[Senate Report 118-210]
[From the U.S. Government Publishing Office]


                                                             Calendar No. 488
                                                             


118th Congress }                                                { Report

                                  SENATE  
 2d Session    }                                                { 118-210
                                                                
_______________________________________________________________________

                                     

                                                       


                        ROYALTY TRANSPARENCY ACT

                               __________

                              R E P O R T

                                 of the

                   COMMITTEE ON HOMELAND SECURITY AND

                          GOVERNMENTAL AFFAIRS

                          UNITED STATES SENATE

                              to accompany

                                S. 3664

                TO REQUIRE EXECUTIVE BRANCH EMPLOYEES TO
            REPORT CERTAIN ROYALTIES, AND FOR OTHER PURPOSES




               September 9, 2024.--Ordered to be printed
               
               
                          ______

             U.S. GOVERNMENT PUBLISHING OFFICE 
 49-010             WASHINGTON : 2024
       
               
               
               
               
               
        COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS

                   GARY C. PETERS, Michigan, Chairman
THOMAS R. CARPER, Delaware           RAND PAUL, Kentucky
MAGGIE HASSAN, New Hampshire         RON JOHNSON, Wisconsin
KYRSTEN SINEMA, Arizona              JAMES LANKFORD, Oklahoma
JACKY ROSEN, Nevada                  MITT ROMNEY, Utah
JON OSSOFF, Georgia                  RICK SCOTT, Florida
RICHARD BLUMENTHAL, Connecticut      JOSH HAWLEY, Missouri
LAPHONZA R. BUTLER, California       ROGER MARSHALL, Kansas

                   David M. Weinberg, Staff Director
                      Alan S. Kahn, Chief Counsel
            Lena C. Chang, Director of Governmental Affairs
               Emily I. Manna, Professional Staff Member
           William E. Henderson III, Minority Staff Director
              Christina N. Salazar, Minority Chief Counsel
                  Andrew J. Hopkins, Minority Counsel
                     Laura W. Kilbride, Chief Clerk
                     
                     
                     
                     
                     
                     
                     
                     

                                                         Calendar No. 488
                                                       
                                                       
118th Congress}                                                {   Report
                                 SENATE
 2d Session   }                                                {  118-210

======================================================================



 
                        ROYALTY TRANSPARENCY ACT

                                _______
                                

               September 9, 2024.--Ordered to be printed

                                _______
                                

 Mr. Peters, from the Committee on Homeland Security and Governmental 
                    Affairs, submitted the following

                              R E P O R T

                         [To accompany S. 3664]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Homeland Security and Governmental 
Affairs, to which was referred the bill (S. 3664) to require 
executive branch employees to report certain royalties, and for 
other purposes, having considered the same, reports favorably 
thereon with an amendment in the nature of a substitute and 
recommends that the bill, as amended, do pass.

                                CONTENTS

                                                                   Page
  I. Purpose and Summary..............................................1
 II. Background and Need for the Legislation..........................2
III. Legislative History..............................................4
 IV. Section-by-Section Analysis of the Bill, as Reported.............5
  V. Evaluation of Regulatory Impact..................................6
 VI. Congressional Budget Office Cost Estimate........................7
VII. Changes in Existing Law Made by the Bill, as Reported............8

                         I. Purpose and Summary

    S. 3664, the Royalty Transparency Act, would require 
individuals who file financial disclosures, both publicly and 
confidentially, to report on royalty payments received as part 
of their federal service. Further, the bill would require 
certain federal advisory committee members, who currently file 
confidential ethics disclosures, to file public financial 
disclosures. The bill would also provide a mechanism by which 
the Government Accountability Office (GAO) can determine that 
additional federal advisory committees must file public 
financial disclosures, if their public health recommendations 
were fully or partially implemented within the past 10 years. 
The Royalty Transparency Act also would require any agency that 
provides a financial disclosure waiver for a confidential filer 
to provide a justification for the waiver to Congress. The bill 
would add processes for agencies to produce both public and 
confidential financial disclosures to Members of Congress upon 
request. The bill also would require the Federal Acquisition 
Regulatory Council and the Office of Management and Budget to 
update regulations to ensure royalty payments are considered 
during conflict-of-interest reviews for federal contracts and 
grants.

              II. Background and Need for the Legislation

    The Ethics in Government Act of 1978 requires certain 
federal employees to file financial disclosures and limits 
their outside employment and ability to lobby.\1\ Currently, 
the Ethics in Government Act requires over 26,000 federal 
employees to publicly file their financial disclosures, making 
them available for public inspection.\2\ Public filers consist 
of: the President, Vice President, Schedule C political 
appointees, and, among others, each individual occupying a 
position classified at a base rate of pay above GS-15 or, if 
the individual is not on the general schedule, a position above 
120% of the base rate of pay of a GS-15.\3\
---------------------------------------------------------------------------
    \1\Ethics in Government Act of 1978, Pub. L. 95-521; see also Mark 
Davies, Steven Leventhal & Thomas Mullaney, An Abbreviated History of 
Government Ethics Laws--Part II, NYSBA Municipal Lawyer, (Vol. 27, No. 
3) (Fall 2013).
    \2\U.S. Office of Government Ethics, Public Financial Disclosure--
Frequently Asked Questions, (March 13, 2024)(https://www.oge.gov/web/
OGE.nsf/accessdocs_disclosure-faq) (last accessed Mar. 15, 2024).
    \3\5 U.S.C. Sec. 13103(f).
---------------------------------------------------------------------------
    The Ethics in Government Act also requires nearly 400,000 
federal employees and special government employees to file 
confidential ethics disclosures annually.\4\ While supervising 
ethics offices determine which individuals are required to file 
a confidential financial disclosure, the Office of Government 
Ethics (OGE) also sets criteria for which individuals must file 
confidential reports.\5\ Presently, these include:
---------------------------------------------------------------------------
    \4\U.S. Office of Government Ethics, Results from the Annual Agency 
Ethics Program Questionnaire CY22 (https://www.oge.gov/web/OGE.nsf/0/
5B534A41B1EC4551852589D000597DFF/$FILE/
Annual%20Questionnaire%20Summary%20Report%20(CY%202022).pdf).
    \5\Id.
---------------------------------------------------------------------------
           employees whose rate of pay is below GS-15;
           if not on the General Schedule, then a pay 
        rate below 120% of pay of a GS-15;
           special government employees, as defined in 
        18 U.S.C. Sec. 202;\6\ and
---------------------------------------------------------------------------
    \6\5 CFR Sec. 2634.904(a)(2); see also, U.S. Office of Government 
Ethics, Confidential Financial Disclosure Guide: OGE Form 450 (Oct. 
2023) (https://www.oge.gov/web/OGE.nsf/0/
11AF3BE8C3A7F42A85258A6200572AC9/$FILE/
Confidential%20Fin%20Disc%20Guide%
202023%20Accessible.pdf).
---------------------------------------------------------------------------
           employees who participate personally and 
        substantially on--
                   contracting or procurement;
                   administering or monitoring 
                grants;
                   regulating or auditing any non-
                federal entity; or
                   other activities in which the 
                final agency decision or action will have a 
                direct and substantial economic effect on any 
                non-federal entity.\7\
---------------------------------------------------------------------------
    \7\5 CFR Sec. 2634.904(a)(1); see also Confidential Financial 
Disclosure Guide, supra note. 7 at 7-8.
---------------------------------------------------------------------------
    The public financial disclosure reports provide broad 
insights into the financial situation of federal employees, 
including their income, spouse's income, dependent children's 
income, and other financial interests such as real estate, 
investments, and outside payments.\8\
---------------------------------------------------------------------------
    \8\See, U.S. Office of Government Ethics, Introduction: Public 
Financial Disclosure Guide (Jan 2024) (https://www.oge.gov/web/
278eguide.nsf) (last accessed Mar. 15, 2024).
---------------------------------------------------------------------------
    The Ethics in Government Act made key advances for 
transparency in the executive branch, however deficiencies 
remain. Under current law, it is mandatory that federal 
employees, who are inventors or co-inventors, receive a portion 
of royalties paid to the federal government from licensing 
their federal inventions.\9\ Under current law, royalty 
payments an individual or their spouse receive as part of their 
federal employment are not reported as outside income.\10\ 
Agencies know how much each individual is receiving in 
royalties as part of their employment because the agencies are 
responsible for passing these royalties along.\11\ But agencies 
currently interpret this information as being protected from 
disclosure to both the public and Congress.\12\
---------------------------------------------------------------------------
    \9\15 U.S.C. Sec. 3710c, Distribution of royalties received by 
Federal agencies.
    \10\15 U.S.C. Sec. 3710c.
    \11\Benjamin Mueller, After Long Delay, Moderna Pays N.I.H. for 
Covid Vaccine Technique, New York Times (Feb. 23, 2023), https://
www.nytimes.com/2023/02/23/science/moderna-covid-vaccine-patent-
nih.html; see also, NIH Royalties: FY2022 & FY2023, Open the Books 
(Jun. 2, 2024), https://www.openthebooks.com/nih-royalties-fy2022--
fy2023/; and 15 U.S.C. Sec. 3710c, supra n.9.
    \12\See, Letter to Acting Director Lawrence Tabak, National 
Institutes Of Health From Senators Rand Paul, Ron Johnson, James 
Lankford, Rick Scott, And Josh Hawley (Jun. 1, 2022), https://
www.paul.senate.gov/wp-content/uploads/2024/03/HSGAC-Royalties-Letter-
to-NIH-June-2022.pdf; and Letter from Tara Schwetz, Ph.D., National 
Institutes of Health to Senator Rand Paul (Dec. 29, 2022) (record on 
file with the Committee).
---------------------------------------------------------------------------
    On June 1, 2022, Ranking Member Paul, joined by four 
members of the Senate Homeland Security and Governmental 
Affairs Committee sent a letter requesting documents to be 
produced by the National Institutes of Health (NIH) relating to 
royalties NIH employees and special government employees 
received during the COVID-19 pandemic.\13\ Under U.S. Code, 
``[a]n Executive agency . . . on request of the Committee on 
Governmental Affairs of the Senate, or any five members 
thereof, shall submit any information requested.''\14\ NIH 
refused to provide royalties information in response to this 
request, arguing that information on royalty payments from non-
government entities constitutes confidential business 
information, and that royalty payments made by the federal 
government are considered part of an employee's salary and thus 
not required to be disclosed.\15\
---------------------------------------------------------------------------
    \13\Letter from Members of the Senate Homeland Sec. and Gov't 
Affairs Comm. to Lawrence Tabak, Acting Dir., National Institutes of 
Health (Jun. 1, 2022) (https://www.paul.senate.gov/wp-content/uploads/
2024/03/HSGAC-Royalties-Letter-to-NIH-June-2022.pdf).
    \14\5 U.S.C. 2954, Information to committees of Congress on 
request.
    \15\See, Letter from Tara Schwetz, Ph.D., supra n.12.
---------------------------------------------------------------------------
    Federal advisory committees, most of whom are comprised of 
private citizens serving as special government employees, are 
responsible for advising the President, Cabinet members, and 
senior members of the administration. As of 2024, there are 
currently 1,026 federal advisory committees that provide 
recommendations to agencies and policymakers across the federal 
government.\16\ When certain committees' recommendations are 
regularly adopted, especially in full, they could be perceived 
by members of the public as de facto policy making entities.
---------------------------------------------------------------------------
    \16\General Services Administration, Federal Advisory Committee 
Database (https://www.facadatabase.gov) (accessed May 6, 2024).
---------------------------------------------------------------------------
    For example, over the lifetime of the Advisory Committee on 
Immunization Practices (ACIP), 100% of their recommendations 
have been fully implemented by the Department of Health and 
Human Services (HHS).\17\ ACIP's review process examines 
current scientific evidence and recommends vaccines that are 
already licensed or authorized by the Food and Drug 
Administration.\18\ ACIP is not an outlier in having a high 
number of its recommendations fully adopted.
---------------------------------------------------------------------------
    \17\General Services Administration, Federal Advisory Committee 
Database: Advisory Committee on Immunization Practices (2024) (https://
www.facadatabase.gov/FACA/s/FACACommittee/a10t0000001gzveAAA/
com000761).
    \18\Id.
---------------------------------------------------------------------------
    These committees also receive little to no congressional 
and public oversight for the royalty payments their members 
receive, since they generally only file confidential financial 
disclosures.\19\ Due to the confidential nature of these 
reports there is no transparency outside of agency ethics 
officials reviewing the disclosures for conflicts of 
interest.\20\
---------------------------------------------------------------------------
    \19\Results from the Annual Agency Ethics Program Questionnaire 
CY22, supra n.4.
    \20\Confidential Financial Disclosure Guide, supra n.6 at 7-8.
---------------------------------------------------------------------------
    S. 3664 attempts to improve oversight and transparency by 
requiring agencies to: disclose information about royalties 
that agency personnel receive; produce largely unredacted 
documents to Members of Congress, and publicly release the 
financial disclosures of certain federal advisory committee 
members.

                        III. Legislative History

    Senator Rand Paul (R-KY) introduced S. 3664, the Royalty 
Transparency Act, on January 25, 2024. The bill was referred to 
the Committee on Homeland Security and Governmental Affairs.
    The Committee considered S. 3664 at a business meeting on 
March 6, 2024. At the business meeting, Senator Paul offered a 
substitute amendment, as well as a modification to the 
substitute amendment. The Paul substitute amendment, as 
modified, changed the scope of federal advisory committees in 
the bill required to make their financial disclosure reports 
public to a specific list of ten committees, as well as 
additional committees identified by GAO that issue public 
health recommendations to an agency or the president. The 
reporting requirements for committees selected by GAO sunset 
five years after enactment. The modified substitute also 
creates a notification requirement to Congress when a financial 
disclosure waiver or exemption is granted by an agency and 
clarifies what information agencies may redact when producing 
ethics disclosures to Members of Congress. It also requires 
agencies to produce reports on the number of individuals who 
file confidential financial disclosures, the number of Special 
Government Employees they have, any other relevant information; 
and requires information about confidential filers who received 
royalties to be published on agency websites. Lastly, it 
modifies the organizational conflict of interest section to 
require the Federal Acquisition Regulatory Council and the 
Office of Management and Budget to update regulations to 
account for the potential conflicts of interest that royalty 
payments may create for federal grants and contracts.
    The Committee adopted the modification to the Paul 
substitute amendment, and the Paul substitute, by unanimous 
consent with Senators Peters, Carper, Hassan, Rosen, Ossoff, 
Butler, Paul, Johnson, Lankford, Scott, Hawley, and Marshall 
present. The bill, as amended by the Paul substitute amendment, 
as modified, was ordered reported favorably by roll call vote 
of 12 yeas to 0 nays, with Senators Peters, Carper, Hassan, 
Rosen, Ossoff, Butler, Paul, Johnson, Lankford, Scott, Hawley, 
and Marshall voting in the affirmative. Senators Sinema and 
Blumenthal voted yea by proxy and for the record only. Senator 
Romney voted nay by proxy and for the record only.
    The bill, as amended, was ordered reported favorably by 
voice vote, with Senators Peters, Hassan, Sinema, Rosen, 
Padilla, Ossoff, Blumenthal, Lankford, and Hawley present.

        IV. Section-by-Section Analysis of the Bill, as Reported


Section 1. Short title

    Provides the short title of the bill as the ``Royalty 
Transparency Act.''

Section 2. Financial disclosure reports of Executive Branch employees

    Subsection (a)(1) modifies the list of individuals who are 
required to file public ethics filings to include members of 
certain Federal Advisory Committees and members of additional 
committees identified by the Governmental Accountability Office 
as issuing recommendations to an agency or the President on 
public health.
    Subsection (a)(2) sunsets the reporting requirements for 
any of the additional federal advisory committees identified by 
GAO 5 years after the enactment of this Act and replaces it 
with any possible successor advisory committees for those 
identified in subparagraphs (A) through (J) of 5 U.S.C. 
13103(f)(13) as added by this act.
    Subsection (b)(1) requires reporting to the Senate 
Committee on Homeland Security and Governmental Affairs and the 
House Committee on Oversight and Accountability on waivers 
granted under 5 U.S.C. 13103, including a justification for 
granting the waiver.
    Subsection (b)(2) requires reporting to the Senate 
Committee on Homeland Security and Governmental Affairs and the 
House Committee on Oversight and Accountability on exemptions 
to ethics requirements issued under paragraph (1) or (3) of 
subsection (b) of section 208 of Title 18 of the United States 
Code or under part 2640 of Title 5 of the Code of Federal 
Regulations, or any successor regulation.
    Subsection (c) amends 5 U.S.C. 13104(a)(1) to require 
royalties received by officers and employees of the executive 
branch, their spouses, or dependents as a result of their 
governmentservice to be disclosed in their public ethics 
filings, including the amount or value and original source of such 
payments.
    Subsection (d) requires agencies to publish public 
financial disclosure reports, including information regarding 
royalties received as a result of government service, on their 
websites. Second, it requires agencies to provide unredacted 
copies of public financial disclosure reports upon request by a 
Member of Congress within 30 days with only social security 
numbers redacted. The subsection also eliminates the 
requirement for a written request for obtaining public 
financial disclosure reports.
    Subsection (e) first clarifies that any royalties received 
in the course of a confidential filer's duties, including the 
source and amount or value, shall be included in their 
confidential disclosure report. Second, copies of confidential 
ethics reports must be available to Members of Congress upon 
request, no later than 30 days following a request. Third, it 
requires agencies with confidential filers to produce a report 
to the Senate Committee on Homeland Security and Governmental 
Affairs and the House Committee on Oversight and Accountability 
within 60 days and annually thereafter with the number of 
individuals who filed disclosures, the number of Special 
Government Employees who file confidential ethics reports, and 
other relevant information determined by the director of the 
Office of Government Ethics. Finally, it requires agencies 
within 180 days of enactment and annually thereafter to publish 
a report on their website with the names of individuals who are 
confidential filers and receive a royalty, and the source and 
amount or value of the royalty received by such individuals.

Section 3. Preventing organizational conflicts of interest in Federal 
        Acquisition

    Subsection (a) requires the Federal Acquisition Regulatory 
Council and the Office of Management and Budget to update or 
enact any regulations to ensure royalty payments include 
conflict-of-interest reviews for contractors or grantees.
    Subsection (b) provides that not later than 1 year after 
enactment, and annually thereafter, each agency that conducts 
conflict of interest reviews shall report to the Senate 
Committee on Homeland Security and Governmental Affairs and the 
House Committee on Oversight and Accountability on identified 
cases of royalty payments creating conflicts of interest and 
steps taken to mitigate those cases.

Section 4. Severability

    This section provides a severability clause for the Act, so 
if any portion of the Act or any amendment made by the Act is 
held unconstitutional, the remainder of the Act and the 
amendments made by the Act shall still be enforceable.

                   V. Evaluation of Regulatory Impact

    Pursuant to the requirements of paragraph 11(b) of rule 
XXVI of the Standing Rules of the Senate, the Committee has 
considered the regulatory impact of this bill and determined 
that the bill will have no regulatory impact within the meaning 
of the rules. The Committee agrees with the Congressional 
Budget Office's statement that the bill contains no 
intergovernmental or private-sector mandates as defined in the 
Unfunded Mandates Reform Act (UMRA) and would impose no costs 
on state, local, or tribal governments.

             VI. Congressional Budget Office Cost Estimate




    S. 3664 would require financial disclosure reports filed by 
staff in the executive branch agencies to include information 
about royalties received by those employees and would require 
people who serve on public health advisory committees to file 
such reports. The bill would require the Government 
Accountability Office to publish a list each year of the 
committees whose members would be required to file those 
reports. All executive branch agencies also would be required 
to report to the Congress each year concerning the financial 
disclosure reports and to post that information online. 
Finally, the bill would direct the Federal Acquisition 
Regulatory Council and the Office of Management and Budget to 
ensure that information regarding royalties from the financial 
disclosure reports is reviewed within federal procurement 
processes.
    The costs of the legislation, detailed in Table 1, fall 
within budget functions 550 (health) and 800 (general 
government).
    Using information from the affected agencies, CBO estimates 
that the cost of implementing the bill would total $15 million 
over the 2024-2029 period. Any related spending would be 
subject to the availability of appropriated funds.

                TABLE 1.--ESTIMATED INCREASES IN SPENDING SUBJECT TO APPROPRIATION UNDER S. 3664
----------------------------------------------------------------------------------------------------------------
                                                                   By fiscal year, millions of dollars--
                                                         -------------------------------------------------------
                                                                                                          2024 -
                                                           2024    2025    2026    2027    2028    2029    2029
----------------------------------------------------------------------------------------------------------------
Estimated Authorization.................................       0       3       3       3       3       3      15
Estimated Outlays.......................................       0       3       3       3       3       3      15
----------------------------------------------------------------------------------------------------------------

    CBO estimates that the cost of providing annual reports to 
the Congress from the 143 executive branch agencies would total 
$10 million. In addition, CBO estimates that the public health 
advisory committees would need the equivalent of 12 full-time 
ethics officers, at an average annual cost of $85,000, to 
process the significantly greater volume of financial 
disclosure reports required under the bill. In total, CBO 
estimates, the costs of hiring and retaining those employees 
would be $5 million over the 2024-2029 period.
    Using information about similar provisions, CBO estimates 
that the costs for the Government Accountability Office, the 
Federal Acquisition Regulatory Council, and the Office of 
Management and Budget to implement the bill's requirements 
would total less than $500,000 over the 2024-2029 period.
    The CBO staff contact for this estimate is Sean Dunbar. The 
estimate was reviewed by Chad Chirico, Director of Budget 
Analysis.

                                         Phillip L. Swagel,
                             Director, Congressional Budget Office.

       VII. Changes in Existing Law Made by the Bill, as Reported

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in brackets, new matter is 
printed in italic, and existing law in which no change is 
proposed is shown in roman):

UNITED STATES CODE

           *       *       *       *       *       *       *


TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES

           *       *       *       *       *       *       *


PART IV--ETHICS REQUIREMENTS

           *       *       *       *       *       *       *


CHAPTER 131--ETHICS IN GOVERNMENT

           *       *       *       *       *       *       *



SUBCHAPTER I--FINANCIAL DISCLOSURE REQUIREMENTS OF FEDERAL PERSONNEL

           *       *       *       *       *       *       *



SEC. 13103. PERSONS REQUIRED TO FILE

           *       *       *       *       *       *       *


    (f) Individuals Required To File.--The officers and 
employees referred to in subsections (a), (d), and (e) are--
          (1) * * *
          (2) * * *
          (3) * * *
          (4) * * *
          (5) * * *
          (6) * * *
          (7) * * *
          (8) * * *
          (9) * * *
          (10) * * *
          (11) a judicial officer as defined in section 13101 
        of this title[; and];
          (12) a judicial employee as defined in section 13101 
        of this title[.]; and

                ** Effective on the date of enactment **

          (13) any member of--
                  (A) the National Science Advisory Board for 
                Biosecurity;
                  (B) the Advisory Committee on Immunization 
                Practices;
                  (C) the Advisory Commission on Childhood 
                Vaccines;
                  (D) the National Vaccine Advisory Committee;
                  (E) the Vaccines and Related Biological 
                Products Advisory Committee;
                  (F) the Defense Science Board;
                  (G) the Board of Scientific Advisors of the 
                National Cancer Institute;
                  (H) the Homeland Security Science and 
                Technology Advisory Committee;
                  (I) the Medical Review Board Advisory 
                Committee;
                  (J) the President's Council of Advisors on 
                Science and Technology; or
                  (K) any other advisory committee, as defined 
                in section 1001, including a successor to a 
                committee described in this paragraph, that the 
                Government Accountability Office determines, in 
                accordance with subsection (j)--
                          (i) makes recommendations relating to 
                        public health to an agency or the 
                        President; and
                          (ii) has had any recommendation fully 
                        or partially implemented during the 10 
                        years preceding the determination.

          ** Effective 5 years after the date of enactment **

          (13) any member of--
                  (A) the National Science Advisory Board for 
                Biosecurity;
                  (B) the Advisory Committee on Immunization 
                Practices;
                  (C) the Advisory Commission on Childhood 
                Vaccines;
                  (D) the National Vaccine Advisory Committee;
                  (E) the Vaccines and Related Biological 
                Products Advisory Committee;
                  (F) the Defense Science Board;
                  (G) the Board of Scientific Advisors of the 
                National Cancer Institute;
                  (H) the Homeland Security Science and 
                Technology Advisory Committee;
                  (I) the Medical Review Board Advisory 
                Committee;
                  (J) the President's Council of Advisors on 
                Science and Technology; or
                  [(K) any other advisory committee, as defined 
                in section 1001, including a successor to a 
                committee described in this paragraph, that the 
                Government Accountability Office determines, in 
                accordance with subsection (j)--
                          [(i) makes recommendations relating 
                        to public health to an agency or the 
                        President; and
                          [(ii) has had any recommendation 
                        fully or partially implemented during 
                        the 10 years preceding the 
                        determination.]
                  (K) a successor to a committee described in 
                subparagraphs (A) through (J) of this 
                paragraph.
    (g) * * *
    (h) * * *
    (i) Request for Waiver.--The supervising ethics office for 
each branch may grant a publicly available request for a waiver 
of any reporting requirement under this section for an 
individual who is expected to perform or has performed the 
duties of the individual's office or position less than 130 
days in a calendar year, but only if [the supervising ethics 
office determines] the supervising ethics office--that--
          (1) determines
                  [(1)](A) such individual is not a full-time 
                employee of the Government;
                  [(2)](B) such individual is able to provide 
                services specially needed by the Government;
                  [(3)](C) it is unlikely that the individual's 
                outside employment or financial interests will 
                create a conflict of interest; and
                  [(4)](D) public financial disclosure by such 
                individual is not necessary in the 
                circumstances[.]; and
          (2) provides notification of such waiver to the 
        Committee on Homeland Security and Governmental Affairs 
        of the Senate and the Committee on Oversight and 
        Accountability of the House of Representatives.

                ** Effective on the date of enactment **

    [(j) Determination Regarding Advisory Committees.--Not 
later than 180 days after the date of enactment of the Royalty 
Transparency Act, and annually thereafter, the Government 
Accountability Office shall publish a list of each advisory 
committee that the Government Accountability Office 
determines--
          (1) makes recommendations relating to public health 
        to an agency or the President; and
          (2) has had any recommendation fully or partially 
        implemented during the 10 years preceding the 
        determination.

          ** Effective 5 years after the date of enactment **

    [(j) Determination Regarding Advisory Committees.--Not 
later than 180 days after the date of enactment of the Royalty 
Transparency Act, and annually thereafter, the Government 
Accountability Office shall publish a list of each advisory 
committee that the Government Accountability Office 
determines--
          [(1) makes recommendations relating to public health 
        to an agency or the President; and
          [(2) has had any recommendation fully or partially 
        implemented during the 10 years preceding the 
        determination.]

** Effective on the date of enactment **

           *       *       *       *       *       *       *



SEC. 13104. CONTENTS OF REPORTS

    (a) * * *
          (1) Income.--
                  (A) In general.--The source, type, and amount 
                or value of income (other than income referred 
                to in subparagraph (B)) from any source (other 
                than from current employment by the United 
                States Government, subject to paragraph (C)), 
                and the source, date, and amount of honoraria 
                from any source, received during the preceding 
                calendar year, aggregating $200 or more in 
                value and, effective January 1, 1991, the 
                source, date, and amount of payments made to 
                charitable organizations in lieu of honoraria, 
                and the reporting individual shall 
                simultaneously file with the applicable 
                supervising ethics office, on a confidential 
                basis, a corresponding list of recipients of 
                all such payments, together with the dates and 
                amounts of such payments.
                  (B) * * *
                  (C) Royalties Received by Government 
                Employees and Committee Filers.--
                Notwithstanding section 12(c) of the Stevenson-
                Wydler Technology Innovation Act of 1980 (15 
                U.S.C. 3710a(c)) and section 209 of title 35, 
                if the reporting individual is an officer or 
                employee in the executive branch (including a 
                special Government employee, as defined in 
                section 202 of title 18), or an individual 
                described in section 1303(f)(13), the original 
                source and amount or value of any royalties 
                received by the reporting individual, the 
                spouse of the reporting individual, or a 
                dependent child of the reporting individual 
                during the reporting period described in 
                subsection (d) or (e) of section 13103, as 
                applicable, that were received as a result of 
                an invention developed by the reporting 
                individual in the course of employment of the 
                reporting individual with the United States 
                Government, including any royalty interest 
                payment made under the Federal Technology 
                Transfer Act of 1986 (Public Law 99-502; 100 
                Stat. 1785), an amendment made by such Act, or 
                any other applicable authority.

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SEC. 13107. CUSTODY OF AND PUBLIC ACCESS TO REPORTS

    (a) * * *
    (b) Inspection of Reports.--
          (1) In general.--Except as provided in the second 
        sentence of this subsection, each agency, each 
        supervising ethics office in the executive or judicial 
        branch, the Clerk of the House of Representatives, and 
        the Secretary of the Senate shall, within 30 days after 
        any report is received under this subchapter by such 
        agency or office or by the Clerk or the Secretary of 
        the Senate, as the case may be, permit inspection of 
        such report by or furnish a copy of such report to any 
        person requesting such inspection or copy and shall, in 
        the case of an agency or office and notwithstanding 
        section 12 of the Stevenson-Wydler Technology Act of 
        1980 (15 U.S.C. 3710a) and section 209 of title 35, 
        publish such report on the internet website of the 
        agency or office, as the case may be. With respect to 
        any report required to be filed by May 15 of any year, 
        such report shall, notwithstanding section 12 of the 
        Stevenson-Wydler Technology Act of 1980 (15 U.S.C. 
        3710a) and section 209 of title 35, be made available 
        for public inspection and, in the case of an agency or 
        office, published on the internet website of the agency 
        or office, as the case may be within 30 calendar days 
        after May 15 of such year or within 30 days of the date 
        of filing of such a report for which an extension is 
        granted pursuant to section 13103(g) of this title. The 
        agency, office, Clerk, or Secretary of the Senate, as 
        the case may be, may require a reasonable fee to be 
        paid in any amount which is found necessary to recover 
        the cost of reproduction or mailing of such report 
        excluding any salary of any employee involved in such 
        reproduction or mailing. A copy of such report may be 
        furnished without charge or at a reduced charge if it 
        is determined that waiver or reduction of the fee is in 
        the public interest.
          [(2) Procedure for requesting reports.--
        Notwithstanding paragraph (1), a report may not be made 
        available under this section to any person nor may any 
        copy of the report be provided under this section to 
        any person except upon a written application by such 
        person stating--
                [(A) that person's name, occupation, and 
                address;
                [(B) the name and address of any other person 
                or organization on whose behalf the inspection 
                or copy is requested; and
                [(C) that such person is aware of the 
                prohibitions on the obtaining or use of the 
                report.
                [Any such application shall be made available 
                to the public throughout the period during 
                which the report is made available to the 
                public.]
        [(3)](2) Judicial employees and officers.--
                  (A) * * *
                  (B) * * *
                  (C) * * *
                  (D) * * *
                  (E) * * *
          (3) Procedure for releasing reports to members of 
        congress.--Notwithstanding any other provision of law, 
        not later than 30 days after receiving a request from a 
        Member of Congress, any agency or supervising ethics 
        office in the executive branch shall furnish to the 
        Member of Congress a copy of any report submitted under 
        subsection (b), which shall be unredacted, except with 
        respect to social security numbers.

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SEC. 13109. CONFIDENTIAL REPORTS AND OTHER ADDITIONAL REQUIREMENTS

    (a) * * *
    (b) Royalties Received by Confidential Filers.--
Notwithstanding section 12(c) of the Stevenson-Wydler 
Technology Innovation Act of 1980 (15 U.S.C. 3710a(c)) and 
section 209 of title 35, the information required to be 
reported under this section shall include the original source 
and amount or value of any royalties received by the reporting 
individual, or the spouse or any dependent child of the 
reporting individual, that were received as a result of an 
invention, including any royalty interest payment made under 
the Federal Technology Transfer Act of 1986 (Public Law 99-502; 
100 Stat. 1785), an amendment made by such Act, or any other 
applicable authority.
    (c) Procedure for Releasing Reports to Members of 
Congress.--Notwithstanding any other provision of law, not 
later than 30 days after receiving a request from a Member of 
Congress, any agency or supervising ethics office in the 
executive branch shall furnish to the Member of Congress a copy 
of any report submitted under subsection (a), which shall be 
unredacted, except with respect to social security numbers, 
home addresses, phone numbers, email addresses, and the 
personally identifiable information of dependents.
    (d) Reports.--Not later than 60 days after the date of 
enactment of the Royalty Transparency Act, and each year 
thereafter, the head of each agency shall submit to the 
Committee on Homeland Security and Governmental Affairs of the 
Senate and the Committee on Oversight and Accountability of the 
House of Representatives a report relating to confidential 
financial disclosures of officers and employees under the 
jurisdiction of such agency for the preceding fiscal year, 
which shall include--
          (1) the number of individuals who filed such 
        disclosures with the agency under this section, 
        including, if applicable, the subcomponent of the 
        agency that has jurisdiction over the individual and 
        the reason for filing confidentially;
          (2) the number of special Government employees, as 
        defined in section 202 of title 18, that are required 
        to file confidential financial disclosure reports with 
        the agency under this section; and
          (3) any additional information determined to be 
        relevant by the Director of the Office of Government 
        Ethics after consultation with the Committee on 
        Homeland Security and Governmental Affairs of the 
        Senate and the Committee on Oversight and 
        Accountability of the House of Representatives.
    (e) Public Disclosure of Royalties Received by Certain 
Federal Employees.--
          (1) Definition.--For the purposes of this subsection, 
        the term `covered individual' means an individual who--
                  (A) is required to file a confidential 
                financial disclosure report under this section; 
                and
                  (B) reports receiving a royalty interest 
                under subsection (b).
          (2) Requirement.--Not later than 180 days after the 
        date of enactment of the Royalty Transparency Act, and 
        annually thereafter, each agency shall publish a report 
        on the internet website of the agency, listing--
                  (A) the names of all covered individuals; and
                  (B) the original source and amount or value 
                of any royalties reported under this section by 
                each covered individual.
    [(b)](f) * * *
    [(c)](g) * * *

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TITLE 18--CRIMES AND CRIMINAL PROCEDURE

           *       *       *       *       *       *       *


PART I--CRIMES

           *       *       *       *       *       *       *


CHAPTER 11--BRIBERY, GRAFT, AND CONFLICTS OF INTEREST

           *       *       *       *       *       *       *


SEC. 208. ACTS AFFECTING A PERSONAL FINANCIAL INTERST

           *       *       *       *       *       *       *


    (e) Any exemption--
          (1) granted under paragraph (1) or (3) of subsection 
        (b) shall be immediately reported to the Committee on 
        Homeland Security and Governmental Affairs of the 
        Senate and the Committee on Oversight and 
        Accountability of the House of Representatives, 
        including a detailed justification for granting the 
        waiver; or
          (2) granted under subpart (C) of part 2640 of title 5 
        of the Code of Federal Regulations, or any successor 
        regulation, shall be immediately reported to the 
        Committee on Homeland Security and Governmental Affairs 
        of the Senate and the Committee on Oversight and 
        Accountability of the House of Representatives, 
        including a detailed justification for granting the 
        waiver.

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