No Taxpayer Bailouts for Insurrectionists Act of 2026

119th Congress Introduced by Dina Titus

The bill bars federal funds from obligating $50,000+ in settlements involving “covered persons” connected to January 6, requiring pre-approval, reporting, and a GAO study.

Introduced in House

Purpose and intent

H.R. 9136, the No Taxpayer Bailouts for Insurrectionists Act of 2026, aims to restrict the use of federal funds to settle claims in settlements involving “covered persons” connected to the January 6, 2021 insurrection at the U.S. Capitol.

The bill seeks to prevent obligations of funds for settlements of $50,000 or more unless specific conditions are met, thereby limiting taxpayer-financed bailouts for individuals tied to the insurrection.

Key provisions and changes

General limitation on settlements

No amounts may be obligated (including from certain federal funds) in settlements with a covered person for $50,000 or more unless the act’s requirements are followed.

Specific exclusion for a particular litigation

No funds may be obligated under the settlement agreement in Trump v. Internal Revenue Service, No. 1:26-cv-20609 (S.D. Fla.).

Definition of “covered person”

The following are considered “covered persons”:
The President
The Vice President
A cabinet official
Any parent, spouse, child, or spouse of a child of a person described in (1)-(3)
A political appointee
Any person convicted of a criminal offense in relation to the January 6, 2021 events at the Capitol

Reporting requirement

For any settlement obligation of $50,000 or more involving a covered person, the Attorney General must submit a report to Congress at least 90 days before the scheduled obligation date. The report must include:
All claims and payments to be obligated under the settlement (names of payees and amounts)
The legal justification for entering into the settlement
A certification from the Department of Justice Inspector General that the settlement is lawful and ethically sound

GAO study

Within 90 days of enactment, the Comptroller General must study and report on whether any obligation of funds related to the Trump v. IRS settlement complies with appropriations law, specifically referencing Sections 1341, 1342, and 1511–1519 of title 31, United States Code.

Who and what would be affected

Affected entities

Federal agencies and departments that would otherwise obligate funds for settlement agreements involving covered persons (as defined).
The Trump v. Internal Revenue Service settlement is explicitly addressed as a non-obligable item under this act.

Potential beneficiaries and targets

Individuals linked to the insurrection (as defined) could be restricted from receiving taxpayer-funded settlements.
Government oversight bodies (Congress, DOJ, GAO) gain enhanced reporting and review requirements.

Procedural and timeline aspects

Introduction and referrals

Introduced June 3, 2026, and referred to the House Committee on the Judiciary.

Key dates required by the act

Reporting: For any settlement of $50,000 or more, the AG must report to Congress no later than 90 days prior to the scheduled obligation date.
GAO study: Due within 90 days after enactment.

Scope of applicability

The act applies to settlement agreements with a minimum obligation threshold of $50,000 and specifically targets settlements involving “covered persons.”

Additional notes

This summary focuses on the substantive elements and potential impact on settlement funding, oversight, and accountability related to insurrection-linked matters.

The bill defines a narrow set of individuals as “covered persons,” which directly influences which settlements would be subject to its restrictions and reporting requirements.