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SOTU [State of the Union] 1999 - Campaign Finance Bills and Referenda [Binder] [1]
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�SOTU 1999 Campaign Finance
Bills and Referenda
�SOTU 1999 - Campaign Finance Bills and Referenda
�Shays-Meehan
House Bill
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HR3526 IH
105th CONGRESS
2d Session
H. R. 3526
To reform the financing of Federal elections.
IN THE HOUSE OF REPRESENTATIVES
March 19,1998
Mr. SHAYS (for himself, Mr. MEEHAN, Mrs. ROUKEMA, Mrs. CAPPS, Mr. LEACH, Mr. MORAN
of Virginia, Mrs. MORELLA, Mr. LUTHER, Mr. BILBRAY, Mrs. MALONEY of New York, Mr.
BLUMENAUER, Mr. MINGE, Mr. WEXLER, Mr. BARRETT of Wisconsin, and Mr. ALLEN)
introduced the following bill; which was referred to the Committee on House Oversight, and in addition
to the Committees on Education and the Workforce, Government Reform and Oversight, and the
Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of
such provisions as fall within the jurisdiction of the committee concerned
A BILL
To reform the financing of Federal elections.
Be it enacted by the Senate and House of Representatives of the United States of America in
Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE- This Act may be cited as the ^Bipartisan Campaign Reform Act of 1998'.
(b) TABLE OF CONTENTS- The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I -REDUCTION OF SPECIAL INTEREST INFLUENCE
Sec. 101. Soft money of political parties.
Sec. 102. Increased contribution limits for State committees of political parties and
aggregate contribution limit for individuals.
Sec. 103. Reporting requirements.
TITLE II—INDEPENDENT AND COORDINATED EXPENDITURES
Sec. 201. Definitions.
Sec. 202. Civil penalty.
Sec. 203. Reporting requirements for certain independent expenditures.
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Sec. 204. Independent versus coordinated expenditures by party.
Sec. 205. Coordination with candidates.
TITLE III-DISCLOSURE
Sec. 301. Filing of reports using computers and facsimile machines.
Sec. 302. Prohibition of deposit of contributions with incomplete contributor information.
Sec. 303. Audits.
Sec. 304. Reporting requirements for contributions of $50 or more.
Sec. 305. Use of candidates' names.
Sec. 306. Prohibition of false representation to solicit contributions.
Sec. 307. Soft money of persons other than political parties.
Sec. 308. Campaign advertising.
T I T L E I V - P E R S O N A L W E A L T H OPTION
Sec. 401. Voluntary personal funds expenditure limit.
Sec. 402. Political party committee coordinated expenditures.
TITLE V--MISCELLANEOUS
Sec. 501. Codification of Beck decision.
Sec. 502. Use of contributed amounts for certain purposes.
Sec. 503. Limit on congressional use of the franking privilege.
Sec. 504. Prohibition of fundraising on Federal property.
Sec. 505. Penalties for knowing and willful violations.
Sec. 506. Strengthening foreign money ban.
Sec. 507. Prohibition of contributions by minors.
Sec. 508. Expedited procedures.
Sec. 509. Initiation of enforcement proceeding.
T I T L E VI—SEVERABILITY; CONSTITUTIONALITY; E F F E C T I V E DATE;
REGULATIONS
Sec. 601. Severability.
Sec. 602. Review of constitutional issues.
Sec. 603. Effective date.
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Sec. 604. Regulations.
T I T L E I-REDUCTION OF SPECIAL INTEREST INFLUENCE
SEC. 101. SOFT MONEY OF POLITICAL PARTIES.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) is amended by
adding at the end the following:
SEC. 323. SOFT MONEY OF POLITICAL PARTIES.
'(a) NATIONAL COMMITTEES"(1) IN GENERAL- A national committee of a political party (including a national
congressional campaign committee of a political party) and any officers or agents of such
party committees, shall not solicit, receive, or direct to another person a contribution,
donation, or transfer of funds, or spend any funds, that are not subject to the limitations,
prohibitions, and reporting requirements of this Act.
\2) APPLICABILITY- This subsection shall apply to an entity that is directly or indirectly
established, financed, maintained, or controlled by a national committee of a political party
(including a national congressional campaign committee of a political party), or an entity
acting on behalf of a national committee, and an officer or agent acting on behalf of any
such committee or entity.
\b) STATE, DISTRICT, AND LOCAL COMMITTEES"(1) IN GENERAL- An amount that is expended or disbursed by a State, district, or local
committee of a political party (including an entity that is directly or indirectly established,
financed, maintained, or controlled by a State, district, or local committee of a political
party and an officer or agent acting on behalf of such committee or entity) for Federal
election activity shall be made from funds subject to the limitations, prohibitions, and
reporting requirements of this Act.
'(2) FEDERAL ELECTION ACTIVITY\ A ) IN GENERAL- The term 'Federal election activity' means'(i) voter registration activity during the period that begins on the date that is
120 days before the date a regularly scheduled Federal election is held and ends
on the date of the election;
'(ii) voter identification, get-out-the-vote activity, or generic campaign activity
conducted in connection with an election in which a candidate for Federal
office appears on the ballot (regardless of whether a candidate for State or local
office also appears on the ballot); and
'(iii) a communication that refers to a clearly identified candidate for Federal
office (regardless of whether a candidate for State or local office is also
mentioned or identified) and is made for the purpose of influencing a Federal
election (regardless of whether the communication is express advocacy).
'(B) EXCLUDED ACTIVITY- The term 'Federal election activity' does not include
an amount expended or disbursed by a State, district, or local committee of a political
party for—
"(i) campaign activity conducted solely on behalf of a clearly identified
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candidate for State or local office, provided the campaign activity is not a
Federal election activity described in subparagraph (A);
'(ii) a contribution to a candidate for State or local office, provided the
contribution is not designated or used to pay for a Federal election activity
described in subparagraph (A);
'(iii) the costs of a State, district, or local political convention;
'(iv) the costs of grassroots campaign materials, including buttons, bumper
stickers, and yard signs, that name or depict only a candidate for State or local
office;
'(v) the non-Federal share of a State, district, or local party committee's
administrative and overhead expenses (but not including the compensation in
any month of an individual who spends more than 20 percent of the individual's
time on Federal election activity) as determined by a regulation promulgated by
the Commission to determine the non-Federal share of a State, district, or local
party committee's administrative and overhead expenses; and
'(vi) the cost of constructing or purchasing an office facility or equipment for a
State, district or local committee.
'(c) FUNDRAISING COSTS- An amount spent by a national, State, district, or local committee of
a political party, by an entity that is established,financed,maintained, or controlled by a national,
State, district, or local committee of a political party, or by an agent or officer of any such
committee or entity, to raise funds that are used, in whole or in part, to pay the costs of a Federal
election activity shall be made from funds subject to the limitations, prohibitions, and reporting
requirements of this Act.
'(d) TAX-EXEMPT ORGANIZATIONS- A national, State, district, or local committee of a
political party (including a national congressional campaign committee of a political party, an
entity that is directly or indirectly established, financed, maintained, or controlled by any such
national, State, district, or local committee or its agent, an agent acting on behalf of any such party
committee, and an officer or agent acting on behalf of any such party committee or entity), shall
not solicit any funds for, or make or direct any donations to, an organization that is described in
section 501(c) of the Internal Revenue Code of 1986 and exempt from taxation under section
501(a) of such Code (or has submitted an application to the Secretary of the Internal Revenue
Service for determination of tax-exemption under such section).
'(e) CANDIDATES'(1) IN GENERAL- A candidate, individual holding Federal office, or agent of a candidate
or individual holding Federal office shall not solicit, receive, direct, transfer, or spend funds
for a Federal election activity on behalf of such candidate, individual, agent or any other
person, unless the funds are subject to the limitations, prohibitions, and reporting
requirements of this Act.
'(2) STATE LAW- Paragraph (1) does not apply to the solicitation or receipt of funds by an
individual who is a candidate for a State or local office if the solicitation or receipt of funds
is permitted under State law for any activity other than a Federal election activity.
'(3) FUNDRAISING EVENTS- Paragraph (1) does not apply in the case of a candidate who
attends, speaks, or is a featured guest at a fundraising event sponsored by a State, district, or
local committee of a political party.'.
SEC. 102. INCREASED CONTRIBUTION LIMITS FOR STATE COMMITTEES
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OF POLITICAL PARTIES AND AGGREGATE CONTRIBUTION LIMIT FOR
INDIVIDUALS.
(a) CONTRIBUTION LIMIT FOR STATE COMMITTEES OF POLITICAL PARTIES- Section
315(a)(1) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(l)) is amended-(1) in subparagraph (B), by striking 'or' at the end;
(2) in subparagraph (C)(A) by inserting '(other than a committee described in subparagraph (D))' after
'committee'; and
(B) by striking the period at the end and inserting '; or'; and
(3) by adding at the end the following:
'(D) to a political committee established and maintained by a State committee of a political
party in any calendar year that, in the aggregate, exceed $10,000'.
(b) AGGREGATE CONTRIBUTION LIMIT FOR INDIVIDUAL- Section 315(a)(3) of the
Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(3)) is amended by striking '$25,000'
and inserting '$30,000'.
SEC. 103. REPORTING REQUIREMENTS.
(a) REPORTING REQUIREMENTS- Section 304 of the Federal Election Campaign Act of 1971
(2 U.S.C. 434) (as amended by section 203) is amended by inserting after subsection (d) the
following:
'(e) POLITICAL COMMITTEES'(1) NATIONAL AND CONGRESSIONAL POLITICAL COMMITTEES- The national
committee of a political party, any national congressional campaign committee of a political
party, and any subordinate committee of either, shall report all receipts and disbursements
during the reporting period.
'(2) OTHER POLITICAL COMMITTEES TO WHICH SECTION 323 APPLIES- A
political committee (not described in paragraph (1)) to which section 323(b)(1) applies shall
report all receipts and disbursements made for activities described in paragraphs (2) and
(3)(A)(v) of section 323(b).
'(3) ITEMIZATION- If a political committee has receipts or disbursements to which this
subsection applies from any person aggregating in excess of $200 for any calendar year, the
political committee shall separately itemize its reporting for such person in the same manner
as required in paragraphs (3)(A), (5), and (6) of subsection (b).
'(4) REPORTING PERIODS- Reports required to be filed under this subsection shall be
filed for the same time periods required for political committees under subsection (a).'.
(b) BUILDING FUND EXCEPTION TO THE DEFINITION OF CONTRIBUTION- Section
301(8)(B) of the Federal Election Campaign Act of 1971 (2 U.S.C. 431(8)(B)) is amended-(1) by striking clause (viii); and
(2) by redesignating clauses (ix) through (xiv) as clauses (viii) through (xiii), respectively.
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T I T L E II-INDEPENDENT AND COORDINATED EXPENDITURES
SEC. 201. DEFINITIONS.
(a) DEFINITION OF INDEPENDENT EXPENDITURE- Section 301 of the Federal Election
Campaign Act (2 U.S.C. 431) is amended by striking paragraph (17) and inserting the following:
XI7) INDEPENDENT EXPENDITURE'(A) IN GENERAL- The term 'independent expenditure' means an expenditure by a
person—
'(i) for a communication that is express advocacy; and
'(ii) that is not provided in coordination with a candidate or a candidate's agent
or a person who is coordinating with a candidate or a candidate's agent.'.
(b) DEFINITION OF EXPRESS ADVOCACY- Section 301 of the Federal Election Campaign
Act of 1971 (2 U.S.C. 431) is amended by adding at the end the following:
'(20) EXPRESS ADVOCACY'(A) IN GENERAL- The term 'express advocacy' means a communication that
advocates the election or defeat of a candidate by~
'(i) containing a phrase such as 'vote for', 're-elect', 'support', 'cast your ballot
for', '(name of candidate) for Congress', '(name of candidate) in 1997', 'vote
against', 'defeat', 'reject', or a campaign slogan or words that in context can
have no reasonable meaning other than to advocate the election or defeat of 1 or
more clearly identified candidates;
'(ii) referring to 1 or more clearly identified candidates in a paid advertisement
that is broadcast by a radio broadcast station or a television broadcast station
within 60 calendar days preceding the date of an election of the candidate and
that appears in the State in which the election is occurring, except that with
respect to a candidate for the office of Vice President or President, the time
period is within 60 calendar days preceding the date of a general election; or
'(iii) expressing unmistakable and unambiguous support for or opposition to 1
or more clearly identified candidates when taken as a whole and with limited
reference to external events, such as proximity to an election.
'(B) VOTING RECORD AND VOTING GUIDE EXCEPTION- The term 'express
advocacy' does not include a printed communication that—
'(i) presents information in an educational manner solely about the voting
record or position on a campaign issue of 2 or more candidates;
'(ii) that is not made in coordination with a candidate, political party, or agent
of the candidate or party; or a candidate's agent or a person who is coordinating
with a candidate or a candidate's agent;
'(iii) does not contain a phrase such as 'vote for', 're-elect', 'support', 'cast your
ballot for', '(name of candidate) for Congress', '(name of candidate) in 1997',
'vote against', 'defeat', or 'reject', or a campaign slogan or words that in context
can have no reasonable meaning other than to urge the election or defeat of 1 or
more clearly identified candidates.'.
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(c) DEFINITION OF EXPENDITURE- Section 301(9)(A) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 431(9)(A)) is amended-(1) in clause (i), by striking 'and' at the end;
(2) in clause (ii), by striking the period at the end and inserting '; and'; and
(3) by adding at the end the following:
'(iii) a payment for a communication that is express advocacy; and
'(iv) a payment made by a person for a communication that'(I) refers to a clearly identified candidate;
'(II) is provided in coordination with the candidate, the candidate's agent, or the
political party of the candidate; and
'(III) is for the purpose of influencing a Federal election (regardless of whether the
communication is express advocacy).'.
S E C . 202. C I V I L P E N A L T Y .
Section 309 of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g) is amended-(1) in subsection (a)~
(A) in paragraph (4)(A)~
(i) in clause (i), by striking 'clause (ii)' and inserting 'clauses (ii) and (iii)'; and
(ii) by adding at the end the following:
'(iii) If the Commission determines by an affirmative vote of 4 of its members that there is
probable cause to believe that a person has made a knowing and willful violation of section
304(c), the Commission shall not enter into a conciliation agreement under this paragraph and
may institute a civil action for relief under paragraph (6)(A).'; and
(B) in paragraph (6)(B), by inserting '(except an action instituted in connection with a
knowing and willful violation of section 304(c))' after 'subparagraph (A)'; and
(2) in subsection (d)(1)—
(A) in subparagraph (A), by striking 'Any person' and inserting 'Except as provided
in subparagraph (D), any person'; and
(B) by adding at the end the following:
'(D) In the case of a knowing and willful violation of section 304(c) that involves the reporting of
an independent expenditure, the violation shall not be subject to this subsection.'.
S E C . 203. R E P O R T I N G R E Q U I R E M E N T S F O R C E R T A I N I N D E P E N D E N T
EXPENDITURES.
Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 434) is amended-
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(1) in subsection (c)(2), by striking the undesignated matter after subparagraph (C);
(2) by redesignating paragraph (3) of subsection (c) as subsection (f); and
(3) by inserting after subsection (c)(2) (as amended by paragraph (1)) the following:
Xd) TIME FOR REPORTING CERTAIN EXPENDITURESXI) EXPENDITURES AGGREGATING $1,000XA) INITIAL REPORT- A person (including a political committee) that makes or
contracts to make independent expenditures aggregating $ 1,000 or more after the 20th
day, but more than 24 hours, before the date of an election shall file a report
describing the expenditures within 24 hours after that amount of independent
expenditures has been made.
XB) ADDITIONAL REPORTS- After a person files a report under subparagraph (A),
the person shall file an additional report within 24 hours after each time the person
makes or contracts to make independent expenditures aggregating an additional
$1,000 with respect to the same election as that to which the initial report relates.
X2) EXPENDITURES AGGREGATING $10,000XA) INITIAL REPORT- A person (including a political committee) that makes or
contracts to make independent expenditures aggregating $10,000 or more at any time
up to and including the 20th day before the date of an election shall file a report
describing the expenditures within 48 hours after that amount of independent
expenditures has been made.
XB) ADDITIONAL REPORTS- After a person files a report under subparagraph (A),
the person shall file an additional report within 48 hours after each time the person
makes or contracts to make independent expenditures aggregating an additional
$10,000 with respect to the same election as that to which the initial report relates.
X3) PLACE OF FILING; CONTENTS- A report under this subsectionXA) shall be filed with the Commission; and
XB) shall contain the information required by subsection (b)(6)(B)(iii), including the
name of each candidate whom an expenditure is intended to support or oppose.'.
SEC. 204. INDEPENDENT VERSUS COORDINATED EXPENDITURES BY
PARTY.
Section 315(d) of the Federal Election Campaign Act (2 U.S.C. 441a(d)) is amended(1) in paragraph (1), by striking 'and (3)' and inserting ', (3), and (4)'; and
(2) by adding at the end the following:
'(4) INDEPENDENT VERSUS COORDINATED EXPENDITURES BY PARTY'(A) IN GENERAL- On or after the date on which a political party nominates a candidate, a
committee of the political party shall not make both expenditures under this subsection and
independent expenditures (as defined in section 301(17)) with respect to the candidate
during the election cycle.
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XB) CERTIFICATION- Before making a coordinated expenditure under this subsection
with respect to a candidate, a committee of a political party shall file with the Commission a
certification, signed by the treasurer of the committee, that the committee has not and shall
not make any independent expenditure with respect to the candidate during the same
election cycle.
XQ APPLICATION- For the purposes of this paragraph, all political committees
established and maintained by a national political party (including all congressional
campaign committees) and all political committees established and maintained by a State
political party (including any subordinate committee of a State committee) shall be
considered to be a single political committee.
XD) TRANSFERS- A committee of a political party that submits a certification under
subparagraph (B) with respect to a candidate shall not, during an election cycle, transfer any
funds to, assign authority to make coordinated expenditures under this subsection to, or
receive a transfer of funds from, a committee of the political party that has made or intends
to make an independent expenditure with respect to the candidate.'.
SEC. 205. COORDINATION WITH CANDIDATES.
(a) DEFINITION OF COORDINATION WITH CANDIDATES(1) SECTION 301(8)- Section 301(8) of the Federal Election Campaign Act of 1971 (2
U.S.C. 431(8)) is amended(A) in subparagraph (A)~
(i) by striking 'or' at the end of clause (i);
(ii) by striking the period at the end of clause (ii) and inserting '; or'; and
(iii) by adding at the end the following:
'(iii) anything of value provided by a person in coordination with a candidate
for the purpose of influencing a Federal election, regardless of whether the
value being provided is a communication that is express advocacy, in which
such candidate seeks nomination or election to Federal office.'; and
(B) by adding at the end the following:
'(C) The term 'provided in coordination with a candidate' includes'(i) a payment made by a person in cooperation, consultation, or concert with,
at the request or suggestion of, or pursuant to any general or particular
understanding with a candidate, the candidate's authorized committee, or an
agent acting on behalf of a candidate or authorized committee;
'(ii) a payment made by a person for the production, dissemination,
distribution, or republication, in whole or in part, of any broadcast or any
written, graphic, or other form of campaign material prepared by a candidate, a
candidate's authorized committee, or an agent of a candidate or authorized
committee (not including a communication described in paragraph (9)(B)(i) or
a communication that expressly advocates the candidate's defeat);
'(iii) a payment made by a person based on information about a candidate's
plans, projects, or needs provided to the person making the payment by the
candidate or the candidate's agent who provides the information with the intent
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that the payment be made;
'(iv) a payment made by a person if, in the same election cycle in which the
payment is made, the person making the payment is serving or has served as a
member, employee, fundraiser, or agent of the candidate's authorized
committee in an executive or policymaking position;
'(v) a payment made by a person ifthe person making the payment has served
in any formal policy making or advisory position with the candidate's campaign
or has participated in formal strategic or formal policymaking discussions with
the candidate's campaign relating to the candidate's pursuit of nomination for
election, or election, to Federal office, in the same election cycle as the election
cycle in which the payment is made;
'(vi) a payment made by a person if, in the same election cycle, the person
making the payment retains the professional services of any person that has
provided or is providing campaign-related services in the same election cycle to
a candidate in connection with the candidate's pursuit of nomination for
election, or election, to Federal office, including services relating to the
candidate's decision to seek Federal office, and the person retained is retained
to work on activities relating to that candidate's campaign;
'(vii) a payment made by a person who has engaged in a coordinated activity
with a candidate described in clauses (i) through (vi) for a communication that
clearly refers to the candidate and is for the purpose of influencing an election
(regardless of whether the communication is express advocacy);
'(viii) direct participation by a person in fundraising activities with the
candidate or in the solicitation or receipt of contributions on behalf of the
candidate;
'(ix) communication by a person with the candidate or an agent of the
candidate, occurring after the declaration of candidacy (including a pollster,
media consultant, vendor, advisor, or staff member), acting on behalf of the
candidate, about advertising message, allocation of resources, fundraising, or
other campaign matters related to the candidate's campaign, including
campaign operations, staffing, tactics, or strategy; or
'(x) the provision of in-kind professional services or polling data to the
candidate or candidate's agent.
'(D) For purposes of subparagraph (C), the term 'professional services' includes
services in support of a candidate's pursuit of nomination for election, or election, to
Federal office such as polling, media advice, direct mail, fundraising, or campaign
research.
'(E) For purposes of subparagraph (C), all political committees established and
maintained by a national political party (including all congressional campaign
committees) and all political committees established and maintained by a State
political party (including any subordinate committee of a State committee) shall be
considered to be a single political committee.'.
(2) SECTION 315(a)(7)- Section 315(a)(7) (2 U.S.C. 441a(a)(7)) is amended by striking
subparagraph (B) and inserting the following:
'(B) a thing of value provided in coordination with a candidate, as described in
section 301(8)(A)(iii), shall be considered to be a contribution to the candidate, and in
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the case of a limitation on expenditures, shall be treated as an expenditure by the
candidate.
(b) MEANING OF CONTRIBUTION OR EXPENDITURE FOR THE PURPOSES OF
SECTION 316- Section 316(b)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C.
441b(b)) is amended by striking 'shall include' and inserting 'includes a contribution or
expenditure, as those terms are defined in section 301, and also includes'.
T I T L E III-DISCLOSURE
SEC. 301. FILING OF REPORTS USING COMPUTERS AND FACSIMILE
MACHINES.
Section 302(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 434(a)) is amended by
striking paragraph (11) and inserting the following:
'(11)(A) The Commission shall promulgate a regulation under which a person required to
file a designation, statement, or report under this Act~
'(i) is required to maintain and file a designation, statement, or report for any calendar
year in electronic form accessible by computers if the person has, or has reason to
expect to have, aggregate contributions or expenditures in excess of a threshold
amount determined by the Commission; and
'(ii) may maintain and file a designation, statement, or report in electronic form or an
alternative form, including the use of a facsimile machine, if not required to do so
under the regulation promulgated under clause (i).
'(B) The Commission shall make a designation, statement, report, or notification that is
filed electronically with the Commission accessible to the public on the Internet not later
than 24 hours after the designation, statement, report, or notification is received by the
Commission.
'(C) In promulgating a regulation under this paragraph, the Commission shall provide
methods (other than requiring a signature on the document being filed) for verifying
designations, statements, and reports covered by the regulation. Any document verified
under any of the methods shall be treated for all purposes (including penalties for perjury) in
the same manner as a document verified by signature.'.
SEC. 302. PROHIBITION OF DEPOSIT OF CONTRIBUTIONS WITH
INCOMPLETE CONTRIBUTOR INFORMATION.
Section 302 of Federal Election Campaign Act of 1971 (2 U.S.C. 432) is amended by adding at
the end the following:
'(j) DEPOSIT OF CONTRIBUTIONS- The treasurer of a candidate's authorized committee shall
not deposit, except in an escrow account, or otherwise negotiate a contribution from a person who
makes an aggregate amount of contributions in excess of $200 during a calendar year unless the
treasurer verifies that the information required by this section with respect to the contributor is
complete.'.
SEC. 303. AUDITS.
(a) RANDOM AUDITS- Section 311(b) of the Federal Election Campaign Act of 1971 (2 U.S.C.
438(b)) is amended(1) by inserting '(1) IN GENERAL-' before 'The Commission'; and
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(2) by adding at the end the following:
'(2) RANDOM AUDITS'(A) IN GENERAL- Notwithstanding paragraph (1), the Commission may conduct
random audits and investigations to ensure voluntary compliance with this Act. The
selection of any candidate for a random audit or investigation shall be based on
criteria adopted by a vote of at least 4 members of the Commission.
'(B) LIMITATION- The Commission shall not conduct an audit or investigation of a
candidate's authorized committee under subparagraph (A) until the candidate is no
longer a candidate for the office sought by the candidate in an election cycle.
'(C) APPLICABILITY- This paragraph does not apply to an authorized committee of
a candidate for President or Vice President subject to audit under section 9007 or
9038 of the Internal Revenue Code of 1986.'.
(b) EXTENSION OF PERIOD DURING WHICH CAMPAIGN AUDITS MAY BE BEGUNSection 311(b) of the Federal Election Campaign Act of 1971 (2 U.S.C. 438(b)) is amended by
striking '6 months' and inserting '12 months'.
SEC. 304. REPORTING REQUIREMENTS FOR CONTRIBUTIONS OF $50 OR
MORE.
Section 304(b)(3)(A) of the Federal Election Campaign Act at 1971 (2 U.S.C. 434(b)(3)(A) is
amended(1) by striking '$200' and inserting '$50'; and
(2) by striking the semicolon and inserting ', except that in the case of a person who makes
contributions aggregating at least $50 but not more than $200 during the calendar year, the
identification need include only the name and address of the person;'.
S E C . 305. U S E O F C A N D I D A T E S ' N A M E S .
Section 302(e) of the Federal Election Campaign Act of 1971 (2 U.S.C. 432(e)) is amended by
striking paragraph (4) and inserting the following:
,
(4)(A) The name of each authorized committee shall include the name of the candidate who
authorized the committee under paragraph (1).
'(B) A political committee that is not an authorized committee shall not—
'(i) include the name of any candidate in its name; or
'(ii) except in the case of a national, State, or local party committee, use the
name of any candidate in any activity on behalf of the committee in such a
context as to suggest that the committee is an authorized committee of the
candidate or that the use of the candidate's name has been authorized by the
candidate.'.
SEC. 306. PROHIBITION OF FALSE REPRESENTATION TO SOLICIT
CONTRIBUTIONS.
Section 322 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 Ih) is amended-
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(1) by inserting after 'SEC. 322.' the following: '(a) IN GENERAL-'; and
(2) by adding at the end the following:
'(b) SOLICITATION OF CONTRIBUTIONS- No person shall solicit contributions by falsely
representing himself or herself as a candidate or as a representative of a candidate, a political
committee, or a political party.'.
SEC. 307. SOFT MONEY OF PERSONS OTHER THAN POLITICAL PARTIES.
(a) IN GENERAL- Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 434) (as
amended by section 103(c) and section 203) is amended by adding at the end the following:
Xg) DISBURSEMENTS OF PERSONS OTHER THAN POLITICAL PARTIESXI) IN GENERAL- A person, other than a political committee or a person described in
section 501(d) of the Internal Revenue Code of 1986, that makes an aggregate amount of
disbursements in excess of $50,000 during a calendar year for activities described in
paragraph (2) shall file a statement with the Commission—
XA) on a monthly basis as described in subsection (a)(4)(B); or
XB) in the case of disbursements that are made within 20 days of an election, within
24 hours after the disbursements are made.
X2) ACTIVITY- The activity described in this paragraph isXA) Federal election activity;
XB) an activity described in section 316(b)(2)(A) that expresses support for or
opposition to a candidate for Federal office or a political party; and
XQ an activity described in subparagraph (C) of section 316(b)(2).
X3) APPLICABILITY- This subsection does not apply to~
XA) a candidate or a candidate's authorized committees; or
XB) an independent expenditure.
X4) CONTENTS- A statement under this section shall contain such information about the
disbursements made during the reporting period as the Commission shall prescribe,
includingXA) the aggregate amount of disbursements made;
XB) the name and address of the person or entity to whom a disbursement is made in
an aggregate amount in excess of $200;
XQ the date made, amount, and purpose of the disbursement; and
XD) if applicable, whether the disbursement was in support of, or in opposition to, a
candidate or a political party, and the name of the candidate or the political party.'.
(b) DEFINITION OF GENERIC CAMPAIGN ACTIVITY- Section 301 of the Federal Election
Campaign Act of 1971 (2 U.S.C. 431 et seq.) (as amended by section 201(b)) is further amended
by adding at the end the following:
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'(21) GENERIC CAMPAIGN ACTIVITY- The term 'generic campaign activity' means an
activity that promotes a political party and does not promote a candidate or non-Federal
candidate.'.
SEC. 308. CAMPAIGN ADVERTISING.
Section 318 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 Id) is amended(1) in subsection (a)—
(A) in the matter preceding paragraph (1)(i) by striking 'Whenever' and inserting 'Whenever a political committee makes
a disbursement for the purpose of financing any communication through any
broadcasting station, newspaper, magazine, outdoor advertising facility,
mailing, or any other type of general public political advertising, or whenever';
(ii) by striking 'an expenditure' and inserting 'a disbursement'; and
(iii) by striking 'direct'; and
(B) in paragraph (3), by inserting 'and permanent street address' after 'name'; and
(2) by adding at the end the following:
'(c) Any printed communication described in subsection (a) shall—
'(1) be of sufficient type size to be clearly readable by the recipient of the communication;
'(2) be contained in a printed box set apart from the other contents of the communication;
and
'(3) be printed with a reasonable degree of color contrast between the background and the
printed statement.
'(d)(1) Any broadcast or cablecast communication described in paragraphs (1) or (2) of subsection
(a) shall include, in addition to the requirements of that paragraph, an audio statement by the
candidate that identifies the candidate and states that the candidate has approved the
communication.
'(2) If a broadcast or cablecast communication described in paragraph (1) is broadcast or cablecast
by means of television, the communication shall include, in addition to the audio statement under
paragraph (1), a written statement that'(A) appears at the end of the communication in a clearly readable manner with a reasonable
degree of color contrast between the background and the printed statement, for a period of at
least 4 seconds; and
'(B) is accompanied by a clearly identifiable photographic or similar image of the candidate.
'(e) Any broadcast or cablecast communication described in paragraph (3) of subsection (a) shall
include, in addition to the requirements of that paragraph, in a clearly spoken manner, the
following statement: 'XXXXXXXX is responsible for the content of this advertisement.' (with the
blank to be filled in with the name of the political committee or other person paying for the
communication and the name of any connected organization of the payor). If broadcast or
cablecast by
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means of television, the statement shall also appear in a clearly readable manner with a reasonable
degree of color contrast between the background and the printed statement, for a period of at least 4
seconds.'.
TITLE IV-PERSONAL WEALTH OPTION
SEC. 401. VOLUNTARY PERSONAL FUNDS EXPENDITURE LIMIT.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) (as amended by
section 101) is amended by adding at the end the following:
SEC. 324. VOLUNTARY PERSONAL FUNDS EXPENDITURE LIMIT.
'(a) ELIGIBLE HOUSE CANDIDATE'(1) PRIMARY ELECTION'(A) DECLARATION- A candidate is an eligible primary election House candidate if
the candidate files with the Commission a declaration that the candidate and the
candidate's authorized committees will not make expenditures in excess of the
personal funds expenditure limit.
'(B) TIME TO FILE- The declaration under subparagraph (A) shall be filed not later
than the date on which the candidate files with the appropriate State officer as a
candidate for the primary election.
X2) GENERAL ELECTIONXA) DECLARATION- A candidate is an eligible general election House candidate if
the candidate files with the CommissionXO a declaration under penalty of perjury, with supporting documentation as
required by the Commission, that the candidate and the candidate's authorized
committees did not exceed the personal funds expenditure limit in connection
with the primary election; and
Xii) a declaration that the candidate and the candidate's authorized committees
will not make expenditures in excess of the personal funds expenditure limit.
XB) TIME TO FILE- The declaration under subparagraph (A) shall be filed not later
than 7 days after the earlier of~
XO the date on which the candidate qualifies for the general election ballot
under State law; or
Xii) if under State law, a primary or run-off election to qualify for the general
election ballot occurs after September 1, the date on which the candidate wins
the primary or runoff election.
Xb) PERSONAL FUNDS EXPENDITURE LIMITXO IN GENERAL- The aggregate amount of expenditures that may be made in connection
with an election by an eligible House candidate or the candidate's authorized committees
from the sources described in paragraph (2) shall not exceed $50,000.
X2) SOURCES- A source is described in this paragraph if the source is~
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'(A) personal funds of the candidate and members of the candidate's immediate
family; or
'(B) proceeds of indebtedness incurred by the candidate or a member of the
candidate's immediate family.
'(c) CERTIFICATION BY THE COMMISSION'(1) IN GENERAL- The Commission shall determine whether a candidate has met the
requirements of this section and, based on the determination, issue a certification stating
whether the candidate is an eligible House candidate.
'(2) TIME FOR CERTIFICATION- Not later than 7 business days after a candidate files a
declaration under paragraph (1) or (2) of subsection (a), the Commission shall certify
whether the candidate is an eligible House candidate.
"(3) REVOCATION- The Commission shall revoke a certification under paragraph (1),
based on information submitted in such form and manner as the Commission may require or
on information that comes to the Commission by other means, if the Commission
determines that a candidate violates the personal funds expenditure limit.
X4) DETERMINATIONS BY COMMISSION- A determination made by the Commission
under this subsection shall be final, except to the extent that the determination is subject to
examination and audit by the Commission and to judicial review.
Xd) PENALTY- If the Commission revokes the certification of an eligible House candidateXI) the Commission shall notify the candidate of the revocation; and
X2) the candidate and a candidate's authorized committees shall pay to the Commission an
amount equal to the amount of expenditures made by a national committee of a political
party or a State committee of a political party in connection with the
general election campaign of the candidate under section 315(d).'.
SEC. 402. POLITICAL PARTY COMMITTEE COORDINATED
EXPENDITURES.
Section 315(d) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(d)) (as amended by
section 204) is amended by adding at the end the following:
X5) This subsection does not apply to expenditures made in connection with the general election
campaign of a candidate for the House of Representatives who is not an eligible House candidate
(as defined in section 324(a)).'.
T I T L E V -MISCELLANEOUS
SEC. 501. CODIFICATION OF BECK DECISION.
Section 8 of the National Labor Relations Act (29 U.S.C. 158) is amended by adding at the end
the following new subsection:
Xh) NONUNION MEMBER PAYMENTS TO LABOR ORGANIZATIONXI) IN GENERAL- It shall be an unfair labor practice for any labor organization which
receives a payment from an employee pursuant to an agreement that requires employees
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who are not members of the organization to make payments to such organization in lieu of
organization dues or fees not to establish and implement the objection procedure described
in paragraph (2).
'(2) OBJECTION PROCEDURE- The objection procedure required under paragraph (1)
shall meet the following requirements:
'(A) The labor organization shall annually provide to employees who are covered by
such agreement but are not members of the organization'(i) reasonable personal notice of the objection procedure, the employees
eligible to invoke the procedure, and the time, place, and manner for filing an
objection; and
Xii) reasonable opportunity to file an objection to paying for organization
expenditures supporting political activities unrelated to collective bargaining,
including but not limited to the opportunity to file such objection by mail.
XB) If an employee who is not a member of the labor organization files an objection
under the procedure in subparagraph (A), such organization shall—
XO reduce the payments in lieu of organization dues or fees by such employee
by an amount which reasonably reflects the ratio that the organization's
expenditures supporting political activities unrelated to collective bargaining
bears to such organization's total expenditures;
Xii) provide such employee with a reasonable explanation of the organization's
calculation of such reduction, including calculating the amount of organization
expenditures supporting political activities unrelated to collective bargaining.
X3) DEFINITION- In this subsection, the term "expenditures supporting political activities
unrelated to collective bargaining' means expenditures in connection with a Federal, State,
or local election or in connection with efforts to influence legislation unrelated to collective
bargaining.'.
S E C . 502. U S E O F C O N T R I B U T E D A M O U N T S F O R C E R T A I N P U R P O S E S .
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) is amended by
striking section 313 and inserting the following:
" S E C . 313. U S E O F C O N T R I B U T E D A M O U N T S F O R C E R T A I N P U R P O S E S .
Xa) PERMITTED USES- A contribution accepted by a candidate, and any other amount received
by an individual as support for activities of the individual as a holder of Federal office, may be
used by the candidate or individual—
XI) for expenditures in connection with the campaign for Federal office of the candidate or
individual;
X2) for ordinary and necessary expenses incurred in connection with duties of the individual
as a holder of Federal office;
X3) for contributions to an organization described in section 170(c) of the Internal Revenue
Code of 1986; or
X4) for transfers to a national, State, or local committee of a political party.
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Xb) PROHIBITED USEXI) IN GENERAL- A contribution or amount described in subsection (a) shall not be
converted by any person to personal use.
X2) CONVERSION- For the purposes of paragraph (1), a contribution or amount shall be
considered to be converted to personal use if the contribution or amount is used to fulfill
any commitment,
obligation, or expense of a person that would exist irrespective of the candidate's election campaign or
individual's duties as a holder of Federal officeholder, includingXA) a home mortgage, rent, or utility payment;
XB) a clothing purchase;
XQ a noncampaign-related automobile expense;
XD) a country club membership;
XE) a vacation or other noncampaign-related trip;
XF) a household food item;
XG) a tuition payment;
XH) admission to a sporting event, concert, theater, or other form of entertainment not
associated with an election campaign; and
XI) dues, fees, and other payments to a health club or recreational facility.'.
S E C . 503. L I M I T O N C O N G R E S S I O N A L U S E O F T H E F R A N K I N G
PRIVILEGE.
Section 3210(a)(6) of title 39, United States Code, is amended by striking subparagraph (A) and
inserting the following:
XA) A Member of Congress shall not mail any mass mailing as franked mail during a
year in which there will be an election for the seat held by the Member during the
period between January 1 of that year and the date of the general election for that
Office, unless the Member has made a public announcement that the Member will not
be a candidate for reelection to that year or for election to any other Federal office.'.
S E C . 504. P R O H I B I T I O N O F F U N D R A I S I N G O N F E D E R A L P R O P E R T Y .
Section 607 of title 18, United States Code, is amended(1) by striking subsection (a) and inserting the following:
Xa) PROHIBITIONXI) IN GENERAL- It shall be unlawful for any person to solicit or receive a donation of
money or other thing of value for a political committee or a candidate for Federal, State or
local office from a person who is located in a room or building occupied in the discharge of
official duties by an officer or employee of the United States. An individual who is an
officer or employee of the Federal Government, including the President, Vice President, and
Members of Congress, shall not solicit a donation of money or other thing of value for a
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political committee or candidate for Federal, State or local office, while in any room or
building occupied in the discharge of official duties by an officer or employee of the United
States, from any person.
'(2) PENALTY- A person who violates this section shall be fined not more than $5,000,
imprisoned more than 3 years, or both.'; and
(2) by inserting in subsection (b) after 'Congress' 'or Executive Office of the President'.
SEC. 505. PENALTIES FOR KNOWING AND WILLFUL VIOLATIONS.
(a) INCREASED PENALTIES- Section 309(a) of the Federal Election Campaign Act of 1971 (2
U.S.C. 437g(a)) is amended(1) in paragraphs (5)(A), (6)(A), and (6)(B), by striking '$5,000' and inserting '$10,000';
and
(2) in paragraphs (5)(B) and (6)(C), by striking '$10,000 or an amount equal to 200 percent'
and inserting '$20,000 or an amount equal to 300 percent'.
(b) EQUITABLE REMEDIES- Section 309(a)(5)(A) of the Federal Election Campaign Act of
1971 (2 U.S.C. 437g(a)(5)) is amended by striking the period at the end and inserting ', and may
include equitable remedies or penalties, including disgorgement of funds to the Treasury or
community service requirements (including requirements to participate in public education
programs).'.
(c) AUTOMATIC PENALTY FOR LATE FILING- Section 309(a) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 437g(a)) is amended(1) by adding at the end the following:
'(13) PENALTY FOR LATE FILING'(A) IN GENERAL'(i) MONETARY PENALTIES- The Commission shall establish a schedule of
mandatory monetary penalties that shall be imposed by the Commission for
failure to meet a time requirement for filing under section 304.
'(ii) REQUIRED FILING- In addition to imposing a penalty, the Commission
may require a report that has not been filed within the time requirements of
section 304 to be filed by a specific date.
'(iii) PROCEDURE- A penalty or filing requirement imposed under this
paragraph shall not be subject to paragraph (1), (2), (3), (4), (5), or (12).
'(B) FILING AN EXCEPTION'(i) TIME TO FILE- A political committee shall have 30 days after the
imposition of a penalty or filing requirement by the Commission under this
paragraph in which to file an exception with the Commission.
'(ii) TIME FOR COMMISSION TO RULE- Within 30 days after receiving an
exception, the Commission shall make a determination that is a final agency
action subject to exclusive review by the United States Court of Appeals for the
District of Columbia Circuit under section 706 of title 5, United States Code,
upon petition filed in that court by the political committee or treasurer that is
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the subject of the agency action, if the petition is filed within 30 days after the
date of the Commission action for which review is sought.';
(2) in paragraph (5)(D)~
(A) by inserting after the first sentence the following: Tn any case in which a penalty
or
filing requirement imposed on a political committee or treasurer under paragraph (13) has not been
satisfied, the Commission may institute a civil action for enforcement under paragraph (6)(A).'; and
(B) by inserting before the period at the end of the last sentence the following: 'or has
failed to pay a penalty or meet a filing requirement imposed under paragraph (13)';
and
(3) in paragraph (6)(A), by striking 'paragraph (4)(A)' and inserting 'paragraph (4)(A) or
(13)'.
SEC. 506. STRENGTHENING FOREIGN MONEY BAN.
Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 le) is amended(1) by striking the heading and inserting the following: 'CONTRIBUTIONS AND
DONATIONS BY FOREIGN NATIONALS'; and
(2) by striking subsection (a) and inserting the following:
'(a) PROHIBITION- It shall be unlawful for'(1) a foreign national, directly or indirectly, to make—
'(A) a donation of money or other thing of value, or to promise expressly or impliedly
to make a donation, in connection with a Federal, State, or local election to a political
committee or a candidate for Federal office; or
'(ii) a contribution or donation to a committee of a political party; or
'(B) for a person to solicit, accept, or receive such contribution or donation from a
foreign national.'.
SEC. 507. PROHIBITION OF CONTRIBUTIONS BY MINORS.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) (as amended by
sections 101 and 401) is amended by adding at the end the following:
SEC. 325. PROHIBITION OF CONTRIBUTIONS BY MINORS.
An individual who is 17 years old or younger shall not make a contribution to a candidate or a
contribution or donation to a committee of a political party.'.
SEC. 508. EXPEDITED PROCEDURES.
(a) IN GENERAL- Section 309(a) of the Federal Election Campaign Act of 1971 (2 U.S.C.
437g(a)) (as amended by section 505(c)) is amended by adding at the end the following:
'(14)(A) If the complaint in a proceeding was filed within 60 days preceding the date of a
general election, the Commission may take action described in this subparagraph.
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XB) If the Commission determines, on the basis of facts alleged in the complaint and other
facts available to the Commission, that there is clear and convincing evidence that a
violation of this Act has occurred, is occurring, or is about to occur, the Commission may
order expedited proceedings, shortening the time periods for proceedings under paragraphs
(1), (2), (3), and (4) as necessary to allow the matter to be resolved in sufficient time before
the election to avoid harm or prejudice to the interests of the parties.
XQ If the Commission determines, on the basis of facts alleged in the complaint and other
facts available to the Commission, that the complaint is clearly without merit, the
Commission may—
XD order expedited proceedings, shortening the time periods for proceedings under
paragraphs (1), (2), (3), and (4) as necessary to allow the matter to be resolved in
sufficient time before the election to avoid harm or prejudice to the interests of the
parties; or
Xii) if the Commission determines that there is insufficient time to conduct
proceedings before the election, summarily dismiss the complaint.'.
(b) REFERRAL TO ATTORNEY GENERAL- Section 309(a)(5) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 437g(a)(5)) is amended by striking subparagraph (C) and
inserting the following:
XQ The Commission may at any time, by an affirmative vote of at least 4 of its members, refer a
possible violation of this Act or chapter 95 or 96 of the Internal Revenue Code of 1986, to the
Attorney General of the United States, without regard to any limitation set forth in this section.'.
S E C . 509. I N I T I A T I O N O F E N F O R C E M E N T P R O C E E D I N G .
Section 309(a)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a)(2)) is amended
by striking 'reason to believe that' and inserting 'reason to investigate whether'.
T I T L E VI—SEVERABILITY; CONSTITUTIONALITY; EFFECTIVE DATE; REGULATIONS
S E C . 601. S E V E R A B I L I T Y .
If any provision of this Act or amendment made by this Act, or the application of a provision or
amendment to any person or circumstance, is held to be unconstitutional, the remainder of this Act
and amendments made by this Act, and the application of the provisions and amendment to any
person or circumstance, shall not be affected by the holding.
S E C . 602. R E V I E W O F C O N S T I T U T I O N A L I S S U E S .
An appeal may be taken directly to the Supreme Court of the United States from any final
judgment, decree, or order issued by any court ruling on the constitutionality of any provision of
this Act or amendment made by this Act.
S E C . 603. E F F E C T I V E D A T E .
Except as otherwise provided in this Act, this Act and the amendments made by this Act take
effect January 1, 1999.
S E C . 604. R E G U L A T I O N S .
The Federal Election Commission shall prescribe any regulations required to carry out this Act
and the amendments made by this Act not later than 270 days after the effective date of this Act.
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Bill Summary & Status for the 105th Congress
NEW SEARCH | HOME | HELP
H.R.3526
SPONSOR: Rep Shays (introduced 03/19/98)
Jump to: Titles, Status, Committees, Amendments, Cosponsors, Summary
TITLE(S):
. SHORT TITLE(S) AS INTRODUCED:
Bipartisan Campaign Reform Act of 1998
. OFFICIAL TITLE AS INTRODUCED:
A bill to reform the financing of Federal elections.
STATUS: Floor Actions
***NONE***
STATUS: Detailed Legislative Status
House Actions
Mar 19, 98:
Referred to the Committee on House Oversight, and in addition to the Committees on Education
and the Workforce, Government Reform and Oversight, and the Judiciary, for a period to be
subsequently determined by the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned.
Apr 17, 98:
Referred to the Subcommittee on Employer-Employee Relations.
Mar 19, 98:
Referred to the Committee on House Oversight, and in addition to the Committees on Education
and the Workforce, Government Reform and Oversight, and the Judiciary, for a period to be
subsequently determined by the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned.
Mar 30, 98:
Referred to the Subcommittee on Government Management, Information and Technology.
Mar 19, 98:
Referred to the Committee on House Oversight, and in addition to the Committees on Education
and the Workforce, Government Reform and Oversight, and the Judiciary, for a period to be
subsequently determined by the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned.
Referred to the Committee on House Oversight, and in addition to the Committees on Education
and the Workforce, Government Reform and Oversight, and the Judiciary, for a period to be
subsequently determined by the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned.
STATUS: Congressional Record Page References
***NONE***
COMMITTEE(S):
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COMMITTEE(S) OF REFERRAL:
House Oversight
House Education and the Workforce
House Government Reform and Oversight
House Judiciary
SUBCOMMITTEE(S):
Hsc Government Management, Information and Technology
Hsc Employer-Employee Relations
AMENDMENT(S):
+
***NONE **
45 COSPONSORS:
Rep Meehan-03/19/98
Rep Capps, Lois - 03/19/98
Rep Moran, James P. - 03/19/98
Rep Luther-03/19/98
Rep Maloney, C. - 03/19/98
Rep Minge- 03/19/98
Rep Barrett, T. - 03/19/98
Rep McHale - 03/23/98
Rep Levin - 03/24/98
Rep Kennedy, J. - 03/25/98
Rep Baldacci - 03/25/98
Rep Sherman - 03/27/98
Rep Waxman-04/21/98
Rep Eshoo-04/21/98
Rep Gejdenson - 05/07/98
Rep Smith, Adam - 05/12/98
Rep Campbell, Tom - 05/12/98
Rep Baesler-05/12/98
Rep Stenholm-05/19/98
Rep Lewis, John - 05/19/98
Rep Cardin - 05/22/98
Rep Pelosi - 05/22/98
Rep Rothman-06/16/98
Rep Roukema-03/19/98
Rep Leach-03/19/98
Rep Morella-03/19/98
Rep Bilbray-03/19/98
Rep Blumenauer - 03/19/98
Rep Wexler-03/19/98
Rep Allen-03/19/98
Rep Clement - 03/23/98
Rep Farr - 03/24/98
Rep Underwood - 03/25/98
Rep Woolsey - 03/27/98
Rep Maloney, J. - 04/01/98
Rep Greenwood - 04/21/98
Rep Gordon - 04/28/98
Rep Tierney-05/12/98
Rep Lantos-05/12/98
Rep Castle-05/12/98
Rep Houghton - 05/13/98
Rep Miller, G. - 05/19/98
Rep Dooley - 05/22/98
Rep Pascrell - 05/22/98
Rep Sawyer - 05/22/98
SUMMARY:
(AS INTRODUCED)
TABLE OF CONTENTS:
• Title I: Reduction of Special Interest Influence
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Title II: Independent and Coordinated Expenditures
Title III: Disclosure
Title IV: Personal Wealth Option
Title V: Miscellaneous
Title VI: Severability; Constitutionality; Effective Date; Regulations
Bipartisan Campaign Reform Act of 1998 - Title I : Reduction of Special Interest Influence - Amends
the Federal Election Campaign Act of 1971 (FECA) with respect to "soft money" to: (1) prohibit a
national committee of a political party, including a national congressional campaign committee of
political party, and any officers or agents of such party committees, and specified related entities, from
soliciting, receiving, or directing to another person a contribution, donation, or transfer of funds, or
spend any funds not subject to the limitations, prohibitions, and reporting requirements of FECA; (2)
require State, district, or local committees of political parties (including specified related entities) to
make expenditures and disbursements for Federal election activities (with exceptions) from funds
subject to the limitations, prohibitions, and reporting requirements of FECA; (3) require national, State,
district, or local committees and specified related entities to make amounts spent for fundraising costs of
Federal election activities from funds subject to the limitations, prohibitions, and reporting requirements
of FECA; (4) prohibit national, State, district, or local committees (including national congressional
campaign committees and specified related entities) from soliciting funds for, or making or directing
donations to, tax-exempt organizations or organizations that have submitted applications for
tax-exemption status; and (5) prohibit candidates, incumbents, or their agents from soliciting, receiving,
directing, transferring, or spending funds for Federal election activities on behalf of such candidates,
incumbents, agents or any other persons (with exceptions), unless the funds are subject to the
limitations, prohibitions, and reporting requirements of FECA.
(Sec. 102) Prohibits any person from making contributions to a State committee in any year that exceed,
in the aggregate, $10,000.
Increases the aggregate individual contribution limit from $25,000 to $30,000.
(Sec. 103) Requires: (1) national committees, national congressional campaign committees, and
subordinate committees of either, to report all receipts and disbursements during the reporting period;
(2) State, district, and local committees to report all receipts and disbursements made for specified
Federal election activities; and (3) political committees having receipts or disbursements from persons in
excess of $200 for any year, to separately itemize their reporting for such persons.
Title I I : Independent and Coordinated Expenditures - Redefines the term "independent expenditure"
to mean an expenditure by a person for: (1) a communication that is express advocacy; and (2) that is not
provided in coordination with a candidate or a candidate's agent, or a person who is coordinating with a
candidate or a candidate's agent. Defines the term "express advocacy."
Redefines the term "expenditure" to include: (1) a payment for a communication that is express
advocacy; and (2) a payment made by a person for a communication that refers to a clearly identified
candidate, is provided in coordination with the candidate, the candidate's agent, or the candidate's
political party, and is for the purpose of influencing a Federal election (regardless of whether the
communication is express advocacy).
(Sec. 202) Prohibits the Commission, if the Commission determines that there is probable cause to
believe that a person has made a knowing and willful violation involving the reporting of an independent
expenditure, from entering into a conciliation agreement. Permits the Commission, when it makes such a
determination, to institute a civil action for relief. (Sec. 203) Sets forth reporting requirements for certain
independent expenditures made by persons (including political committees) aggregating: (1) $1,000 or
more; and (2) $10,000 or more. Requires additional reports to be filed each time such independent
expenditures are made. Requires such reports to: (1) be filed with the Commission; and (2) and contain
the information required for a person who receives any disbursement in excess of $200 in connection
with an independent expenditure, including the name of each candidate to whom an expenditure is
intended to support or oppose.
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(Sec. 204) Prohibits a committee of a political party, on or after the date on which the political party
nominates a candidate, from making both coordinated expenditures and independent expenditures to the
candidate during the election cycle.
Requires a committee of a political party, before making a coordinated expenditure to a candidate, to file
with the Commission a certification that the committee has not and shall not make any independent
expenditure to the candidate during the same election cycle. Prohibits a committee of a political party
that submits a certification with respect to a candidate from, during an election cycle, transferring any
funds to, assigning authority to make coordinated expenditures to, or receiving a transfer of funds from,
a political committee of the party that has made or intends to make an independent expenditure to the
candidate.
(Sec. 205) Redefines the term "contribution" to include anything of value provided by a person in
coordination with a candidate for the purpose of influencing a Federal election in which such candidate
seeks nomination or election to Federal office, regardless of whether the value being provided is a
communication that is express advocacy. Defines the term "provided in coordination with a candidate."
Considers a thing of value provided in coordination with a candidate, as a contribution to the candidate,
and in the case of a limitation on expenditures, shall be treated as an expenditure by the candidate.
Redefines the term "contribution or expenditure" with respect to contributions or expenditures by
national banks, corporations, and labor organizations, to include a contribution or expenditure as defined
under this Act.
Title I I I : Disclosure - Replaces provisions permitting the filing of reports electronically with provisions
requiring the Commission to: (1) promulgate a regulation for the filing of reports using computers and
facsimile machines; (2) make electronically filed reports accessible to the public on the Internet within
24 hours after such reports are received by the Commission; and (3) provide methods (other than
requiring a signature on the document being filed) for verifying reports covered by the regulation.
(Sec. 302) Prohibits the deposit (except in escrow accounts) or negotiation of contributions from a
person making aggregate contributions in excess of $200 during a year by a candidate's authorized
committee unless the required contributor information is complete.
(Sec. 303) Permits the Commission to conduct random audits and investigations to ensure voluntary
compliance with FECA. Extends, from six to twelve months, the period during which campaign audits
may be begun.
(Sec. 304) Revises reporting requirements for the identification of contributors (other than political
committees) to: (1) lower the $200 threshold for the reporting of contributor identification to $50; and
(2) require that the identification of persons who make contributions of at least $50 but not more than
$200 during a year need include only their names and addresses.
(Sec. 305) Revises requirements for the use of candidates' names.
(Sec. 306) Prohibits a person soliciting contributions by falsely representing himself or herself to be a
candidate or a representative of a candidate, a political committee, or a political party.
(Sec. 307) Requires filing of a certain statement with the Commission by persons, other than political
committees and religious and apostolic organizations, that make aggregate disbursements in excess of
$50,000 during a year for specified Federal election activities: (1) on a monthly basis; or (2) within 24
hours, in the case of disbursements made within 20 days of an election. Exempts from such filing
requirements: (1) a candidate or a candidate's authorized committees; and (2) independent expenditures.
(Sec. 308) Revises provisions concerning the publication and distribution of any print, broadcast, or
general political advertising.
Title IV: Personal Wealth Option - Directs the Commission to issue a certification that a House of
Representatives candidate is an eligible primary or general election candidate if the candidate files with
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the Commission a declaration that the candidate and the candidate's authorized committees will not (in
the case of a primary candidate) or did not (in the case of a general election candidate) exceed a personal
funds expenditure limit of $50,000. Directs the Commission, if the limit is exceeded to: (1) revoke the
certification; and (2) require the candidate and the candidate's authorized committees to pay a penalty to
the Commission. Prohibits coordinated expenditures if a candidate is not an eligible House candidate.
Title V: Miscellaneous - Amends the National Labor Relations Act to make it an unfair labor practice
for any labor organization, which receives payments from an employee pursuant to an agreement
requiring non-member employees to make payments to such organization in lieu of organization dues or
fees, not to establish and implement the requirements of a specified objection procedure.
(Sec. 502) Amends FECA to revise provisions concerning the permitted and prohibited uses of
contributed amounts by candidates and incumbents for certain purposes.
(Sec. 503) Revises Federal law concerning permitted time frames for mailing franked mail to prohibit
any mass mailing as franked mail during any year in which there will be an election for a seat held by a
Member during the period between January 1 of the election year and the date of the general election,
unless the Member will not be a candidate for reelection.
(Sec. 504) Amends Federal criminal law to revise the prohibition on fundraising on Federal property.
Prohibits an officer or employee of the Federal Government, including the President, Vice-President,
and Members of the Congress, from soliciting a donation of money or other thing of value for a political
committee or candidate for Federal, State, or local office, from any person while in any room or building
occupied in the discharge of official duties by an officer or employee of the United States. Imposes on
violators a monetary penalty, imprisonment, or both. Excepts from the prohibition contributions received
by the staff of the Executive Office of the President.
(Sec. 505) Amends FECA to double the penalties for knowing and willful violations of FECA, the
Presidential Election Campaign Fund Act, and the Presidential Primary Matching Payment Account Act.
Permits in the inclusion of conciliation agreements for such violations, equitable remedies or penalties,
including disgorgement of funds to the Treasury or community service requirements (including
requirements to participate in public education programs).
Sets forth requirements for the late filing of FECA reports, including requiring the establishment of
mandatory monetary penalties.
(Sec. 506) Revises the ban on contributions by foreign nationals by making it unlawful for: (1) foreign
nationals to make donations in connection with Federal, State, or local elections to political committees
or candidates for Federal office, or contributions or donations to committees of political parties; or (2)
persons to solicit, accept, or receive such contributions or donations from foreign nationals.
(Sec. 507) Prohibits minors from making contributions to candidates or contributions or donations to
committees of political parties.
(Sec. 508) Permits the Commission to: (1) order expedited proceedings for certain complaints; and (2)
refer, at any time, to the Attorney General a possible violation of FECA, the Presidential Election
Campaign Fund Act, or the Presidential Primary Matching Payment Account Act.
(Sec. 509) Revises the basis for mandatory Commission initiation of enforcement proceedings upon
receipt of a complaint alleging a violation of such Acts. Replaces "has reason to believe" a violation has
been or is about to be committed with "has reason to investigate whether" such a violation has been or is
about to be committed.
Title VI: Severability; Constitutionality; Effective Date; Regulations - Sets forth provisions
concerning: (1) severability; (2) review of constitutional issues; (3) effective date; and (4) regulations.
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Calendar No. 183
105th CONGRESS
1st Session
S. 25
A BILL
To reform the financing of Federal elections.
September 25,1997
Committee discharged and ordered to be placed on the calendar
S 25 PCS
Calendar No. 183
105th CONGRESS
1st Session
S. 25
To reform the financing of Federal elections.
IN THE SENATE OF THE UNITED STATES
January 21,1997
Mr. MCCAIN (for himself, Mr. FEINGOLD, Mr. THOMPSON, Mr. WELLSTONE, Mr. GRAHAM,
Mr. KERREY, Mr. DODD, Mr. KERRY, Mr. BINGAMAN, Mr. GLENN, Mrs. MURRAY, Mr. KOHL,
Mr. WYDEN, Ms. MOSELEY-BRAUN, Mr. REID, Mr. FORD, Mr. LEAHY, Mr. CLELAND, Mr.
JOHNSON, Mr. DURBIN, Mrs. BOXER, Mr. LEVIN, Mr. HARKIN, Mr. BRYAN, Mr. MOYNIHAN,
Mr. LIEBERMAN, Ms. MIKULSKI, Mrs. FEINSTEIN, Mr. SARBANES, Mr. BYRD, Mr. ROBB, and
Mr. DORGAN) introduced the following bill; which was read twice and referred to the Committee on
Rules and Administration
September 25,1997
Committee discharged and ordered to be placed on the calendar
A BILL
To reform the financing of Federal elections.
Be it enacted by the Senate and House of Representatives of the United States of America in
Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
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(a) SHORT TITLE- This Act may be cited as the 'Bipartisan Campaign Reform Act of 1997'.
(b) TABLE OF CONTENTS- The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents.
T I T L E I—SENATE E L E C T I O N SPENDING L I M I T S A N D B E N E F I T S
Sec. 101. Senate election spending limits and benefits.
Sec. 102. Free broadcast time.
Sec. 103. Broadcast rates and preemption.
Sec. 104. Reduced postage rates.
Sec. 105. Contribution limit for eligible Senate candidates.
Sec. 106. Reporting requirement for Senate candidates.
T I T L E II~REDUCTION OF SPECIAL INTEREST INFLUENCE
Subtitle A—Political Action Committees
Sec. 201. Ban on political action committee contributions to Federal candidates.
Subtitle B—Provisions Relating to Soft Money of Political Party Committees
Sec. 211. Soft money of political party committee.
Sec. 212. State party grassroots funds.
Sec. 213. Reporting requirements.
Subtitle C - S o f t Money of Persons Other Than Political Parties
Sec. 221. Soft money of persons other than political parties.
Subtitle D—Contributions
Sec. 231. Contributions through intermediaries and conduits.
Subtitle E—Independent Expenditures
Sec. 241. Reporting requirements for certain independent expenditures.
T I T L E III—ENFORCEMENT
Sec. 301. Filing of reports using computers and facsimile machines.
Sec. 302. Audits.
Sec. 303. Authority to seek injunction.
Sec. 304. Reporting requirements for contributions of $50 or more.
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Sec. 305. Increase in penalty for knowing and willful violations.
Sec. 306. Prohibition of contributions by individuals not qualified to vote.
Sec. 307. Use of candidates' names.
Sec. 308. Prohibition of false representation to solicit contributions.
Sec. 309. Expedited procedures.
TITLE IV -MISCELLANEOUS
Sec. 401. Use of contributed amounts for certain purposes.
Sec. 402. Campaign advertising.
Sec. 403. Limit on congressional use of the franking privilege.
Sec. 404. Party independent expenditures.
Sec. 405. Coordinated expenditures; independent expenditures.
Sec. 406. Express advocacy.
T I T L E V--CONSTITUTIONALITY; E F F E C T I V E DATE; REGULATIONS
Sec. 501. Severability.
Sec. 502. Review of constitutional issues.
Sec. 503. Effective date.
Sec. 504. Regulations.
T I T L E I-SENATE ELECTION SPENDING LIMITS AND BENEFITS
S E C . 101. S E N A T E E L E C T I O N S P E N D I N G L I M I T S AND B E N E F I T S .
(a) IN GENERAL- The Federal Election Campaign Act of 1971 is amended by adding at the end
the following new title:
T I T L E V-SPENDING LIMITS AND BENEFITS FOR SENATE ELECTION CAMPAIGNS
S E C . 501. D E F I N I T I O N S .
Tn this title:
'(1) ELIGIBLE SENATE CANDIDATE- The term 'eligible Senate candidate' means a
candidate who the Commission has certified under section 505 as an eligible primary
election Senate candidate or as an eligible general election Senate candidate.
'(2) GENERAL ELECTION EXPENDITURE LIMIT- The term 'general election
expenditure limit', with respect to an eligible Senate candidate, means the limit applicable to
the eligible Senate candidate under section 503(d).
'(3) OUT-OF-STATE RESIDENT CONTRIBUTION LIMIT- The term 'out-of-State
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resident contribution limit', with respect to an eligible Senate candidate, means the limit
applicable to the candidate under section 502(e).
'(4) PERSONAL FUNDS EXPENDITURE LIMIT- The term 'personal funds expenditure
limit' means the limit stated in section 503(a).
'(5) PRIMARY ELECTION EXPENDITURE LIMIT- The term 'primary election
expenditure limit', with respect to an eligible Senate candidate, means the limit applicable to
the eligible Senate candidate under section 503(b).
'(6) RUNOFF ELECTION EXPENDITURE LIMIT- The term 'runoff election expenditure
limit', with respect to an eligible Senate candidate, means the limit applicable to the eligible
Senate candidate under section 503(c).
SEC. 502. E L I G I B L E SENATE CANDIDATES.
'(a) IN GENERAL- A candidate is'(1) an eligible primary election Senate candidate if the Commission certifies under section
505 that the candidate'(A) has met the primary election filing requirement of subsection (b); and
'(B) has met the threshold contribution requirement of subsection (d); and
'(2) an eligible general election Senate candidate if the Commission certifies under section
505 that the candidate—
'(A) has met the general election filing requirement of subsection (c); and
'(B) has been certified as an eligible primary election Senate candidate.
'(b) PRIMARY ELECTION FILING REQUIREMENT'(1) IN GENERAL- The requirement of this subsection is met if the candidate files with the
Commission a declaration that—
'(A) the candidate and the candidate's authorized committees—
'(i)(I) will not exceed the personal funds expenditure limit, primary election
expenditure limit, runoff election expenditure limit, or general election
expenditure limit; and
'(II) will accept only amounts of contributions for the primary election, any
runoff election, and the general election that do not exceed the primary election
expenditure limit, runoff election expenditure limit, and general election
expenditure limit (reduced by any amount transferred to the current election
cycle from a preceding election); and
'(ii) will not accept contributions for the primary election, any runoff election,
or the general election that would cause the candidate to exceed the out-of-State
resident contribution limit; and
'(B) at least 1 other candidate has qualified for the same primary election ballot under
the law of the candidate's State.
'(2) DEADLINE FOR FILING GENERAL ELECTION DECLARATION- The declaration
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under paragraph (1) shall be filed not later than 7 days after the earlier of~
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'(A) the date on which the candidate qualifies for the general election ballot under
State law; or
XB) if under State law, a primary or runoff election to qualify for the general election
ballot occurs after September 1, the date on which the candidate wins the primary or
runoff election.
Xd) THRESHOLD CONTRIBUTION REQUIREMENTXI) IN GENERAL- The requirement of this subsection is met-XA) if the candidate and the candidate's authorized committees have received
allowable contributions during the applicable period in an amount at least equal to the
lesser of~
XD 10 percent of the general election expenditure limit; or
Xii) $250,000; and
XB) the candidate files with the Commission a statement under penalty of perjury that
the requirement of subparagraph (A) has been met, with supporting materials
demonstrating that the requirement has been met.
X2) DEFINITIONS- In this subsection:
XA) ALLOWABLE CONTRIBUTIONXi) IN GENERAL- The term 'allowable contribution' means a contribution that
is made as a gift of money by an individual pursuant to a written instrument
identifying the individual as the contributor.
Xii) EXCLUSIONS- The term 'allowable contribution' does not include a
contribution from—
'(1) an individual residing outside the candidate's State to the extent that
acceptance of the contribution would bring a candidate out of compliance
with subsection (e); or
'(II) a source described in section 503(a)(2).
'(B) APPLICABLE PERIOD- The term 'applicable period' means"(i) the period beginning on January 1 of the calendar year preceding the
calendar year of a general election and ending on the date on which the
declaration under subsection (b) is filed by the candidate; or
'(ii) in the case of a special election for the office of United States Senator, the
period beginning on the date on which the vacancy in the office occurs and
ending on the date of the general election.
'(e) OUT-OF-STATE RESIDENT CONTRIBUTION LIMIT'(1) REQUIREMENT'(A) IN GENERAL- The requirement of this subsection is met if at least 60 percent of
the total amount of contributions accepted by the candidate and the candidate's
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authorized committees are from individuals who are legal residents of the candidate's
State.
'(B) SPECIAL RULE FOR SMALL STATES- In the case of a candidate to which the
general election expenditure limit under section 503(d)(l)(B)(i) applies, the
requirement of this subsection is met if, at the option of the candidate\ i ) at least 60 percent of the total amount of contributions accepted by the
candidate and the candidate's authorized
committees are from individuals who are legal residents of the candidate's State; or
'(ii) at least 60 percent of the number of individuals whose names are reported
to the Commission as individuals from whom the candidate and the candidate's
authorized committees accept contributions are legal residents of the
candidate's State.
X2) PERSONAL FUNDS- For purposes of paragraph (1), amounts consisting of funds from
sources described in section 503(a) shall be treated as contributions from individuals
residing outside the candidate's State.
X3) TIME FOR MEETING REQUIREMENT- The aggregate amount of contributions
received by an eligible Senate candidate as of the end of each reporting period under section
304 shall meet the requirement of paragraph (1).
X4) REPORTING REQUIREMENTS- In addition to information required to be reported
under section 304, a candidate that elects to comply with the requirements of paragraph
(l)(B)(ii) shall include in each report required to be filed under section 304 the name and
address of and the amount of contributions made by each individual that, during the
calendar year in which the reporting period occurs, makes contributions aggregating $20 or
more.
SEC. 503. EXPENDITURE LIMITS.
Xa) PERSONAL FUNDS EXPENDITURE LIMITXI) IN GENERAL- The aggregate amount of expenditures that may be made during an
election cycle by an eligible Senate candidate or the candidate's authorized committees from
the sources described in paragraph (2) shall not exceed the lesser of~
XA) 10 percent of the general election expenditure limit; or
XB) $250,000.
X2) SOURCES- A source is described in this paragraph if the source is—
XA) personal funds of the candidate and members of the candidate's immediate
family; or
XB) proceeds of indebtedness incurred by the candidate or a member of the
candidate's immediate family.
Xb) PRIMARY ELECTION EXPENDITURE LIMIT- The aggregate amount of expenditures for
a primary election by an eligible primary election Senate candidate and the candidate's authorized
committees shall not exceed the lesser of~
XI) 67 percent of the general election expenditure limit; or
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'(2) $2,750,000.
•(c) RUNOFF ELECTION EXPENDITURE LIMIT- The aggregate amount of expenditures for a
runoff election by an eligible primary election Senate candidate and the candidate's authorized
committees shall not exceed 20 percent of the general election expenditure limit.
Xd) GENERAL ELECTION EXPENDITURE LIMIT'(1) IN GENERAL- Except as otherwise provided in this title, the aggregate amount of
expenditures for a general election by an eligible general election Senate candidate and the
candidate's authorized committees shall not exceed the lesser of~
XA) $5,500,000; or
XB) the greater of~
Xi) $950,000; or
Xii) $400,000; plus
XI) 30 cents multiplied by the voting age population not in excess of
4,000,000; and
XII) 25 cents multiplied by the voting age population in excess of
4,000,000.
X2) EXCEPTION- In the case of an eligible Senate candidate in a State that has not more
than 1 transmitter for a commercial Very High Frequency (VHF) television station licensed
to operate in that State, paragraph (l)(B)(ii) shall be applied by substitutingXA) '80 cents' for '30 cents' in subclause (I); and
XB) '70 cents' for '25 cents' in subclause (II).
Xe) EXCEPTIONS FOR COMPLYING CANDIDATES RUNNING AGAINST
NONCOMPLYING CANDIDATESXI) FUNDRAISING IN ANTICIPATION OF INCREASE- Notwithstanding any other
provision of this title, if any opponent of an eligible Senate candidate is a noneligible
candidate who~
XA) has received contributions; or
XB) has made expenditures from a source described in subsection (a);
in an aggregate amount equal to 50 percent of the primary election expenditure limit, runoff
election expenditure limit, or general election expenditure limit, the eligible Senate
candidate may accept contributions in excess of the primary election expenditure limit,
runoff election expenditure limit, or general election expenditure limit (as the case may be)
so long as the eligible Senate candidate does not make any expenditures with such excess
contributions before becoming entitled to an increase in the limit under paragraph (2) or (3).
X2) 50 PERCENT INCREASE- If any opponent of an eligible Senate candidate is a
noneligible candidate who has made expenditures in an aggregate amount equal to 105
percent of the primary election expenditure limit, runoff election expenditure limit, or
general election expenditure limit, the primary election expenditure limit, runoff election
expenditure limit, or general election expenditure limit (as the case may be of the eligible
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Senate candidate) shall be increased by 50 percent.
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'(3) 100 PERCENT INCREASE- If any opponent of an eligible Senate candidate is a
noneligible candidate who has made expenditures in an aggregate amount equal to 155
percent of the primary election expenditure limit, runoff election expenditure limit, or
general election expenditure limit, the primary election expenditure limit, runoff election
expenditure limit, or general election expenditure limit (as the case may be of the eligible
Senate candidate) shall be increased by 100 percent.
Xf) EXPENDITURES IN RESPONSE TO INDEPENDENT EXPENDITURES- If an eligible
Senate candidate is notified by the Commission under section 304(c)(4) that independent
expenditures in an aggregate amount of $10,000 or more have been made in the same election in
support of another candidate or against the eligible Senate candidate, the eligible Senate candidate
shall be permitted to spend an amount equal to the amount of the independent expenditures, and
any such expenditures shall not be subject to any limit applicable under this title to the eligible
candidate for the election.
Xg) INDEXING- The amounts under subsections (b)(1) and (d)(1) shall be increased as of the
beginning of each calendar year based on the increase in the price index determined under section
315(c), except that the base period shall be calendar year 1997.
Xh) PAYMENT OF TAXES- The primary election expenditure limit, runoff election expenditure
limit, and general election expenditure limit shall not apply to any expenditure for Federal, State,
or local taxes with respect to earnings on contributions raised.
XD NOTICE OF FAILURE TO COMPLY WITH REQUIREMENTS- A candidate who filed a
declaration under section 502 and subsequently acts in a manner that is inconsistent with any of
the statements made in the declaration shall, not later than 24 hours after the first of the actsXI) file with the Commission a notice describing those acts; and
X2) notify all other candidates for the same office by sending a copy of the notice by
certified mail, return receipt requested.
S E C . 504. B E N E F I T S F O R E L I G I B L E C A N D I D A T E S .
Tf an eligible Senate candidate has an opponent who has qualified for the ballot and who has
received contributions (or expended funds from a source described in section 503(a)(2)) in an
amount equal to 10 percent or more of the applicable expenditure limit, the eligible Senate
candidate shall be entitled to~
XI) the broadcast media rates provided under section 315(b) of the Communications Act of
1934;
X2) the free broadcast time provided under section 315(c) of the Communications Act of
1934;and
X3) the reduced postage rates provided in section 3626(e) of title 39, United States Code.
" S E C . 505. C E R T I F I C A T I O N B Y C O M M I S S I O N .
Xa) IN GENERAL- The Commission shall determine whether a candidate has met the
requirements of this title and, based on the determination, issue a certification stating whether the
candidate is an eligible Senate candidate entitled to receive benefits under this title.
Xb) CERTIFICATION-
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'(1) PRIMARY ELECTION- Not later than 7 business days after a candidate files a
declaration under section 502(b), the Commission shall determine whether the candidate
meets the eligibility requirements of section 502(b)(1) and, if so, certify that the candidate is
an eligible primary election Senate candidate entitled to receive benefits under this title.
"(2) GENERAL ELECTION- Not later than 7 business days after a candidate files a
declaration under section 502(c), the Commission shall determine whether the candidate
meets the eligibility requirement of section 502(c)(1), and, if so, certify that the candidate is
an eligible general election Senate candidate entitled to receive benefits under this title.
'(c) REVOCATION'(1) IN GENERAL- The Commission shall revoke a certification under subsection (a),
based on information submitted in such form and manner as the Commission may require or
on information that comes to the Commission by other means, ifthe Commission
determines that a candidate'(A) violates any of the expenditure limits contained in this title by making an
aggregate amount of expenditures that exceeds any applicable expenditure limit by 5
percent or more;
'(B) uses a benefit made available to a candidate under this title in a manner not
provided for in this title; or
'(C) fails to continue to meet the requirement of this title.
'(2) NO FURTHER BENEFITS- A candidate whose certification has been revoked shall be
ineligible for any further benefits made available under this title for the duration of the
election cycle.
'(d) DETERMINATIONS BY COMMISSION- A determination (including a certification under
subsection (a)) made by the Commission under this title shall be final, except to the extent that the
determination is subject to examination and audit by the Commission under section 506 and to
judicial review.
SEC. 506. MISUSE OF BENEFITS.
'(a) MISUSE OF BENEFITS- Ifthe Commission revokes the certification of an eligible Senate
candidate, the Commission shall so notify the candidate, and the candidate shall pay to the
provider of any benefit received by the candidate under this title an amount equal to the difference
between the amount the candidate paid for such benefit and the amount the candidate would have
paid for the benefit if the candidate were not an eligible Senate candidate.
'(b) CIVIL PENALTIES'(1) LOW AMOUNT OF EXCESS EXPENDITURES- Any eligible Senate candidate who
makes expenditures that exceed a limitation under this title by 2.5 percent or less shall pay
to the Commission an amount equal to the amount of the excess expenditures.
'(2) MEDIUM AMOUNT OF EXCESS EXPENDITURES- Any eligible Senate candidate
who makes expenditures that exceed a limitation under this title by more than 2.5 percent
and less than 5 percent shall pay to the Commission an amount equal to 3 times the amount
of the excess expenditures.
'(3) LARGE AMOUNT OF EXCESS EXPENDITURES- Any eligible Senate candidate
who makes expenditures that exceed a limitation under this title by 5 percent or more shall
pay to the Commission an amount equal to 3 times the amount of the excess expenditures
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plus a civil penalty to be imposed pursuant to section 309.'.
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(b) EXPENDITURES MADE BEFORE EFFECTIVE DATE- An expenditure shall not be
counted as an expenditure for purposes of the expenditure limits contained in the amendment
made by subsection (a) if the expenditure is made before the date that is 60 days after the date of
enactment of this Act.
SEC. 102. F R E E BROADCAST TIME.
(a) IN GENERAL- Section 315 of the Communications Act of 1934 (47 U.S.C. 315) is amended(1) in the third sentence of subsection (a) by striking 'within the meaning of this subsection'
and inserting 'within the meaning of this subsection and subsection (c)';
(2) by redesignating subsections (c) and (d) as subsections (d) and (e), respectively;
(3) by inserting after subsection (b) the following:
'(c) FREE BROADCAST TIME'(1) IN GENERAL- Except as provided in paragraph (3), each eligible Senate candidate
who has qualified for the general election ballot as a candidate of a major or minor party
shall be entitled to receive a total of 30 minutes of free broadcast time from broadcasting
stations within the candidate's State or an adjacent State.
'(2) TIME'(A) PRIME TIME- Unless a candidate elects otherwise, the broadcast time made
available under this subsection shall be between 6:00 p.m. and 10:00 p.m. on any day
that falls on Monday through Friday.
'(B) LENGTH OF BROADCAST- Except as otherwise provided in this Act, a
candidate may use such time as the candidate elects, but time may not be used in
lengths of less than 30 seconds or more than 5 minutes.
'(C) MAXIMUM REQUIRED OF ANY ONE STATION- A candidate may not
request that more than 15 minutes of free broadcast time be aired by any one
broadcasting station.
'(3) MORE THAN 2 CANDIDATES- In the case of an election among more than 2
candidates described in paragraph (1), only 60 minutes of broadcast time shall be available
for all such candidates, and broadcast time shall be allocated as follows:
'(A) MINOR PARTY CANDIDATES- The amount of broadcast time that shall be
provided to the candidate of a minor party shall be equal to 60 minutes multiplied by
the percentage of the number of popular votes received by the candidate of that party
in the preceding general election for the Senate in the State (or if subsection (e)(4)(B)
applies, the percentage determined under that subsection).
'(B) MAJOR PARTY CANDIDATES- The amount of broadcast time remaining after
assignment of broadcast time to minor party candidates under clause (i) shall be
allocated equally between the major party candidates.
'(4) ONLY 1 CANDIDATE- In the case of an election in which only 1 candidate qualifies
to be on the general election ballot, no time shall be required to be provided by a
broadcasting station under this subsection.
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"(5) EXEMPTION- The Federal Election Commission shall by regulation establish a
procedure to exempt from the requirements of this subsection—
\ A ) licensees the signals of which are broadcast substantially nationwide; and
XB) licensees that establish that the requirements of this subsection would impose a
significant economic hardship on the licensees.'; and
(4) in subsection (d) (as redesignated by paragraph (2))~
(A) by striking 'and' at the end of paragraph (1);
(B) by striking the period at the end of paragraph (2) and inserting a semicolon; and
(C) by adding at the end the following:
'(3) the term 'major party' means, with respect to an election for the United States Senate in
a State, a political party whose candidate for the United States Senate in the preceding
general election for the Senate in that State received, as a candidate of that party, 25 percent
or more of the number of popular votes received by all candidates for the Senate;
'(4) the term 'minor party' means, with respect to an election for the United States Senate in
a State, a political party—
'(A) whose candidate for the United States Senate in the preceding general election
for the Senate in that State received 5 percent or more but less than 25 percent of the
number of popular votes received by all candidates for the Senate; or
'(B) whose candidate for the United States Senate in the current general election for
the Senate in that State has obtained the signatures of at least 5 percent of the State's
registered voters, as determined by the chief voter registration official of the State, in
support of a petition for an allocation of free broadcast time under this subsection; and
"(5) the term 'Senate election cycle' means, with respect to an election to a seat in the United
States Senate, the 6-year period ending on the date of the general election for that seat.'.
(d) EFFECTIVE DATE- The amendments made by this section shall take effect on the date that is
60 days after the date of enactment of this Act.
SEC. 103. BROADCAST RATES AND PREEMPTION.
(a) BROADCAST RATES- Section 315(b) of the Communications Act of 1934 (47 U.S.C.
315(b)) is amended—
(1) by striking '(b) The charges' and inserting the following:
'(b) BROADCAST MEDIA RATES'(1) IN GENERAL- The charges';
(2) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and
adjusting the margins accordingly;
(3) in paragraph (1)(A) (as redesignated by paragraph (2))~
(A) by striking 'forty-five' and inserting '30'; and
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(B) by striking 'lowest unit charge of the station for the same class and amount of
time for the same period' and inserting 'lowest charge of the station for the same
amount of time for the same period on the same date'; and
(4) by adding at the end the following:
'(2) SENATE CANDIDATES'(A) ELIGIBLE SENATE CANDIDATES- In the case of an eligible Senate candidate
(within the meaning of section 501 of the Federal Election Campaign Act), the
charges for the use of a television broadcasting station during the 30-day period and
60-day period referred to in paragraph (1)(A) shall not exceed 50 percent of the
lowest charge described in paragraph (1)(A).
'(B) NONELIGIBLE SENATE CANDIDATES- In the case of a candidate for the
United States Senate who is not an eligible Senate candidate, paragraph (1)(A) shall
not apply.'.
(b) PREEMPTION; ACCESS- Section 315 of the Communications Act of 1934 (47 U.S.C. 315),
as amended by section 102(a), is amended(1) by redesignating subsections (d) and (e) (as redesignated by section 102(a)(2)), as
subsections (e) and (f), respectively; and
(2) by inserting after subsection (c) the following:
'(d) PREEMPTION'(1) IN GENERAL- Except as provided in paragraph (2), a licensee shall not preempt the
use, during any period specified in subsection (b)(1)(A), of a broadcasting station by an
eligible Senate candidate who has purchased and paid for such use pursuant to subsection
(b)(2).
'(2) CIRCUMSTANCES BEYOND CONTROL OF LICENSEE- If a program to be
broadcast by a broadcasting station is preempted because of circumstances beyond the
control of the broadcasting station, any candidate advertising spot scheduled to be broadcast
during that program may also be preempted.'.
(c) REVOCATION OF LICENSE FOR FAILURE TO PERMIT ACCESS- Section 312(a)(7) of
the Communications Act of 1934 (47 U.S.C. 312(a)(7)) is amended(1) by striking 'or repeated';
(2) by inserting 'or cable system' after 'broadcasting station'; and
(3) by striking 'his candidacy' and inserting 'the candidacy of the candidate, under the same
terms, conditions, and business practices as apply to the most favored advertiser of the
licensee'.
(d) EFFECTIVE DATE- The amendments made by this section shall take effect on the date that is
60 days after the date of enactment of this Act.
S E C . 104. R E D U C E D P O S T A G E R A T E S .
(a) IN GENERAL- Section 3626(e) of title 39, United States Code, is amended(1) in paragraph (2)—
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(A) in subparagraph (A)~
(i) by striking 'and the National' and inserting 'the National'; and
(ii) by inserting before the semicolon the following: ', and, subject to paragraph
(3), the principal campaign committee of an eligible Senate candidate;';
(B) in subparagraph (B), by striking 'and' after the semicolon;
(C) in subparagraph (C), by striking the period and inserting a semicolon; and
(D) by adding at the end the following:
'(D) the term 'principal campaign committee' has the meaning given in section 301 of the
Federal Election Campaign Act of 1971; and
'(E) the term 'eligible Senate candidate' has the meaning given in section 501 of the Federal
Election Campaign Act of 1971.'; and
(2) by adding after paragraph (2) the following:
'(3) The rate made available under this subsection with respect to an eligible Senate candidate
shall apply only to that number of pieces of mail that is equal to 2 times the number of individuals
in the voting age population (as certified under section 315(e) of the Federal Election Campaign
Act of 1971) of the State.*.
(b) EFFECTIVE DATE- The amendments made by this section shall take effect on the date that is
60 days after the date of enactment of this Act.
SEC. 105. CONTRIBUTION LIMIT FOR ELIGIBLE SENATE CANDIDATES.
Section 315(a)(1) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(l)) is
amended—
(1) in subparagraph (A), by inserting 'except as provided in subparagraph (B),' before 'to';
(2) by redesignating subparagraphs (B) and (C) as subparagraphs (C) and (D), respectively;
and
(3) by inserting after subparagraph (A) the following:
' (B) if the general election expenditure limit, primary election expenditure limit, or runoff
limit election expenditure limit applicable to an eligible Senate candidate has been increased
under section 503(d), to the eligible Senate candidate and the authorized political
committees of the candidate with respect to any election for the office of United States
Senator, which, in the aggregate, exceed $2,000;'.
SEC. 106. REPORTING REQUIREMENT FOR SENATE CANDIDATES.
(a) CONTRIBUTIONS BY IN-STATE RESIDENTS- Section 304(b)(2) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 434(b)(2)) is amended(1) by striking 'and' at the end of subparagraph (J);
(2) by striking the period at the end of subparagraph (K) and inserting '; and'; and
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(3) by adding at the end the following:
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'(L) in the case of an eligible Senate candidate, the total amount of contributions from
individuals who are residents of the State in which the candidate seeks office.'.
(b) REPORTS BY SENATE CANDIDATES- Section 304 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 434) (as amended by section 221) is amended by adding at the end the
following:
Xh) SENATE CANDIDATESXI) EXPENDITURES OF PERSONAL FUNDSXA) IN GENERAL- A candidate for the Senate who during an election cycle makes
expenditures from sources described in section 503(a)(2) in excess of the personal
funds expenditure limit under 503(a) shall report the expenditures to the Commission
within 48 hours after the expenditures have been made.
XB) ADDITIONAL REPORTS- A candidate shall file an additional report within 48
hours after the date on which the candidate makes expenditures for the general
election from sources described in section 503(a)(2) that in the aggregate exceed 25
percent of the general election expenditure limit.
X2) EXPENDITURES OF PERSONAL FUNDS BY A SENATE CANDIDATE WHO IS
NOT AN ELIGIBLE CANDIDATE-
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XA) IN GENERAL- A primary election Senate candidate or general election Senate
candidate who is not certified as an eligible candidate under section 505 and who has
received contributions or made expenditures from sources described in section
503(a)(2) in an aggregate amount that exceeds 50 percent of the general election
expenditure limit shall file a report with the Commission within 48 hours after that
amount of contributions have been received or expenditures have been made.
XB) ADDITIONAL REPORTS- A primary election Senate candidate or general
election Senate candidate shall file an additional report within 48 hours after the
candidate has received contributions or made expenditures from sources described in
section 503(a)(2) in an aggregate amount that exceeds 105 percent or 155 percent of
the applicable expenditure limits.
X3) NOTIFICATION- Within 48 hours after a report is filed under paragraph (1) or (2), the
Commission shall notify each eligible Senate candidate in the election of the filing.
X4) REPORT AND NOTIFICATION REQUIREMENTS WITHIN 20 DAYS OF AN
ELECTIONXA) REPORTS- If any act which requires the filing of any report under paragraphs
(1) or (2) occurs after the 20th day, but more than 24 hours before an election, the
report shall be filed by the candidate within 24 hours of the occurrence of the act.
XB) NOTIFICATION- For any such report filed under this subsection, the
Commission shall notify the appropriate eligible Senate candidate within 24 hours
after the filing of such report.
T I T L E II-REDUCTION OF SPECIAL INTEREST INFLUENCE
Subtitle A—Political Action Committees
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SEC. 201. BAN ON POLITICAL ACTION COMMITTEE CONTRIBUTIONS TO
FEDERAL CANDIDATES.
(a) IN GENERAL- Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.)
is amended by adding at the end the following:
"SEC. 324. BAN ON POLITICAL ACTION COMMITTEE CONTRIBUTIONS TO
FEDERAL CANDIDATES.
"Notwithstanding any other provision of this Act, no person other than an individual or a political
committee may make a contribution to a candidate or candidate's authorized committee.'.
(b) DEFINITION OF POLITICAL COMMITTEE(1) SECTION 301(4)- Section 301(4) of the Federal Election Campaign Act of 1971 (2
U.S.C. 431(4)) is amended to read as follows:
"(4) The term "political committee' means'(A) the principal campaign committee of a candidate;
'(B) any national, State, or district committee of a political party, including any
subordinate committee thereof;
'(C) any local committee of a political party that'(i) receives contributions aggregating in excess of $5,000 during a calendar
year;
'(ii) makes payments exempted from the definition of contribution or
expenditure under paragraph (8) or (9) aggregating in excess of $5,000 during a
calendar year; or
'(iii) makes contributions or expenditures aggregating in excess of $1,000
during a calendar year; and
'(D) any committee jointly established by a principal campaign committee and any
committee described in subparagraph (B) or (C) for the purpose of conducting joint
fundraising activities.'.
(2) SECTION 316(b)(2)- Section 316(b)(2) of the Federal Election Campaign Act of 1971
(2 U.S.C. 441b(b)(2)) is amended-(A) by inserting 'or' after 'subject;';
(B) by striking 'and their families; and' and inserting 'and their families.'; and
(C) by striking subparagraph (C).
(c) CANDIDATE'S COMMITTEES(1) CONTRIBUTIONS TO AUTHORIZED COMMITTEE- Section 315(a) of the Federal
Election Campaign Act of 1971 (2 U.S.C. 441a(a)) is amended by adding at the end the
following:
'(9) For the purposes of the limitations provided by paragraphs (1) and (2), any political
committee that is established, financed, maintained, or controlled, directly or indirectly, by
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any candidate or Federal officeholder shall be deemed to be an authorized committee of
such candidate or officeholder.'.
(2) DESIGNATION OF AUTHORIZED COMMITTEE- Section 302(e)(3) of the Federal
Election Campaign Act of 1971 (2 U.S.C. 432) is amended by striking paragraph (3) and
inserting the following:
'(3) No political committee that supports, or has supported, more than one candidate may be
designated as an authorized committee, except that—
'(A) a candidate for the office of President nominated by a political party may
designate the national committee of such political party as the candidate's principal
campaign committee, if that national committee maintains separate books of account
with respect to its functions as a principal campaign committee; and
'(B) a candidate may designate a political committee established solely for the
purpose of joint fundraising by such candidates as an authorized committee.'.
(d) RULES APPLICABLE WHEN BAN NOT IN EFFECT- For purposes of the Federal Election
Campaign Act of 1971 (2 U.S.C. 431 et seq.), during any period beginning after the effective date
in which the limitation under section 324 (as added by subsection (a)) is not in effect(1) the amendments made by subsections (a), (b), and (c) shall not be in effect; and
(2) (A) it shall be unlawful for a candidate for election, or nomination for election, to the
Senate or an authorized committee of a Senate candidate to accept a contribution from a
multicandidate political committee or an intermediary or conduit (within the meaning of
paragraph (8)), to the extent that the making or accepting of the contribution would cause
the aggregate amount of contributions received by the candidate and the candidate's
authorized committees from multicandidate political committees, intermediaries, and
conduits to exceed 20 percent of the primary election expenditure limit, runoff election
expenditure limit, or general election expenditure limit (as those terms are defined in section
501) that is applicable (or, if the candidate were an eligible Senate candidate (as defined in
section 501), would be applicable) to the candidate, and a candidate shall return to the
contributor the excess of any contributions received over the amount of contributions
allowed to be accepted under this subparagraph; and
(B) it shall be unlawful for a political committee, intermediary, or conduit to make a
contribution to any candidate or an authorized committee of a candidate that, in the
aggregate, exceeds the amount that an individual is permitted, under section 315(a), to make
directly to the candidate and candidate's authorized committees.
Subtitle B—Provisions Relating to Soft Money of Political Party Committees
SEC. 211. SOFT MONEY OF POLITICAL PARTY COMMITTEE.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) (as amended by
section 201) is amended by adding at the end the following:
S E C . 325. S O F T M O N E Y O F P A R T Y C O M M I T T E E S .
'(a) NATIONAL COMMITTEES- A national committee of a political party (including a national
congressional campaign committee of a political party), an entity that is directly or indirectly
established, financed, maintained, or controlled by a national committee or its agent, an entity
acting on behalf of a national committee, and an officer or agent acting on behalf of any such
committee or entity (but not including an entity regulated under subsection (b)) shall not solicit or
receive any contributions, donations, or transfers of funds, or spend any funds, that are not subject
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to the limitations, prohibitions, and reporting requirements of this Act.
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Xb) STATE, DISTRICT, AND LOCAL COMMITTEESXI) IN GENERAL- Any amount that is expended or disbursed by a State, district, or local
committee of a political party (including an entity that is directly or indirectly established,
financed, maintained, or controlled by a State, district, or local committee of a political
party and an officer or agent acting on behalf of any such committee or entity) during a
calendar year in which a Federal election is held, for any activity that might affect the
outcome of a Federal election, including any voter registration or get-out-the-vote activity,
any generic campaign activity, and any communication that refers to a candidate (regardless
of whether a candidate for State or local office is also mentioned or
identified) shall be made from funds subject to the limitations, prohibitions, and reporting requirements
of this Act.
X2) ACTIVITY EXCLUDED FROM PARAGRAPH (1)XA) IN GENERAL- Paragraph (1) shall not apply to an expenditure or disbursement
made by a State, district, or local committee of a political party for~
XD a contribution to a candidate for State or local office if the contribution is
not designated or otherwise earmarked to pay for an activity described in
paragraph (1);
Xii) the costs of a State, district, or local political convention;
Xiii) the non-Federal share of a State, district, or local party committee's
administrative and overhead expenses (but not including the compensation in
any month of any individual who spends more than 20 percent of the
individual's time on activity during the month that may affect the outcome of a
Federal election) except that for purposes of this paragraph, the non-Federal
share of a party committee's administrative and overhead expenses shall be
determined by applying the ratio of the non-Federal disbursements to the total
Federal expenditures and non-Federal disbursements made by the committee
during the previous presidential election year to the committee's administrative
and overhead expenses in the election year in question;
Xiv) the costs of grassroots campaign materials, including buttons, bumper
stickers, and yard signs that name or depict only a candidate for State or local
office; and
(v) the cost of any campaign activity conducted solely on behalf of a clearly
identified candidate for State or local office, if the candidate activity is not an
activity described in paragraph (1).
XB) FUNDRAISING COSTS- Any amount spent by a national, State, district, or
local committee, by an entity that is established,financed,maintained, or controlled
by a State, district, or local committee of a political party, or by an agent or officer of
any such committee or entity to raise funds that are used, in whole or in part, to pay
the costs of an activity described in paragraph (1) shall be made from funds subject to
the limitations, prohibitions, and reporting requirements of this Act.
Xc) TAX-EXEMPT ORGANIZATIONS- A national, State, district, or local committee of a
political party (including a national congressional campaign committee of a political party, an
entity that is directly or indirectly established, financed, maintained, or controlled by any such
national, State, district, or local committee or its agent, an agent acting on behalf of any such party
committee, and an officer or agent acting on behalf of any such party committee or entity), shall
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not solicit any funds for or make any donations to an organization that is exempt from Federal
taxation under section 501(c) of the Internal Revenue Code of 1986.
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'(d) CANDIDATES'(1) IN GENERAL- A candidate, individual holding Federal office, or agent of a candidate
or individual holding Federal office shall not—
'(A) solicit, receive, transfer, or spend funds in connection with an election for
Federal office unless the funds are subject to the limitations, prohibitions, and
reporting requirements of this Act;
'(B) solicit, receive, or transfer funds that are to be expended in connection with any
election other than a Federal election unless the funds'(i) are not in excess of the amounts permitted with respect to contributions to
candidates and political committees under section 315(a) (1) and (2); and
'(ii) are not from sources prohibited by this Act from making contributions with
respect to an election for Federal office; or
'(C) solicit, receive, or transfer any funds on behalf of any person that are not subject
to the limitations, prohibitions, and reporting requirements of the Act if the funds are
for use infinancingany campaign-related activity or any communication that refers to
a clearly identified candidate for Federal office.
'(2) EXCEPTION- Paragraph (1) does not apply to the solicitation or receipt of funds by an
individual who is a candidate for a State or local office if the solicitation or receipt of funds
is permitted
under State law for the individual's State or local campaign committee.'.
SEC. 212. STATE PARTY GRASSROOTS FUNDS.
(a) INDIVIDUAL CONTRIBUTIONS- Section 315(a)(1) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441a(a)(l)) (as amended by section 105) is amended(1) in subparagraph (C) by striking 'or' at the end;
(2) by redesignating subparagraph (D) as subparagraph (E); and
(3) by inserting after subparagraph (C) the following:
'(D) to'(i) a State Party Grassroots Fund established and maintained by a State committee of
a political party in any calendar year which, in the aggregate, exceed $20,000;
'(ii) any other political committee established and maintained by a State committee of
a political party in any calendar year which, in the aggregate, exceed $5,000;
except that the aggregate contributions described in this subparagraph that may be made by
a person to the State Party Grassroots Fund and all committees of a State Committee of a
political party in any State in any calendar year shall not exceed $20,000; or'.
(b) LIMITS-
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(1) IN GENERAL- Section 315(a) of the Federal Election Campaign Act of 1971 (2 U.S.C.
441a(a)) is amended by striking paragraph (3) and inserting the following:
'(3) OVERALL LIMITS\ A ) INDIVIDUAL LIMIT- No individual shall make contributions during any
calendar year that, in the aggregate, exceed $30,000.
"(B) CALENDAR YEAR- No individual shall make contributions during any
calendar year—
"(i) to all candidates and their authorized political committees that, in the
aggregate, exceed $25,000; or
"(ii) to all political committees established and maintained by State committees
of a political party that, in the aggregate, exceed $20,000.
'(C) NONELECTION YEARS- For purposes of subparagraph (B)(i), any
contribution made to a candidate or the candidate's authorized political committees in
a year other than the calendar year in which the election is held with respect to which
the contribution is made shall be treated as being made during the calendar year in
which the election is held.'.
(c) DEFINITIONS- Section 301 of the Federal Election Campaign Act of 1970 (2 U.S.C. 431) is
amended by adding at the end the following:
'(20) The term 'generic campaign activity' means a campaign activity that promotes a
political party and does not refer to any particular Federal or non-Federal candidate.
'(21) The term 'State Party Grassroots Fund' means a separate segregated fund established
and maintained by a State committee of a political party solely for purposes of making
expenditures and other disbursements described in section 326(d).'.
(d) STATE PARTY GRASSROOTS FUNDS- Title III of the Federal Election Campaign Act of
1971 (2 U.S.C. 431 et seq.) (as amended by section 211) is amended by adding at the end the
following:
"SEC. 326. STATE PARTY GRASSROOTS FUNDS.
'(a) DEFINITION- In this section, the term 'State or local candidate committee' means a
committee established, financed, maintained, or controlled by a candidate for other than Federal
office.
'(b) TRANSFERS- Notwithstanding section 315(a)(4), no funds may be transferred by a State
committee of a political party from its State Party Grassroots Fund to any other State Party
Grassroots Fund or to any other political committee, except a transfer may be made to a district or
local committee of the same political party in the same State if the district or local committee—
'(1) has established a separate segregated fund for the purposes described in subsection (d);
and
'(2) uses the transferred funds solely for those purposes.
'(c) AMOUNTS RECEIVED BY GRASSROOTS FUNDS FROM STATE AND LOCAL
CANDIDATE COMMITTEES'(1) IN GENERAL- Any amount received by a State Party Grassroots Fund from a State or
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local candidate committee for expenditures described in subsection (d) that are for the
benefit of that candidate shall be treated as meeting the requirements of 325(b)(1) and
section 304(d) i f '(A) the amount is derived from funds which meet the requirements of this Act with
respect to any limitation or prohibition as to
source or dollar amount specified in section 315(a) (1)(A) and (2)(A)(i); and
"(B) the State or local candidate committee—
XO maintains, in the account from which payment is made, records of the
sources and amounts of funds for purposes of determining whether those
requirements are met; and
Xii) certifies that the requirements were met.
X2) DETERMINATION OF COMPLIANCE- For purposes of paragraph (1)(A), in
determining whether the funds transferred meet the requirements of this Act described in
paragraph (1 )(A)—
XA) a State or local candidate committee's cash on hand shall be treated as consisting
of the funds most recently received by the committee; and
XB) the committee must be able to demonstrate that its cash on hand contains funds
meeting those requirements sufficient to cover the transferred funds.
X3) REPORTING- Notwithstanding paragraph (1), any State Party Grassroots Fund that
receives a transfer described in paragraph (1) from a State or local candidate committee
shall be required to meet the reporting requirements of this Act, and shall submit to the
Commission all certifications received, with respect to receipt of the transfer from the
candidate committee.
Xd) DISBURSEMENTS AND EXPENDITURES- A State committee of a political party may
make disbursements and expenditures from its State Party Grassroots Fund only forXI) any generic campaign activity;
X2) payments described in clauses (v), (x), and (xii) of paragraph (8)(B) and clauses (iv),
(viii), and (ix) of paragraph (9)(B) of section 301;
X3) subject to the limitations of section 315(d), payments described in clause (xii) of
paragraph (8)(B), and clause (ix) of paragraph (9)(B), of section 301 on behalf of candidates
other than for President and Vice President;
X4) voter registration; and
X5) development and maintenance of voterfilesduring an even-numbered calendar year.'.
S E C . 213. R E P O R T I N G R E Q U I R E M E N T S .
(a) REPORTING REQUIREMENTS- Section 304 of the Federal Election Campaign Act of 1971
(2 U.S.C. 434) (as amended by section 241) is amended by adding at the end the following:
Xe) POLITICAL COMMITTEESXI) NATIONAL AND CONGRESSIONAL POLITICAL COMMITTEES- The national
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committee of a political party, any congressional campaign committee of a political party,
and any subordinate committee of either, shall report all receipts and disbursements during
the reporting period, whether or not in connection with an election for Federal office.
X2) OTHER POLITICAL COMMITTEES TO WHICH SECTION 325 APPLIES- A
political committee (not described in paragraph (1)) to which section 325(b)(1) applies shall
report all receipts and disbursements made for activities described in section 325(b) (1) and
(2)(iii).
'(3) OTHER POLITICAL COMMITTEES- Any political committee to which paragraph (1)
or (2) does not apply shall report any receipts or disbursements that are used in connection
with a Federal election.
"(4) ITEMIZATION- If a political committee has receipts or disbursements to which this
subsection applies from any person aggregating in excess of $200 for any calendar year, the
political committee shall separately itemize its reporting for such person in the same manner
as required in paragraphs (3)(A), (5), and (6) of subsection (b).
'(5) REPORTING PERIODS- Reports required to be filed under this subsection shall be filed for
the same time periods required for political committees under subsection (a).'.
(b) BUILDING FUND EXCEPTION TO THE DEFINITION OF CONTRIBUTION- Section
301(8) of the Federal Election Campaign Act of 1971 (2 U.S.C. 431(8)) is amended(1) by striking clause (viii); and
(2) by redesignating clauses (ix) through (xiv) as clauses (viii) through (xiii), respectively.
(c) REPORTS BY STATE COMMITTEES- Section 304 of the Federal Election Campaign Act of
1971 (2 U.S.C. 434) (as amended by subsection (a)) is amended by adding at the end the
following:
'(f) FILING OF STATE REPORTS- In lieu of any report required to be filed by this Act, the
Commission may allow a State committee of a political party to file with the Commission a report
required to be filed under State law if the Commission determines such reports contain
substantially the same information.'.
(d) OTHER REPORTING REQUIREMENTS(1) AUTHORIZED COMMITTEES- Section 304(b)(4) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434(b)(4)) is amended-(A) by striking 'and' at the end of subparagraph (H);
(B) by inserting 'and' at the end of subparagraph (I); and
(C) by adding at the end the following new subparagraph:
'(J) in the case of an authorized committee, disbursements for the primary election,
the general election, and any other election in which the candidate participates;'.
(2) NAMES AND ADDRESSES- Section 304(b)(5)(A) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434(b)(5)(A)) is amended by inserting ', and the election to which the
operating expenditure relates' after 'operating expenditure'.
Subtitle C-Soft Money of Persons Other Than Political Parties
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SEC. 221. SOFT MONEY OF PERSONS OTHER THAN POLITICAL PARTIES.
t
Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 434) (as amended by section
213) is amended by adding at the end the following:
\ f ) ELECTION ACTIVITY OF PERSONS OTHER THAN POLITICAL PARTIES'(1) IN GENERAL- A person other than a committee of a political party that makes
aggregate disbursements totaling in excess of $10,000 for activities described in paragraph
(2) shall file a statement with the Commission—
'(A) within 48 hours after the disbursements are made; or
"(B) in the case of disbursements that are made within 20 days of an election, within
24 hours after the disbursements are made.
X2) ACTIVITY- The activity described in this paragraph isXA) any activity described in section 316(b)(2)(A) that refers to any candidate for
Federal office, any political party, or any Federal election; and
XB) any activity described in subparagraph (B) or (C) of section 316(b)(2).
X3) ADDITIONAL STATEMENTS- An additional statement shall be filed each time
additional disbursements aggregating $ 10,000 are made by a person described in paragraph
t
(
!
)
•
X4) APPLICABILITY- This subsection does not apply t o XA) a candidate or a candidate's authorized committees; or
XB) an independent expenditure.
X5) CONTENTS- A statement under this section shall contain such information about the
disbursements as the Commission shall prescribe, including—
XA) the name and address of the person or entity to whom the disbursement was
made;
XB) the amount and purpose of the disbursement; and
XC) if applicable, whether the disbursement was in support of, or in opposition to, a
candidate or a political party, and the name of the candidate or the political party.'.
Subtitle D-Contributions
S E C . 231. C O N T R I B U T I O N S T H R O U G H I N T E R M E D I A R I E S AND C O N D U I T S .
Section 315(a)(8) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(8)) is amended
by striking paragraph (8) and inserting the following:
X8) INTERMEDIARIES AND CONDUITSXA) DEFINITIONS- In this paragraph:
Xi) ACTING ON BEHALF OF THE ENTITY- The term 'acting on behalf of
the entity' means soliciting one or more contributions-
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"(I) in the name of an entity;
'(II) using other than incidental resources of an entity; or
XIII) by directing a significant portion of the solicitations to other
officers, employees, agents, or members of an entity or their spouses, or
by soliciting a significant portion of the other officers, employees, agents,
or members of an entity or their spouses.
Xii) BUNDLER- The term 'bundler' means an intermediary or conduit that
delivers contributions made by other persons, and that is any of the following
persons:
XI) A political committee (other than the authorized campaign committee
of the candidate receiving the funds) or an officer, employee or agent of a
political committee.
XH) A corporation, labor organization, or partnership or an officer,
employee, or agent of a corporation, labor organization, or partnership,
acting on behalf of the corporation, labor organization, or partnership.
XIII) A person required to be listed as a lobbyist on a registration or other
report filed pursuant to the Lobbying Disclosure Act of 1995 (2 U.S.C.
1601 et seq.) or any successor law that requires reporting on the activities
of a person who is a lobbyist or foreign agent.
Xiii) DELIVER- The term 'deliver' means to deliver contributions to a
candidate by any method used or suggested by a bundler that communicates to
the candidate (or to the person who receives the contributions on behalf of the
candidate) that the bundler collected the contributions for the candidate,
including such methods a—
s
XI) personal delivery;
XII) United States mail or similar services;
XIII) messenger service; and
XIV) collection at an event or reception.
XB) TREATMENT AS CONTRIBUTIONS FROM PERSONS BY WHOM MADEXD IN GENERAL- For purposes of the limitations imposed by this section, all
contributions made by a person, either directly or indirectly, on behalf of a
candidate, including contributions that are in any way earmarked or otherwise
directed through an intermediary or conduit to the candidate, shall be treated as
contributions from the person to the candidate.
Xii) REPORTING- The intermediary or conduit through which a contribution
is made shall report the name of the original contributor and the intended
recipient of the contribution to the Commission and to the intended recipient.
XC) TREATMENT AS CONTRIBUTIONS FROM THE BUNDLER- Contributions
that a bundler delivers to a candidate, agent of the candidate, or the candidate's
authorized committee shall be treated as contributions from the bundler to the
candidate as well as from the original contributor.
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'(D) NO LIMITATION ON OR PROHIBITION OF CERTAIN ACTIVITIES- This
subsection does not~
XO limit fundraising efforts for the benefit of a candidate that are conducted by
another candidate or Federal officeholder; or
Xii) prohibit an officer, employee, or agent of a corporation, labor organization,
or partnership from soliciting, collecting, or delivering a contribution to a
candidate, agent of the candidate, or the candidate's authorized committee if the
officer, employee, or agent does so by use of the personal resources of the
officer, employee, or agent and is not acting on behalf of the corporation, labor
organization, or partnership.'.
Subtitle E—Independent Expenditures
SEC. 241. REPORTING REQUIREMENTS FOR CERTAIN INDEPENDENT
EXPENDITURES.
Section 304(c) of the Federal Election Campaign Act of 1971 (2 U.S.C. 434(c)) is amended(1) in paragraph (2), by striking the undesignated matter after subparagraph (C);
(2) by redesignating paragraph (3) as paragraph (7); and
(3) by inserting after paragraph (2), as amended by paragraph (1), the following:
Xd) TIME FOR REPORTING CERTAIN EXPENDITURESXI) EXPENDITURES AGGREGATING $1,000XA) INITIAL REPORT- A person (including a political committee) that makes
independent expenditures aggregating $1,000 or more after the 20th day, but more
than 24 hours, before an election shall file a report describing the expenditures within
24 hours after that amount of independent expenditures has been made.
XB) ADDITIONAL REPORTS- After a person files a report under subparagraph (A),
the person filing the report shall file an additional report each time that independent
expenditures aggregating an additional $1,000 are made with respect to the same
election as that to which the initial report relates.
X2) EXPENDITURES AGGREGATING $10,000XA) INITIAL REPORT- A person (including a political committee) that makes
independent expenditures aggregating $10,000 or more at any time up to and
including the 20th day before an election shall file a report describing the
expenditures within 48 hours after that amount of independent expenditures has been
made.
XB) ADDITIONAL REPORTS- After a person files a report under subparagraph (A),
the person filing the report shall file an additional report each time that independent
expenditures aggregating an additional $ 10,000 are made with respect to the same
election as that to which the initial report relates.
X3) PLACE OF FILING; CONTENTS; TRANSMITTALXA) PLACE OF FILING; CONTENTS- A report under this subsection-
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"(i) shall be filed with the Commission; and
Xii) shall contain the information required by subsection (b)(6)(B)(iii),
including the name of each candidate whom an expenditure is intended to
support or oppose.
XB) TRANSMITTAL TO CANDIDATES- In the case of an election for United
States Senator, not later than 2 business days after receipt of a report under this
subsection, the Commission shall transmit a copy of the report to each eligible
candidate seeking nomination for election to, or election to, the office in question.
X4) OBLIGATION TO MAKE EXPENDITURE- For purposes of this subsection, an
expenditure shall be treated as being made on the making of any payment or the taking of
any action to incur an obligation for payment.
X5) DETERMINATIONS BY THE COMMISSIONXA) IN GENERAL- The Commission may, upon a request of a candidate or on its
own initiative, make its own determination that a person, including a political
committee, has made,
or has incurred obligations to make, independent expenditures with respect to any candidate in any
Federal election that in the aggregate exceed the applicable amounts under paragraph (1) or (2).
XB) NOTIFICATION- In the case of independent expenditures made in connection
with an election in which an eligible Senate candidate is on the ballot, the
Commission shall notify each candidate in the election of the making of the
determination within 2 business days after making the determination.
(C) TIME TO COMPLY WITH REQUEST FOR DETERMINATION- A
determination made at the request of a candidate shall be made within 2 business days
after the date of the request.
X6) NOTIFICATION OF AN ALLOWABLE INCREASE IN INDEPENDENT
EXPENDITURE LIMIT- When independent expenditures totaling in the aggregate $10,000
have been made in the same election in support of an opposing candidate or against an
eligible Senate candidate, the Commission shall, within 2 business days, notify the eligible
Senate candidate that the eligible Senate candidate is entitled under section 503(e) to an
increase in the applicable expenditure limit in an amount equal to the amount of the
independent expenditures.'.
T I T L E III--ENFORCEIVIENT
SEC. 301. FILING OF REPORTS USING COMPUTERS AND FACSIMILE
MACHINES.
Section 302(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 434(a)) is amended by
striking paragraph (11) and inserting at the end the following:
XI 1)(A) The Commission may prescribe regulations under which persons required to file
designations, statements, and reports under this Act~
Xi) are required to maintain and file a designation, statement, or report for any
calendar year in electronic form accessible by computers ifthe person has, or has
reason to expect to have, aggregate contributions or expenditures in excess of a
threshold amount determined by the Commission; and
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'(ii) may maintain and file a designation, statement, or report in that manner if not
required to do so under regulations prescribed under clause (i).
'(B) The Commission shall prescribe regulations which allow persons to file designations,
statements, and reports required by this Act through the use of facsimile machines.
'(C) In prescribing regulations under this paragraph, the Commission shall provide methods
(other than requiring a signature on the document being filed) for verifying designations,
statements, and reports covered by the regulations. Any document verified under any of the
methods shall be treated for all purposes (including penalties for perjury) in the same
manner as a document verified by signature.'.
SEC. 302. AUDITS.
(a) RANDOM AUDITS- Section 311(b) of the Federal Election Campaign Act of 1971 (2 U.S.C.
438(b)) is amended-(1) by inserting '(1)' before 'The Commission'; and
(2) by adding at the end the following:
'(2) RANDOM AUDITS'(A) IN GENERAL- Notwithstanding paragraph (1), the Commission may conduct
random audits and investigations to ensure voluntary compliance with this Act.
'(B) SELECTION OF SUBJECTS- The aggregate amount of contributions received
by an eligible Senate candidate as of the end of each reporting period under section
304 shall meet the requirement of paragraph (1).
'(C) LIMITATION- The Commission shall not conduct an audit or investigation of a
candidate's authorized committee under paragraph (1) until the candidate is no longer
a candidate for the office sought by the candidate in an election cycle.
'(D) APPLICABILITY- This paragraph does not apply to an authorized committee of
a candidate for President or Vice President subject to audit under section 9007 or
9038 of the Internal Revenue Code of 1986.'.
(b) EXTENSION OF PERIOD DURING WHICH CAMPAIGN AUDITS MAY BE BEGUNSection 311(b) of the Federal Election Campaign Act of 1971 (2 U.S.C. 438(b)) is amended by
striking '6 months' and inserting '12 months'.
SEC. 303. AUTHORITY TO SEEK INJUNCTION.
Section 309(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a)) is amended(1) by adding at the end the following:
'(13)(A) If, at any time in a proceeding described in paragraph (1), (2), (3), or (4), the Commission
believes that—
'(i) there is a substantial likelihood that a violation of this Act is occurring or is about to
occur;
'(ii) the failure to act expeditiously will result in irreparable harm to a party affected by the
potential violation;
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'(iii) expeditious action will not cause undue harm or prejudice to the interests of others;
and
'(iv) the public interest would be best served by the issuance of an injunction;
the Commission may initiate a civil action for a temporary restraining order or a preliminary
injunction pending the outcome of the proceedings described in paragraphs (1), (2), (3), and (4).
'(B) An action under subparagraph (A) shall be brought in the United States district court for the
district in which the defendant resides, transacts business, or may be found, or in which the
violation is occurring, has occurred, or is about to occur.';
(2) in paragraph (7), by striking '(5) or (6)' and inserting '(5), (6), or (13)'; and
(3) in paragraph (11), by striking '(6)' and inserting '(6) or (13)'.
SEC. 304. REPORTING REQUIREMENTS FOR CONTRIBUTIONS OF $50 OR
MORE.
Section 304(b)(3)(A) of the Federal Election Campaign Act at 1971 (2 U.S.C. 434(b)(3)(A) is
amended(1) by striking '$200* and inserting '$50'; and
(2) by striking the semicolon and inserting ', except that in the case of a person who makes
contributions aggregating at least $50 but not more than $200 during the calendar year, the
identification need include only the name and address of the person*.
SEC. 305. INCREASE IN PENALTY FOR KNOWING AND WILLFUL
VIOLATIONS.
Section 309(a)(5)(B) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a)(5)(B)) is
amended by striking 'the greater of $10,000 or an amount equal to 200 percent' and inserting 'the
greater of $ 15,000 or an amount equal to 300 percent'.
SEC. 306. PROHIBITION OF CONTRIBUTIONS BY INDIVIDUALS NOT
QUALIFIED TO VOTE.
(a) PROHIBITION- Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 le) is
amended—
(1) in the heading by adding 'AND INDIVIDUALS NOT QUALIFIED TO REGISTER TO
VOTE' at the end; and
(2) in subsection (a)~
(A) by striking '(a) It shall' and inserting the following:
'(a) PROHIBITIONS' (1) FOREIGN NATIONALS- It shall'; and
(B) by adding at the end the following:
'(2) INDIVIDUALS NOT QUALIFIED TO VOTE- It shall be unlawful for an individual
who is not qualified to register to vote in a Federal election to make a contribution, or to
promise expressly or impliedly to make a contribution, in connection with a Federal
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election; or for any person to solicit, accept, or receive a contribution in connection with a
Federal election from an individual who is not qualified to register to vote in a Federal
election.'.
(b) INCLUSION IN DEFINITION OF IDENTIFICATION- Section 301(13) of the Federal
Election Campaign Act of 1971 (2 U.S.C. 431(13)) is amended(1) in subparagraph (A)~
(A) by striking 'and' the first place it appears; and
(B) by inserting \ and an affirmation that the individual is an individual who is not
prohibited by section 319 from making a contribution' after 'employer'; and
(2) in subparagraph (B) by inserting 'and an affirmation that the person is a person that is
not prohibited by section 319 from making a contribution' after 'such person'.
SEC. 307. USE OF CANDIDATES' NAMES.
Section 302(e) of the Federal Election Campaign Act of 1971 (2 U.S.C. 432(e)) is amended by
striking paragraph (4) and inserting the following:
'(4)(A) The name of each authorized committee shall include the name of the candidate who
authorized the committee under paragraph (1).
'(B) A political committee that is not an authorized committee shall not'(i) include the name of any candidate in its name, or
'(ii) except in the case of a national. State, or local party committee, use the
name of any candidate in any activity on behalf of such committee in such a
context as to suggest that the committee is an authorized committee of the
candidate or that the use of the candidate's name has been authorized by the
candidate.'.
SEC. 308. PROHIBITION OF FALSE REPRESENTATION TO SOLICIT
CONTRIBUTIONS.
Section 322 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 Ih) is amended-(1) by inserting after 'SEC. 322.' the following: '(a)'; and
(2) by adding at the end the following:
'(b) No person shall solicit contributions by falsely representing himself as a candidate or as a
representative of a candidate, a political committee, or a political party.'.
SEC. 309. EXPEDITED PROCEDURES.
Section 309(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a)) (as amended by
section 303) is amended by adding at the end the following new paragraph:
'(14)(A) If the complaint in a proceeding was filed within 60 days immediately preceding a
general election, the Commission may take action described in this subparagraph.
'(B) If the Commission determines, on the basis of facts alleged in the complaint and other
facts available to the Commission, that there is clear and convincing evidence that a
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violation of this Act has occurred, is occurring, or is about to occur and it appears that the
requirements for relief stated in paragraph (13)(A) (ii), (iii), and (iv) are met, the
Commission may"(i) order expedited proceedings, shortening the time periods for proceedings under
paragraphs (1), (2), (3), and (4) as necessary to allow the matter to be resolved in
sufficient time before the election to avoid harm or prejudice to the interests of the
parties; or
"(ii) if the Commission determines that there is insufficient time to conduct
proceedings before the election, immediately seek relief under paragraph (13)(A).
"(C) If the Commission determines, on the basis of facts alleged in the complaint and other
facts available to the Commission, that the complaint is clearly without merit, the
Commission may-"(i) order expedited proceedings, shortening the time periods for proceedings under
paragraphs (1), (2), (3), and (4) as necessary to allow the matter to be resolved in
sufficient time before the election to avoid harm or prejudice to the interests of the
parties; or
Xii) if the Commission determines that there is insufficient time to conduct
proceedings
before the election, summarily dismiss the complaint.'.
T I T L E IV--MISCELLANEOUS
SEC. 401. USE OF CONTRIBUTED AMOUNTS FOR CERTAIN PURPOSES.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) is amended by
striking section 313 and inserting the following:
SEC. 313. USE OF CONTRIBUTED AMOUNTS FOR CERTAIN PURPOSES.
"Amounts received by a candidate as contributions, and any other amounts received by an
individual as support for his or her activities as a holder of Federal office, may be used by such
candidate or individual for expenditures in connection with his or her campaign for Federal office,
for any ordinary and necessary expenses incurred in connection with his or her duties as a holder
of Federal office, for contributions to any organization described in section 170(c) of title 26, or
for transfers to any national, State or local committee of any political party. No such amounts may
be converted by any person to any personal use. For the purposes of this section, such amounts are
converted to personal use if they are used to fulfill any commitment, obligation, or expense of any
person that would exist irrespective of the candidate's campaign or individual's responsibilities as
a Federal officeholder, including but not limited to, a home mortgage, rent, or utility payment;
clothing purchase; noncampaign automobile expense; country club membership; vacation, or trip
of a noncampaign nature; household food items; tuition payment; admission to a sporting event,
concert, theater, or other form of entertainment not associated with a campaign; and dues, fees, or
contributions to a health club or recreational facility.'.
SEC. 402. CAMPAIGN ADVERTISING.
Section 318 of the Federal Election Campaign Act of 1971 (2 U.S.C. 44 Id) is amended-(1) in subsection (a)—
(A) in the matter preceding paragraph (1)~
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(i) by striking 'Whenever' and inserting 'Whenever a political committee makes
a disbursement for the purpose of financing any communication through any
broadcasting station, newspaper, magazine, outdoor advertising facility,
mailing, or any other type of general public political advertising, or whenever ;
1
(ii) by striking 'an expenditure' and inserting 'a disbursement'; and
(iii) by striking 'direct'; and
(B) in paragraph (3), by inserting 'and permanent street address' after 'name'; and
(2) by adding at the end the following:
'(c) Any printed communication described in subsection (a) shall be'(1) of sufficient type size to be clearly readable by the recipient of the communication;
'(2) contained in a printed box set apart from the other contents of the communication; and
'(3) consist of a reasonable degree of color contrast between the background and the printed
statement.
'(d)(1) Any broadcast or cablecast communication described in subsection (a)(1) or subsection
(a)(2) shall include, in addition to the requirements of those subsections, an audio statement by the
candidate that identifies the candidate and states that the candidate has approved the
communication.
'(2) If a broadcast or cablecast communication described in paragraph (1) is broadcast or cablecast
by means of television, the communication shall include, in addition to the audio statement under
paragraph (1), a written statement which—
'(A) appears at the end of the communication in a clearly readable manner with a reasonable
degree of color contrast between the background and the printed statement, for a period of at
least 4 seconds; and
'(B) is accompanied by a clearly identifiable photographic or similar image of the candidate.
'(e) Any broadcast or cablecast communication described in subsection (a)(3) shall include, in
addition to the requirements of those subsections, in a clearly spoken manner, the following
statement: 'XXXXXXXX is responsible for the content of this advertisement.' (with the blank to
be filled in with the name of the political committee or other person paying for the communication
and the name of any connected organization of the payor). If broadcast or cablecast by means of
television, the statement shall also appear in a clearly readable manner with a reasonable degree of
color contrast between the background and the printed statement, for a period of at least 4
seconds.'.
SEC. 403. LIMIT ON CONGRESSIONAL USE OF THE FRANKING
PRIVILEGE.
(a) IN GENERAL- Section 3210(a)(6)(A) of title 39, United States Code, is amended to read as
follows:
'(A) A Member of Congress shall not mail any mass mailing as franked mail during a
year in which there will be an election for the seat held by the Member during the
period between January 1 of that year and the date of the general election for that
Office, unless the Member has made a public announcement that the Member will not
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be a candidate for reelection to that year or for election to any other Federal office.'.
(b) APPLICATION OF SAVINGS- It is the intent of Congress that any savings realized by virtue
of the amendment made by subsection (a) shall be designated to pay for the benefits of section 104
(relating to reduced postage rates for eligible Senate candidates) provided under section 104.
S E C . 404. P A R T Y I N D E P E N D E N T E X P E N D I T U R E S .
Section 315(d) of the Federal Election Campaign Act of 1997 (2 U.S.C. 441a(d)) is amended(1) in paragraph (1 )—
(A) by inserting 'coordinated' after 'make'; and
(B) by striking '(2) and (3)' and inserting '(2), (3), and (4)'; and
(2) by adding at the end the following:
'(4) Before a committee of a political party may make coordinated expenditures in
connection with a general election campaign for Federal office in excess of $5,000 pursuant
to this subsection, the committee shall file with the Commission a certification, signed by
the treasurer, that the committee
has not and will not make any independent expenditures in connection with that campaign for Federal
office. A party committee that determines to make coordinated expenditures pursuant to this subsection
shall not make any transfers of funds in the same election cycle to, or receive any transfer of funds in the
same election cycle from, any other party committee that determines to make independent expenditures
in connection with the same campaign for Federal office.
'(5)(A) A committee of a political party shall be considered to be in coordination with a
candidate of the party if the committee—
'(i) makes a payment for a communication or anything of value in coordination with
the candidate, as described in section 301(8)(A)(iii);
'(ii) makes a coordinated expenditure under section 315(d) on behalf of the candidate;
'(iii) participates in joint fundraising with the candidate or in any way solicits or
receives a contribution on behalf of the candidate;
'(iv) communicates with the candidate or an agent of the candidate (including a
pollster, media consultant, vendor, advisor, or staff member), acting on behalf of the
candidate, about advertising, message, allocation of resources, fundraising, or other
campaign matters related to the candidate's campaign, including campaign operations,
staffing, tactics or strategy; or
'(v) provides in-kind services, polling data, or anything of value to the candidate.
'(6) For purposes of paragraphs (4) and (5), all political committees established and
maintained by a national political party (including all congressional campaign committees)
and all political committees established by State political parties shall be considered to be a
single political committee.
"(7) For purposes of paragraph (5), any coordination between a committee of a political
party and a candidate of the party after the candidate has filed a statement of candidacy
constitutes coordination for the period beginning with the filing of the statement of
candidacy and ending at the end of the election cycle.'.
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SEC. 405. COORDINATED EXPENDITURES; INDEPENDENT
EXPENDITURES.
(a) DEFINITION OF COORDINATED EXPENDITURE(1) SECTION 301(8)- Section 301(8) of the Federal Election Campaign Act of 1971 (2
U.S.C. 431(8)) is amended(A) in subparagraph (A)~
(i) by striking 'or' at the end of clause (i);
(ii) by striking the period at the end of clause (ii) and inserting
or'; and
(iii) by adding at the end the following:
'(iii) a payment made for a communication or anything of value that is for the
purpose of influencing an election for Federal office and that is a payment
made in coordination with a candidate.'; and
(B) by adding at the end the following:
'(C) For the purposes of subparagraph (A)(iii), the term 'payment made in
coordination with a candidate' includes—
'(i) a payment made by a person in cooperation, consultation, or concert with,
at the request or suggestion of, or pursuant to any general or particular
understanding with a candidate, the candidate's authorized committee, or an
agent acting
on behalf of a candidate or authorized committee;
'(ii) a payment made by a person for the dissemination, distribution, or
republication, in whole or in part, of any broadcast or any written, graphic, or
other form of campaign material prepared by a candidate, a candidate's
authorized committee, or an agent of a candidate or authorized committee (not
including a communication described in paragraph (9)(B)(i) or a
communication that expressly advocates the candidate's defeat);
'(iii) a payment made based on information about a candidate's plans, projects,
or needs provided to the person making the payment by the candidate or the
candidate's agent who provides the information with a view toward having the
payment made;
'(iv) a payment made by a person if, in the same election cycle in which the
payment is made, the person making the payment is serving or has served as a
member, employee, fundraiser, or agent of the candidate's authorized
committee in an executive or policymaking position;
'(v) a payment made by a person if the person making the payment has served
in any formal policy or advisory position with the candidate's campaign or has
participated in strategic or policymaking discussions with the candidate's
campaign relating to the candidate's pursuit of nomination for election, or
election, to Federal office, in the same election cycle as the election cycle in
which the payment is made;
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"(vi) a payment made by a person if, in the same election cycle, the person
making the payment retains the professional services of any individual or
person who has provided or is providing campaign-related services in the same
election cycle to a candidate in connection with the candidate's pursuit of
nomination for election, or election, to Federal office, including services
relating to the candidate's decision to seek Federal office, and the professional
is retained to work on activities relating to that candidate's campaign.
"(D) For purposes of subparagraph (C)(vi), the term "professional services' includes
services in support of a candidate's pursuit of nomination for election, or election, to
Federal office such as polling, media advice, direct mail, fundraising, or campaign
research.
(2) SECTION 315(a)(7)- Section 315(a)(7) (2 U.S.C. 441a(a)(7)) is amended by striking
paragraph (B), and inserting the following:
'(B) Payments made in coordination with a candidate, as described in section
301(8)(A)(iii), shall be considered to be contributions to such candidate, and in the
case of limitations on expenditures, shall be treated as expenditures for purposes of
this paragraph.
(b) MEANING OF CONTRIBUTION OR EXPENDITURE FOR THE PURPOSES OF
SECTION 316- Section 316(b)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C.
441b(b)) is amended by striking 'shall include' and inserting 'includes a contribution or
expenditure, as those terms are defined in section 301, and also includes'.
(c) DEFINITION OF INDEPENDENT EXPENDITURE- Section 301 of the Federal Election
Campaign Act of
1971 (2 U.S.C. 431) is amended by striking paragraph (17) and inserting the following:
'(17) INDEPENDENT EXPENDITURE'(A) IN GENERAL- The term 'independent expenditure' means an expenditure that'(i) contains express advocacy; and
'(ii) is made without the participation or cooperation of, or without consultation with,
or without coordination with a candidate or a candidate's authorized committee or
agent (within the meaning of section 301(8)(A)(iii)).
'(B) EXCLUSION- The term 'independent expenditure' does not include an
expenditure or payment made in coordination with a candidate (within the meaning of
section 30l(8)(A)(iii)).'.
SEC. 406. EXPRESS ADVOCACY.
(a) DEFINITION OF EXPENDITURE- Section 301(9)(A) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 431(9)(A)) is amended(1) by striking 'and' at the end of clause (i);
(2) by striking the period at the end of clause (ii) and inserting a semicolon; and
(3) by adding at the end the following:
'(iii) any payment during an election year (or in a nonelection year, during the
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period beginning on the date on which a vacancy for Federal office occurs and
ending on the date of the special election for that office) for a communication
that is made through any broadcast medium, newspaper, magazine, billboard,
direct mail, or similar type of general public communication or political
advertising by a national, State, district, or local committee of a political party,
including a congressional campaign committee of a party, that refers to a
clearly identified candidate; and
'(iv) any payment for a communication that contains express advocacy.'.
(b) DEFINITION OF EXPRESS ADVOCACY- Section 301 of the Federal Election Campaign
Act of 1971 (2 U.S.C. 431) (as amended by section 212(d)) is amended by adding at the end the
following:
'(20) EXPRESS ADVOCACY\ A ) IN GENERAL- The term "express advocacy' includes—
"(i) a communication that conveys a message that advocates the election or
defeat of a clearly identified candidate for Federal office by using an expression
such as 'vote for,' 'elect,' 'support,' 'vote against,' 'defeat,' 'reject,' '(name of
candidate) for Congress', 'vote pro-life,' or 'vote pro-choice', accompanied by a
listing or picture of a clearly identified candidate described as 'pro-life' or
'pro-choice,' 'reject the incumbent', or a similar expression;
'(ii) a communication that is made through a broadcast medium, newspaper,
magazine, billboard, direct mail, or similar
type of general public communication or political advertising that involves aggregate disbursements of
$10,000 or more, that refers to a clearly identified candidate, that a reasonable person would understand
as advocating the election or defeat of the candidate, and that is made within 30 days before the date of a
primary election (and is targeted to the State in which the primary is occurring), or 60 days before a
general election; or
'(iii) a communication that is made through a broadcast medium, newspaper,
magazine, billboard, direct mail, or similar type of general public
communication or political advertising that involves aggregate disbursements
of $10,000 or more, that refers to a clearly identified candidate, that a
reasonable person would understand as advocating the election or defeat of a
candidate, that is made before the date that is 30 days before the date of a
primary election, or 60 days before the date of a general election, and that is
made for the purpose of advocating the election or defeat of the candidate, as
shown by 1 or more factors such as a statement or action by the person making
the communication, the targeting or placement of the communication, or the
use by the person making the communication of polling, demographic, or other
similar data relating to the candidate's campaign or election.
'(B) EXCLUSION- The term 'express advocacy' does not include the publication or
distribution of a communication that is limited solely to providing information about
the voting record of elected officials on legislative matters and that a reasonable
person would not understand as advocating the election or defeat of a particular
candidate.'.
T I T L E V-CONSTITUTIONALITY; EFFECTIVE DATE; REGULATIONS
SEC. 501. SEVERABILITY.
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�
Dublin Core
The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/.
Title
A name given to the resource
Michael Waldman
Description
An account of the resource
<p>Michael Waldman was Assistant to the President and Director of Speechwriting from 1995-1999. His responsibilities were writing and editing nearly 2,000 speeches, which included four State of the Union speeches and two Inaugural Addresses. From 1993 -1995 he served as Special Assistant to the President for Policy Coordination.</p>
<p>The collection generally consists of copies of speeches and speech drafts, talking points, memoranda, background material, correspondence, reports, handwritten notes, articles, clippings, and presidential schedules. A large volume of this collection was for the State of the Union speeches. Many of the speech drafts are heavily annotated with additions or deletions. There are a lot of articles and clippings in this collection.</p>
<p>Due to the size of this collection it has been divided into two segments. Use links below for access to the individual segments:<br /><a href="http://clinton.presidentiallibraries.us/items/browse?advanced%5B0%5D%5Belement_id%5D=43&advanced%5B0%5D%5Btype%5D=is+exactly&advanced%5B0%5D%5Bterms%5D=2006-0469-F+Segment+1">Segment One</a><br /><a href="http://clinton.presidentiallibraries.us/items/browse?advanced%5B0%5D%5Belement_id%5D=43&advanced%5B0%5D%5Btype%5D=is+exactly&advanced%5B0%5D%5Bterms%5D=2006-0469-F+Segment+2">Segment Two</a></p>
Creator
An entity primarily responsible for making the resource
Michael Waldman
Office of Speechwriting
Date
A point or period of time associated with an event in the lifecycle of the resource
1993-1999
Identifier
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2006-0469-F
Extent
The size or duration of the resource.
Segment One contains 1071 folders in 72 boxes.
Segment Two contains 868 folders in 66 boxes.
Provenance
A statement of any changes in ownership and custody of the resource since its creation that are significant for its authenticity, integrity, and interpretation. The statement may include a description of any changes successive custodians made to the resource.
Clinton Presidential Records: White House Staff and Office Files
Publisher
An entity responsible for making the resource available
William J. Clinton Presidential Library & Museum
Format
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Adobe Acrobat Document
Still Image
A static visual representation. Examples include paintings, drawings, graphic designs, plans and maps. Recommended best practice is to assign the type Text to images of textual materials.
Original Format
The type of object, such as painting, sculpture, paper, photo, and additional data
paper
Dublin Core
The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/.
Title
A name given to the resource
SOTU [State of the Union] 1999 - Campaign Finance Bills and Referenda [Binder] [1]
Creator
An entity primarily responsible for making the resource
Office of Speechwriting
Michael Waldman
Is Part Of
A related resource in which the described resource is physically or logically included.
Box 67
<a href="http://clinton.presidentiallibraries.us/items/show/36403"> Collection Finding Aid</a>
<a href="https://catalog.archives.gov/id/7763296">National Archives Catalog Description</a>
Identifier
An unambiguous reference to the resource within a given context
2006-0469-F Segment 1
Provenance
A statement of any changes in ownership and custody of the resource since its creation that are significant for its authenticity, integrity, and interpretation. The statement may include a description of any changes successive custodians made to the resource.
White House Staff and Office Files
Publisher
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William J. Clinton Presidential Library & Museum
Format
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Adobe Acrobat Document
Medium
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Preservation-Reproduction-Reference
Date Created
Date of creation of the resource.
6/3/2015
Source
A related resource from which the described resource is derived
7763296
42-t-7763296-20060469F-Seg1-067-006-2015