Tyler Reporter

The U.S. House of Representatives has taken a significant step towards reforming the management of settlement funds in federal cases. The legislation, known as the Stop Settlement Slush Funds Act, was introduced by Congressman Lance Gooden and aims to address concerns about the distribution and use of settlement money from federal lawsuits.

One of the primary goals of the Stop Settlement Slush Funds Act is to return the power of the purse to Congress, ensuring that settlement funds are used appropriately and not diverted to partisan third-party groups. Congressman Gooden highlighted the importance of this legislation, stating, "Today, we have made a decisive move towards greater accountability in our government. The Settlement Slush Funds Act will ensure that settlement funds serve their rightful purpose – to compensate victims and provide relief to affected parties, not to be diverted for partisan purposes."

This crucial legislation has garnered support from various organizations, including the National Taxpayers Union, Americans for Tax Reform, and Americans for Prosperity. Grover Norquist, President of Americans for Tax Reform, voiced his concerns about the misallocation of settlement funds and the politicization of government agencies. Norquist applauded Congressman Gooden's bill, stating, "This gross politicization of a government agency should be put to a stop immediately. I am proud to support Rep. Gooden's bill to codify protections against the DOJ or any government official abusing their power to benefit special interest groups."

Adam Brandon, President of FreedomWorks, emphasized the importance of Congress reining in the executive branch and asserting its powers. He stated, "The Stop Settlement Slush Funds Act would ensure that settlement dollars go to victims' funds or to the general fund of the Treasury to be appropriated by Congress, which, as Article I of the Constitution requires, holds the power of the purse over funds spent by the federal government."

The National Taxpayers Union also expressed its support for the Stop Settlement Slush Funds Act, calling the practice of diverting settlement dollars to third-party groups a dubious practice. Alex Milliken, Policy and Government Affairs Manager at the National Taxpayers Union, stated, "Congress should act quickly to put a stop to this agency behavior and prevent the misuse of resources to promote partisan agendas."

With the House of Representatives passing the Stop Settlement Slush Funds Act, the bill will now proceed to the Senate for consideration. This legislation marks an important step towards greater accountability and ensuring that settlement funds are used to compensate victims and provide relief to affected parties, rather than being diverted for partisan purposes.

Original Article: [U.S. House Passes Gooden’s Stop Settlement Slush Funds Act of 2023](https://gooden.house.gov/2024/1/release-u-s-house-passes-gooden-s-stop-settlement-slush-funds-act-of-2023)