Elon Musk Act: Federal Contracts and 'Special Government Employees'

Proposed Legislation Targets Federal Contracts for Individuals with Conflicting Interests

Representative Mark Pocan, a Democrat from Wisconsin, is preparing to submit legislation aimed at preventing individuals functioning as “special government employees,” such as Elon Musk, from securing federal contracts.

The ELON MUSK Act

The proposed legislation has been formally named the ELON MUSK Act, an acronym representing Eliminate Looting of Our Nation by Mitigating Unethical State Kleptocracy.

Pocan articulated his rationale, stating, “It is imperative that no government employee, regardless of their designation, possess a financial stake in governmental contracting decisions.”

Concerns Regarding Elon Musk’s Involvement

He further emphasized, “Elon Musk exemplifies the potential for abuse in this area. Given that over $20 billion in federal contracts have been awarded, objectivity in his actions is questionable.

Our primary responsibility must be the protection of taxpayer funds.”

SpaceX, owned by Musk, currently maintains federal contracts with both NASA and the Department of Defense.

Existing Ethics Regulations

Current federal regulations outline ethical guidelines for special government employees.

However, there are indications that these guidelines may be disregarded.

Specifically, statutes addressing financial conflicts of interest prohibit special employees from engaging in matters that directly impact their personal financial interests.

Department of Government Efficiency (DOGE)

Upon assuming office, former President Donald Trump appointed Musk to lead the Department of Government Efficiency (DOGE), a newly formed advisory group.

This group possesses considerable authority across numerous federal agencies, many of which oversee industries where Musk has significant investments.

Conflicts with Official Duties

Ethics regulations also generally discourage outside activities that conflict with official responsibilities.

Musk currently holds leadership positions at multiple companies, including Tesla, SpaceX, xAI, X (formerly Twitter), Neuralink, and The Boring Company.

Access to Sensitive Systems

Musk’s increasing influence within federal agencies has prompted public demonstrations and political resistance.

He has requested unrestricted access to federal government computer systems, including those managed by the Treasury Department, which process Social Security and Medicare payments.

Legislative and Legal Challenges

In response, House and Senate Democrats have introduced a separate bill to prevent “unlawful access” to the Treasury payments system.

Furthermore, two federal employee unions have initiated legal action to block DOGE’s access to this critical system.