H.R. 757 — SWAG Act

This section defines terms used in the Act, including "(1) 'advertising' as the placement of messages in media (e.g., television, radio, digital media, billboards) intended to inform or persuade; (2) 'agency' as having the meaning given in 5 U.S.C. §551 (i.e., each authority of the U.S. government, excluding Congress, courts, territorial governments, D.C. government, and certain other entities); (3) 'mascot' as an individual, animal, or object (including a costumed character) adopted by an agency to represent the agency, its mission, or a program; (4) 'public relations' as agency communications directed to the public to maintain the agency's image or promote favorable relations; (5) 'return on investment' as a positive return in achieving agency or program goals relative to spending on public relations and advertising; and (6) 'swag' as tangible promotional merchandise (e.g., clothing, keychains, stickers, stress balls) distributed at no cost, excluding honorary Armed Forces awards (e.g., challenge coins), informational brochures, and diplomatic gifts."

This section prohibits federal agencies from using funds to acquire, distribute, or manufacture swag (i.e., promotional merchandise) or mascots for promoting an agency, organization, program, or agenda, subject to exceptions. Exceptions include (1) for swag, agency programs generating positive return on investment, recruitment for Armed Forces or federal employment, and Census Bureau items; and (2) for mascots, those declared U.S. property by law (e.g., Smokey Bear and Woodsy Owl under 16 U.S.C. 580p–1), Armed Forces recruitment, and military academy athletic teams. (Thus, the prohibition preserves use of longstanding public service mascots like Smokey Bear and Woodsy Owl.) The section also requires agencies to report prior-year public relations and advertising spending—including return-on-investment estimates—in annual budget justifications to Congress and directs the Office of Management and Budget to issue implementing regulations within 180 days of enactment.