[Senate Report 118-37]
[From the U.S. Government Publishing Office]


                                                  Calendar No. 83                                             

118th Congress}                                           { Report
                                 SENATE
 1st Session  }                                           { 118-37

======================================================================
                           NO CORRUPTION ACT

                               __________

                              R E P O R T

                                 OF THE

                   COMMITTEE ON HOMELAND SECURITY AND

                          GOVERNMENTAL AFFAIRS

                          UNITED STATES SENATE

                              TO ACCOMPANY

                                 S. 932

                TO AMEND TITLE 5, UNITED STATES CODE, TO
              PROVIDE FOR THE HALT IN PENSION PAYMENTS FOR
               MEMBERS OF CONGRESS SENTENCED FOR CERTAIN
                    OFFENSES, AND FOR OTHER PURPOSES

[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


                  May 30, 2023.--Ordered to be printed
                  
                              __________

                                
                    U.S. GOVERNMENT PUBLISHING OFFICE                    
                          WASHINGTON : 2023                    
          
-----------------------------------------------------------------------------------                   
                 
        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
ALEX PADILLA, California             RICK SCOTT, Florida
JON OSSOFF, Georgia                  JOSH HAWLEY, Missouri
RICHARD BLUMENTHAL, Connecticut      ROGER MARSHALL, Kansas

                   David M. Weinberg, Staff Director
                    Zachary I. Schram, Chief Counsel
            Lena C. Chang, Director of Governmental Affairs
              Devin M. Parsons, 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. 83                                             

118th Congress}                                           { Report
                                 SENATE
 1st Session  }                                           { 118-37

======================================================================
 
                           NO CORRUPTION ACT            
               
                                _______
                                

                  May 30, 2023.--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. 932]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Homeland Security and Governmental 
Affairs, to which was referred the bill (S. 932) to amend title 
5, United States Code, to provide for the halt in pension 
payments for Members of Congress sentenced for certain 
offenses, and for other purposes, having considered the same, 
reports favorably thereon without amendment and recommends that 
the bill do pass.

                                CONTENTS

                                                                   Page
  I. Purpose and Summary..............................................1
 II. Background and Need for the Legislation..........................2
III. Legislative History..............................................2
 IV. Section-by-Section Analysis......................................3
  V. Evaluation of Regulatory Impact..................................3
 VI. Congressional Budget Office Cost Estimate........................3
VII. Changes in Existing Law Made by the Bill, as Reported............4

                         I. Purpose and Summary

    S. 932, the No Congressionally Obligated Recurring Revenue 
Used as Pensions To Incarcerated Officials Now Act, or the No 
CORRUPTION Act, prohibits a Member of Congress who has been 
convicted of a covered felony offense from receiving any 
payment of a federal retirement annuity for their congressional 
service, even during an appeal of the conviction. If the 
relevant conviction is overturned on appeal, the individual 
will be entitled to receive any payments that were withheld 
under the statute.\1\
---------------------------------------------------------------------------
    \1\The Committee has previously approved the No Congressionally 
Obligated Recurring Revenue Used as Pensions To Incarcerated Officials 
Now Act on July 29, 2020 and March 17, 2021, S. 3332 and S. 693, 
respectively. S. 3332 of the 116th Congress and S. 693 of the 117th 
Congress are substantially similar to S. 932 of the 118th Congress. 
Accordingly, this report is similar to the Committee reports for S. 
3332 and S. 693. See S. Rept. 116-243 and S. Rept. 117-27.
---------------------------------------------------------------------------

              II. Background and the Need for Legislation

    The No CORRUPTION Act prevents the possibility that a 
Member of Congress who has been convicted of a covered felony 
continues to receive annuity payments from a federal employee 
retirement system during the appeals process. Covered public 
corruption felony charges include: (1) bribery of public 
officials and witnesses; (2) acting as an agent of a foreign 
principal while a federal public official; (3) fraud by wire, 
radio, or television, including as part of a scheme to deprive 
citizens of honest services; (4) prohibited foreign trade 
practices by domestic concerns; (5) engaging in monetary 
transactions in property derived from specified unlawful 
activity; (6) tampering with a witness, victim, or an 
informant; (7) racketeer influenced and corrupt organizations; 
(8) conspiracy to commit an offense or to defraud the United 
States; (9) perjury; or (10) subornation of perjury.\2\
---------------------------------------------------------------------------
    \2\5 U.S.C. Sec. 8332(o)(2).
---------------------------------------------------------------------------
    Under current law, a Member of Congress who is convicted of 
covered public corruption felony charges based on actions taken 
while serving as a Member is prohibited from receiving a 
congressional pension upon final conviction of the offense.\3\ 
However, a convicted Member may continue receiving pension 
payments while appealing the conviction.\4\ The No CORRUPTION 
Act will withhold pension benefits for Members of Congress 
immediately upon conviction. If the conviction is overturned on 
appeal by a court of competent jurisdiction, the pension will 
be restored and the Member will be eligible to receive any 
pension benefits that were withheld under the legislation. The 
No CORRUPTION Act applies prospectively to any covered 
conviction after the date of enactment.
---------------------------------------------------------------------------
    \3\5 U.S.C. Sec. 8332(o)(3).
    \4\Id.
---------------------------------------------------------------------------

                        III. Legislative History

    Senator Jackie Rosen (D-NV) introduced S. 932, the No 
CORRUPTION Act, on March 22, 2023, with Senator Rick Scott (R-
FL) as an original cosponsor. The bill was referred to the 
Committee on Homeland Security and Governmental Affairs. 
Senator Josh Hawley (R-MO) joined as an additional cosponsor on 
March 30, 2023.
    The Committee considered S. 932 at a business meeting on 
March 29, 2023. During the business meeting, the bill was 
ordered reported favorably by roll call vote of 12 yeas to 0 
nays, with Senators Peters, Hassan, Sinema, Rosen, Padilla, 
Ossoff, Blumenthal, Paul, Lankford, Romney, Scott, and Hawley 
voting in the affirmative, and with Senators Carper, Johnson, 
and Marshall voting yea by proxy, for the record only.

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


Section 1. Short title

    This section establishes the short title of the bill as the 
``No Congressionally Obligated Recurring Revenue Used as 
Pensions To Incarcerated Officials Now Act'' or the ``No 
CORRUPTION Act.''

Section 2. Forfeiture of pension

    Subsection (a) requires that if a Member is convicted of 
certain felonies, the individual is prohibited from receiving 
any payment of an annuity pursuant to the federal employee 
retirement system unless and until the conviction is held to be 
invalid. The prohibition is prospective to apply only to 
covered convictions that occur after the date of enactment.
    Subsection (b) makes a technical and conforming amendment.

                   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

[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    S. 932 would eliminate the payment of current and future 
retirement annuities to Members of Congress who are convicted 
of certain criminal offenses already specified in law. Under 
current law, Members forgo receipt of such payments only after 
a final conviction (that is, after the exhaustion of all 
appeals under the judicial process). The bill would eliminate 
retirement annuities for Members for any conviction following 
enactment.
    CBO estimates that the resulting forfeitures of retirement 
annuities would reduce direct spending by less than $500,000 
over the 2023-2033 period. Based on the number of previous 
convictions of Members of Congress, CBO anticipates that the 
number of future convictions would be small. In addition, any 
associated reductions in direct spending would show a budgetary 
effect only once a convicted Member reached eligibility for 
retirement, which could be beyond the current budget window. On 
average, Members of Congress currently retiring under the 
Federal Employees Retirement System receive an annuity of about 
$45,000 per year. However, a criminal conviction could shorten 
a Member's career. To the extent that happens, the forfeited 
annuity would probably be less than the average.
    The CBO staff contact for this estimate is Amber 
Marcellino. The estimate was reviewed by H. Samuel Papenfuss, 
Deputy 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 III--EMPLOYEES

           *       *       *       *       *       *       *


CHAPTER 83--RETIREMENT

           *       *       *       *       *       *       *



Subchapter III--Civil Service Retirement

           *       *       *       *       *       *       *



SEC. 8332. CREDITABLE SERVICE.

    (a) * *  *

           *       *       *       *       *       *       *

    (o)
          (1) * * *

           *       *       *       *       *       *       *

          (4)
                  (A) Subject to subparagraph (B), an 
                individual convicted of an offense described in 
                paragraph (2) shall not be eligible to receive 
                any payment of an annuity pursuant to the 
                retirement system under this subchapter or 
                chapter 84, except that this sentence applies 
                only to such payments based on service rendered 
                as a Member (irrespective of when rendered).
                  (B) If the conviction of an individual 
                described in subparagraph (A) is overturned on 
                appeal by a court of competent jurisdiction, 
                the individual shall receive payments that the 
                individual would have received but for the 
                application of subparagraph (A).
                  (C) This paragraph applies only to a 
                conviction that occurs after the date of 
                enactment of the No Congressionally Obligated 
                Recurring Revenue Used as Pensions To 
                Incarcerated Officials Now Act.
          [(4)] (5) The Office of Personnel Management shall 
        prescribe any regulations necessary to carry out this 
        subsection. Such regulations shall include--
                  (A) * * *
                  (B) provisions under which the Office may 
                provide for--
                          (i) the payment, to the spouse or 
                        children of any individual referred to 
                        in the first sentence of paragraph (1), 
                        of any amounts which (but for this 
                        clause) would otherwise have been 
                        nonpayable by reason of such first 
                        sentence, subject to [paragraph (5)] 
                        paragraph (6); and
                          (ii) an appropriate adjustment in the 
                        amount of any lump-sum payment under 
                        the second sentence of paragraph (1) to 
                        reflect the application of clause (i).
          [(5)] (6) Regulations to carry out clause (i) of 
        [paragraph (4)(B)] paragraph (5)(B) shall include 
        provisions to ensure that the authority to make any 
        payment to the spouse or children of an individual 
        under such clause shall be available only to the extent 
        that the application of such clause is considered 
        necessary and appropriate taking into account the 
        totality of the circumstances, including the financial 
        needs of the spouse or children, whether the spouse or 
        children participated in an offense described in 
        paragraph (2) of which such individual was finally 
        convicted, and what measures, if any, may be necessary 
        to ensure that the convicted individual does not 
        benefit from any such payment.
          [(6)] (7) * * *

           *       *       *       *       *       *       *


TITLE 38--VETERANS' BENEFITS

           *       *       *       *       *       *       *


PART I--GENERAL PROVISIONS

           *       *       *       *       *       *       *


CHAPTER 7--EMPLOYEES

           *       *       *       *       *       *       *



Subchapter I--General Employee Matters

           *       *       *       *       *       *       *



SEC. 719. REDUCTION OF BENEFITS OF EMPLOYEES CONVICTED OF CERTAIN 
                    CRIMES.

    (a) * * *

           *       *       *       *       *       *       *

    (e) * * *
          (1) * * *
          (2) Regulations prescribed under paragraph (1) shall 
        be consistent with the requirements of [section 
        8332(o)(5)] section 8332(o)(6) and 8411(l)(5) of title 
        5, as the case may be.

                                  [all]