TRUST in Congress Act (H.R. 396)

Summary

Makes members of Congress, their spouses, and dependent children place certain investments into a blind trust to prevent potential conflicts of interest.

What problem does this solve?

Members of Congress may have access to information that could help them make money in the stock market, creating a conflict of interest. This bill solves the problem by requiring them and their families to put their investments into a blind trust they do not control.

What does this bill do?

Requires blind trusts for members and family

Mandates that members of Congress, their spouses, and dependent children place all covered investments into a qualified blind trust.

Sets deadlines for compliance

Gives current members 180 days and new members 90 days from taking office to move their assets into a blind trust.

Restricts dissolving the trust after service

Prohibits a member and their family from dissolving their blind trust until 180 days after the member leaves Congress.

Makes compliance public

Requires members to certify that they have complied with the law and directs the Clerk of the House and Secretary of the Senate to post these certifications online.

Excludes certain common investments

Does not require widely held investment funds, like mutual funds, or U.S. Treasury bonds to be placed in a blind trust.

Creates an exception for spousal compensation

Allows a spouse to keep covered investments if they are received as part of their pay from their main job.

Who does this affect?

Members of Congress
Spouses of Members of Congress
Dependent children of Members of Congress

What is the real world impact?

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Increases public trust in government

Prevents members of Congress from using their special knowledge to make personal financial gains, which helps build public confidence that they are working for the people, not themselves.

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Extends financial rules to family members

Applies the blind trust requirement to spouses and dependent children, closing a loophole where family members could trade on information received from a member of Congress.

When does this start?

The bill sets different deadlines for current and future members of Congress to move their investments into a blind trust.

Current members' compliance

Within 180 days of the bill becoming law, current members and their families must place covered investments into a blind trust.

New members' compliance

Within 90 days of taking office, new members and their families must place covered investments into a blind trust.

Certification deadline

Within 15 days of establishing a blind trust, a member must certify their compliance to the Clerk of the House or Secretary of the Senate.

Post-service waiting period

A member must wait 180 days after leaving Congress before they can dissolve their blind trust and regain control of their investments.