S. 333Senate115th Congress (2017-2019)In Committee

Stop Settlement Slush Funds Act of 2017

Introduced February 7, 2017

AI-Generated Summary

Updated April 15, 2026 at 12:34 PM UTC

The Stop Settlement Slush Funds Act of 2017 seeks to prevent federal officials from using settlement agreements to make payments or loans to private individuals or entities that act like donations, unless the payment directly remedies harm, provides restitution, or is for services rendered. It applies to any settlement the United States enters into after the law takes effect and subjects violators to existing penalties. The bill also requires agencies to report such settlements each year and mandates inspector‑general audits of any violations.

Key Provisions

  • Prohibits federal officials from including payments or loans to non‑government parties in settlement agreements, except for restitution, direct remediation of harm, services, or statutory payments under 18 U.S.C. §3663.
  • Violations are punished under the same penalties as violations of 31 U.S.C. §3302.
  • Requires each federal agency to annually submit electronic reports to the Congressional Budget Office detailing any settlement that includes permissible payments, including parties, source, and distribution of funds; no additional funds may be appropriated for this reporting.
  • Mandates that each agency’s Inspector General annually report to the Senate and House Judiciary, Budget, and Appropriations Committees any settlement entered into in violation of the Act; also prohibits extra funding for these audits.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

1 earlier action
SenateIntro Referral Latest Action

Read twice and referred to the Committee on the Judiciary.

February 7, 2017

View full timeline
SenateIntro Referral

Introduced in Senate

February 7, 2017

SenateIntro Referral

Read twice and referred to the Committee on the Judiciary.

February 7, 2017

Floor Debate

5 members

What members said about S. 333 on the floor

4 Republicans1 Democrat
Alcee L. Hastings
Rep. Alcee L. HastingsD-FL-20 · Oct 24, 2017

Mr. Speaker, I yield myself such time as I may consume, and I thank my friend, the gentleman from Georgia, for yielding me the customary 30 minutes for debate. Mr. Speaker, I am here today to debate…

Doug Collins
Rep. Doug CollinsR-GA-9 · Oct 24, 2017

Mr. Speaker, by direction of the Committee on Rules, I call up House Resolution 577 and ask for its immediate consideration. Mr. Speaker, for the purpose of debate only, I yield the customary 30…

Chris Stewart
Rep. Chris StewartR-UT-2 · Oct 24, 2017

Mr. Speaker, I thank the chairman for bringing up H.R. 469, which includes, as indicated, the text of my bill, the Judgment Fund Transparency Act. The purpose of this act is really very simple.…

Rick W. Allen
Rep. Rick W. AllenR-GA-12 · Oct 24, 2017

Mr. Speaker, I rise today to support my fellow Georgian's, Congressman Doug Collins, bill, H.R. 469. One of the biggest complaints I hear about the Federal Government is the lack of accountability or…

Tom Reed
Rep. Tom ReedR-NY-23 · Oct 24, 2017

Mr. Speaker, I was unavoidably detained. Had I been present, I would have voted ``yea'' on rollcall No. 572.

Bill Text

Latest available legislative text

Reading Mode
Latest
Introduced in SenateIssued February 7, 2017

II

115th CONGRESS

1st Session

S. 333

IN THE SENATE OF THE UNITED STATES

February 7 (legislative day, February 6), 2017

Mr. Lankford (for himself, Mr. Cornyn, Mr. Hatch, Mr. Cruz, Mr. Flake, Mr. Crapo, Mr. Johnson, and Mr. Lee) introduced the following bill; which was read twice and referred to the Committee on the Judiciary

A BILL

To limit donations made pursuant to settlement agreements to which the United States is a party, and for other purposes.

1.

Short title

This Act may be cited as the Stop Settlement Slush Funds Act of 2017.

2.

Limitation on donations made pursuant to settlement agreements to which the United States is a party

(a)

Limitation on required donations

An official or agent of the Federal Government may not enter into or enforce any settlement agreement on behalf of the United States, directing or providing for a payment or loan to any person or entity other than the United States, other than a payment or loan that provides restitution for or otherwise directly remedies actual harm (including to the environment) directly and proximately caused by the party making the payment or loan or constitutes payment for services rendered in connection with the case, or a payment pursuant to section 3663 of title 18, United States Code.

(b)

Penalty

Any official or agent of the Federal Government who violates subsection (a) shall be subject to the same penalties that would apply in the case of a violation of section 3302 of title 31, United States Code.

(c)

Effective date

Subsections (a) and (b) apply only in the case of a settlement agreement concluded on or after the date of enactment of this Act.

(d)

Definition

The term settlement agreement means a settlement agreement resolving a civil action or potential civil action, a plea agreement, a deferred prosecution agreement, or a non-prosecution agreement.

(e)

Reports on settlement agreements

(1)

In general

Beginning at the end of the first fiscal year that begins after the date of enactment of this Act, and annually thereafter, the head of each Federal agency shall submit electronically to the Congressional Budget Office a report on each settlement agreement entered into by that agency during that fiscal year that directs or provides for a payment or loan to a person or entity other than the United States that provides restitution for or otherwise directly remedies actual harm (including to the environment) directly and proximately caused by the party making the payment or loan, or constitutes payment for services rendered in connection with the case, including the parties to each settlement agreement, the source of the settlement funds, and where and how such funds were and will be distributed.

(2)

Prohibition on additional funding

No additional funds are authorized to be appropriated to carry out this subsection.

(3)

Sunset

This subsection shall cease to be effective on the date that is 7 years after the date of enactment of this Act.

(f)

Annual audit requirement

(1)

In general

Beginning at the end of the first fiscal year that begins after the date of enactment of this Act, and annually thereafter, the Inspector General of each Federal agency shall submit a report to the Committees on the Judiciary, on the Budget and on Appropriations of the Senate and the House of Representatives on any settlement agreement entered into in violation of this section by that agency.

(2)

Prohibition on additional funding

No additional funds are authorized to be appropriated to carry out this subsection.