[Congressional Record Volume 161, Number 136 (Monday, September 21, 2015)]
[Senate]
[Pages S6851-S6852]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
TRUTH IN SETTLEMENTS ACT OF 2015
Mr. LANKFORD. Mr. President, I ask unanimous consent that the Senate
proceed to the immediate consideration of Calendar No. 140, S. 1109.
The PRESIDING OFFICER. The clerk will report the bill by title.
The bill clerk read as follows:
A bill (S. 1109) to require adequate information regarding
the tax treatment of payments under settlement agreements
entered into by Federal agencies, and for other purposes.
There being no objection, the Senate proceeded to consider the bill.
Mr. LANKFORD. I ask unanimous consent that the Vitter amendment be
agreed to, the bill, as amended, be read a third time and passed, and
the motion to reconsider be considered made and laid upon the table.
The PRESIDING OFFICER. Without objection, it is so ordered.
The amendment (No. 2668) was agreed to, as follows:
(Purpose: To apply the disclosure requirements to settlements between
agencies and private entities and require information regarding the use
of funds collected under settlement agreements)
On page 2, strike lines 11 through 20 and insert the
following:
``(1) the term `covered settlement agreement' means a
settlement agreement (including a consent decree)--
``(A) that is entered into by an Executive agency; and
``(B)(i) that--
``(I) relates to an alleged violation of Federal civil or
criminal law; and
``(II) requires the payment of a total of not less than
$1,000,000 by 1 or more non-Federal persons; or
``(ii) that--
``(I) relates to the rule making process of the Executive
agency or an alleged failure by the Executive agency to
engage in a rule making process; and
``(II) requires the payment of a total of not less than
$200,000 in attorney fees, costs, or expenses by the
Executive agency or entity within the Federal Government to a
non-Federal person;
On page 2, line 23, strike ``and''.
On page 2, line 26, strike the period and insert ``; and''.
On page 2, after line 26, insert the following:
``(4) the term `rule making' has the meaning given that
term under section 551(5).
On page 4, line 3, strike ``and''.
On page 4, between lines 16 and 17, insert the following:
``(VII) a description of where amounts collected under the
covered settlement agreement will be deposited, including, if
applicable, the deposit of such amounts in an account
available for use for 1 or more programs of the Federal
Government; and
On page 7, line 25, insert ``or that entered into a
settlement agreement that involves regulatory action or
regulatory changes'' after ``covered settlement agreement''.
On page 8, line 11, strike ``and''.
On page 8, line 15, strike the period and insert a
semicolon.
On page 8, between lines 15 and 16, insert the following:
``(D) the total amount of attorney fees, costs, and
expenses paid to non-Federal persons under settlement
agreements (including consent decrees) of the Executive
agency during that fiscal year; and
``(E) the number of settlement agreements (including
consent decrees) between the Executive agency and non-Federal
persons that involve regulatory action or regulatory changes,
including the promulgation of new rules, during that fiscal
year.
On page 8, strike line 25 and all that follows through page
9, line 20.
On page 9, line 21, strike ``(c)'' and insert ``(b)''.
[[Page S6852]]
The bill (S. 1109), as amended, was ordered to be engrossed for a
third reading, was read the third time, and passed, as follows:
S. 1109
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 ``Truth in Settlements Act of
2015''.
SEC. 2. INFORMATION REGARDING SETTLEMENT AGREEMENTS ENTERED
INTO BY FEDERAL AGENCIES.
(a) Requirements for Settlement Agreements.--
(1) In general.--Chapter 3 of title 5, United States Code,
is amended by adding at the end the following:
``Sec. 307. Information regarding settlement agreements
``(a) Definitions.--In this section--
``(1) the term `covered settlement agreement' means a
settlement agreement (including a consent decree)--
``(A) that is entered into by an Executive agency; and
``(B)(i) that--
``(I) relates to an alleged violation of Federal civil or
criminal law; and
``(II) requires the payment of a total of not less than
$1,000,000 by 1 or more non-Federal persons; or
``(ii) that--
``(I) relates to the rule making process of the Executive
agency or an alleged failure by the Executive agency to
engage in a rule making process; and
``(II) requires the payment of a total of not less than
$200,000 in attorney fees, costs, or expenses by the
Executive agency or entity within the Federal Government to a
non-Federal person;
``(2) the term `entity within the Federal Government'
includes an officer or employee of the Federal Government
acting in an official capacity;
``(3) the term `non-Federal person' means a person that is
not an entity within the Federal Government; and
``(4) the term `rule making' has the meaning given that
term under section 551(5).
``(b) Information To Be Posted Online.--
``(1) Requirement.--
``(A) In general.--Subject to subparagraph (B), the head of
each Executive agency shall make publicly available in a
searchable format in a prominent location on the Web site of
the Executive agency--
``(i) a list of each covered settlement agreement entered
into by the Executive agency, which shall include, for each
covered settlement agreement--
``(I) the date on which the parties entered into the
covered settlement agreement;
``(II) the names of the parties that settled claims under
the covered settlement agreement;
``(III) a description of the claims each party settled
under the covered settlement agreement;
``(IV) the amount each party settling a claim under the
covered settlement agreement is obligated to pay under the
settlement agreement;
``(V) the total amount the settling parties are obligated
to pay under the settlement agreement;
``(VI) for each settling party--
``(aa) the amount, if any, the settling party is obligated
to pay that is expressly specified under the covered
settlement agreement as a civil or criminal penalty or fine;
and
``(bb) the amount, if any, that is expressly specified
under the covered settlement agreement as not deductible for
purposes of the Internal Revenue Code of 1986; and
``(VII) a description of where amounts collected under the
covered settlement agreement will be deposited, including, if
applicable, the deposit of such amounts in an account
available for use for 1 or more programs of the Federal
Government; and
``(ii) a copy of each covered settlement agreement entered
into by the Executive agency.
``(B) Confidentiality provisions.--The requirement to
disclose information or a copy of a covered settlement
agreement under subparagraph (A) shall apply to the extent
that the information or copy (or portion thereof) is not
subject to a confidentiality provision that prohibits
disclosure of the information or copy (or portion thereof).
``(2) Period.--The head of each Executive agency shall
ensure that--
``(A) information regarding a covered settlement agreement
is publicly available on the list described in paragraph
(1)(A)(i) for a period of not less than 5 years, beginning on
the date of the covered settlement agreement; and
``(B) a copy of a covered settlement agreement made
available under paragraph (1)(A)(ii) is publicly available--
``(i) for a period of not less than 1 year, beginning on
the date of the covered settlement agreement; or
``(ii) for a covered settlement agreement under which a
non-Federal person is required to pay not less than
$50,000,000, for a period of not less than 5 years, beginning
on the date of the covered settlement agreement.
``(c) Public Statement.--If the head of an Executive agency
determines that a confidentiality provision in a covered
settlement agreement, or the sealing of a covered settlement
agreement, is required to protect the public interest of the
United States, the head of the Executive agency shall issue a
public statement stating why such action is required to
protect the public interest of the United States, which shall
explain--
``(1) what interests confidentiality protects; and
``(2) why the interests protected by confidentiality
outweigh the public's interest in knowing about the conduct
of the Federal Government and the expenditure of Federal
resources.
``(d) Requirements for Written Public Statements.--Any
written public statement issued by an Executive agency that
refers to an amount to be paid by a non-Federal person under
a covered settlement agreement shall--
``(1) specify which portion, if any, of the amount to be
paid under the covered settlement agreement by a non-Federal
person--
``(A) is expressly specified under the covered settlement
agreement as a civil or criminal penalty or fine to be paid
for a violation of Federal law; or
``(B) is expressly specified under the covered settlement
agreement as not deductible for purposes of the Internal
Revenue Code of 1986;
``(2) if no portion of the amount to be paid under the
covered settlement agreement by a non-Federal person is
expressly specified under the covered settlement agreement as
a civil or criminal penalty or fine, include a statement
specifying that is the case; and
``(3) describe in detail--
``(A) any actions the non-Federal person shall take under
the covered settlement agreement in lieu of payment to the
Federal Government or a State or local government; and
``(B) any payments or compensation the non-Federal person
shall make to other non-Federal persons under the covered
settlement agreement.
``(e) Confidentiality.--The requirement to disclose
information under subsection (d) shall apply to the extent
that the information to be disclosed (or portion thereof) is
not subject to a confidentiality provision that prohibits
disclosure of the information (or portion thereof).
``(f) Reporting.--
``(1) In general.--Not later than January 15 of each year,
the head of an Executive agency that entered into a covered
settlement agreement or that entered into a settlement
agreement that involves regulatory action or regulatory
changes during the previous fiscal year shall submit to each
committee of Congress with jurisdiction over the activities
of the Executive agency a report indicating--
``(A) how many covered settlement agreements the Executive
agency entered into during that fiscal year;
``(B) how many covered settlement agreements the Executive
agency entered into during that fiscal year that had any
terms or conditions that are required to be kept
confidential;
``(C) how many covered settlement agreements the Executive
agency entered into during that fiscal year for which all
terms and conditions are required to be kept confidential;
``(D) the total amount of attorney fees, costs, and
expenses paid to non-Federal persons under settlement
agreements (including consent decrees) of the Executive
agency during that fiscal year; and
``(E) the number of settlement agreements (including
consent decrees) between the Executive agency and non-Federal
persons that involve regulatory action or regulatory changes,
including the promulgation of new rules, during that fiscal
year.
``(2) Availability of reports.--The head of an Executive
agency that is required to submit a report under paragraph
(1) shall make the report publicly available in a searchable
format in a prominent location on the Web site of the
Executive agency.''.
(2) Technical and conforming amendment.--The table of
sections for chapter 3 of title 5, United States Code, is
amended by adding at the end the following:
``307. Information regarding settlement agreements.''.
(b) Review of Confidentiality of Settlement Agreements.--
Not later than 6 months after the date of enactment of this
Act, the Comptroller General of the United States shall
submit to Congress a report regarding how Executive agencies
(as defined under section 105 of title 5, United States Code)
determine whether the terms of a settlement agreement or the
existence of a settlement agreement will be treated as
confidential, which shall include recommendations, if any,
for legislative or administrative action to increase the
transparency of Government settlements while continuing to
protect the legitimate interests that confidentiality
provisions serve.
____________________