Bill > HR4491

This bill amends the Securities Exchange Act of 1934 to require shareholder authorization before a public company (referred to as an "issuer") can make certain political expenditures. The key provisions are: 1. Issuers must obtain shareholder approval for any proposed political expenditures, including independent expenditures, electioneering communications, and payments to trade associations that may be used for political purposes. 2. Issuers are prohibited from making any political expenditures without prior shareholder approval. A violation would be considered a breach of fiduciary duty, and the officers and directors who authorized the expenditure would be jointly and severally liable. 3. Issuers must require a board vote for any political expenditure over $50,000, and publicly disclose the individual votes of each board member within 48 hours. 4. Institutional investment managers must disclose how they voted on any shareholder vote related to political expenditures, unless the vote is already required to be publicly reported. 5. The Securities and Exchange Commission must conduct annual assessments of compliance with these provisions and report to Congress, and the Government Accountability Office will periodically evaluate the effectiveness of the SEC's oversight.

Business and Industry

https://www.congress.gov/bill/116th-congress/house-bill/4491/all-info