Campaign Legal Center Urges the U.S. Senate to Advance the Ending Trading and Holdings In Congressional Stocks (ETHICS) Act
WASHINGTON, D.C. — Today, Campaign Legal Center submitted a letter to the U.S. Senate Homeland Security and Governmental Affairs Committee, urging it to advance S. 1171, the Ending Trading and Holdings in Congressional Stocks (ETHICS) Act.
The Committee is scheduled to vote on this legislation at its July 24 business meeting, as well as a bipartisan agreement between Sens. Peters (D-MI), Merkley (D-OR), Hawley (R-MO) and Ossoff (D-GA) to revise and strengthen this bill. If the Committee votes favorably, a modified version of the ETHICS Act will head to the Senate floor, a milestone in the ongoing effort to address serious concerns around lawmakers’ stock trading.
If amended and passed, the ETHICS Act would prohibit members of Congress, the president and the vice president from buying and selling covered assets. These officials, including their spouses and dependents, would be required to divest any covered assets starting in 2027. This legislation would also provide enhanced enforcement mechanisms for these new divestment rules.
“Voters have a right to know if federal elected officials are acting in the best interests of their constituents, or for their own financial gain,” said Kedric Payne, vice president, general counsel and senior director of ethics at Campaign Legal Center. “By virtue of their positions, members of Congress, the president and the vice President are oftentimes privy to information that is unavailable to the general public. Allowing them to engage in stock trading risks fostering an environment where conflicts of interest among lawmakers lead to the deterioration of public trust. It is essential that the U.S. Senate pass this bill.”
In the 117th Congress, over half of members owned individual stocks while congressional stock transactions reached over $630 million. A recent media investigation revealed that nearly 20% of these members of Congress failed to timely disclose stock trades they made.
Americans across the political spectrum overwhelmingly support a potential ban on congressional stock trading, due to their impression that these actions are secretive and self-interested on the part of lawmakers. Stock trades risk making lawmakers vulnerable to potential conflicts of interest around policymaking and even committee assignments.
The modified ETHICS Act is a critical piece of bipartisan legislation. At a time when growing distrust among the public exists around the federal government and its associated officials, the U.S. Senate needs to pass this bill without delay.