[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3505 Introduced in House (IH)]







104th CONGRESS
  2d Session
                                H. R. 3505

   To amend the Federal Election Campaign Act of 1971, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 22, 1996

  Mr. Farr of California (for himself, Mr. Gephardt, Mr. Bonior, Mr. 
Fazio of California, Ms. DeLauro, Mr. Lewis of Georgia, Mr. Richardson, 
 Mrs. Kennelly, Mr. Abercrombie, Mr. Ackerman, Mr. Barcia, Mr. Barrett 
   of Wisconsin, Mr. Becerra, Mr. Borski, Mr. Browder, Mr. Brown of 
California, Mr. Brown of Ohio, Mr. Cardin, Mr. Dellums, Mr. Durbin, Mr. 
       Engel, Ms. Eshoo, Mr. Fattah, Mr. Foglietta, Mr. Frank of 
 Massachusetts, Ms. Furse, Mr. Gejdenson, Mr. Gene Green of Texas, Mr. 
 Gibbons, Mr. Gutierrez, Mr. Hall of Ohio, Ms. Harman, Mr. Hastings of 
 Florida, Mr. Hinchey, Ms. Jackson-Lee of Texas, Mr. Kennedy of Rhode 
 Island, Mr. LaFalce, Mr. Levin, Ms. Lofgren, Mrs. Lowey, Mr. Manton, 
 Mr. Matsui, Ms. McCarthy, Mr. McDermott, Ms. McKinney, Mr. Miller of 
 California, Mr. Minge, Mr. Moakley, Mr. Moran, Mr. Nadler, Mr. Olver, 
  Mr. Owens, Mr. Pallone, Ms. Pelosi, Mr. Peterson of Minnesota, Mr. 
   Rahall, Ms. Rivers, Ms. Roybal-Allard, Mr. Sabo, Mr. Sanders, Mr. 
Sawyer, Mrs. Schroeder, Mr. Schumer, Mr. Skaggs, Mr. Spratt, Mr. Stark, 
   Mr. Studds, Mr. Stupak, Mrs. Thurman, Mr. Torres, Mr. Vento, Ms. 
 Waters, Mr. Waxman, Mr. Wise, Ms. Woolsey, and Mr. Yates) introduced 
   the following bill; which was referred to the Committee on House 
    Oversight, and in addition to the Committees on Ways and Means, 
 Commerce, Government Reform and Oversight, and Rules, 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 amend the Federal Election Campaign Act of 1971, and for other 
                               purposes.

    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 ``American Political 
Reform Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
      TITLE I--CONGRESSIONAL CAMPAIGN SPENDING LIMITS AND BENEFITS

       Subtitle A--Election Campaign Spending Limits and Benefits

Sec. 101. Spending limits and benefits.
 Subtitle B--Limitations on Contributions to House of Representatives 
                               Candidates

Sec. 121. Limitations on political committees.
Sec. 122. Limitations on political committee and large donor 
                            contributions that may be accepted by House 
                            of Representatives candidates.
                     Subtitle C--Related Provisions

Sec. 131. Reporting requirements.
Sec. 132. Registration as eligible House of Representatives candidate.
Sec. 133. Definitions.
      Subtitle D--Tax on Excess Political Expenditures of Certain 
                      Congressional Campaign Funds

Sec. 141. Tax treatment of certain campaign funds.
                   TITLE II--INDEPENDENT EXPENDITURES

Sec. 201. Clarification of definitions relating to independent 
                            expenditures.
Sec. 202. Reporting requirements for certain independent expenditures.
TITLE III--CONTRIBUTIONS AND EXPENDITURES BY POLITICAL PARTY COMMITTEES

Sec. 301. Definitions.
Sec. 302. Contributions to political party committees.
Sec. 303. Increase in the amount that multicandidate political 
                            committees may contribute to national 
                            political party committees.
Sec. 304. Merchandising and affinity cards.
Sec. 305. Provisions relating to national, State, and local party 
                            committees.
Sec. 306. Restrictions on fundraising by candidates and officeholders.
Sec. 307. Reporting requirements.
                        TITLE IV--CONTRIBUTIONS

Sec. 401. Restrictions on bundling.
Sec. 402. Contributions by dependents not of voting age.
Sec. 403. Prohibition of acceptance by a candidate of cash 
                            contributions from any one person 
                            aggregating more than $100.
Sec. 404. Contributions to candidates from State and local committees 
                            of political parties to be aggregated.
Sec. 405. Prohibition of false representation to solicit contributions.
Sec. 406. Limited exclusion of advances by campaign workers from the 
                            definition of the term ``contribution''.
Sec. 407. Amendment to section 316 of the Federal Election Campaign Act 
                            of 1971.
Sec. 408. Prohibition of certain election-related activities of foreign 
                            nationals.
                    TITLE V--REPORTING REQUIREMENTS

Sec. 501. Change in certain reporting from a calendar year basis to an 
                            election cycle basis.
Sec. 502. Disclosure of personal and consulting services.
Sec. 503. Political committees other than candidate committees.
Sec. 504. Use of candidates' names.
Sec. 505. Reporting requirements.
Sec. 506. Simultaneous registration of candidate and candidate's 
                            principal campaign committee.
Sec. 507. Reporting on general campaign activities of persons other 
                            than political parties.
           TITLE VI--BROADCAST RATES AND CAMPAIGN ADVERTISING

Sec. 601. Broadcast rates and campaign advertising.
Sec. 602. Campaign advertising amendments.
Sec. 603. Eligibility for nonprofit third class bulk rates of postage.
                        TITLE VII--MISCELLANEOUS

Sec. 701. Prohibition of leadership committees.
Sec. 702. Appearance by Federal Election Commission as amici curiae.
Sec. 703. Prohibiting solicitation of contributions by members in hall 
                            of the House of Representatives.
              TITLE VIII--EFFECTIVE DATES; AUTHORIZATIONS

Sec. 801. Effective date.
Sec. 802. Severability.
Sec. 803. Expedited review of constitutional issues.
Sec. 804. Regulations.

      TITLE I--CONGRESSIONAL CAMPAIGN SPENDING LIMITS AND BENEFITS

       Subtitle A--Election Campaign Spending Limits and Benefits

SEC. 101. SPENDING LIMITS AND BENEFITS.

    (a) In General.--The Federal Election Campaign Act of 1971 is 
amended by adding at the end the following new title:

            ``TITLE V--ELECTION SPENDING LIMITS AND BENEFITS

            ``TITLE V--ELECTION SPENDING LIMITS AND BENEFITS

   ``Subtitle A--Election Campaigns for the House of Representatives

``Sec. 501. Expenditure limitations.
``Sec. 502. Personal contribution limitations.
``Sec. 503. Definition.
                ``Subtitle B--Administrative Provisions

``Sec. 511. Certifications by Commission.
``Sec. 512. Examination and audits; repayments and civil penalties.
``Sec. 513. Judicial review.
``Sec. 514. Reports to Congress; certifications; regulations.
``Sec. 515. Closed captioning requirement for television commercials of 
                            eligible candidates.
           ``Subtitle C--Congressional Election Campaign Fund

``Sec. 521. Establishment and operation of the Fund.
``Sec. 522. Designation of receipts to the Fund.

   ``Subtitle A--Election Campaigns for the House of Representatives

``SEC. 501. EXPENDITURE LIMITATIONS.

    ``(a) In General.--An eligible House of Representatives candidate 
may not, in an election cycle, make expenditures aggregating more than 
$600,000.
    ``(b) Runoff Election and Special Election Amounts.--
            ``(1) Runoff election amount.--If an eligible House of 
        Representatives candidate is a candidate in a runoff election, 
        the candidate may make additional expenditures aggregating not 
        more than $200,000 in the election cycle.
            ``(2) Special election amount.--An eligible House of 
        Representatives candidate who is a candidate in a special 
        election may make expenditures aggregating not more than 
        $600,000 with respect to the special election.
    ``(c) Closely Contested Primary.--If, as determined by the 
Commission, an eligible House of Representatives candidate in a 
contested primary election wins that primary election by a margin of 20 
percentage points or less, the candidate may make additional 
expenditures aggregating not more than $200,000 in the election cycle.
    ``(d) Exceptions to Limitations.--
            ``(1) Nonparticipating opponent.--The limitations imposed 
        by subsections (a) and (b) do not apply in the case of an 
        eligible House of Representatives candidate if any other 
        general election candidate seeking nomination or election to 
        that office--
                    ``(A) is not an eligible House of Representatives 
                candidate; and
                    ``(B) makes expenditures in excess of 30 percent of 
                the limitation under subsection (a).
            ``(2) Independent expenditures against eligible 
        candidate.--The limitations imposed by subsections (a) and (b) 
        do not apply in the case of an eligible House of 
        Representatives candidate if the total amount of independent 
        expenditures made during the election cycle on behalf of 
        candidates opposing such eligible candidate exceeds $15,000.
            ``(3) Continued eligibility for benefits.--An eligible 
        House of Representatives candidate referred to in paragraph (1) 
        or paragraph (2) shall continue to be eligible for all benefits 
        under this title.
    ``(e) Exemption for Legal Costs and Taxes.--
            ``(1) In general.--Any costs incurred by an eligible House 
        of Representatives candidate or his or her authorized 
        committee, or a Federal officeholder, for qualified legal 
        services, for Federal, State, or local income taxes on earnings 
        of a candidate's authorized committees, or to comply with 
        section 512 shall not be considered in the computation of 
        amounts subject to limitation under this section.
            ``(2) Qualified legal services.--For purposes of this 
        subsection, the term `qualified legal services' means--
                    ``(A) any legal service performed on behalf of an 
                authorized committee; or
                    ``(B) any legal service performed on behalf of a 
                candidate or Federal officeholder in connection with 
                his or her duties or activities as a candidate or 
                Federal officeholder.
    ``(f) Exemption for Fundraising or Accounting Costs.--Any costs 
incurred by an eligible House of Representatives candidate or his or 
her authorized committee in connection with the solicitation of 
contributions on behalf of such candidate, or for accounting services 
to ensure compliance with this Act, shall not be considered in the 
computation of amounts subject to expenditure limitation under 
subsection (a) to the extent that the aggregate of such costs does not 
exceed 10 percent of the expenditure limitation under subsection (a).
    ``(g) Indexing.--The dollar amounts specified in subsections (a), 
(b), and (c) shall be adjusted at the beginning of each calendar year 
based on the increase in the price index determined under section 
315(c), except that, for the purposes of such adjustment, the base 
period shall be calendar year 1996.
    ``(h) Recall Actions.--The limitations of this section do not apply 
in the case of any recall action held pursuant to State law.

``SEC. 502. PERSONAL CONTRIBUTION LIMITATIONS.

    ``(a) Personal Contributions.--An eligible House of Representatives 
candidate may not, with respect to an election cycle, make 
contributions or loans to the candidate's own campaign totaling more 
than $50,000 from the personal funds of the candidate. Contributions 
from the personal funds of a candidate may not qualify for 
certification for voter benefits under this title.
    ``(b) Limitation Exception.--The limitation imposed by subsection 
(a) does not apply--
            ``(1) in the case of an eligible House of Representatives 
        candidate if any other general election candidate for that 
        office makes contributions or loans to the candidate's own 
        campaign totaling more than $50,000 from the personal funds of 
        the candidate; or
            ``(2) with respect to any contribution or loan used for 
        costs described in section 501 (e) or (f).
    ``(c) Aggregation.--For purposes of subsection (a), any 
contribution or loan to a candidate's campaign by a member of a 
candidate's immediate family shall be treated as made by the candidate.

``SEC. 503. DEFINITION.

    ``As used in this title, the term `benefits' means, with respect to 
an eligible House of Representatives candidate, reduced charges for use 
of a broadcasting station under section 315 of the Communications Act 
of 1934 (47 U.S.C. 315) and eligibility for nonprofit third-class bulk 
rates of postage under section 3626(e) of title 39, United States Code.

                ``Subtitle B--Administrative Provisions

``SEC. 511. CERTIFICATIONS BY COMMISSION.

    ``(a) General Eligibility.--The Commission shall certify whether a 
candidate is eligible to receive benefits under subtitle A. The initial 
determination shall be based on the candidate's filings under this 
title. Any subsequent determination shall be based on relevant 
additional information submitted in such form and manner as the 
Commission may require.
    ``(b) Certification of Benefits.--
            ``(1) Deadline for response to requests.--The Commission 
        shall respond to a candidate's request for certification for 
        eligibility to receive benefits under this section not later 
        than 5 business days after the candidate submits the request.
            ``(2) Requests.--Any request for certification submitted by 
        a candidate shall contain--
                    ``(A) such information and be made in accordance 
                with such procedures as the Commission may provide by 
                regulation; and
                    ``(B) a verification signed by the candidate and 
                the treasurer of the principal campaign committee of 
                such candidate stating that the information furnished 
                in support of the request, to the best of their 
                knowledge, is correct and fully satisfies the 
                requirement of this title.
            ``(3) Partial certification.--If the Commission determines 
        that any portion of a request does not meet the requirement for 
        certification, the Commission shall withhold the certification 
        for that portion only and inform the candidate as to how the 
        request may be corrected.
            ``(4) Certification withheld.--The Commission may withhold 
        certification if it determines that a candidate who is 
        otherwise eligible has engaged in a pattern of activity 
        indicating that the candidate's filings under this title cannot 
        be relied upon.
    ``(c) Withdrawal of Certification.--If the Commission determines 
that a candidate who is certified as an eligible House of 
Representatives candidate pursuant to this section has made 
expenditures in excess of any limit under subtitle A or otherwise no 
longer meets the requirements for certification under this title, the 
Commission shall revoke the candidate's certification.

``SEC. 512. EXAMINATION AND AUDITS; REPAYMENTS AND CIVIL PENALTIES.

    ``(a) Examinations and Audits.--
            ``(1) General elections.--After each general election, the 
        Commission shall conduct an examination and audit of the 
        campaign accounts of 5 percent of the eligible House of 
        Representatives candidates, as designated by the Commission 
        through the use of an appropriate statistical method of random 
        selection, to determine whether such candidates have complied 
        with the conditions of eligibility and other requirements of 
        this title. The Commission shall conduct an examination and 
        audit of the accounts of all candidates for election to an 
        office where any eligible candidate for the office is selected 
        for examination and audit.
            ``(2) Special election.--After each special election 
        involving an eligible candidate, the Commission shall conduct 
        an examination and audit of the campaign accounts of all 
        candidates in the election to determine whether the candidates 
        have complied with the conditions of eligibility and other 
        requirements of this Act.
            ``(3) Affirmative vote.--The Commission may conduct an 
        examination and audit of the campaign accounts of any eligible 
        House of Representatives candidate in a general election if the 
        Commission determines that there exists reason to believe 
        whether such candidate may have violated any provision of this 
        title.
    ``(b) Notification of Excess Expenditures.--If the Commission 
determines that any eligible candidate who has received benefits under 
this title has made expenditures in excess of any limit under subtitle 
A, the Commission shall notify the candidate.
    ``(c) Civil Penalties.--
            ``(1) Excess expenditures.--
                    ``(A) Low amount of excess expenditures.--Any 
                eligible House of Representatives candidate who makes 
                expenditures that exceed a limitation under subtitle A 
                by 2.5 percent or less shall pay to the Commission an 
                amount equal to the amount of the excess expenditures.
                    ``(B) Medium amount of excess expenditures.--Any 
                eligible House of Representatives candidate who makes 
                expenditures that exceed a limitation under subtitle A 
                by more than 2.5 percent and less than 5 percent shall 
                pay to the Commission an amount equal to three times 
                the amount of the excess expenditures.
                    ``(C) Large amount of excess expenditures.--Any 
                eligible House of Representatives candidate who makes 
                expenditures that exceed a limitation under subtitle A 
                by 5 percent or more shall pay to the Commission an 
                amount equal to three times the amount of the excess 
                expenditures plus, if the Commission determines such 
                excess expenditures were knowing and willful, a civil 
                penalty in an amount determined by the Commission.
            ``(2) Misused benefits of candidates.--If the Commission 
        determines that an eligible House of Representatives candidate 
        used any benefit received under this title in a manner not 
        provided for in this title, the Commission may assess a civil 
        penalty against such candidate in an amount not greater than 
        200 percent of the amount involved.
    ``(d) Limit on Period for Notification.--No notification shall be 
made by the Commission under this section with respect to an election 
more than 3 years after the date of such election.

``SEC. 513. JUDICIAL REVIEW.

    ``(a) Judicial Review.--Any agency action by the Commission made 
under the provisions of this title shall be subject to review by the 
United States Court of Appeals for the District of Columbia Circuit 
upon petition filed in such court within 30 days after the agency 
action by the Commission for which review is sought. It shall be the 
duty of the Court of Appeals, ahead of all matters not filed under this 
title, to advance on the docket and expeditiously take action on all 
petitions filed pursuant to this title.
    ``(b) Application of Title 5.--The provisions of chapter 7 of title 
5, United States Code, shall apply to judicial review of any agency 
action by the Commission.
    ``(c) Agency Action.--For purposes of this section, the term 
`agency action' has the meaning given such term by section 551(13) of 
title 5, United States Code.

``SEC. 514. REPORTS TO CONGRESS; CERTIFICATIONS; REGULATIONS.

    ``(a) Reports.--The Commission shall, as soon as practicable after 
each election, submit a full report to the House of Representatives 
setting forth--
            ``(1) the expenditures (shown in such detail as the 
        Commission determines appropriate) made by each eligible 
        candidate and the authorized committees of such candidate;
            ``(2) the benefits certified by the Commission as available 
        to each eligible candidate under this title; and
            ``(3) the names of any candidates against whom penalties 
        were imposed under section 512, together with the amount of 
        each such penalty and the reasons for its imposition.
    ``(b) Determinations by Commission.--Subject to sections 512 and 
513, all determinations (including certifications under section 511) 
made by the Commission under this title shall be final and conclusive.
    ``(c) Rules and Regulations.--The Commission is authorized to 
prescribe such rules and regulations, in accordance with the provisions 
of subsection (d), to conduct such audits, examinations and 
investigations, and to require the keeping and submission of such 
books, records, and information, as it deems necessary to carry out the 
functions and duties imposed on it by this title.
    ``(d) Report of Proposed Regulations.--The Commission shall submit 
to the House of Representatives a report containing a detailed 
explanation and justification of each rule and regulation of the 
Commission under this title. No such rule, regulation, or form may take 
effect until a period of 60 legislative days has elapsed after the 
report is received. As used in this subsection, the terms `rule' and 
`regulation' mean a provision or series of interrelated provisions 
stating a single, separable rule of law.

``SEC. 515. CLOSED CAPTIONING REQUIREMENT FOR TELEVISION COMMERCIALS OF 
              ELIGIBLE CANDIDATES.

    ``No eligible House of Representatives candidate may receive 
benefits under subtitle A unless such candidate has certified that any 
television commercial prepared or distributed by the candidate will be 
prepared in a manner that contains, is accompanied by, or otherwise 
readily permits closed captioning of the oral content of the commercial 
to be broadcast by way of line 21 of the vertical blanking interval, or 
by way of comparable successor technologies.''.

 Subtitle B--Limitations on Contributions to House of Representatives 
                               Candidates

SEC. 121. LIMITATIONS ON POLITICAL COMMITTEES.

    (a) Multicandidate Political Committees.--Section 315(a)(2)(A) of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(2)(A)) is 
amended by striking out ``with respect'' and all that follows through 
``$5,000,'' and inserting in lieu thereof: ``which, in the aggregate, 
exceed $5,000 with respect to an election for Federal office or $8,000 
with respect to an election cycle (not including a runoff election);''.
    (b) Candidate's Committees.--(1) Section 315(a) of such Act (2 
U.S.C. 441a(a)) is amended by adding at the end the following new 
paragraph:
    ``(9) For the purposes of the limitations provided by paragraphs 
(1) and (2), any political committee which is established or financed 
or maintained or controlled by any candidate or Federal officeholder 
shall be deemed to be an authorized committee of such candidate or 
officeholder. Nothing in this paragraph shall be construed to permit 
the establishment, financing, maintenance, or control of any committee 
which is prohibited by paragraph (3) or (6) of section 302(e).''
    (2) Section 302(e)(3) of such Act (2 U.S.C. 432(e)(3)) is amended 
to read as follows:
    ``(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, but only 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.''
    (c) Effective Dates.--(1) Except as provided in paragraph (2), the 
amendments made by this section shall apply to elections (and the 
election cycles relating thereto) occurring after December 31, 1996.
    (2) In applying the amendments made by this section, there shall 
not be taken into account--
            (A) contributions made or received before January 1, 1997; 
        or
            (B) contributions made to, or received by, a candidate on 
        or after January 1, 1997, to the extent such contributions are 
        not greater than the excess (if any) of--
                    (i) such contributions received by any opponent of 
                the candidate before January 1, 1997, over
                    (ii) such contributions received by the candidate 
                before January 1, 1997.

SEC. 122. LIMITATIONS ON POLITICAL COMMITTEE AND LARGE DONOR 
              CONTRIBUTIONS THAT MAY BE ACCEPTED BY HOUSE OF 
              REPRESENTATIVES CANDIDATES.

    Section 315 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441a) is amended by adding at the end the following new subsection:
    ``(i) Limitations on Contributions Accepted by House of 
Representatives Candidate.--
            ``(1) Political committees.--A candidate for the office of 
        Representative in, or Delegate or Resident Commissioner to, the 
        Congress may not, with respect to an election cycle, accept 
        contributions from political committees aggregating in excess 
        of $200,000.
            ``(2) Persons other than political committees.--A candidate 
        for the office of Representative in, or Delegate or Resident 
        Commissioner to, the Congress may not, with respect to an 
        election cycle, accept contributions aggregating in excess of 
        $200,000 from persons other than political committees whose 
        contributions total more than $200.
            ``(3) Contested primaries.--In addition to the 
        contributions under paragraphs (1) and (2), if a House of 
        Representatives candidate in a contested primary election wins 
        that primary election by a margin of 20 percentage points or 
        less, the candidate may accept contributions of--
                    ``(A) not more than $66,600 from political 
                committees; and
                    ``(B) not more than $66,600 from persons referred 
                to in paragraph (2).
            ``(4) Runoff elections.--In addition to the contributions 
        under paragraphs (1) and (2), a House of Representatives 
        candidate who is a candidate in a runoff election may accept 
        contributions of (A) not more than $100,000 from political 
        committees; and (B) not more than $100,000 from persons 
        referred to in paragraph (2).
            ``(5) Exemption for certain costs.--Any amount--
                    ``(A) accepted by a House of Representatives 
                candidate; and
                    ``(B) used for costs incurred under section 501 (e) 
                and (f),
        shall not be considered in the computation of amounts subject 
        to limitation under this subsection.
            ``(6) Transfer provision.--The limitations imposed by this 
        subsection shall apply without regard to amounts transferred 
        from previous election cycles or other authorized committees of 
        the same candidate. Candidates shall not be required to seek 
        the redesignation of contributions in order to transfer such 
        contributions to a later election cycle.
            ``(7) Indexation of amounts.--The dollar amounts specified 
        in this subsection shall be adjusted at the beginning of each 
        calendar year based on the increase in the price index 
        determined under subsection (c), except that, for the purposes 
        of such adjustment, the base period shall be calendar year 
        1996.''

                     Subtitle C--Related Provisions

SEC. 131. REPORTING REQUIREMENTS.

    Title III of the Federal Election Campaign Act of 1971 is amended 
by adding after section 304 the following new section:

             ``reporting requirements for house candidates

    ``Sec. 304A. A candidate for the office of Representative in, or 
Delegate or Resident Commissioner to, the Congress who--
            ``(1) makes contributions in excess of $50,000 of personal 
        funds of the candidate to the authorized committee of the 
        candidate; or
            ``(2) makes expenditures in excess of 50 percent and 100 
        percent of the limitation under section 501(a);
shall report that the threshold has been reached to the Commission not 
later than 48 hours after reaching the threshold. The Commission shall 
transmit a copy to each other candidate for election to the same office 
within 48 hours of receipt.''

SEC. 132. REGISTRATION AS ELIGIBLE HOUSE OF REPRESENTATIVES CANDIDATE.

    Section 302(e) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 432(e)) is amended by adding at the end the following new 
paragraphs:
    ``(6)(A) In the case of a candidate for the office of 
Representative in, or Delegate or Resident Commissioner to, the 
Congress, who desires to be an eligible House of Representatives 
candidate, a declaration of participation of the candidate to abide by 
the limits specified in sections 315(i), 501, and 502 and provide the 
information required under section 503(b)(4) shall be included in the 
designation required to be filed under paragraph (1).
    ``(B) A declaration of participation that is included in a 
statement of candidacy may not thereafter be revoked.''

SEC. 133. DEFINITIONS.

    (a) In General.--Section 301 of the Federal Election Campaign Act 
of 1971 (2 U.S.C. 431) is amended by striking paragraph (19) and 
inserting the following new paragraphs:
    ``(19) The term `election cycle' means--
            ``(A) in the case of a candidate or the authorized 
        committees of a candidate, the term beginning on the day after 
        the date of the most recent general election for the specific 
        office or seat which such candidate seeks and ending on the 
        date of the next general election for such office or seat; or
            ``(B) for all other persons, the term beginning on the 
        first day following the date of the last general election and 
        ending on the date of the next general election.
    ``(20) The term `general election' means any election which will 
directly result in the election of a person to a Federal office.
    ``(21) The term `general election period' means, with respect to 
any candidate, the period beginning on the day after the date of the 
primary or runoff election for the specific office the candidate is 
seeking, whichever is later, and ending on the earlier of--
            ``(A) the date of such general election; or
            ``(B) the date on which the candidate withdraws from the 
        campaign or otherwise ceases actively to seek election.
    ``(22) The term `immediate family' means--
            ``(A) a candidate's spouse;
            ``(B) a child, stepchild, parent, grandparent, brother, 
        half-brother, sister or half-sister of the candidate or the 
        candidate's spouse; and
            ``(C) the spouse of any person described in subparagraph 
        (B).
    ``(23) The term `primary election' means an election which may 
result in the selection of a candidate for the ballot in a general 
election for a Federal office.
    ``(24) The term `primary election period' means, with respect to 
any candidate, the period beginning on the day following the date of 
the last election for the specific office the candidate is seeking and 
ending on the earlier of--
            ``(A) the date of the first primary election for that 
        office following the last general election for that office; or
            ``(B) the date on which the candidate withdraws from the 
        election or otherwise ceases actively to seek election.
    ``(25) The term `runoff election' means an election held after a 
primary election which is prescribed by applicable State law as the 
means for deciding which candidate will be on the ballot in the general 
election for a Federal office.
    ``(26) The term `runoff election period' means, with respect to any 
candidate, the period beginning on the day following the date of the 
last primary election for the specific office such candidate is seeking 
and ending on the date of the runoff election for such office.
    ``(27) The term `special election' means any election (whether 
primary, runoff, or general) for Federal office held by reason of a 
vacancy in the office arising before the end of the term of the office.
    ``(28) The term `special election period' means, with respect to 
any candidate for any Federal office, the period beginning on the date 
the vacancy described in paragraph (28) occurs and ending on the 
earlier of--
            ``(A) the date the election resulting in the election of a 
        person to the office occurs; or
            ``(B) the date on which the candidate withdraws from the 
        campaign or otherwise ceases actively to seek election.
    ``(29) The term `eligible House of Representatives candidate' means 
a candidate for election to the office of Representative in, or 
Delegate or Resident Commissioner to, the Congress, who, as determined 
by the Commission under section 511, is eligible to receive benefits 
under subtitle A of title V by reason of filing a declaration of 
participation under section 302(e) and complying with the continuing 
eligibility requirements under section 511.''
    (b) Identification.--Section 301(13)(A) of such Act (2 U.S.C. 
431(13)(A)) is amended by striking ``mailing address'' and inserting 
``permanent residence address''.

      Subtitle D--Tax on Excess Political Expenditures of Certain 
                      Congressional Campaign Funds

SEC. 141. TAX TREATMENT OF CERTAIN CAMPAIGN FUNDS.

    (a) General Rule.--Chapter 41 of the Internal Revenue Code of 1986 
is amended by adding at the end thereof the following new subchapter:

``Subchapter B--Excess Political Expenditures of Certain Congressional 
                             Campaign Funds

                              ``Sec. 4915. Tax on excess political 
                                        expenditures of certain 
                                        campaign funds.

``SEC. 4915. TAX ON EXCESS POLITICAL EXPENDITURES OF CERTAIN CAMPAIGN 
              FUNDS.

    ``(a) Imposition of Tax.--If any applicable campaign fund has 
excess political expenditures for any election cycle, there is hereby 
imposed on such excess political expenditures a tax equal to the amount 
of such excess political expenditures multiplied by the highest rate of 
tax specified in section 11(b). Such tax shall be imposed for the 
taxable year of such fund in which such election cycle ends.
    ``(b) Applicable Campaign Fund.--For purposes of this section, the 
term `applicable campaign fund' means any political organization if--
            ``(1) such organization is designated by a candidate for 
        election or nomination to the House of Representatives as such 
        candidate's principal campaign committee for purposes of 
        section 302(e) of the Federal Election Campaign Act of 1971 (2 
        U.S.C. 432(e)), and
            ``(2) such candidate has made contributions to such 
        political organization during the election cycle in excess of 
        the contribution limitation which would have been applicable 
        under section 501(a) or 512(a) of such Act, whichever is 
        applicable, if an election under such section had been made.
    ``(c) Excess Political Expenditures.--
            ``(1) In general.--For purposes of this section, the term 
        `excess political expenditures' means, with respect to any 
        election cycle, the excess (if any) of the political 
        expenditures incurred by the applicable campaign fund during 
        such cycle, over, in the case of a House of Representatives 
        candidate, the expenditure ceiling which would have been 
        applicable under subtitle B of title V of such Act if an 
        election under such subtitle had been made.
            ``(2) Special rule for determining amount of 
        expenditures.--For purposes of paragraph (1), in determining 
        the amount of political expenditures incurred by an applicable 
        campaign fund, there shall be excluded any such expenditure 
        which would not have been subject to the expenditure 
        limitations of title V of the Federal Election Campaign Act of 
        1971 had such limitations been applicable, other than any such 
        expenditure which would have been exempt from such limitations 
        under section 501(e) or 501(f) of such Act.
    ``(d) Other Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Election cycle.--The term `election cycle' has the 
        meaning given such term by section 301 of the Federal Election 
        Campaign Act of 1971.
            ``(2) Political organization.--The term `political 
        organization' has the meaning given to such term by section 
        527(e)(1).
            ``(3) Certain rules made applicable.--Rules similar to the 
        rules of section 4911(e)(4) shall apply.''
    (b) Clerical Amendments.--
            (1) Chapter 41 of such Code is amended by striking the 
        chapter heading and inserting the following:

     ``CHAPTER 41--LOBBYING AND POLITICAL EXPENDITURES OF CERTAIN 
                             ORGANIZATIONS

                              ``Subchapter A. Public charities.
                              ``Subchapter B. Excess political 
                                        expenditures of certain 
                                        campaign funds.

                  ``Subchapter A--Public Charities''.

            (2) The table of sections for subtitle D of such Code is 
        amended by striking the item relating to chapter 41 and 
        inserting the following:

                              ``Chapter 41. Lobbying and political 
                                        expenditures of certain 
                                        organizations.''
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 1996.

                   TITLE II--INDEPENDENT EXPENDITURES

SEC. 201. CLARIFICATION OF DEFINITIONS RELATING TO INDEPENDENT 
              EXPENDITURES.

    (a) Independent Expenditure Definition Amendment.--Section 301 of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 431) is amended by 
striking paragraphs (17) and (18) and inserting the following:
    ``(17)(A) The term `independent expenditure' means an expenditure 
that--
            ``(i) contains express advocacy; and
            ``(ii) is made without the participation or cooperation of 
        and without consultation with a candidate or a candidate's 
        representative.
    ``(B) The following shall not be considered an independent 
expenditure:
            ``(i) An expenditure made by--
                    ``(I) an authorized committee of a candidate for 
                Federal office, or
                    ``(II) a political committee of a political party.
            ``(ii) An expenditure if there is any arrangement, 
        coordination, or direction with respect to the expenditure 
        between the candidate or the candidate's agent and the person 
        making the expenditure.
            ``(iii) An expenditure if, in the same election cycle, the 
        person making the expenditure is or has been--
                    ``(I) authorized to raise or expend funds on behalf 
                of the candidate or the candidate's authorized 
                committees; or
                    ``(II) serving as a member, employee, or agent of 
                the candidate's authorized committees in an executive 
                or policymaking position.
            ``(iv) An expenditure if the person making the expenditure 
        retains the professional services of any individual or other 
        person also providing services in the same election cycle to 
        the candidate in connection with the candidate's pursuit of 
        nomination for election, or election, to Federal office, 
        including any services relating to the candidate's decision to 
        seek Federal office. For purposes of this clause, the term 
        `professional services' shall include any services (other than 
        legal and accounting services solely for purposes of ensuring 
        compliance with any Federal law) in support of any candidate's 
        or candidates' pursuit of nomination for election, or election, 
        to Federal office.
For purposes of this subparagraph, the person making the expenditure 
shall include any officer, director, employee, or agent of such person.
    ``(18)(A) The term `express advocacy' means, when a communication 
is taken as a whole and with limited reference to external events, an 
expression of support for or opposition to a specific candidate, to a 
specific group of candidates, or to candidates of a particular 
political party.
    ``(B) The term `expression of support for or opposition to' 
includes a suggestion to take action with respect to an election, such 
as to vote for or against, make contributions to, or participate in 
campaign activity, or to refrain from taking action.''.
    (b) Contribution Definition Amendment.--Section 301(8)(A) of such 
Act (2 U.S.C. 431(8)(A)) is amended--
            (1) in clause (i), by striking ``or'' after the semicolon 
        at the end;
            (2) in clause (ii), by striking the period at the end and 
        inserting ``; or''; and
            (3) by adding at the end the following new clause:
            ``(iii) any payment or other transaction referred to in 
        paragraph (17)(A)(i) that is not an independent expenditure 
        under paragraph (17).''.

SEC. 202. 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 (9); and
            (3) by inserting after paragraph (2), as amended by 
        paragraph (1), the following new paragraphs:
    ``(3)(A) Any person (including a political committee) making 
independent expenditures (including those described in subsection 
(b)(6)(B)(iii)) with respect to a candidate in an election aggregating 
$1,000 or more made after the 20th day, but more than 24 hours, before 
the election shall file a report within 24 hours after such independent 
expenditures are made. An additional report shall be filed each time 
independent expenditures aggregating $1,000 are made with respect to 
the same candidate after the latest report filed under this 
subparagraph.
    ``(B) Any person (including a political committee) making 
independent expenditures with respect to a candidate in an election 
aggregating $2,500 or more made at any time up to and including the 
20th day before the election shall file a report within 48 hours after 
such independent expenditures are made. An additional report shall be 
filed each time independent expenditures aggregating $2,500 are made 
with respect to the same candidate after the latest report filed under 
this paragraph.
    ``(C) A report under subparagraph (A) or (B) shall be filed with 
the Commission and the Secretary of State of the State involved, and 
shall identify each candidate whom the expenditure is actually intended 
to support or to oppose. Not later than 48 hours after the Commission 
receives a report, the Commission shall transmit a copy of the report 
to each candidate seeking nomination or election to that office.
    ``(D) For purposes of this section, an independent expenditure 
shall be considered to have been made upon the making of any payment or 
the taking of any action to incur an obligation for payment.
    ``(4)(A) If any person (including a political committee) intends to 
make independent expenditures with respect to a candidate in an 
election totaling $2,500 or more during the 20 days before an election, 
such person shall file a report no later than the 20th day before the 
election.
    ``(B) A report under subparagraph (A) shall be filed with the 
Commission and the Secretary of State of the State involved, and shall 
identify each candidate whom the expenditure is actually intended to 
support or to oppose. Not later than 48 hours after the Commission 
receives a report under this paragraph, the Commission shall transmit a 
copy of the statement to each candidate identified.
    ``(5) The Commission may, upon a request of a candidate or on its 
own initiative, make its own determination that a person has made, or 
has incurred obligations to make, independent expenditures with respect 
to any candidate in any election which in the aggregate exceed the 
applicable amounts under paragraph (3) or (4). The Commission shall 
notify each candidate in such election of such determination within 48 
hours after making it. Any determination made at the request of a 
candidate shall be made within 48 hours of the request.
    ``(6) At the time at which an eligible House of Representatives 
candidate is notified under paragraph (3), (4), or (5) with respect to 
expenditures during a general election period, the Commission shall 
certify eligibility to receive benefits under section 504(a)(3)(B) or 
section 513(f).
    ``(7)(A) A person that makes a reservation of broadcast time to 
which section 315(a) of the Communications Act of 1947 (47 U.S.C. 
315(a)) applies, the payment for which would constitute an independent 
expenditure, shall at the time of reservation--
            ``(i) inform the broadcast licensee that payment for the 
        broadcast time will constitute an independent expenditure;
            ``(ii) inform the broadcast licensee of the names of all 
        candidates for the office to which the proposed broadcast 
        relates and state whether the message to be broadcast is 
        intended to be made in support of or in opposition to each such 
        candidate;
            ``(iii) transmit to all candidates for the office to which 
        the proposed broadcast relates a script or tape recording of 
        the communication, or an accurate summary of the communication 
        if a script or tape recording is not available.''.

TITLE III--CONTRIBUTIONS AND EXPENDITURES BY POLITICAL PARTY COMMITTEES

SEC. 301. DEFINITIONS.

    (a) Contribution and Expenditure Exceptions.--(1) Section 301(8)(B) 
of the Federal Election Campaign Act of 1971 (2 U.S.C. 431(8)(B)) is 
amended--
            (A) in clause (x)--
                    (i) by striking ``and'' at the end of subclause 
                (2),
                    (ii) by inserting ``and'' at the end of subclause 
                (3), and
                    (iii) by adding at the end the following new 
                subclause:
            ``(4) such activities are conducted solely by, and any 
        materials are prepared for distribution and mailing and are 
        distributed (if other than by mailing) solely by, 
        volunteers;'';
            (B) in clause (xi), by striking ``That'' and all that 
        follows through ``Act;'' and inserting ``That--
            ``(1) such payments are made from contributions subject to 
        the limitations and prohibitions of this Act; and
            ``(2) such activities are conducted solely by, and any 
        materials are prepared for distribution and mailing and are 
        distributed (if other than by mailing) solely by, volunteers;'' 
        and
            (C) in clause (xii)--
                    (i) by inserting ``in connection with volunteer 
                activities'' after ``such committee'',
                    (ii) by striking ``for President and Vice 
                President'',
                    (iii) by striking ``and'' at the end of subclause 
                (2),
                    (iv) by inserting ``and'' at the end of subclause 
                (3), and
                    (v) by adding at the end the following new 
                subclause:
                    ``(4) such activities are conducted solely by, and 
                any materials are prepared for distribution and mailing 
                and are distributed (if other than by mailing) solely 
                by, volunteers;''.
    (2) Section 301(9)(B) of such Act (2 U.S.C. 431(9)(B)) is amended--
            (A) in clause (viii)--
                    (i) by striking ``and'' at the end of subclause 
                (2),
                    (ii) by inserting ``and'' at the end of subclause 
                (3), and
                    (iii) by adding at the end the following new 
                subclause:
                    ``(4) such activities are conducted solely by, and 
                any materials are prepared for distribution and mailing 
                and are distributed (if other than by mailing) solely 
                by, volunteers;''; and
            (B) in clause (ix)--
                    (i) by inserting ``in connection with volunteer 
                activities'' after ``such committee'',
                    (ii) by striking ``for President or Vice 
                President'', and
                    (iii) by striking ``and'' at the end of subclause 
                (2), by inserting ``and'' at the end of subclause (3), 
                and by adding at the end the following new subclause:
                    ``(4) such activities are conducted solely by, and 
                any materials are prepared for distribution and are 
                distributed (if other than by mailing) solely by, 
                volunteers;''.
    (b) Generic Activities; State Party Grassroots Fund.--Section 301 
of such Act (2 U.S.C. 431), as amended by section 133, is further 
amended by adding at the end the following new paragraphs:
            ``(30) The term `generic campaign activity' means a 
        campaign activity that promotes a political party rather than 
        any particular Federal or non-Federal candidate.
            ``(31) 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 
        324(d).''.

SEC. 302. CONTRIBUTIONS TO POLITICAL PARTY COMMITTEES.

    (a) Individual Contributions to State Party.--Section 315(a)(1) of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(1)) is 
amended--
            (1) by striking ``or'' at the end of subparagraph (B);
            (2) by redesignating subparagraph (C) as subparagraph (D); 
        and
            (3) by inserting after subparagraph (B) the following new 
        subparagraph:
            ``(C) 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; or
                    ``(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 which 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) Multicandidate Committee Contributions to State Party.--Section 
315(a)(2) of such Act (2 U.S.C. 441a(a)(2)) is amended--
            (1) by striking ``or'' at the end of subparagraph (B);
            (2) by redesignating subparagraph (C) as subparagraph (D); 
        and
            (3) by inserting after subparagraph (B) the following new 
        subparagraph:
            ``(C) 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 
                $15,000; or
                    ``(ii) to any other political committee established 
                and maintained by a State committee of a political 
                party which, in the aggregate, exceed $5,000,
        except that the aggregate contributions described in this 
        subparagraph which may be made by a multicandidate political 
        committee 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 $15,000; or''.
    (c) Overall Limit.--Section 315(a)(3) of such Act (2 U.S.C. 
441a(a)(3)) is amended to read as follows:
    ``(3)(A) No individual shall make contributions during any election 
cycle which, in the aggregate, exceed $100,000.
    ``(B) No individual shall make contributions during any calendar 
year--
            ``(i) to all candidates and their authorized political 
        committees which, in the aggregate, exceed $25,000; or
            ``(ii) to all political committees established and 
        maintained by State committees of a political party which, in 
        the aggregate, exceed $20,000.
    ``(C) 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 such contribution is made shall be treated as made 
during the calendar year in which the election is held.''.
    (d) Presidential Candidate Committee Transfers.--(1) Section 
315(b)(1) of such Act (2 U.S.C. 441a(b)(1)) is amended to read as 
follows:
            ``(B) in the case of a campaign for election to such 
        office, an amount equal to the sum of--
                    ``(i) $20,000,000, plus
                    ``(ii) the amounts transferred by the candidate and 
                the authorized committees of the candidate to the 
                national committee of the candidate's political party 
                for distribution to State Party Grassroots Funds.
In no event shall the amount under subparagraph (B)(ii) exceed 2 cents 
multiplied by the voting age population of the United States (as 
certified under subsection (e)). The Commission may require reporting 
of the transfers described in subparagraph (B)(ii), may conduct an 
examination and audit of any such transfer, and may require the return 
of the transferred amounts to the Presidential Election Campaign Fund 
if not used for the appropriate purpose.''
    (2) Subparagraph (A) of section 9002(11) of the Internal Revenue 
Code of 1986 is amended--
            (A) by striking ``or'' at the end of clause (ii); and
            (B) in clause (iii), by striking ``offices,'' and inserting 
        the following: ``offices, or (iv) consisting of a transfer to 
        the national committee of the political party of a candidate 
        for the office of President or Vice President for distribution 
        to State Party Grassroots Funds (as defined in the Federal 
        Election Campaign Act of 1971) to the extent such transfers do 
        not exceed the amount determined under section 315(b)(1)(B)(ii) 
        of such Act,''.

SEC. 303. INCREASE IN THE AMOUNT THAT MULTICANDIDATE POLITICAL 
              COMMITTEES MAY CONTRIBUTE TO NATIONAL POLITICAL PARTY 
              COMMITTEES.

    Section 315(a)(2)(B) of the Federal Election Campaign Act of 1971 
(2 U.S.C. 441a(a)(2)(B)) is amended by striking ``$15,000'' and 
inserting ``$25,000''.

SEC. 304. MERCHANDISING AND AFFINITY CARDS.

    Section 316 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441b) is amended by adding at the end the following new subsection:
    ``(c) Notwithstanding the provisions of this section or any other 
provision of this Act to the contrary, an amount received from a 
corporation (including a State-chartered or national bank) by any 
political committee (other than a separate segregated fund established 
under section 316(b)(2)(C)) shall be deemed to meet the limitations and 
prohibitions of this Act if such amount represents a commission or 
royalty on the sale of goods or services, or on the issuance of credit 
cards, by such corporation and if--
            ``(1) such goods, services, or credit cards are promoted by 
        or in the name of the political committee as a means of 
        contributing to or supporting the political committee and are 
        offered to consumers using the name of the political committee 
        or using a message, design, or device created and owned by the 
        political committee, or both;
            ``(2) the corporation is in the business of merchandising 
        such goods or services, or of issuing such credit cards;
            ``(3) the royalty or commission has been offered by the 
        corporation to the political committee in the ordinary course 
        of the corporation's business and on the same terms and 
        conditions as those on which such corporation offers royalties 
        or commissions to nonpolitical entities;
            ``(4) all revenue on which the commission or royalty is 
        based represents, or results from, sales to or fees paid by 
        individual consumers in the ordinary course of retail 
        transactions;
            ``(5) the costs of any unsold inventory of goods are 
        ultimately borne by the political committee in accordance with 
        rules to be prescribed by the Commission; and
            ``(6) except for any royalty or commission permitted to be 
        paid by this subsection, no goods, services, or anything else 
        of value is provided by such corporation to the political 
        committee, except that such corporation may advance or finance 
        costs or extend credit in connection with the manufacture and 
        distribution of goods, provision of services, or issuance of 
        credit cards pursuant to this subsection if and to the extent 
        such advance, financing, or extension is undertaken in the 
        ordinary course of the corporation's business and is undertaken 
        on similar terms by such corporation in its transactions with 
        nonpolitical entities in like circumstances.''

SEC. 305. PROVISIONS RELATING TO NATIONAL, STATE, AND LOCAL PARTY 
              COMMITTEES.

    (a) Soft Money of Committees of Political Parties.--Title III of 
the Federal Election Campaign Act of 1971 is amended by inserting after 
section 323 the following new section:

                      ``political party committees

    ``Sec. 324. (a) Limitations on National Committee.--(1) A national 
committee of a political party and the congressional campaign 
committees of a political party may not solicit or accept contributions 
or transfers not subject to the limitations, prohibitions, and 
reporting requirements of this Act.
    ``(2) Paragraph (1) shall not apply to contributions--
            ``(A) that--
                    ``(i) are to be transferred to a State committee of 
                a political party and are used solely for activities 
                described in clauses (xi) through (xvii) of paragraph 
                (9)(B) of section 301; or
                    ``(ii) are described in section 301(8)(B)(viii); 
                and
            ``(B) with respect to which contributors have been notified 
        that the funds will be used solely for the purposes described 
        in subparagraph (A).
    ``(b) Activities Subject to This Act.--Any amount solicited, 
received, expended, or disbursed directly or indirectly by a national, 
State, district, or local committee of a political party with respect 
to any of the following activities shall be subject to the limitations, 
prohibitions, and reporting requirements of this Act:
            ``(1)(A) Any get-out-the-vote activity conducted during a 
        calendar year in which an election for the office of President 
        is held.
            ``(B) Any other get-out-the-vote activity unless subsection 
        (c)(2) applies to the activity.
            ``(2) Any generic campaign activity.
            ``(3) Any activity that identifies or promotes a Federal 
        candidate, regardless of whether--
                    ``(A) a State or local candidate is also identified 
                or promoted; or
                    ``(B) any portion of the funds disbursed 
                constitutes a contribution or expenditure under this 
                Act.
            ``(4) Voter registration.
            ``(5) Development and maintenance of voter files during an 
        even-numbered calendar year.
            ``(6) Any other activity that--
                    ``(A) significantly affects a Federal election, or
                    ``(B) is not otherwise described in section 
                301(9)(B)(xvii).
Any amount spent to raise funds that are used, in whole or in part, in 
connection with activities described in the preceding paragraphs shall 
be subject to the limitations, prohibitions, and reporting requirements 
of this Act.
    ``(c) Get-Out-The-Vote Activities By State, District, and Local 
Committees of Political Parties.--(1) Except as provided in paragraph 
(2), any get-out-the-vote activity for a State or local candidate, or 
for a ballot measure, which is conducted by a State, district, or local 
committee of a political party shall be subject to the limitations, 
prohibitions, and reporting requirements of this Act.
    ``(2) Paragraph (1) shall not apply to any activity which the State 
committee of a political party certifies to the Commission is an 
activity which--
            ``(A) is conducted during a calendar year other than a 
        calendar year in which an election for the office of President 
        is held,
            ``(B) is exclusively on behalf of (and specifically 
        identifies only) one or more State or local candidates or 
        ballot measures, and
            ``(C) does not include any effort or means used to identify 
        or turn out those identified to be supporters of any Federal 
        candidate (including any activity that is undertaken in 
        coordination with, or on behalf of, a candidate for Federal 
        office).
    ``(d) State Party Grassroots Funds.--(1) A State committee of a 
political party may make disbursements and expenditures from its State 
Party Grassroots Fund only for--
            ``(A) any generic campaign activity;
            ``(B) 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;
            ``(C) 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;
            ``(D) voter registration; and
            ``(E) development and maintenance of voter files during an 
        even-numbered calendar year.
    ``(2) 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 such district or local committee--
            ``(A) has established a separate segregated fund for the 
        purposes described in paragraph (1); and
            ``(B) uses the transferred funds solely for those purposes.
    ``(e) Amounts Received by Grassroots Fund From State and Local 
Candidate Committees.--(1) Any amount received by a State Party 
Grassroots Fund from a State or local candidate committee for 
expenditures described in subsection (b) that are for the benefit of 
that candidate shall be treated as meeting the requirements of 
subsection (b) and section 304(e) if--
            ``(A) such 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); and
            ``(B) the State or local candidate committee--
                    ``(i) maintains, in the account from which payment 
                is made, records of the sources and amounts of funds 
                for purposes of determining whether such requirements 
                are met; and
                    ``(ii) certifies that such requirements were met.
    ``(2) For purposes of paragraph (1)(A), in determining whether the 
funds transferred meet the requirements of this Act described in such 
paragraph--
            ``(A) 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
            ``(B) the committee must be able to demonstrate that its 
        cash on hand contains sufficient funds meeting such 
        requirements as are necessary to cover the transferred funds.
    ``(3) Notwithstanding paragraph (1), any State Party Grassroots 
Fund receiving any 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 
such candidate committee.
    ``(4) For purposes of this subsection, a State or local candidate 
committee is a committee established, financed, maintained, or 
controlled by a candidate for other than Federal office.
    ``(f) Related Entities.--The provisions of this Act shall apply to 
any entity that is established, financed, or maintained by a national 
committee or State committee of a political party in the same manner as 
they apply to the national or State committee.''
    (b) Contributions and Expenditures.--
            (1) Contributions.--Section 301(8)(B) of such Act (2 U.S.C. 
        431(8)(B)) is amended--
                    (A) in clause (viii), by inserting after ``Federal 
                office'' the following: ``, or any amounts received by 
                the committees of any national political party to 
                support the operation of a television and radio 
                broadcast facility'';
                    (B) by striking ``and'' at the end of clause 
                (xiii);
                    (C) by striking clause (xiv); and
                    (D) by adding at the end the following new clauses:
                            ``(xiv) any amount contributed to a 
                        candidate for other than Federal office;
                            ``(xv) any amount received or expended to 
                        pay the costs of a State or local political 
                        convention;
                            ``(xvi) any payment for campaign activities 
                        that are exclusively on behalf of (and 
                        specifically identify only) State or local 
                        candidates and do not identify any Federal 
                        candidate, and that are not activities 
                        described in section 324(b) (without regard to 
                        paragraph (6)(B)) or section 324(c)(1);
                            ``(xvii) any payment for administrative 
                        expenses of a State or local committee of a 
                        political party, including expenses for--
                                    ``(I) overhead, including party 
                                meetings;
                                    ``(II) staff (other than 
                                individuals devoting a significant 
                                amount of their time to elections for 
                                Federal office and individuals engaged 
                                in conducting get-out-the-vote 
                                activities for a Federal election); and
                                    ``(III) conducting party elections 
                                or caucuses;
                            ``(xviii) any payment for research 
                        pertaining solely to State and local candidates 
                        and issues;
                            ``(xix) any payment for development and 
                        maintenance of voter files other than during 
                        the 1-year period ending on the date during an 
                        even-numbered calendar year on which regularly 
                        scheduled general elections for Federal office 
                        occur; and
                            ``(xx) any payment for any other activity 
                        which is solely for the purpose of influencing, 
                        and which solely affects, an election for non-
                        Federal office and which is not an activity 
                        described in section 324(b) (without regard to 
                        paragraph (6)(B)) or section 324(c)(1).''.
            (2) Expenditures.--Section 301(9)(B) of such Act (2 U.S.C. 
        431(9)(B)) is amended--
                    (A) by striking ``and'' at the end of clause (ix);
                    (B) by striking the period at the end of clause (x) 
                and inserting a semicolon; and
                    (C) by adding at the end the following new clauses:
                            ``(xi) any amount contributed to a 
                        candidate for other than Federal office;
                            ``(xii) any amount received or expended to 
                        pay the costs of a State or local political 
                        convention;
                            ``(xiii) any payment for campaign 
                        activities that are exclusively on behalf of 
                        (and specifically identify only) State or local 
                        candidates and do not identify any Federal 
                        candidate, and that are not activities 
                        described in section 324(b) (without regard to 
                        paragraph (6)(B)) or section 324(c)(1);
                            ``(xiv) any payment for administrative 
                        expenses of a State or local committee of a 
                        political party, including expenses for--
                                    ``(I) overhead, including party 
                                meetings;
                                    ``(II) staff (other than 
                                individuals devoting a significant 
                                amount of their time to elections for 
                                Federal office and individuals engaged 
                                in conducting get-out-the-vote 
                                activities for a Federal election); and
                                    ``(III) conducting party elections 
                                or caucuses;
                            ``(xv) any payment for research pertaining 
                        solely to State and local candidates and 
                        issues;
                            ``(xvi) any payment for development and 
                        maintenance of voter files other than during 
                        the 1-year period ending on the date during an 
                        even-numbered calendar year on which regularly 
                        scheduled general elections for Federal office 
                        occur; and
                            ``(xvii) any payment for any other activity 
                        which is solely for the purpose of influencing, 
                        and which solely affects, an election for non-
                        Federal office and which is not an activity 
                        described in section 324(b) (without regard to 
                        paragraph (6)(B)) or section 324(c)(1).''.
    (c) Limitation Applied at National Level; Permitting Committees To 
Match Independent Expenditures Made on Opponent's Behalf.--Section 
315(d) of such Act (2 U.S.C. 441a(d)) is amended--
            (1) in paragraph (3), by striking ``The national 
        committee'' and inserting ``Subject to paragraph (4), the 
        national committee''; and
            (2) by adding at the end the following new paragraph:
    ``(4)(A) Notwithstanding paragraph (3), the applicable 
congressional campaign committee of a political party shall make the 
expenditures described in such paragraph which are authorized to be 
made by a national or State committee with respect to a candidate in 
any State unless it allocates all or a portion of such expenditures to 
either or both of such committees.
    ``(B) For purposes of paragraph (3), in determining the amount of 
expenditures of a national or State committee of a political party in 
connection with the general election campaign of a candidate for 
election to the office of Representative, Delegate, or Resident 
Commissioner, there shall be excluded an amount equal to the total 
amount of independent expenditures made during the campaign on behalf 
of candidates opposing the candidate.''.
    (d) Limitations Apply for Entire Election Cycle.--Section 315(d)(1) 
of such Act (2 U.S.C. 441a(d)(1)) is amended by adding at the end the 
following new sentence: ``Each limitation under the following 
paragraphs shall apply to the entire election cycle for an office.''.

SEC. 306. RESTRICTIONS ON FUNDRAISING BY CANDIDATES AND OFFICEHOLDERS.

    (a) State Fundraising Activities.--Section 315 of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 441a), as amended by section 
122, is further amended by adding at the end the following new 
subsection:
    ``(j) Limitations on Fundraising Activities of Federal Candidates 
and Officeholders and Certain Political Committees.--(1) For purposes 
of this Act, a candidate for Federal office, an individual holding 
Federal office, or any agent of the candidate or individual may not 
solicit funds to, or receive funds on behalf of, any Federal or non-
Federal candidate or political committee--
            ``(A) which are to be expended in connection with any 
        election for Federal office unless such funds are subject to 
        the limitations, prohibitions, and requirements of this Act; or
            ``(B) which are to be expended in connection with any 
        election for other than Federal office unless such funds are 
        not in excess of amounts permitted with respect to Federal 
        candidates and political committees under subsections (a) (1) 
        and (2), and are not from sources prohibited by such 
        subsections with respect to elections to Federal office.
    ``(2)(A) The aggregate amount which a person described in 
subparagraph (B) may solicit from a multicandidate political committee 
for State committees described in subsection (a)(1)(C) (including 
subordinate committees) for any calendar year shall not exceed the 
dollar amount in effect under subsection (a)(2)(B) for the calendar 
year.
    ``(B) A person is described in this subparagraph if such person is 
a candidate for Federal office, an individual holding Federal office, 
an agent of such a candidate or individual, or any national, State, 
district, or local committee of a political party (including a 
subordinate committee) and any agent of such a committee.
    ``(3) The appearance or participation by a candidate for Federal 
office or individual holding Federal office in any fundraising event 
conducted by a committee of a political party or a candidate for other 
than Federal office shall not be treated as a solicitation for purposes 
of paragraph (1) if such candidate or individual does not solicit or 
receive, or make disbursements from, any funds resulting from such 
activity.
    ``(4) Paragraph (1) shall not apply to the solicitation or receipt 
of funds, or disbursements, by an individual who is a candidate for 
other than Federal office if such activity is permitted under State 
law.
    ``(5) For purposes of this subsection, an individual shall be 
treated as holding Federal office if such individual--
            ``(A) holds a Federal office; or
            ``(B) holds a position described in level I of the 
        Executive Schedule under section 5312 of title 5, United States 
        Code.''.
    (b) Tax-Exempt Organizations.--Section 315 of such Act (2 U.S.C. 
441a), as amended by section 122 and subsection (a), is further amended 
by adding at the end the following new subsection:
    ``(k) Tax-Exempt Organizations.--(1) If an individual is a 
candidate for, or holds, Federal office during any period, such 
individual may not during such period solicit contributions to, or on 
behalf of, any organization which is described in section 501(c) of the 
Internal Revenue Code of 1986 if--
            ``(A) the organization is established, maintained, or 
        controlled by such individual; and
            ``(B) a significant portion of the activities of such 
        organization include voter registration or get-out-the-vote 
        campaigns.
    ``(2) For purposes of this subsection, an individual shall be 
treated as holding Federal office if such individual--
            ``(A) holds a Federal office; or
            ``(B) holds a position described in level I of the 
        Executive Schedule under section 5312 of title 5, United States 
        Code.''.

SEC. 307. REPORTING REQUIREMENTS.

    (a) Reporting Requirements.--Section 304 of the Federal Election 
Campaign Act of 1971 (2 U.S.C. 434) is amended by adding at the end the 
following new subsection:
    ``(d) Political Committees.--(1) The national committee of a 
political party and 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.
    ``(2) A State, district, or local committee of a political party to 
which section 324 applies shall report all receipts and disbursements 
for the reporting period, including separate schedules for receipts and 
disbursements for State Grassroots Funds.
    ``(3) Any political committee shall include in its report under 
paragraph (1) or (2) the amount of any transfer described in section 
324(d)(2) and shall itemize such amounts to the extent required by 
section 304(b)(3)(A).
    ``(4) The Commission may prescribe regulations to require any 
political committee to which paragraph (1) or (2) does not apply to 
report any receipts or disbursements used in connection with a Federal 
election, including those which are also used, directly or indirectly, 
to affect a State or local election.
    ``(5) 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 subsection 
(b) (3)(A), (5), or (6).
    ``(6) Reports required to be filed by this subsection shall be 
filed for the same time periods required for political committees under 
subsection (a).''.
    (b) Report of Exempt Contributions.--Section 301(8) of such Act (2 
U.S.C. 431(8)) is amended by inserting at the end the following new 
subparagraph:
    ``(C) The exclusion provided in clause (viii) of subparagraph (B) 
shall not apply for purposes of any requirement to report contributions 
under this Act, and all such contributions aggregating in excess of 
$200 (and disbursements therefrom) shall be reported.''.
    (c) Reports by State Committees.--Section 304 of such Act (2 U.S.C. 
434), as amended by subsection (a), is further amended by adding at the 
end the following new subsection:
    ``(e) 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 such Act 
        (2 U.S.C. 434(b)(4)) is amended--
                    (A) by striking ``and'' at the end of subparagraph 
                (H);
                    (B) by adding ``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 such Act 
        (2 U.S.C. 434(b)(5)(A)) is amended--
                    (A) by striking ``within the calendar year'', and
                    (B) by inserting ``, and the election to which the 
                operating expenditure relates'' after ``operating 
                expenditure''.

                        TITLE IV--CONTRIBUTIONS

SEC. 401. RESTRICTIONS ON BUNDLING.

    Section 315(a)(8) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)(8)) is amended to read as follows:
    ``(8)(A) No person, either directly or indirectly, may act as a 
conduit or intermediary for any contribution to a candidate.
    ``(B)(i) Nothing in this section shall prohibit--
            ``(I) joint fundraising conducted in accordance with rules 
        prescribed by the Commission by 2 or more candidates; or
            ``(II) fundraising for the benefit of a candidate that is 
        conducted by another candidate.
    ``(ii) No other person may conduct or otherwise participate in 
joint fundraising activities with or on behalf of any candidate.
    ``(C) The term `conduit or intermediary' means a person who 
transmits a contribution to a candidate or candidate's committee or 
representative from another person, except that--
            ``(i) a House of Representatives candidate or 
        representative of a House of Representatives candidate is not a 
        conduit or intermediary for the purpose of transmitting 
        contributions to the candidate's principal campaign committee 
        or authorized committee;
            ``(ii) a professional fundraiser is not a conduit or 
        intermediary, if the fundraiser is compensated for fundraising 
        services at the usual and customary rate;
            ``(iii) a volunteer hosting a fundraising event at the 
        volunteer's home, in accordance with section 301(8)(b), is not 
        a conduit or intermediary for the purposes of that event; and
            ``(iv) an individual is not a conduit or intermediary for 
        the purpose of transmitting a contribution from the 
        individual's spouse.
For purposes of this section a conduit or intermediary transmits a 
contribution when receiving or otherwise taking possession of the 
contribution and forwarding it directly to the candidate or the 
candidate's committee or representative.
    ``(D) For purposes of this section, the term `representative'--
            ``(i) shall mean a person who is expressly authorized by 
        the candidate to engage in fundraising, and who, in the case of 
        an individual, is not acting as an officer, employee, or agent 
        of any other person;
            ``(ii) shall not include--
                    ``(I) a political committee with a connected 
                organization;
                    ``(II) a political party;
                    ``(III) a partnership or sole proprietorship;
                    ``(IV) an organization prohibited from making 
                contributions under section 316; or
                    ``(V) a person required to register under the 
                Lobbying Disclosure Act of 1995 (2 U.S.C. 1601 et 
                seq.).
    ``(E) For purposes of this section, the term `acting as an officer, 
employee, or agent of any other person' includes the following 
activities by a salaried officer, employee, or paid agent of a person 
described in subparagraph (D)(ii)(IV):
            ``(i) Soliciting contributions to a particular candidate in 
        the name of, or by using the name of, such a person.
            ``(ii) Soliciting contributions to a particular candidate 
        using other than the incidental resources of such a person.
            ``(iii) Soliciting contributions to a particular candidate 
        under the direction or control of other salaried officers, 
        employees, or paid agents of such a person.
For purposes of this subparagraph, the term `agent' shall include any 
person (other than individual members of an organization described in 
subparagraph (b)(4)(C) of section 316) acting on authority or under the 
direction of such organization.''.

SEC. 402. CONTRIBUTIONS BY DEPENDENTS NOT OF VOTING AGE.

    Section 315 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441a), as amended by sections 122 and 306, is further amended by adding 
at the end the following new subsection:
    ``(l) For purposes of this section, any contribution by an 
individual who--
            ``(1) is a dependent of another individual; and
            ``(2) has not, as of the time of such contribution, 
        attained the legal age for voting for elections to Federal 
        office in the State in which such individual resides,
shall be treated as having been made by such other individual. If such 
individual is the dependent of another individual and such other 
individual's spouse, the contribution shall be allocated among such 
individuals in the manner determined by them.''.

SEC. 403. PROHIBITION OF ACCEPTANCE BY A CANDIDATE OF CASH 
              CONTRIBUTIONS FROM ANY ONE PERSON AGGREGATING MORE THAN 
              $100.

    Section 321 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441g) is amended by inserting ``, and no candidate or authorized 
committee of a candidate shall accept from any one person,'' after 
``make''.

SEC. 404. CONTRIBUTIONS TO CANDIDATES FROM STATE AND LOCAL COMMITTEES 
              OF POLITICAL PARTIES TO BE AGGREGATED.

    Section 315(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)), as amended by section 121, is further amended by 
adding at the end the following new paragraph:
    ``(10) Notwithstanding paragraph (5)(B), a candidate for Federal 
office may not accept, with respect to an election, any contribution 
from a State or local committee of a political party (including any 
subordinate committee of such committee) if such contribution, when 
added to the total of contributions previously accepted from all such 
committees of that political party, exceeds a limitation on 
contributions to a candidate under this section.''.

SEC. 405. PROHIBITION OF FALSE REPRESENTATION TO SOLICIT CONTRIBUTIONS.

    Section 322 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441h) 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 or herself as a candidate or as a representative of a 
candidate, a political committee, or a political party.''.

SEC. 406. LIMITED EXCLUSION OF ADVANCES BY CAMPAIGN WORKERS FROM THE 
              DEFINITION OF THE TERM ``CONTRIBUTION''.

    Section 301(8)(B) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 431(8)(B)), as amended by section 305, is amended--
            (1) in clause (xix), by striking ``and'' after the 
        semicolon at the end;
            (2) in clause (xx), by striking the period at the end and 
        inserting: ``; and''; and
            (3) by adding at the end the following new clause:
            ``(xxi) any advance voluntarily made on behalf of an 
        authorized committee of a candidate by an individual in the 
        normal course of such individual's responsibilities as a 
        volunteer for, or employee of, the committee, if the advance is 
        reimbursed by the committee within 10 days after the date on 
        which the advance is made, and the value of advances on behalf 
        of a committee does not exceed $500 with respect to an 
        election.''.

SEC. 407. AMENDMENT TO SECTION 316 OF THE FEDERAL ELECTION CAMPAIGN ACT 
              OF 1971.

    Section 316(b)(2) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441b(b)(2)) is amended--
            (1) by striking ``(2) For'' and inserting ``(2)(A) Except 
        as provided in subparagraph (B), for'';
            (2) by redesignating subparagraphs (A), (B), and (C) as 
        clauses (i), (ii), and (iii), respectively; and
            (3) by adding at the end the following:
    ``(B) Payments by a corporation or labor organization for candidate 
debates, voter guides, or voting records directed to the general public 
shall be considered contributions unless--
            ``(i) in the case of a candidate debate, the organization 
        staging the debate is either an organization described in 
        section 301 (9)(B)(i) whose broadcasts, cablecasts, or 
        publications are supported by commercial advertising, 
        subscriptions, or sales to the public, including a 
        noncommercial educational broadcaster, or a nonprofit 
        organization exempt from Federal taxation under section 
        501(c)(3) or 501(c)(4) of the Internal Revenue Code of 1986 
        that does not endorse, support, or oppose candidates or 
        political parties, and any such debate features at least 2 
        candidates competing for election to that office;
            ``(ii) in the case of a voter guide, the guide is prepared 
        and distributed by a corporation or labor organization and 
        consists of questions posed to at least two candidates for 
        election to that office; and
            ``(iii) in the case of a voting record, the record is 
        prepared and distributed by a corporation or labor organization 
        at the end of a session of Congress and consists solely of 
        votes by all Members of Congress in that session on one or more 
        issues;
except that such payments shall be treated as contributions if any 
communication made by a corporation or labor organization in connection 
with the candidate debate, voter guide, or voting record contains 
express advocacy, or any structure or format of the candidate debate, 
voter guide, or voting record, or any preparation or distribution of 
any such guide or record, reflects a purpose of influencing the 
election of a particular candidate.''.

SEC. 408. PROHIBITION OF CERTAIN ELECTION-RELATED ACTIVITIES OF FOREIGN 
              NATIONALS.

    Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441e) is amended by adding at the end the following new subsection:
    ``(c) A foreign national shall not directly or indirectly direct, 
control, influence, or participate in any person's election-related 
activities, such as the making of contributions or expenditures in 
connection with elections for any local, State, or Federal office or 
the administration of a political committee.''.

                    TITLE V--REPORTING REQUIREMENTS

SEC. 501. CHANGE IN CERTAIN REPORTING FROM A CALENDAR YEAR BASIS TO AN 
              ELECTION CYCLE BASIS.

    Paragraphs (2), (3), (4), (6), and (7) of section 304(b) of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 434(b) (2)-(7)) are 
each amended by inserting ``(election cycle, in the case of an 
authorized committee of a candidate for Federal office)'' after 
``calendar year'' each place it appears.

SEC. 502. DISCLOSURE OF PERSONAL AND CONSULTING SERVICES.

    (a) Reporting by Political Committees.--Section 304(b)(5)(A) of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 434(b)(5)(A)) is 
amended by adding before the semicolon at the end the following: ``, 
except that if a person to whom an expenditure is made by a candidate 
or the candidate's authorized committees is merely providing personal 
or consulting services and is in turn making expenditures to other 
persons (not including its owners or employees) who provide goods or 
services to the candidate or the candidate's authorized committees, the 
name and address of such other person, together with the date, amount 
and purpose of such expenditure shall also be disclosed''.
    (b) Recordkeeping and Reporting by Persons to Whom Expenditures Are 
Passed Through.--Section 302 of such Act (2 U.S.C. 432) is amended by 
adding at the end the following new subsection:
    ``(j) The person described in section 304(b)(5)(A) who is providing 
personal or consulting services and who is in turn making expenditures 
to other persons (not including employees) for goods or services 
provided to a candidate shall maintain records of and shall provide to 
a political committee the information necessary to enable the political 
committee to report the information described in section 
304(b)(5)(A).''.

SEC. 503. POLITICAL COMMITTEES OTHER THAN CANDIDATE COMMITTEES.

    Section 303(b) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 433(b)) is amended--
            (1) in paragraph (2), by inserting ``, and if the 
        organization or committee is incorporated, the State of 
        incorporation'' after ``committee''; and
            (2) by striking the ``name and address of the treasurer'' 
        in paragraph (4) and inserting ``the names and addresses of any 
        officers (including the treasurer)''.

SEC. 504. USE OF CANDIDATES' NAMES.

    Section 302(e)(4) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 432(e)(4)) is amended to read as follows:
    ``(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. 505. REPORTING REQUIREMENTS.

    (a) Filing on the 20th Day of a Month.--Section 304(a) of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 434(a)) is amended--
            (1) in paragraph (2)(A)(iii), by striking ``15th'' and 
        inserting ``20th'';
            (2) in paragraph (3)(B)(ii), by striking ``15th'' and 
        inserting ``20th'';
            (3) in paragraph (4)(A)(i), by striking ``15th'' and 
        inserting ``20th''; and
            (4) in paragraph (8), by striking ``15th'' and inserting 
        ``20th''.
    (b) Option To File Monthly Reports.--Section 304(a)(2) of such Act 
(2 U.S.C. 434(a)(2)) is amended--
            (1) in subparagraph (A), by striking ``and'' at the end;
            (2) in subparagraph (B), by striking the period at the end 
        and inserting ``; and''; and
            (3) by inserting the following new subparagraph at the end:
            ``(C) in lieu of the reports required by subparagraphs (A) 
        and (B), the treasurer may file monthly reports in all calendar 
        years, which shall be filed no later than the 20th day after 
        the last day of the month and shall be complete as of the last 
        day of the month, except that, in lieu of filing the reports 
        otherwise due in November and December of any year in which a 
        regularly scheduled general election is held, a pre-primary 
        election report and a pre-general election report shall be 
        filed in accordance with subparagraph (A)(i), a post-general 
        election report shall be filed in accordance with subparagraph 
        (A)(ii), and a year end report shall be filed no later than 
        January 31 of the following calendar year.''.
    (c) Political Committees.--Section 304(a)(4) of such Act (2 U.S.C. 
434(a)(4)) is amended in subparagraph (A)(i) by inserting ``, and 
except that if at any time during the election year a committee 
receives contributions in excess of $100,000 ($10,000 in the case of a 
multicandidate political committee), or makes disbursements in excess 
of $100,000 ($10,000 in the case of a multicandidate political 
committee), monthly reports on the 20th day of each month after the 
month in which that amount of contributions is first received or that 
amount of disbursements is first anticipated to be made during that 
year'' before the semicolon.
    (d) Incomplete or False Contributor Information.--Section 302(i) of 
such Act (2 U.S.C. 432(i)) is amended--
            (1) by inserting ``(1)'' after ``(i)'';
            (2) by striking ``submit'' and inserting ``report''; and
            (3) by adding at the end the following new paragraph:
    ``(2) A treasurer shall be considered to have used best efforts 
under this section only if--
            ``(A) all written solicitations include a clear and 
        conspicuous request for the contributor's identification and 
        inform the contributor of the committee's obligation to report 
        the identification in a statement prescribed by the Commission;
            ``(B) the treasurer makes at least 1 additional request for 
        the contributor's identification for each contribution received 
        that aggregates in excess of $200 per calendar year and which 
        does not contain all of the information required by this Act; 
        and
            ``(C) the treasurer reports all information in the 
        committee's possession regarding contributor 
        identifications.''.
    (e) Waiver.--Section 304 of such Act (2 U.S.C. 434), as amended by 
section 307, is further amended by adding at the end the following new 
subsection:
    ``(f) Waiver.--The Commission may relieve any category of political 
committees of the obligation to file 1 or more reports required by this 
section, or may change the due dates of such reports, if it determines 
that such action is consistent with the purposes of this Act. The 
Commission may waive requirements to file reports in accordance with 
this subsection through a rule of general applicability or, in a 
specific case, may waive or extend the due date of a report by 
notifying all political committees affected.''.

SEC. 506. SIMULTANEOUS REGISTRATION OF CANDIDATE AND CANDIDATE'S 
              PRINCIPAL CAMPAIGN COMMITTEE.

    Section 303(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 433(a)) is amended in the first sentence by striking ``no later 
than 10 days after designation'' and inserting ``on the date of its 
designation''.

SEC. 507. REPORTING ON GENERAL CAMPAIGN ACTIVITIES OF PERSONS OTHER 
              THAN POLITICAL PARTIES.

    (a) Reporting Requirement.--Section 304 of the Federal Election 
Campaign Act of 1971 (2 U.S.C. 434), as amended by sections 307 and 
505, is further amended by adding at the end the following new 
subsection:
    ``(g) Certain Communications by Corporations and Labor 
Organizations.--(1) Any person making disbursements to pay the cost of 
applicable communication activities aggregating $5,000 or more with 
respect to a candidate in an election after the 20th day, but more than 
24 hours, before the election shall file a report of such disbursements 
within 24 hours after such disbursements are made.
    ``(2) Any person making disbursements to pay the cost of applicable 
communications activities aggregating $5,000 or more with respect to a 
candidate in an election at any time up to and including the 20th day 
before the election shall file a report within 48 hours after such 
disbursements are made.
    ``(3) Any person required to file a report under paragraph (1) or 
(2) which also makes disbursements to pay the cost directly 
attributable to a get-out-the-vote campaign described in section 
316(b)(2)(B) aggregating $25,000 or more with respect to an election 
shall file a report within 48 hours after such disbursements are made.
    ``(4) An additional report shall be filed each time additional 
disbursements described in paragraph (1), (2), or (3), whichever is 
applicable, aggregating $10,000 are made with respect to the same 
candidate in the same election as the initial report filed under this 
subsection. Each such report shall be filed within 48 hours after the 
disbursements are made.
    ``(5) For purposes of this subsection, the term `applicable 
communication activities' means activities which are covered by the 
exception to section 301(9)(B)(iii).
    ``(6) Any statement under this subsection--
            ``(A) shall be filed in the case of--
                    ``(i) disbursements relating to candidates for the 
                House of Representatives, with the Clerk of the House 
                of Representatives and the Secretary of State of the 
                State involved, and
                    ``(ii) any other disbursements, with the 
                Commission, and
            ``(B) shall contain such information as the Commission 
        shall prescribe.''
    (b) Conforming Amendment.--Section 301(9)(B) of such Act (2 U.S.C. 
431(9)(B)) is amended by inserting ``and shall, if such costs exceeds 
the amount described in paragraph (1), (2), or (4) of section 304(g), 
be reported in the manner provided in section 304(g)'' before the 
semicolon at the end of clause (iii).

           TITLE VI--BROADCAST RATES AND CAMPAIGN ADVERTISING

SEC. 601. BROADCAST RATES AND CAMPAIGN ADVERTISING.

    (a) Broadcast Rates.--Section 315 of the Communications Act of 1934 
(47 U.S.C. 315) is amended--
            (1) by amending subsection (b) to read as follows:
    ``(b)(1) Except as provided in paragraph (2), the charges made for 
the use of a broadcasting station by a person who is a legally 
qualified candidate for public office in connection with the person's 
campaign for nomination for election, or election, to public office 
shall not exceed the charges made for comparable use of such station by 
other users thereof.
    ``(2) In the case of an eligible House of Representatives 
candidate, during the 30 days preceding the date of the primary or 
primary runoff election and during the 60 days preceding the date of a 
general or special election in which the person is a candidate, the 
charges made for the use of a broadcasting station by the candidate 
shall not exceed 50 percent of the lowest unit charge of the station 
for the same class and amount of time for the same period.'';
            (2) by redesignating subsections (c) and (d) as subsections 
        (f) and (g), respectively;
            (3) by inserting after subsection (b) the following new 
        subsections:
    ``(c)(1) Except as provided in paragraph (2), a licensee shall not 
preempt the use, during any period specified in subsection (b)(1)(A), 
of a broadcast station by a legally qualified candidate for public 
office who has purchased and paid for such use pursuant to subsection 
(b)(1)(A).
    ``(2) 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.
    ``(d) If any person makes an independent expenditure through a 
communication on a broadcasting station that expressly advocates the 
defeat of an eligible House of Representatives candidate, or the 
election of an eligible House of Representatives candidate (regardless 
of whether such opponent is an eligible candidate), the licensee, as 
applicable, shall, not later than 5 business days after the date on 
which the communication is made (or not later than 24 hours after the 
communication is made if the communication occurs not more than 2 weeks 
before the date of the election), transmit to the candidate--
            ``(1) a statement of the date and time on which the 
        communication was made;
            ``(2) a script or tape recording of the communication, or 
        an accurate summary of the communication if a script or tape 
        recording is not available; and
            ``(3) an offer of an equal opportunity for the candidate to 
        use the broadcasting station to respond to the communication 
        without having to pay for the use in advance.
    ``(e) A licensee that endorses a candidate for Federal office in an 
editorial shall, within the time period stated in subsection (d), 
provide to all other candidates for election to the same office--
            ``(1) a statement of the date and time of the 
        communication;
            ``(2) a script or tape recording of the communication, or 
        an accurate summary of the communication if a script or tape 
        recording is not available; and
            ``(3) an offer of an equal opportunity for the candidate or 
        spokesperson for the candidate to use the broadcasting station 
        to respond to the communication.''; and
            (4) in subsection (f), 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 ``; and''; and
                    (C) by adding at the end the following new 
                paragraph:
            ``(3) the terms `eligible House of Representatives 
        candidate' and `independent expenditure' have the meanings 
        stated in section 301 of the Federal Election Campaign Act of 
        1971.''.
    (b) Revocation of License for Failure To Permit Access.--Section 
312(a)(7) of such Act (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 ``his or 
        her candidacy, under the same terms, conditions, and business 
        practices as apply to its most favored advertiser''.
    (c) Meeting Requirements for Rates as Condition of Granting or 
Renewal of License.--Section 307 of such Act (47 U.S.C. 307) is amended 
by adding at the end the following new subsection:
    ``(f) The continuation of an existing license, the renewal of an 
expiring license, and the issuance of a new license shall be expressly 
conditioned on the agreement by the licensee or the applicant to meet 
the requirements of section 315(b), except that the Commission may 
waive this condition in the case of a licensee or applicant who 
demonstrates (in accordance with such criteria as the Commission may 
establish in consultation with the Federal Election Commission) that 
meeting such requirements will impose a significant financial 
hardship.''.

SEC. 602. CAMPAIGN ADVERTISING AMENDMENTS.

    Section 318 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441d) is amended--
            (1) in the matter before paragraph (1) of subsection (a), 
        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'';
            (2) in the matter before paragraph (1) of subsection (a), 
        by striking ``an expenditure'' and inserting ``a 
        disbursement'';
            (3) in the matter before paragraph (1) of subsection (a), 
        by striking ``direct'';
            (4) in paragraph (3) of subsection (a), by inserting after 
        ``name'' the following ``and permanent street address''; and
            (5) by adding at the end the following new subsections:
    ``(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 communication described in subsection (a)(1) or (a)(2) 
that is provided to and distributed by any broadcasting station or 
cable system (as such terms are defined in sections 315 and 602, 
respectively, of the Federal Communications Act of 1934) shall include, 
in addition to the requirements of subsections (a)(1) and (a)(2), an 
audio statement by the candidate that identifies the candidate and 
states that the candidate has approved the communication.
    ``(2) If a communication described in paragraph (1) contains any 
visual images, the communication shall include a written statement 
which contains the same information as the audio statement and 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)(1) Any communication described in subsection (a)(3) that is 
provided to and distributed by any broadcasting station or cable system 
described in subsection (d)(1) shall include, in addition to the 
requirements of that subsection, in a clearly spoken manner, the 
following statement--
            `             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.
    ``(2) If the communication described in paragraph (1) contains 
visual images, the communication shall include a written statement 
which contains the same information as the audio statement and which 
appears 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. 603. ELIGIBILITY FOR NONPROFIT THIRD-CLASS BULK RATES OF POSTAGE.

    Paragraph (2) of section 3626(e) of title 39, United States Code, 
is amended--
            (1) in subparagraph (A) by striking ``Committee, and the'' 
        and inserting ``Committee, the'', and by striking 
        ``Committee;'' and inserting ``Committee, and a qualified 
        campaign committee;'';
            (2) by striking ``and'' at the end of subparagraph (B);
            (3) by striking the period at the end of subparagraph (C) 
        and inserting a semicolon; and
            (4) by adding at the end the following:
            ``(D) the term `qualified campaign committee' means the 
        campaign committee of an eligible House of Representatives 
        candidate; and
            ``(E) the term `eligible House of Representatives 
        candidate' has the meaning given that term in section 301 of 
        the Federal Election Campaign Act of 1971.''.

                        TITLE VII--MISCELLANEOUS

SEC. 701. PROHIBITION OF LEADERSHIP COMMITTEES.

    Section 302(e) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 432(e)) is amended--
            (1) by amending paragraph (3) to read as follows:
    ``(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, but only 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.''; and
            (2) by adding at the end the following new paragraph:
    ``(6)(A) A candidate for Federal office or any individual holding 
Federal office may not establish, finance, maintain, or control any 
Federal or non-Federal political committee other than a principal 
campaign committee of the candidate, authorized committee, party 
committee, or other political committee designated in accordance with 
paragraph (3). A candidate for more than one Federal office may 
designate a separate principal campaign committee for each Federal 
office. This paragraph shall not preclude a Federal officeholder who is 
a candidate for State or local office from establishing, financing, 
maintaining, or controlling a political committee for election of the 
individual to such State or local office.
    ``(B) For 2 years after the effective date of this paragraph, any 
political committee established before such date but which is 
prohibited under subparagraph (A) may continue to make contributions. 
At the end of that period such political committee shall disburse all 
funds by one or more of the following means: making contributions to an 
entity qualified under section 501(c)(3) of the Internal Revenue Code 
of 1986; making a contribution to the treasury of the United States; 
contributing to the national, State or local committees of a political 
party; or making contributions not to exceed $1,000 to candidates for 
elective office.''.

SEC. 702. APPEARANCE BY FEDERAL ELECTION COMMISSION AS AMICI CURIAE.

    Section 306(f) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 437c(f)) is amended by striking out paragraph (4) and inserting 
in lieu thereof the following new paragraph:
    ``(4)(A) Notwithstanding the provisions of paragraph (2), or of any 
other provision of law, the Commission is authorized to appear on its 
own behalf in any action related to the exercise of its statutory 
duties or powers in any court as either a party or as amicus curiae, 
either--
            ``(i) by attorneys employed in its office, or
            ``(ii) by counsel whom it may appoint, on a temporary basis 
        as may be necessary for such purpose, without regard to the 
        provisions of title 5, United States Code, governing 
        appointments in the competitive service, and whose compensation 
        it may fix without regard to the provisions of chapter 51 and 
        subchapter III of chapter 53 of such title. The compensation of 
        counsel so appointed on a temporary basis shall be paid out of 
        any funds otherwise available to pay the compensation of 
        employees of the Commission.
    ``(B) The authority granted under subparagraph (A) includes the 
power to appeal from, and petition the Supreme Court for certiorari to 
review, judgments or decrees entered with respect to actions in which 
the Commission appears pursuant to the authority provided in this 
section.''.

SEC. 703. PROHIBITING SOLICITATION OF CONTRIBUTIONS BY MEMBERS IN HALL 
              OF THE HOUSE OF REPRESENTATIVES.

    (a) In General.--A Member of the House of Representatives may not 
solicit or accept campaign contributions in the Hall of the House of 
Representatives, rooms leading thereto, or the cloakrooms.
    (b) Definition.--In subsection (a), the term ``Member of the House 
of Representatives'' means a Representative in, or a Delegate or 
Resident Commissioner to, Congress.
    (c) Exercise of Rulemaking Authority.--This section is enacted by 
Congress--
            (1) as an exercise of the rulemaking power of the House of 
        Representatives, and as such this section is deemed a part of 
        the rules of the House of Representatives and supersedes other 
        rules only to the extent inconsistent therewith; and
            (2) with full recognition of the constitutional right of 
        the House of Representatives to change the rule at any time, in 
        the same manner and to the same extent as in the case of any 
        other rule of the House of Representatives.

              TITLE VIII--EFFECTIVE DATES; AUTHORIZATIONS

SEC. 801. EFFECTIVE DATE.

    Except as otherwise provided in this Act, the amendments made by, 
and the provisions of, this Act shall take effect on the date of the 
enactment of this Act, but shall not apply with respect to activities 
in connection with any election occurring before January 1, 1997.

SEC. 802. SEVERABILITY.

    (a) In General.--Except as otherwise provided in this section, if 
any provision of this Act (including any amendment made by this Act), 
or the application of any such provision to any person or circumstance, 
is held invalid, the validity of any other provision of this Act, or 
the application of such provision to other persons and circumstances, 
shall not be affected thereby.
    (b) Exceptions.--If any provision of subtitle A of title V of the 
Federal Election Campaign Act of 1971 (as added by title I) is held to 
be invalid, all provisions of such subtitle, and the amendment made by 
section 122, shall be treated as invalid.

SEC. 803. EXPEDITED REVIEW OF CONSTITUTIONAL ISSUES.

    (a) Direct Appeal to Supreme Court.--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 finding any provision of 
this Act or amendment made by this Act to be unconstitutional.
    (b) Acceptance and Expedition.--The Supreme Court shall, if it has 
not previously ruled on the question addressed in the ruling below, 
accept jurisdiction over, advance on the docket, and expedite the 
appeal to the greatest extent possible.

SEC. 804. REGULATIONS.

    The Federal Election Commission shall prescribe any regulations 
required to carry out the provisions of this Act within 12 months after 
the effective date of this Act.
                                 <all>