WASHINGTON, D.C. – Today, U.S. Reps. Kathy Castor (FL-14) and Dave Min (CA-47) introduced the Employee Limits ON Profiteering Act (ELON Profiteering Act) that would prevent special government employees like Elon Musk from receiving any federal contracts, grants and awards, similar to prohibitions for most government workers. 

“Elon Musk should not profit off his official position as he gains unlimited access to the inner workings of the U.S. government,” said Castor. “Conflict of interest laws should apply to him just as they apply to all government employees. Musk has built a vast business empire with the help of extensive government contracts, and he should not be able to use his position as the head of the so-called Department of Government Efficiency to boost the bottom line of his companies.  He should not be allowed to profit through special access and information gained as a special government employee. Special government employees – like all public servants –should put the taxpayer’s interests before their personal interests.”

Castor continued, “We need ethical guardrails to ensure that there are no blurred lines between private profit and public power. Since Republicans in the U.S. House, Senate, and White House refuse to hold Musk accountable, I have introduced the ELON Profiteering Act with Rep. Min to prevent certain current and future special government employees from profiting off of unchecked conflicts of interest.”

“No one is above the law, and no one should be using the federal government for their personal gain,” said Rep. Min. “Elon Musk, an unelected and unvetted billionaire, is using the government to enrich himself and his companies, all while gutting federal programs that millions of Americans rely on like Social Security and Medicaid. I’m proud to join Rep. Castor to demand more oversight.”

Full text of the legislation can be viewed here.

To date, Elon Musk has profited from: 

• Approximately $20.7B in SpaceX contracts, loans, subsidies and tax credits, across a variety of agencies
• Approximately $1.6B in Tesla research & development and federal renewable energy tax credits
• $465M loan to Tesla from Department of Energy
• $41.9M in Tesla contracts
• $17M in Tesla grants

Most federal employees are generally prohibited from receiving grants or contracts with the government. This government policy helps avoid any conflict of interest that might arise between the personal or direct business interests of an individual and their duties as a government employee. Congress created the “special government employee” position to allow experts, professionals, and other knowledgeable Americans to serve our country in a limited capacity, but it appears that Musk has exploited his position and intends to profit from it.

The prohibition in this legislation would extend to the special government employees’ spouses and children, as well as to any organization where the employee serves as an officer, director, trustee, general partner or employee.

This legislation is endorsed by Project on Government Oversight (POGO), Public Citizen and State Democracy Defenders Action.