This bill restricts how federal agencies can settle lawsuits by requiring greater transparency and public input when agencies agree to consent decrees or settlement agreements that commit them to take regulatory action. Specifically, the law requires agencies to publish proposed settlements 60 days before filing them with a court, solicit and respond to public comments, and hold public hearings if desired. The bill also requires the Attorney General or agency head to personally certify settlements that would convert discretionary agency decisions into mandatory duties, commit unappropriated funds, or remove agency discretion in ways courts could not normally impose. Additionally, the bill makes it easier for states, local governments, tribes, and other interested parties to intervene in these lawsuits and participate in settlement negotiations. Agencies must also file annual reports with Congress detailing all covered settlements, their statutory basis, and any attorney fee awards. The legislation applies to lawsuits filed on or after its enactment and proposed settlements filed thereafter.