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

The Stop Wasteful Advertising by the Government (SWAG) Act prohibits federal agencies from using taxpayer funds to purchase promotional merchandise or create mascots, while requiring increased transparency regarding public relations and advertising expenditures.

Joni Ernst
R

Joni Ernst

Senator

IA

LEGISLATION

SWAG Act Targets Federal Spending: No More Taxpayer-Funded Fidget Spinners or Agency Mascots

The federal government is looking to clean out its junk drawer. The 'Stop Wasteful Advertising by the Government Act,' or SWAG Act, sets a hard line against using taxpayer dollars for promotional trinkets and costumed characters. Specifically, the bill prohibits federal agencies from spending funds on 'swag'—a list that includes everything from snuggies and fidget spinners to holiday ornaments and candy—and bans the creation or use of mascots to promote agency agendas. While iconic figures like Smokey Bear are grandfathered in, new furry friends for federal bureaucracy are officially off the table unless they are strictly for military recruitment or athletic teams.

Trimming the T-Shirt Budget

Under this bill, the days of picking up a free agency-branded tote bag or stress ball at a community fair are largely over. Section 2 provides an exhaustive list of banned items, covering basics like buttons and stickers to more niche items like jar grip openers and neckties. For the average person, this means your tax dollars are no longer being diverted into the promotional merchandise industry for the sake of 'brand awareness' for a government office. However, if you run a small business that specializes in custom-printed promotional products, this bill could represent a significant hit to your client base, as federal agencies would be barred from placing those bulk orders for outreach events.

The 'ROI' Loophole

While the ban sounds absolute, there is a notable exception: agencies can still buy these items if they can prove a 'positive return on investment' (ROI) for a specific mission-related program. This is where things get a bit murky. Section 3 allows for this exception but doesn't define exactly how an agency calculates the ROI of a branded keychain. For a busy professional, this is the 'fine print' moment—it creates a gray area where an agency might argue that a branded thermos is 'essential' to their mission, potentially allowing some spending to continue under a different name. The bill does mandate that agencies report their total advertising and PR spending to Congress annually, which at least puts the receipts on the table for public viewing.

Recruitment and Essential Services

It is not a total blackout on government communication. The bill smartly carves out exceptions for the things that actually keep the gears turning. Recruitment for the Armed Forces and federal jobs remains untouched, meaning the military can still use posters and materials to find new recruits. Similarly, the Census Bureau gets a pass to distribute items that help them get an accurate head count every ten years. By protecting these functions while cutting the fluff, the legislation attempts to distinguish between 'informing the public' and 'selling the agency,' though the success of that distinction will depend heavily on the regulations the Office of Management and Budget rolls out within the first 180 days.