
                exceed 150 days; and
                    ``(B) the period covered by a single extension 
                shall be not longer than 45 days.
            ``(4) Communications regarding existing qualified blind 
        trusts.--
                    ``(A) In general.--Any direct or indirect 
                communication relating to a qualified blind trust in 
                existence on the applicable effective date described in 
                subsection (j) between a trustee of the qualified blind 
                trust and an interested party shall be permissible for 
                purposes of this title if the communication--
                            ``(i)(I) is made--
                                    ``(aa) in writing; and
                                    ``(bb) not later than 60 days after 
                                that effective date;
                            ``(II) is filed with the applicable 
                        supervising ethics office by the person 
                        initiating the communication not less than 5 
                        days before the date of the communication;
                            ``(III) relates to a direction or request 
                        to the trustee--
                                    ``(aa) to sell all initial property 
                                placed in the qualified blind trust by 
                                any interested party; or
                                    ``(bb) to convert all of an asset 
                                in the qualified blind trust into an 
                                investment other than a covered 
                                investment; and
                            ``(ii) is otherwise permitted under section 
                        13104(f)(3)(C)(vi).
            ``(5) Communications between covered persons and trustees 
        relating to all qualified blind trusts.--
                    ``(A) Notification.--A trustee of a qualified blind 
                trust shall not notify a covered person if--
                            ``(i) the value of the initial property of 
                        the qualified blind trust is less than $1,000; 
                        or
                            ``(ii) the trustee divests any property of 
                        the qualified blind trust, other than the 
                        initial property required to be divested 
                        pursuant to paragraph (2).
                    ``(B) Communication.--
                            ``(i) In general.--Any communication 
                        between a covered person and the trustee of the 
                        relevant qualified blind trust--
                                    ``(I) shall be in writing; and
                                    ``(II) submitted and approved in 
                                advance of the communication by the 
                                supervising ethics office.
                            ``(ii) Prohibition.--A communication 
                        described in clause (i) may not include any 
                        information relating to the manner in which 
                        funds of the qualified blind trust are 
                        invested, including any information relating 
                        to--
                                    ``(I) any company in which the 
                                funds are invested; or
                                    ``(II) any sector in which the 
                                funds are invested.
            ``(6) Exception for dependents.--A covered person who is a 
        dependent child of a Member of Congress may have a legal 
        guardian hold or trade on behalf of the dependent child 1 or 
        more covered investments provided that the value of the covered 
        investments in total does not exceed $10,000.
    ``(b) Acquisitions During Service.--
            ``(1) In general.--Subject to paragraph (2), and any 
        applicable rules issued pursuant to subsection (h)(3), 
        effective beginning on the date of enactment of the Ending 
        Trading and Holdings In Congressional Stocks (ETHICS) Act, no 
        covered person may acquire any covered investment.
            ``(2) Inheritances.--
                    ``(A) In general.--Subject to subparagraph (B), a 
                covered person who inherits a covered investment shall 
                come into compliance as required under subsection (a) 
                by not later than 120 days after the date on which the 
                covered investment is inherited.
                    ``(B) Extensions.--If a covered person is unable to 
                meet the requirements of subparagraph (A), the 
                applicable Member of Congress may request, and the 
                supervising ethics office may grant, 1 or more 
                reasonable extensions, subject to the conditions that--
                            ``(i) the total period of time covered by 
                        all extensions granted for the covered 
                        investment shall not exceed 150 days; and
                            ``(ii) the period covered by a single 
                        extension shall be not longer than 45 days.
    ``(c) Family Trusts.--
            ``(1) In general.--A supervising ethics office may grant an 
        exemption for a family trust only if--
                    ``(A) no covered person--
                            ``(i) is a grantor of the family trust;
                            ``(ii) contributed any asset to the family 
                        trust; or
                            ``(iii) has any authority over a trustee of 
                        the family trust, including the authority to 
                        appoint, replace, or direct the actions of such 
                        a trustee; and
                    ``(B) the grantor of the family trust is or was a 
                family member of the covered person.
            ``(2) Requests.--A covered person seeking an exemption 
        under paragraph (1) shall submit to the applicable supervising 
        ethics office a request for the exemption, in writing, 
        certifying that the conditions described in that paragraph are 
        met.
            ``(3) Publication.--A supervising ethics office shall 
        publish on the public website of the supervising ethics 
        office--
                    ``(A) a copy of each request submitted under 
                paragraph (2); and
                    ``(B) the written response of the supervising 
                ethics office to each request described in subparagraph 
                (A).
    ``(d) Mingling of Assets.--A spouse or dependent child of a Member 
of Congress may place a covered investment in a qualified blind trust 
established by the Member of Congress under subsection (a)(2)(A)(i).
    ``(e) Separation From Service and Cooling-Off Period Required for 
Control.--During the period beginning on the date on which an 
individual becomes a Member of Congress and ending on the date that is 
90 days after the date on which the individual ceases to serve as a 
Member of Congress, the Member of Congress, and any spouse or dependent 
child of the Member of Congress, may not--
            ``(1) dissolve any qualified blind trust in which a covered 
        investment has been placed pursuant to subsection (a)(2); or
            ``(2) except as provided in this section, otherwise control 
        a covered investment, including purchasing new covered 
        investments.
    ``(f) Reporting Requirements.--
            ``(1) Supervising ethics offices.--Each supervising ethics 
        office shall make available on the public website of the 
        supervising ethics office--
                    ``(A) a copy of--
                            ``(i) each certification submitted to the 
                        supervising ethics office under subsection 
                        (a)(1);
                            ``(ii) each qualified blind trust agreement 
                        of each covered person;
                            ``(iii) each notice and other documentation 
                        submitted to the supervising ethics office 
                        under this section; and
                            ``(iv) each notice, ruling, and other 
                        documentation issued or received by the 
                        supervising ethics office under subsection (c);
                    ``(B) a schedule of all assets placed in a 
                qualified blind trust by each covered person and 
                interested party; and
                    ``(C) a description of each extension granted, and 
                each civil penalty imposed, pursuant to this section.
            ``(2) Trustees.--Each trustee of a qualified blind trust 
        established by a covered person shall submit to the covered 
        person and the applicable supervising ethics office a written 
        notice in any case in which the trustee learns that an 
        interested party has obtained knowledge of any trust property 
        other than the initial property of the qualified blind trust.
            ``(3) Member of congress.--Each Member of Congress who is a 
        beneficiary of a qualified blind trust shall submit to the 
        applicable supervising ethics office--
                    ``(A) a copy of the executed qualified blind trust 
                agreement by not later than 30 days after the date of 
                execution;
                    ``(B) a list of each asset and each financial 
                interest transferred to the qualified blind trust by an 
                interested party by not later than 30 days after the 
                date of the transfer;
                    ``(C) a copy of each notice submitted to the Member 
                of Congress under paragraph (2) by not later than 30 
                days after the date of receipt;
                    ``(D) a written notice that an interested party has 
                obtained knowledge of any holding of the qualified 
                blind trust by not later than the date that is 30 days 
                after the date on which the Member of Congress 
                discovered that the knowledge had been obtained; and
                    ``(E) a written notice of dissolution of the 
                qualified blind trust by not later than 30 days after 
                the date of dissolution.
            ``(4) Federal benefits.--
                    ``(A) Covered payment.--In this paragraph, the term 
                `covered payment'--
                            ``(i) means a payment of money or any other 
                        item of value made, or promised to be made, by 
                        the Federal Government;
                            ``(ii) includes--
                                    ``(I) a loan agreement, contract, 
                                or grant made, or promised to be made, 
                                by the Federal Government, including 
                                such an agreement, contract, or grant 
                                relating to agricultural activity; and
                                    ``(II) such other types of payment 
                                of money or items of value as the 
                                supervising ethics office may 
                                establish, by guidance; and
                            ``(iii) does not include--
                                    ``(I) any salary or compensation 
                                for service performed as, or 
                                reimbursement of personal outlay by, an 
                                officer or employee of the Federal 
                                Government; or
                                    ``(II) any tax refund (including a 
                                refundable tax credit).
                    ``(B) Reporting requirement.--Not later than 30 
                days after the date of receipt of a notice of any 
                application for, or receipt of, a covered payment by a 
                covered person (including any business owned and 
                controlled by the covered person), but in no case later 
                than 45 days after the date on which the covered 
                payment is made or promised to be made, the covered 
                person shall submit to the applicable supervising 
                ethics office a report describing the covered payment.
    ``(g) Enforcement.--
            ``(1) Divestiture or placement in qualified blind trust.--
                    ``(A) In general.--The applicable supervising 
                ethics office shall provide a written notice (including 
                notice of the potential for civil penalties under 
                subparagraph (B)) to any Member of Congress if the 
                Member of Congress, or spouse or dependent child of the 
                Member of Congress--
                            ``(i) fails to submit a certification under 
                        subsection (a)(1) by the date on which the 
                        certification is required to be submitted;
                            ``(ii) fails to divest or place in a 
                        qualified blind trust a covered investment 
                        owned by, or in the custody of the covered 
                        person, in accordance with subsection (a)(2), 
                        subject to any extension under subsection 
                        (a)(3); or
                            ``(iii) acquires an interest in a covered 
                        investment in violation of this section.
                    ``(B) Civil penalties.--
                            ``(i) In general.--In the event of 
                        continuing noncompliance after issuance of the 
                        notice described in subparagraph (A), the 
                        supervising ethics office shall impose a civil 
                        penalty, in the amount described in clause 
                        (ii), on a Member of Congress to whom a notice 
                        is provided under clause (i) or (ii) of 
                        subparagraph (A)--
                                    ``(I) on the date that is 30 days 
                                after the date of provision of the 
                                notice; and
                                    ``(II) during the period in which 
                                such noncompliance continues, not less 
                                frequently than once every 30 days 
                                thereafter.
                            ``(ii) Amount.--The amount of each civil 
                        penalty imposed on a Member of Congress 
                        pursuant to clause (i) shall be equal to the 
                        greater of--
                                    ``(I) the monthly equivalent of the 
                                annual rate of pay payable to the 
                                Member of Congress; and
                                    ``(II) an amount equal to 10 
                                percent of the value of each covered 
                                investment that was not divested or 
                                placed into a qualified blind trust in 
                                violation of this section during the 
                                period covered by the penalty.
            ``(2) Communications.--The Attorney General of the United 
        States shall file a civil action seeking to impose a civil 
        penalty on any covered person or trustee of a qualified blind 
        trust who violates subsection (a)(4), or otherwise discloses 
        the contents of a qualified blind trust to any unauthorized 
        individual, equal to the greater of--
                    ``(A) $10,000 per each communication; or
                    ``(B) 1 percent of the value of the qualified blind 
                trust on the date of the violation.
    ``(h) Duties of Supervising Ethics Offices.--Each supervising 
ethics office in the legislative branch shall--
            ``(1) impose and collect civil penalties in accordance with 
        subsection (g);
            ``(2) establish such procedures and standard forms as the 
        supervising ethics office determines to be appropriate to 
        implement this section;
            ``(3) issue such rules and guidelines as the supervising 
        ethics office determines to be appropriate for the 
        implementation and application of this title; and
            ``(4) publish on a website all documents and communications 
        described in this subsection.
    ``(i) Rule of Construction.--Nothing in this section shall be 
construed to prevent a covered person from owning or trading--
            ``(1) a diversified mutual fund; or
            ``(2) a publicly traded, diversified exchange traded fund.
    ``(j) Effective Date.--This section shall apply to each covered 
person beginning on the date on which the covered person (or with 
respect to a covered person that is a spouse or dependent child of a 
Member of Congress, the date on which that Member of Congress) 
commences the first new term of service as a Member of Congress on or 
after January 31, 2023.''.
    (b) Clerical Amendment.--The table of sections for chapter 131 of 
title 5, United States Code, is amended by adding at the end the 
following:

    ``subchapter iv--certain assets of members of congress and their 
                     spouses and dependent children

``13161. Definitions.
``13162. Trading covered investments
``13163. Addressing owned covered investments''.
    (c) Technical and Conforming Amendments.--
            (1) Title 5.--Title 5, United States Code, is amended--
                    (A) in section 13103(f)--
                            (i) in paragraph (9), by striking ``as 
                        defined in section 13101 of this title'';
                            (ii) in paragraph (10), by striking ``as 
                        defined in section 13101 of this title'';
                            (iii) in paragraph (11), by striking ``as 
                        defined in section 13101 of this title''; and
                            (iv) in paragraph (12), by striking ``as 
                        defined in section 13101 of this title''; and
                    (B) in section 13122(f)(2)(B)--
                            (i) by striking ``Subject to clause (iv) of 
                        this subparagraph, before'' each place it 
                        appears and inserting ``Before''; and
                            (ii) by striking clause (iv).
            (2) Lobbying disclosure act of 1995.--Section 3(4)(D) of 
        the Lobbying Disclosure Act of 1995 (2 U.S.C. 1602(4)(D)) is 
        amended by striking ``legislative branch employee serving in a 
        position described under section 13101(13) of title 5, United 
        States Code'' and inserting ``officer or employee of Congress 
        (as defined in section 13101 of title 5, United States Code)''.
            (3) Securities exchange act of 1934.--Section 21A of the 
        Securities Exchange Act of 1934 (15 U.S.C. 78u-1) is amended--
                    (A) in subsection (g)(2)(B)(ii), by striking 
                ``section 13101(11)'' and inserting ``section 13101''; 
                and
                    (B) in subsection (h)(2)--
                            (i) in subparagraph (B), by striking ``in 
                        section 13101(9)'' and inserting ``under 
                        section 13101''; and
                            (ii) in subparagraph (C), by striking 
                        ``section 13101(10)'' and inserting ``in 
                        section 13101''.

SEC. 3. PENALTY FOR STOCK ACT NONCOMPLIANCE.

    (a) Fines for Failure To Report.--
            (1) In general.--The STOCK Act (Public Law 112-105; 126 
        Stat. 291) is amended by adding at the end the following:

``SEC. 20. FINES FOR FAILURE TO REPORT.

    ``(a) In General.--Notwithstanding any other provision of law 
(including regulations), a reporting individual shall be assessed a 
fine, pursuant to regulations issued by the applicable supervising 
ethics office (including the Administrative Office of the United States 
Courts, as applicable), of $500 in each case in which the reporting 
individual fails to file a transaction report required under this Act 
or an amendment made by this Act.
    ``(b) Deposit in Treasury.--The fines paid under this section shall 
be deposited in the miscellaneous receipts of the Treasury.''.
            (2) Effective date.--The amendments made by paragraph (1) 
        shall take effect on the date on which the reporting individual 
        who is a Member of Congress commences the first new term of 
        service as a Member of Congress on or after January 31, 2023.
    (b) Rules, Regulations, Guidance, and Documents.--Not later than 1 
year after the date of enactment of this Act, each supervising ethics 
office (as defined in section 13101 of title 5, United States Code) 
(including the Administrative Office of the United States Courts, as 
applicable) shall amend the rules, regulations, guidance, documents, 
papers, and other records of the supervising ethics office in 
accordance with the amendment made by this section.

SEC. 4. ELECTRONIC FILING AND ONLINE PUBLIC AVAILABILITY OF FINANCIAL 
              DISCLOSURE FORMS.

    (a) Members of Congress and Congressional Staff.--Section 8(b)(1) 
of the STOCK Act (5 U.S.C. 13107 note) is amended--
            (1) in the matter preceding subparagraph (A), by inserting 
        ``, pursuant to subchapter I of chapter 131 of part IV of title 
        5, United States Code, through databases maintained on the 
        official websites of the House of Representatives and the 
        Senate'' after ``enable''; and
            (2) by striking subparagraph (B) and the undesignated 
        matter following that subparagraph and inserting the following:
                    ``(B) public access--
                            ``(i) to each--
                                    ``(I) financial disclosure report 
                                filed by a Member of Congress or a 
                                candidate for Congress;
                                    ``(II) transaction disclosure 
                                report filed by a Member of Congress or 
                                a candidate for Congress pursuant to 
                                subsection (l) of that section; and
                                    ``(III) notice of extension, 
                                amendment, or blind trust, with respect 
                                to a report described in subclause (I) 
                                or (II), pursuant to subchapter I of 
                                chapter 131 of part IV of title 5, 
                                United States Code; and
                            ``(ii) in a manner that--
                                    ``(I) allows the public to search, 
                                sort, and download data contained in 
                                the reports described in subclause (I) 
                                or (II) of clause (i) by criteria 
                                required to be reported, including by 
                                filer name, asset, transaction type, 
                                ticker symbol, notification date, 
                                amount of transaction, and date of 
                                transaction;
                                    ``(II) allows access through an 
                                application programming interface; and
                                    ``(III) is fully compliant with--
                                            ``(aa) section 508 of the 
                                        Rehabilitation Act of 1973 (29 
                                        U.S.C. 794d); and
                                            ``(bb) the most recent Web 
                                        Content Accessibility 
                                        Guidelines (or successor 
                                        guidelines).''.
    (b) Effective Date.--The amendments made by this section take 
effect on the date that is 18 months after the date of enactment of 
this Act.

SEC. 5. SEVERABILITY.

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