PolicyBrief
S. 210
119th CongressJan 23rd 2025
Stop Wasteful Advertising by the Government Act
IN COMMITTEE

The "SWAG Act" prohibits federal agencies from using taxpayer dollars for wasteful advertising expenses like promotional swag and agency mascots, while requiring transparency in public relations and advertising spending.

Joni Ernst
R

Joni Ernst

Senator

IA

LEGISLATION

SWAG Act Aims to Cut Federal Spending on Promotional Items and Mascots, Requires Spending Reports

The Stop Wasteful Advertising by the Government Act, or "SWAG Act," is pretty much what it sounds like. This bill aims to stop federal agencies from using taxpayer dollars on "publicity or propaganda," specifically targeting promotional freebies ("swag") and agency mascots. It also mandates that agencies report their public relations and advertising spending, along with an estimated "return on investment."

Cutting the Swag?

The core of the SWAG Act is about reining in what's seen as wasteful spending. Section 3 of the bill directly prohibits agencies from buying or distributing swag – think branded mugs, t-shirts, and all those freebies you might get at a government-sponsored event. It also bans the creation or use of mascots to promote an agency or its programs. The bill defines 'advertising' broadly, encompassing messages across various media platforms intended to inform or persuade the public (SEC. 2).

  • Real-World Example: Imagine a federal agency handing out tote bags with its logo at a job fair. Under this bill, that's a no-go, unless it falls under a specific exception.

  • Exceptions: There are loopholes. Swag is allowed if it supports the agency's mission and generates a positive "return on investment" (a term defined in the bill, but open to interpretation). Recruitment for the Armed Forces and federal jobs, and items used by the Census Bureau, are also exempt. Mascots are still okay if they're legally declared U.S. property, used for military recruitment, or represent a military academy's sports team.

Show Us the Money (Spent)

Beyond the swag ban, the bill tackles transparency. Agencies will now have to include detailed reports on their public relations and advertising spending in their yearly budget justifications to Congress. This includes that tricky "return on investment" estimate. This requirement could give us a clearer picture of how much is spent on self-promotion, but the 'return' calculation itself could be a point of contention.

  • Real-World Example: If an agency spends $1 million on a public awareness campaign, they'll need to justify that expense with an estimated positive outcome. How that outcome is measured is key.

Potential Pitfalls

While the goal is to cut waste, there are areas for potential maneuvering. Agencies might get creative with the "return on investment" justification to keep spending on PR. The definition of "informational brochures" (excluded from the swag definition) could also become a gray area. Agencies may use loopholes to continue using mascots for purposes other than those explicitly allowed. And, of course, funds could simply be shifted to other areas not covered by the bill, potentially leading to increased spending elsewhere. The bill requires the Office of Management and Budget to create regulations to carry out the Act within 180 days of enactment (SEC. 3), so the specifics of implementation will be crucial.