Jon Husted

WASHINGTON - U.S. Sen. Jon Husted wants the federal government out of the companies it has been buying into.

The Columbus-area Republican has introduced legislation that would require federal agencies to sell their ownership stakes in private for-profit companies within eight years and use the proceeds to pay down the national debt.

The “Investing in National Values, Economy, Strategy and Tomorrow Act” targets a tool that successive presidential administrations have used aggressively. Husted argues that permanent government influence in the U.S. economy conflicts with the capitalist model that built the nation’s prosperity.

In August 2025 the government took a stake in Intel, making an $8.9 billion investment by purchasing 433.3 million shares at $20.47 each for a roughly 10% position, funded by converting unpaid CHIPS Act grants and Defense Department money into equity.

That bet has paid off on paper. After a deal to manufacture chips for Apple sent Intel shares to a record in May 2026, the value of the government’s stake climbed from $8.9 billion to about $56.5 billion.

Husted’s bill assumes such positions should not last. It would cover common and preferred stock, partnership interests, warrants, options, golden shares and equity tied to public offerings or spin-offs. Agencies would have eight years from enactment to liquidate current holdings and eight years from acquisition to unload any future ones.

“Currently, there is no requirement for the federal government to sell its ownership stakes in private companies once those investments have served their purpose,” Husted said in a statement. “Without clear guardrails, future administrations could use taxpayer-funded investments to influence private companies and advance political agendas.”

The government has unwound large equity stakes before, with mixed results.

During the 2008 financial crisis, the Treasury Department invested $45 billion in Citigroup through the Troubled Asset Relief Program (TARP). It sold its final shares of the bank in December 2010, recovering the full $45 billion plus a profit of at least $12 billion.

The Treasury Department and Federal Reserve together netted a positive return of $22.7 billion by the time they sold the government’s final shares of insurer AIG in 2012, which were purchased through TARP. The two committed a combined $182.3 billion to stabilize AIG during the financial crisis, and the Treasury Department owned 92 percent of the company’s outstanding common stock in January 2011.

The auto bailout went the other way. The government received a 60.8% stake in General Motors for $49.5 billion during 2008 and 2009, recovered $39 billion when it sold the last shares in December 2013 and booked a $10.5 billion loss.

Husted argues a fixed exit ramp protects taxpayers regardless of which way a given stake moves.

“The INVEST Act would establish a responsible process to unwind these investments, prevent permanent government ownership in the private sector and use the proceeds to help reduce our national debt,” Husted said. “This is a commonsense step to protect taxpayers, strengthen accountability and ensure federal investments remain focused on their intended purpose.”