NTU urges all Representatives to vote “YES” on H.R. 788, The “Stop Settlement Slush Funds Act of 2023.” This legislation would prevent the Justice Department from engaging in settlement agreements that required payments to be made to third-party entities.
Presently, the Department of Justice has the authority to stipulate that defendants in federal cases enter into a settlement where they contribute money to specific groups as part of settlement conditions. Frequently, these funds are not directed toward the actual victims but instead benefit interest groups. Such settlement arrangements enable the government to allocate funds to politically favored third parties without Congressional supervision. Additionally, monitoring the expenditure or distribution of these settlement payments has proven challenging for the government.
H.R. 788 explicitly prohibits Department of Justice officials from formulating settlement agreements that necessitate donations to activist groups favored by the executive branch. By eliminating these settlement terms, the legislation reinstates the authority over financial allocations, as outlined in Article I of the Constitution, back to the purview of Congress.
Roll call votes on H.R. 788 will be included in NTU’s annual Rating of Congress and a “YES” vote will be considered the pro-taxpayer position.
If you have any questions, please contact Grant Carlson at gcarlson@ntu.org.