Financial Disclosure Modernization Act
- Bill Number
- H.R. 7508
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Government Operations and Politics
- Status
- Introduced
- Latest Action
- 2026-02-11: Referred to the Committee on Oversight and Government Reform, and in addition to the Committees on House Administration, and the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Last Updated
- 2026-02-27T21:30:50Z
AI-Generated Summary
Purpose
The Financial Disclosure Modernization Act aims to update the financial reporting requirements for certain federal employees by adding more detailed value categories for high-value assets. This enhances transparency in financial disclosures under chapter 131 of title 5, United States Code, which governs ethics in government by requiring officials to report income, assets, and liabilities to prevent conflicts of interest.
Key Provisions
- Short Title (Section 1): The bill is named the "Financial Disclosure Modernization Act."
- Dividends, Rents, Interest, and Capital Gains Reporting (Section 2): Amends Section 13104(a)(1)(B) of title 5, U.S. Code, to expand value categories for these income types. New categories include:
- Greater than $5,000,000 but not more than $25,000,000.
- Greater than $25,000,000 but not more than $100,000,000.
- Greater than $100,000,000 but not more than $500,000,000.
- Greater than $500,000,000 but not more than $1,000,000,000.
- Greater than $1,000,000,000.
- General Reporting Categories for Amounts or Values (Section 3): Amends Section 13104(d)(1) of title 5, U.S. Code, to add categories for overall asset values or transaction amounts, including:
- Greater than $50,000,000 but not more than $100,000,000.
- Greater than $100,000,000 but not more than $250,000,000.
- Greater than $250,000,000 but not more than $500,000,000.
- Greater than $500,000,000 but not more than $1,000,000,000.
- Greater than $1,000,000,000.
- Effective Date (Section 4): Changes apply to financial disclosure reports filed on or after the date of enactment.
Significant Changes to Existing Law
The bill modifies the Ethics in Government Act of 1978 (as codified in chapter 131 of title 5, U.S. Code) by introducing finer-grained reporting thresholds for assets and income exceeding $5 million. Previously, disclosures for very large amounts (over $1 million or so) were often grouped into broad "more than $1,000,000" categories, limiting public insight into the scale of high-level officials' wealth. The new tiers provide more precise ranges up to over $1 billion, without requiring exact dollar figures.
Potential Impacts
- On Government Agencies: Increases administrative burden for agencies like the Office of Government Ethics, which oversees compliance, due to more detailed reporting and verification processes. Oversight committees (e.g., House Committee on Oversight and Government Reform) may need to update guidance and forms.
- On Citizens: Improves public access to information about officials' finances, potentially building trust in government by highlighting potential conflicts of interest more clearly. No direct effects on everyday citizens' finances or rights.
- On International Relations: Minimal to none, as the bill focuses on domestic ethics rules without implications for foreign policy or international agreements.
Main Stakeholders Affected
- Federal Employees and Officials: Primarily high-ranking individuals required to file annual financial disclosure reports, such as members of Congress, executive branch appointees, and certain judicial officers (covered under the Ethics in Government Act).
- Oversight Bodies: Committees like the House Oversight and Government Reform, House Administration, and Judiciary, which review and enforce disclosures.
- Public and Watchdog Groups: Citizens, journalists, and non-profits focused on government transparency who rely on these reports for accountability.
Notable Legal, Constitutional, or Political Implications
- Legal Implications: Strengthens enforcement of financial disclosure laws by reducing ambiguity in reporting large assets, potentially aiding investigations into ethics violations. It does not alter core requirements but refines them for modern wealth scales.
- Constitutional Implications: Aligns with the U.S. Constitution's emoluments clause (Article I, Section 9) and broader anti-corruption principles by promoting transparency without infringing on privacy rights, as disclosures are public but limited to relevant financial interests.
- Political Implications: Could reduce perceptions of undue influence from extreme wealth among officials, fostering bipartisan support for ethics reforms. As an introduced bill (H.R. 7508, 119th Congress), its passage would signal congressional commitment to updating outdated ethics rules amid growing scrutiny of wealth in politics.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (3)
Del. Norton, Eleanor Holmes [D-DC-At Large], Rep. Dexter, Maxine [D-OR-3], Rep. Tonko, Paul [D-NY-20]
Recent Actions
- 2026-02-11: Referred to the Committee on Oversight and Government Reform, and in addition to the Committees on House Administration, and the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-02-11: Referred to the Committee on Oversight and Government Reform, and in addition to the Committees on House Administration, and the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-02-11: Referred to the Committee on Oversight and Government Reform, and in addition to the Committees on House Administration, and the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-02-11: Introduced in House
- 2026-02-11: Introduced in House
Bill Versions
- Financial Disclosure Modernization Act — issued 2026-02-11 — PDF (3 pages)