[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1057 Introduced in Senate (IS)]







105th CONGRESS
  1st Session
                                S. 1057

To amend the Federal Election Campaign Act of 1971 to require mandatory 
    spending limits for Senate candidates and limits on independent 
        expenditures, to ban soft money, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 23, 1997

   Mr. Reed (for himself, Mr. Bryan, Mr. Hollings, and Mr. Johnson) 
introduced the following bill; which was read twice and referred to the 
                 Committee on Rules and Administration

_______________________________________________________________________

                                 A BILL


 
To amend the Federal Election Campaign Act of 1971 to require mandatory 
    spending limits for Senate candidates and limits on independent 
        expenditures, to ban soft money, 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 ``Campaign Spending 
Control Act of 1997''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Statement of purpose.
Sec. 3. Findings of fact.
                TITLE I--SENATE ELECTION SPENDING LIMITS

Sec. 101. Senate election spending limits.
           TITLE II--COORDINATED AND INDEPENDENT EXPENDITURES

Sec. 201. Adding definition of coordination to definition of 
                            contribution.
Sec. 202. Treatment of certain coordinated contributions and 
                            expenditures.
Sec. 203. Political party committees.
Sec. 204. Limit on independent expenditures.
Sec. 205. Clarification of definitions relating to independent 
                            expenditures.
Sec. 206. Elimination of leadership PACs.
                         TITLE III--SOFT MONEY

Sec. 301. Soft money of political party committee.
Sec. 302. State party grassroots funds.
Sec. 303. Reporting requirements.
Sec. 304. Soft money of persons other than political parties.
                         TITLE IV--ENFORCEMENT

Sec. 401. Filing of reports using computers and facsimile machines.
Sec. 402. Audits.
Sec. 403. Authority to seek injunction.
Sec. 404. Increase in penalty for knowing and willful violations.
Sec. 405. Prohibition of contributions by individuals not qualified to 
                            vote.
Sec. 406. Use of candidates' names.
Sec. 407. Expedited procedures.
           TITLE V--SEVERABILITY; REGULATIONS; EFFECTIVE DATE

Sec. 501. Severability.
Sec. 502. Regulations.
Sec. 503. Effective date.

SEC. 2. STATEMENT OF PURPOSE.

    The purposes of this Act are to--
            (1) restore the public confidence in and the integrity of 
        our democratic system;
            (2) strengthen and promote full and free discussion and 
        debate during election campaigns;
            (3) relieve Federal officeholders from limitations on their 
        attention to the affairs of the Federal government that can 
        arise from excessive attention to fundraising;
            (4) relieve elective office-seekers and officeholders from 
        the limitations on purposeful political conduct and discourse 
        that can arise from excessive attention to fundraising;
            (5) reduce corruption and undue influence, or the 
        appearance thereof, in the financing of Federal election 
        campaigns; and
            (6) provide non-preferential terms of access to elected 
        Federal officeholders by all interested members of the public 
        in order to uphold the constitutionally guaranteed right to 
        petition the Government for redress of grievances.

SEC. 3. FINDINGS OF FACT.

    Congress finds the following:
            (1) The current Federal campaign finance system, with its 
        perceived preferential access to lawmakers for interest groups 
        capable of contributing sizable sums of money to lawmakers' 
        campaigns, has caused a widespread loss of public confidence in 
        the fairness and responsiveness of elective government and 
        undermined the belief, necessary to a functioning democracy, 
        that the Government exists to serve the needs of all people.
            (2) The United States Supreme Court, in Buckley v. Valeo, 
        424 U.S. 1 (1976), disapproved the use of mandatory spending 
        limits as a remedy for such effects, while approving the use of 
        campaign contribution limits.
            (3) Since that time, campaign expenditures have risen 
        steeply in Federal elections with spending by successful 
        candidates for the United States Senate between 1976 and 1996 
        rising from $609,100 to $3,775,000, an increase that is twice 
        the rate of inflation.
            (4) As campaign spending has escalated, voter turnout has 
        steadily declined and in 1996 voter turnout fell to its lowest 
        point since 1924, and stands now at the lowest level of any 
        democracy in the world.
            (5) Coupled with out-of-control campaign spending has come 
        the constant necessity of fundraising, arising, to a large 
        extent, from candidates adopting a defensive ``arms race'' 
        posture of constant readiness against the risk of massively 
        financed attacks against whatever the candidate may say or do.
            (6) The current campaign finance system has had a 
        deleterious effect on those who hold public office as endless 
        fundraising pressures intrude upon the performance of 
        constitutionally required duties. Capable and dedicated 
officials have left office in dismay over these distractions and the 
negative public perceptions that the fundraising process engenders and 
numerous qualified citizens have declined to seek office because of the 
prospect of having to raise the extraordinary amounts of money needed 
in today's elections.
            (7) The requirement for candidates to fundraise, the 
        average 1996 expenditure level required a successful Senate 
        candidate to raise more than $12,099 a week for 6 years, 
        significantly impedes on the ability of Senators and other 
        officeholders to tend to their official duties, and limits the 
        ability of candidates to interact with the electorate while 
        also tending to professional responsibilities.
            (8) As talented incumbent and potential public servants are 
        deterred from seeking office in Congress because of such 
        fundraising pressures, the quality of representation suffers 
        and those who do serve are impeded in their effort to devote 
        full attention to matters of the Government by the campaign 
        financing system.
            (9) Contribution limits are inadequate to control all of 
        these trends and as long as campaign spending is effectively 
        unrestrained, supporters can find ways to protect their favored 
        candidates from being outspent. Since 1976 major techniques 
        have been found and exploited to get around and evade 
        contribution limits.
            (10) Techniques to evade contribution limits include 
        personal spending by wealthy candidates, independent 
        expenditures that assist or attack an identified candidate, 
        media campaigns by corporations, labor unions, and nonprofit 
        organizations to advocate the election or defeat of candidates, 
        and the use of national, State, or local political parties as a 
        conduit for money that assists or attacks such candidates.
            (11) Wealthy candidates may, under the present Federal 
        campaign financing system, spend any amount they want out of 
        their own resources and while such spending may not be self-
        corrupting, it introduces the very defects the Supreme Court 
        wants to avoid. The effectively limitless character of such 
        resources obliges a wealthy candidate's opponent to reach for 
        larger amounts of outside support, causing the deleterious 
        effects previously described.
            (12) Experience shows that there is an identity of interest 
        between candidates and political parties because the parties 
        exist to support candidates, not the other way around. Party 
        expenditures in support of, or in opposition to, an 
        identifiable candidate are, therefore, effectively spending on 
        behalf of a candidate.
            (13) Political experience shows that so-called 
        ``independent'' support, whether by individuals, committees, or 
        other entities, can be and often is coordinated with a 
        candidate's campaign by means of tacit understandings without 
        losing its nominally independent character and, similarly, 
        contributions to a political party, ostensibly for ``party-
        building'' purposes, can be and often are routed, by undeclared 
        design, to the support of identified candidates.
            (14) The actual, case-by-case detection of coordination 
        between candidate, party, and independent contributor is, as a 
        practical matter, impossible in a fast-moving campaign 
        environment.
            (15) So-called ``issue advocacy'' communications, by or 
        through political parties or independent contributors, need 
        not, as a practical matter, advocate expressly for the election 
        or defeat of a named candidate in order to cross the line into 
        election campaign advocacy; any clear, objective indication of 
        purpose, such that voters may readily observe where their 
        electoral support is invited, can suffice as evidence of intent 
        to impact a Federal election campaign.
            (16) When State political parties or other entities 
        operating under State law receive funds, often called ``soft 
        money'', for use in Federal elections, they become de facto 
        agents of the national political party and the inclusion of 
        these funds under applicable Federal limitations is necessary 
        and proper for the effective regulation of Federal election 
        campaigns.
            (17) The exorbitant level of money in the political system 
        has served to distort our democracy by giving some 
        contributors, who constitute less than 3 percent of the 
        citizenry, the appearance of favored access to elected 
        officials, thus undermining the ability of ordinary citizens to 
        petition their Government. Concerns over the potential for 
        corruption and undue influence, and the appearances thereof, 
        has left citizens cynical, the reputation of elected officials 
        tarnished, and the moral authority of Government weakened.
            (18) The 2 decades of experience since the Supreme Court's 
        Buckley v. Valeo ruling in 1976 have made it evident that 
        reasonable limits on election campaign expenditures are now 
        necessary and these limits must comprehensively address all 
types of expenditures to prevent circumvention of such limits.
            (19) The Supreme Court based its Buckley v. Valeo decision 
        on a concern that spending limits could narrow political speech 
        ``by restricting the number of issues discussed, the depth of 
        their exploration, and the size of the audience reached''. The 
        experience of the past 20 years has been otherwise as 
        experience shows that unlimited expenditures can drown out or 
        distort political discourse in a flood of distractive 
        repetition. Reasonable spending limits will increase the 
        opportunity for previously muted voices to be heard and thereby 
        increase the number, depth, and diversity of ideas presented to 
        the public.
            (20) Issue advocacy communications that do not promote or 
        oppose an identified candidate should remain unregulated, as 
        should the traditional freedom of the press to report and 
        editorialize about candidates and campaigns.
            (21) In establishing reasonable limits on campaign 
        spending, it is necessary that the limits reflect the realities 
        of modern campaigning in a large, diverse population with 
        sophisticated and expensive modes of communication. The limits 
        must allow citizens to benefit from a full and free debate of 
        issues and permit candidates to garner the resources necessary 
        to engage in that debate.
            (22) The expenditure limits established in this Act for 
        election to the United States Senate were determined after 
        careful review of historical spending patterns in Senate 
        campaigns as well as the particular spending level of the 3 
        most recent elections as evidenced by the following:
                    (A) The limit formula allows candidates a level of 
                spending which guarantees an ability to disseminate 
                their message by accounting for the size of the 
                population in each State as well as historical spending 
                trends including the demonstrated trend of lower 
                campaign spending per voter in larger States as 
                compared to voter spending in smaller States.
                    (B) The candidate expenditure limits included in 
                this legislation would have restricted 80 percent of 
                the incumbent candidates in the last 3 elections, while 
                only impeding 18 percent of the challengers.
                    (C) It is clear from recent experience that 
                expenditure limits as set by the formula in this Act 
                will be high enough to allow an effective level of 
                competition, encourage candidate dialogue with 
                constituents, and circumscribe the most egregiously 
                high spending levels, so as to be a bulwark against 
                future campaign finance excesses and the resulting 
                voter disenfranchisement.

                TITLE I--SENATE ELECTION SPENDING LIMITS

SEC. 101. SENATE ELECTION SPENDING LIMITS.

    (a) In General.--Title III of the Federal Election Campaign Act of 
1971 (2 U.S.C. 431 et seq.) is amended by adding at the end the 
following:

``SEC. 324. SPENDING LIMITS FOR SENATE ELECTION CAMPAIGNS

    ``(a) In General.--The amount of funds expended by a candidate for 
election to the Senate and the candidate's authorized committees with 
respect to an election may not exceed the election expenditure limits 
of subsections (b), (c), and (d).
    ``(b) Primary Election Expenditure Limit.--The aggregate amount of 
expenditures for a primary election by a Senate candidate and the 
candidate's authorized committees shall not exceed 67 percent of the 
general election expenditure limit under subsection (d).
    ``(c) Runoff Election Expenditure Limit.--The aggregate amount of 
expenditures for a runoff election by a Senate candidate and the 
candidate's authorized committees shall not exceed 20 percent of the 
general election expenditure limit under subsection (d).
    ``(d) General Election Expenditure Limit.--
            ``(1) In general.--The aggregate amount of expenditures for 
        a general election by a Senate candidate and the candidate's 
        authorized committees shall not exceed the greater of--
                    ``(A) $1,182,500; or
                    ``(B) $500,000; plus
                            ``(i) 37.5 cents multiplied by the voting 
                        age population not in excess of 4,000,000; and
                            ``(ii) 31.25 cents multiplied by the voting 
                        age population in excess of 4,000,000.
            ``(2) Exception.--In the case of a Senate candidate in a 
        State that has not more than 1 transmitter for a commercial 
        Very High Frequency (VHF) television station licensed to 
        operate in that State, paragraph (1)(B) shall be applied by 
        substituting--
                    ``(A) `$1.00' for `37.5 cents' in clause (i); and
                    ``(B) `87.5 cents' for `31.25 cents' in clause 
                (ii).
            ``(3) Indexing.--The monetary amounts in paragraphs (1) and 
        (2) shall be increased as of the beginning of each calendar 
        year based on the increase in the price index determined under 
        section 315(c), except that the base period shall be calendar 
        year 1997.
    ``(e) Exempted Expenditures.--In determining the amount of funds 
expended for purposes of this section, there shall be excluded any 
amounts expended for--
            ``(1) Federal, State, or local taxes with respect to 
        earnings on contributions raised;
            ``(2) legal and accounting services provided solely in 
        connection with complying with the requirements of this Act;
            ``(3) legal services related to a recount of the results of 
        a Federal election or an election contest concerning a Federal 
        election; or
            ``(4) payments made to or on behalf of an employee of a 
        candidate's authorized committees for employee benefits--
                    ``(A) including--
                            ``(i) health care insurance;
                            ``(ii) retirement plans; and
                            ``(iii) unemployment insurance; but
                    ``(B) not including salary, any form of 
                compensation, or amounts intended to reimburse the 
                employee.''.

           TITLE II--COORDINATED AND INDEPENDENT EXPENDITURES

SEC. 201. ADDING DEFINITION OF COORDINATION TO DEFINITION OF 
              CONTRIBUTION.

    (a) Definition of Contribution.--Section 301(8) of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 431(8)) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (i), by striking ``or'' at the end;
                    (B) in clause (ii) by striking the period and 
                inserting ``; or''; and
                    (C) by adding at the end the following:
            ``(iii) a payment made for a communication or anything of 
        value that is for the purpose of influencing an election for 
        Federal office and that is a payment made in coordination with 
        a candidate.''; and
            (2) by adding at the end the following:
    ``(C) Payment made in coordination with.--The term `payment made in 
coordination with' means--
            ``(i) a payment made by any person in cooperation, 
        consultation, or concert with, at the request or suggestion of, 
        or pursuant to any general or particular understanding with, a 
        candidate, a candidate's authorized committees, an agent acting 
        on behalf of a candidate or a candidate's authorized committee, 
        or (for purposes of paragraphs (9) and (10) of section 315(a)) 
        another person;
            ``(ii) the financing by any person of the dissemination, 
        distribution, or republication, in whole or in part, of any 
        broadcast or any written, graphic, or other form of campaign 
        materials prepared by the candidate or the candidate's 
        authorized committees (not including a communication described 
        in paragraph (9)(B)(i) or a communication that expressly 
        advocates the candidate's defeat); or
            ``(iii) payments made based on information about the 
        candidate's plans, projects, or needs provided to the person 
        making the payment by the candidate, the candidate's authorized 
        committees, or an agent of a candidate or a candidate's 
        authorized committees.''.
    (b) Conforming Amendments.--
            (1) Section 315.--Section 315(a)(7)(B) of the Federal 
        Election Campaign Act of 1971 (2 U.S.C. 441a(a)(7)(B)) is 
        amended to read as follows:
            ``(B) expenditures made in coordination with a candidate, 
        within the meaning of section 301(8)(C), shall be considered to 
        be contributions to the candidate and, in the case of 
        limitations on expenditures, shall be treated as an expenditure 
        for purposes of this section; and''.
            (2) Section 316.--Section 316(b)(2) of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 441b(b)(2)) is amended by 
        striking ``shall include'' and inserting ``shall have the 
        meaning given those terms in paragraphs (8) and (9) of section 
        301 and shall also include''.

SEC. 202. TREATMENT OF CERTAIN COORDINATED CONTRIBUTIONS AND 
              EXPENDITURES.

    Section 315(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)) is amended by adding at the end the following:
    ``(9) For purposes of this section, contributions made by more than 
1 person in coordination with each other (within the meaning of section 
301(8)(C)) shall be considered to have been made by a single person.
    ``(10) For purposes of this section, an independent expenditure 
made by a person in coordination with (within the meaning of section 
301(8)(C)) another person shall be considered to have been made by a 
single person.''.

SEC. 203. POLITICAL PARTY COMMITTEES.

    (a) Limit on Coordinated and Independent Expenditures by Political 
Party Committees.--Section 315(d) of the Federal Election Campaign Act 
of 1971 (2 U.S.C. 441a(d)) is amended--
            (1) in paragraph (1), by inserting ``and independent 
        expenditures'' after ``Federal office''; and
            (2) in paragraph (3)--
                    (A) by inserting ``, including expenditures made'' 
                after ``make any expenditure''; and
                    (B) by inserting ``and independent expenditures 
                advocating the election or defeat of a candidate,'' 
                after ``such party''.
    (b) Rules Applicable When Limits not in Effect.--For purposes of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.), 
during any period beginning after the effective date of this Act in 
which the limitation under section 315(d)(3) (as amended by subsection 
(a)) is not in effect the following amendments shall be effective:
            (1) Independent versus coordinated expenditures by a 
        political party committee.--Section 315(d) of the Federal 
        Election Campaign Act of 1971 (2 U.S.C. 441a(d)) is amended--
                    (A) in paragraph (1)--
                            (i) by striking ``(2) and (3) of this 
                        subsection'' and inserting ``(2), (3), and (4) 
                        of this subsection''; and
                            (ii) by inserting ``coordinated'' after 
                        ``make'';
                    (B) in paragraph (3), by inserting ``coordinated'' 
                after ``make''; and
                    (C) by adding at the end the following:
    ``(4) Prohibition against making both coordinated expenditures and 
independent expenditures.--
            ``(A) In general.--A committee of a political party shall 
        not make both a coordinated expenditure in excess of $5,000 and 
        an independent expenditure with respect to the same candidate 
        during an election cycle.
            ``(B) Certification.--Before making a coordinated 
        expenditure in excess of $5,000 in connection with a general 
        election campaign for Federal office, a committee of a 
        political party that is subject to this subsection shall file 
        with the Commission a certification, signed by the treasurer, 
        stating that the committee will not make independent 
        expenditures with respect to such candidate.
            ``(C) Transfers.--A party committee that certifies under 
        this paragraph that the committee will make coordinated 
        expenditures with respect to any candidate shall not, in the 
        same election cycle, make a transfer of funds to, or receive a 
        transfer of funds from, any other party committee unless that 
        committee has certified under this paragraph that it will only 
        make coordinated expenditures with respect to candidates.
            ``(D) Definition of coordinated expenditure.--In this 
        paragraph, the term `coordinated expenditure' shall have the 
        meaning given the term `payments made in coordination with' in 
        section 301(8)(C).''.
            (2) Limit on contributions to political party committees.--
        Section 315(a) of Federal Election Campaign Act of 1971 (2 
        U.S.C. 441a(a)) is amended--
                    (A) in paragraph (1)(B), by striking ``which, in 
                the aggregate, exceed $20,000'' and inserting ``that--
                    ``(i) in the case of a political committee that 
                certifies under subsection (d)(4) that it will not make 
                independent expenditures in connection with the general 
                election campaign of any candidate, in the aggregate, 
                exceed $20,000; or
                    ``(ii) in the case of a political committee that 
                does not certify under subsection (d)(4) that it will 
                not make independent expenditures in connection with 
                the general election campaign of any candidate, in the 
                aggregate, exceed $5,000''; and
                    (B) in paragraph (2)(B), by striking ``which, in 
                the aggregate, exceed $15,000'' and inserting ``that--
                    ``(i) in the case of a political committee that 
                certifies under subsection (d)(4) that it will not make 
                independent expenditures in connection with the general 
                election campaign of any candidate, in the aggregate, 
                exceed $15,000; or
                    ``(ii) in the case of a political committee that 
                does not certify under subsection (d)(4) that it will 
                not make independent expenditures in connection with 
                the general election campaign of any candidate, in the 
                aggregate, exceed $5,000''.
    (c) Definition of Election Cycle.--Section 301 of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 431) is amended by adding at 
the end the following:
    ``(20) Election cycle.--The term `election cycle' means--
                    ``(A) in the case of a candidate or the authorized 
                committees of a candidate, the period beginning on the 
                day after the date of the most recent general election 
                for the specific office or seat that the candidate is 
                seeking and ending on the date of the next general 
                election for that office or seat; and
                    ``(B) in the case of all other persons, the period 
                beginning on the first day following the date of the 
                last general election and ending on the date of the 
                next general election.''.

SEC. 204. LIMIT ON INDEPENDENT EXPENDITURES.

    (a) In general.--Section 315 of the Federal Election Campaign Act 
of 1971 (2 U.S.C. 441a) is amended by adding at the end the following:
    ``(i) Limit on Independent Expenditures.--No person shall make an 
amount of independent expenditures advocating the election or defeat of 
a candidate during an election cycle in an aggregate amount greater 
than the limit applicable to the candidate under section 315(d)(3).''.
    (b) Rules Applicable When Rules in Subsection (a) Not in Effect.--
For purposes of the Federal Election Campaign Act of 1971, during any 
period beginning after the effective date of this Act in which the 
limit on independent expenditures under section 315(i) of the Federal 
Election Campaign Act of 1971, as added by subsection (a), is not in 
effect section 324 of such Act, as added by section 101(a), is amended 
by adding at the end the following:
    ``(f) Increase in Expenditure Limit in Response to Independent 
Expenditures.--
            ``(1) In general.--The applicable election expenditure 
        limit for a candidate shall be increased by the aggregate 
        amount of independent expenditures made in excess of the limit 
        applicable to the candidate under section 315(d)(3)--
                    ``(A) on behalf of an opponent of the candidate; or
                    ``(B) in opposition to the candidate.
            ``(2) Notification.--
                    ``(A) In general.--A candidate shall notify the 
                Commission of an intent to increase an expenditure 
                limit under paragraph (1).
                    ``(B) Commission response.--Within 3 business days 
                of receiving a notice under subparagraph (A), the 
                Commission must approve or deny the increase in 
                expenditure limit.
                    ``(C) Additional notification.--A candidate who has 
                increased an expenditure limit under paragraph (1) 
                shall notify the Commission of each additional increase 
                in increments of $50,000.''.

SEC. 205. CLARIFICATION OF DEFINITIONS RELATING TO INDEPENDENT 
              EXPENDITURES.

    (a) Definition of Independent Expenditure.--Section 301 of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 431) is amended by 
striking paragraph (17) and inserting the following:
    ``(17) Independent expenditure.--The term `independent expenditure' 
means an expenditure that--
            (A) contains express advocacy; and
            (B) is made without the participation or cooperation of, or 
        without consultation with, or without coordination with a 
        candidate or a candidate's authorized committee or agent 
        (within the meaning of section 301(8)(C)).''.
    (b) Definition of Express Advocacy.--Section 301 of Federal 
Election Campaign Act of 1971 (2 U.S.C. 431), as amended by section 
202(c), is amended by adding at the end the following:
    ``(21) Express advocacy.--The term `express advocacy' includes--
            ``(i) a communication that conveys a message that advocates 
        the election or defeat of a clearly identified candidate for 
        Federal office by using an expression such as `vote for,' 
        `elect,' `support,' `vote against,' `defeat,' `reject,' `(name 
        of candidate) for Congress,' `vote pro-life,' or `vote pro-
        choice,' accompanied by a listing or picture of a clearly 
        identified candidate described as `pro-life' or `pro-choice,' 
        `reject the incumbent,' or an expression susceptible to no 
        other reasonable interpretation but an unmistakable and 
        unambiguous exhortation to vote for or against a specific 
        candidate; or
            ``(ii) a communication that is made through a broadcast 
        medium, newspaper, magazine, billboard, direct mail, or similar 
        type of general public communication or political advertising--
                    ``(A) that is made on or after a date that is 90 
                days before the date of a general election of the 
                candidate;
                    ``(B) that refers to the character, qualifications, 
                or accomplishments of a clearly identified candidate, 
                group of candidates, or candidate of a clearly 
                identified political party; and
                    ``(C) that does not have as its sole purpose an 
                attempt to urge action on legislation that has been 
                introduced in or is being considered by a legislature 
                that is in session.''.

SEC. 206. ELIMINATION OF LEADERSHIP PACS.

    (a) Designation and Establishment of Authorized Committee.--Section 
302(e) of the Federal Election Campaign Act of 1971 (2 U.S.C. 432(e)) 
is amended by--
            (1) striking paragraph (3) and inserting the following:
    ``(3) No political committee that supports, or has supported, more 
than one candidate may be designated as an authorized committee, except 
that--
            ``(A) a candidate for the office of President nominated by 
        a political party may designate the national committee of such 
        political party as the candidate's principal campaign 
        committee, if that national committee maintains separate books 
        of account with respect to its functions as a principal 
        campaign committee; and
            ``(B) a candidate may designate a political committee 
        established solely for the purpose of joint fundraising by such 
        candidates as an authorized committee.''; and
            (2) adding at the end the following:
    ``(6)(A) A candidate for Federal office or any individual holding 
Federal office may not directly or indirectly establish, finance, 
maintain, or control any political committee other than a principal 
campaign committee of the candidate, 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) A political committee prohibited by subparagraph (A), that is 
established before the date of enactment of this Act, may continue to 
make contributions for a period that ends on the date that is 1 year 
after the date of enactment of this paragraph. At the end of such 
period the political committee shall disburse all funds by 1 or more of 
the following means:
            ``(1) Making contributions to an entity described in 
        section 501(c)(3) of the Internal Revenue Code of 1986 and 
        exempt from taxation under section 501(a) of such Act that is 
        not established, maintained, financed, or controlled directly 
        or indirectly by any candidate for Federal office or any 
        individual holding Federal office.
            ``(2) Making a contribution to the Treasury.
            ``(3) Making contributions to the national, State, or local 
        committees of a political party.
            ``(4) Making contributions not to exceed $1,000 to 
        candidates for elective office.''.

                         TITLE III--SOFT MONEY

SEC. 301. SOFT MONEY OF POLITICAL PARTY COMMITTEE.

    Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 
431 et seq.) is amended by adding at the end the following:

``SEC. 325. SOFT MONEY OF PARTY COMMITTEES.

    ``(a) National Committees.--A national committee of a political 
party (including a national congressional campaign committee of a 
political party), an entity that is directly or indirectly established, 
financed, maintained, or controlled by a national committee or its 
agent, an entity acting on behalf of a national committee, and an 
officer or agent acting on behalf of any such committee or entity (but 
not including an entity regulated under subsection (b)) shall not 
solicit or receive any contributions, donations, or transfers of funds, 
or spend any funds, that are not subject to the limitations, 
prohibitions, and reporting requirements of this Act.
    ``(b) State, District, and Local Committees.--
            ``(1) In general.--Any amount that is expended or disbursed 
        by a State, district, or local committee of a political party 
        (including an entity that is directly or indirectly 
        established, financed, maintained, or controlled by a State, 
        district, or local committee of a political party and an 
        officer or agent acting on behalf of any such committee or 
        entity) during a calendar year in which a Federal election is 
        held, for any activity that might affect the outcome of a 
        Federal election, including any voter registration or get-out-
        the-vote activity, any generic campaign activity, and any 
        communication that refers to a candidate (regardless of whether 
        a candidate for State or local office is also mentioned or 
        identified) shall be made from funds subject to the 
        limitations, prohibitions, and reporting requirements of this 
        Act.
            ``(2) Activity excluded from paragraph (1).--
                    ``(A) In general.--Paragraph (1) shall not apply to 
                an expenditure or disbursement made by a State, 
                district, or local committee of a political party for--
                            ``(i) a contribution to a candidate for 
                        State or local office if the contribution is 
                        not designated or otherwise earmarked to pay 
                        for an activity described in paragraph (1);
                            ``(ii) the costs of a State, district, or 
                        local political convention;
                            ``(iii) the non-Federal share of a State, 
                        district, or local party committee's 
                        administrative and overhead expenses (but not 
                        including the compensation in any month of any 
                        individual who spends more than 20 percent of 
                        the individual's time on activity during the 
                        month that may affect the outcome of a Federal 
                        election) except that for purposes of this 
                        paragraph, the non-Federal share of a party 
                        committee's administrative and overhead 
                        expenses shall be determined by applying the 
                        ratio of the non-Federal disbursements to the 
                        total Federal expenditures and non-Federal 
                        disbursements made by the committee during the 
                        previous presidential election year to the 
                        committee's administrative and overhead 
                        expenses in the election year in question;
                            ``(iv) the costs of grassroots campaign 
                        materials, including buttons, bumper stickers, 
                        and yard signs that name or depict only a 
                        candidate for State or local office; and
                            ``(v) the cost of any campaign activity 
                        conducted solely on behalf of a clearly 
                        identified candidate for State or local office, 
                        if the candidate activity is not an activity 
                        described in paragraph (1).
                    ``(B) Fundraising costs.--Any amount spent by a 
                national, State, district, or local committee, by an 
                entity that is established, financed, maintained, or 
                controlled by a State, district, or local committee of 
                a political party, or by an agent or officer of any 
                such committee or entity to raise funds that are used, 
                in whole or in part, to pay the costs of an activity 
                described in paragraph (1) shall be made from funds 
                subject to the limitations, prohibitions, and reporting 
                requirements of this Act.
    ``(c) Tax-Exempt Organizations.--A national, State, district, or 
local committee of a political party (including a national 
congressional campaign committee of a political party, an entity that 
is directly or indirectly established, financed, maintained, or 
controlled by any such national, State, district, or local committee or 
its agent, an agent acting on behalf of any such party committee, and 
an officer or agent acting on behalf of any such party committee or 
entity), shall not solicit any funds for or make any donations to an 
organization that is exempt from Federal taxation under section 501(c) 
of the Internal Revenue Code of 1986.
    ``(d) Candidates.--
            ``(1) In general.--A candidate, individual holding Federal 
        office, or agent of a candidate or individual holding Federal 
        office shall not--
                    ``(A) solicit, receive, transfer, or spend funds in 
                connection with an election for Federal office unless 
                the funds are subject to the limitations, prohibitions, 
                and reporting requirements of this Act;
                    ``(B) solicit, receive, or transfer funds that are 
                to be expended in connection with any election other 
                than a Federal election unless the funds--
                            ``(i) are not in excess of the amounts 
                        permitted with respect to contributions to 
                        candidates and political committees under 
                        section 315(a) (1) and (2); and
                            ``(ii) are not from sources prohibited by 
                        this Act from making contributions with respect 
                        to an election for Federal office; or
                    ``(C) solicit, receive, or transfer any funds on 
                behalf of any person that are not subject to the 
                limitations, prohibitions, and reporting requirements 
                of the Act if the funds are for use in financing any 
                campaign-related activity or any communication that 
                refers to a clearly identified candidate for Federal 
                office.
            ``(2) Exception.--Paragraph (1) does not apply to the 
        solicitation or receipt of funds by an individual who is a 
        candidate for a State or local office if the solicitation or 
        receipt of funds is permitted under State law for the 
        individual's State or local campaign committee.''.

SEC. 302. STATE PARTY GRASSROOTS FUNDS.

    (a) Individual Contributions.--Section 315(a)(1) of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 441a(a)(1)) is amended--
            (1) in subparagraph (B), by striking ``or'' at the end;
            (2) in subparagraph (C), by striking the period at the end 
        and inserting ``; or''; and
            (3) by inserting after subparagraph (C) the following:
            ``(D) to--
                    ``(i) a State Party Grassroots Fund established and 
                maintained by a State committee of a political party in 
                any calendar year which, in the aggregate, exceed 
                $20,000;
                    ``(ii) any other political committee established 
                and maintained by a State committee of a political 
                party in any calendar year which, in the aggregate, 
                exceed $5,000;
        except that the aggregate contributions described in this 
        subparagraph that may be made by a person to the State Party 
        Grassroots Fund and all committees of a State Committee of a 
        political party in any State in any calendar year shall not 
        exceed $20,000.''.
    (b) Limits.--
            (1) In general.--Section 315(a) of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 441a(a)) is amended by striking 
        paragraph (3) and inserting the following:
            ``(3) Overall limits.--
                    ``(A) Individual limit.--No individual shall make 
                contributions during any calendar year that, in the 
                aggregate, exceed $30,000.
                    ``(B) Calendar year.--No individual shall make 
                contributions during any calendar year--
                            ``(i) to all candidates and their 
                        authorized political committees that, in the 
                        aggregate, exceed $25,000; or
                            ``(ii) to all political committees 
                        established and maintained by State committees 
                        of a political party that, in the aggregate, 
                        exceed $20,000.
                    ``(C) Nonelection years.--For purposes of 
                subparagraph (B)(i), any contribution made to a 
                candidate or the candidate's authorized political 
                committees in a year other than the calendar year in 
                which the election is held with respect to which the 
                contribution is made shall be treated as being made 
                during the calendar year in which the election is 
                held.''.
    (c) Definitions.--Section 301 of the Federal Election Campaign Act 
of 1970 (2 U.S.C. 431), as amended by section 205(b), is amended by 
adding at the end the following:
            ``(22) Generic campaign activity.--The term `generic 
        campaign activity' means a campaign activity that promotes a 
        political party and does not refer to any particular Federal or 
        non-Federal candidate.
            ``(23) State party grassroots fund.--The term `State Party 
        Grassroots Fund' means a separate segregated fund established 
        and maintained by a State committee of a political party solely 
        for purposes of making expenditures and other disbursements 
        described in section 326(d).''.
    (d) State Party Grassroots Funds.--Title III of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 431 et seq.), as amended by 
section 301, is amended by adding at the end the following:

``SEC. 326. STATE PARTY GRASSROOTS FUNDS.

    ``(a) Definition.--In this section, the term `State or local 
candidate committee' means a committee established, financed, 
maintained, or controlled by a candidate for other than Federal office.
    ``(b) Transfers.--Notwithstanding section 315(a)(4), no funds may 
be transferred by a State committee of a political party from its State 
Party Grassroots Fund to any other State Party Grassroots Fund or to 
any other political committee, except a transfer may be made to a 
district or local committee of the same political party in the same 
State if the district or local committee--
            ``(1) has established a separate segregated fund for the 
        purposes described in subsection (d); and
            ``(2) uses the transferred funds solely for those purposes.
    ``(c) Amounts Received by Grassroots Funds From State and Local 
Candidate Committees.--
            ``(1) In general.--Any amount received by a State Party 
        Grassroots Fund from a State or local candidate committee for 
        expenditures described in subsection (d) that are for the 
        benefit of that candidate shall be treated as meeting the 
        requirements of 325(b)(1) and section 304(e) if--
                    ``(A) the amount is derived from funds which meet 
                the requirements of this Act with respect to any 
                limitation or prohibition as to source or dollar amount 
                specified in section 315(a) (1)(A) and (2)(A); 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 those requirements are met; and
                            ``(ii) certifies that the requirements were 
                        met.
            ``(2) Determination of compliance.--For purposes of 
        paragraph (1)(A), in determining whether the funds transferred 
        meet the requirements of this Act described in paragraph 
        (1)(A)--
                    ``(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 funds meeting those 
                requirements sufficient to cover the transferred funds.
            ``(3) Reporting.--Notwithstanding paragraph (1), any State 
        Party Grassroots Fund that receives a transfer described in 
        paragraph (1) from a State or local candidate committee shall 
        be required to meet the reporting requirements of this Act, and 
        shall submit to the Commission all certifications received, 
        with respect to receipt of the transfer from the candidate 
        committee.
    ``(d) Disbursements and Expenditures.--A State committee of a 
political party may make disbursements and expenditures from its State 
Party Grassroots Fund only for--
            ``(1) any generic campaign activity;
            ``(2) payments described in clauses (v), (ix), and (xi) of 
        paragraph (8)(B) and clauses (iv), (viii), and (ix) of 
        paragraph (9)(B) of section 301;
            ``(3) 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;
            ``(4) voter registration; and
            ``(5) development and maintenance of voter files during an 
        even-numbered calendar year.''.

SEC. 303. 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:
    ``(e) Political Committees.--
            ``(1) National and congressional political committees.--The 
        national committee of a political party, any congressional 
        campaign committee of a political party, and any subordinate 
        committee of either, shall report all receipts and 
        disbursements during the reporting period, whether or not in 
        connection with an election for Federal office.
            ``(2) Other political committees to which section 325 
        applies.--A political committee (not described in paragraph 
        (1)) to which section 325(b)(1) applies shall report all 
        receipts and disbursements made for activities described in 
        paragraphs (1) and (2)(iii) of section 325(b).
            ``(3) Other political committees.--Any political committee 
        to which paragraph (1) or (2) does not apply shall report any 
        receipts or disbursements that are used in connection with a 
        Federal election.
            ``(4) Itemization.--If a political committee has receipts 
        or disbursements to which this subsection applies from any 
        person aggregating in excess of $200 for any calendar year, the 
        political committee shall separately itemize its reporting for 
        such person in the same manner as required in paragraphs 
        (3)(A), (5), and (6) of subsection (b).
            ``(5) Reporting periods.--Reports required to be filed 
        under this subsection shall be filed for the same time periods 
        required for political committees under subsection (a).''.
    (b) Building Fund Exception to the Definition of Contribution.--
Section 301(8) of the Federal Election Campaign Act of 1971 (2 U.S.C. 
431(8)) is amended--
            (1) by striking clause (viii); and
            (2) by redesignating clauses (ix) through (xiv) as clauses 
        (viii) through (xiii), respectively.
    (c) Reports by State Committees.--Section 304 of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 434), as amended by subsection 
(a), is amended by adding at the end the following:
    ``(f) Filing of State Reports.--In lieu of any report required to 
be filed by this Act, the Commission may allow a State committee of a 
political party to file with the Commission a report required to be 
filed under State law if the Commission determines such reports contain 
substantially the same information.''.
    (d) Other Reporting Requirements.--
            (1) Authorized committees.--Section 304(b)(4) of the 
        Federal Election Campaign Act of 1971 (2 U.S.C. 434(b)(4)) is 
        amended--
                    (A) by striking ``and'' at the end of subparagraph 
                (H);
                    (B) by inserting ``and'' at the end of subparagraph 
                (I); and
                    (C) by adding at the end the following new 
                subparagraph:
                    ``(J) in the case of an authorized committee, 
                disbursements for the primary election, the general 
                election, and any other election in which the candidate 
                participates;''.
            (2) Names and addresses.--Section 304(b)(5)(A) of the 
        Federal Election Campaign Act of 1971 (2 U.S.C. 434(b)(5)(A)) 
        is amended by inserting ``, and the election to which the 
        operating expenditure relates'' after ``operating 
        expenditure''.

SEC. 304. SOFT MONEY OF PERSONS OTHER THAN POLITICAL PARTIES.

    Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
434), as amended by subsection 303, is amended by adding at the end the 
following:
    ``(g) Election Activity of Persons Other Than Political Parties.--
            ``(1) In general.--A person other than a committee of a 
        political party that makes aggregate disbursements totaling in 
        excess of $10,000 for activities described in paragraph (2) 
        shall file a statement with the Commission--
                    ``(A) within 48 hours after the disbursements are 
                made; or
                    ``(B) in the case of disbursements that are made 
                within 20 days of an election, within 24 hours after 
                the disbursements are made.
            ``(2) Activity.--The activity described in this paragraph 
        is--
                    ``(A) any activity described in section 
                316(b)(2)(A) that refers to any candidate for Federal 
                office, any political party, or any Federal election; 
                and
                    ``(B) any activity described in subparagraph (B) or 
                (C) of section 316(b)(2).
            ``(3) Additional statements.--An additional statement shall 
        be filed each time additional disbursements aggregating $10,000 
        are made by a person described in paragraph (1).
            ``(4) Applicability.--This subsection does not apply to--
                    ``(A) a candidate or a candidate's authorized 
                committees; or
                    ``(B) an independent expenditure.
            ``(5) Contents.--A statement under this section shall 
        contain such information about the disbursements as the 
        Commission shall prescribe, including--
                    ``(A) the name and address of the person or entity 
                to whom the disbursement was made;
                    ``(B) the amount and purpose of the disbursement; 
                and
                    ``(C) if applicable, whether the disbursement was 
                in support of, or in opposition to, a candidate or a 
                political party, and the name of the candidate or the 
                political party.''.

                         TITLE IV--ENFORCEMENT

SEC. 401. FILING OF REPORTS USING COMPUTERS AND FACSIMILE MACHINES.

    Section 302(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 434(a)) is amended by striking paragraph (11) and inserting the 
following:
            ``(11) Filing of reports using computers and facsimile 
        machines.--
                    ``(A) Required filing.--The Commission may 
                promulgate a regulation under which a person required 
                to file a designation, statement, or report under this 
                Act--
                            ``(i) is required to maintain and file a 
                        designation, statement, or report for any 
                        calendar year in electronic form accessible by 
                        computers if the person has, or has reason to 
                        expect to have, aggregate contributions or 
                        expenditures in excess of a threshold amount 
                        determined by the Commission; and
                            ``(ii) may maintain and file a designation, 
                        statement, or report in that manner if not 
                        required to do so under regulations prescribed 
                        under clause (i).
                    ``(B) Facsimile machine.--The Commission shall 
                promulgate a regulation that allows a person to file a 
                designation, statement, or report required by this Act 
                through the use of facsimile machines.
                    ``(C) Verification of signature.--
                            ``(i) In general.--In promulgating a 
                        regulation under this paragraph, the Commission 
                        shall provide methods (other than requiring a 
                        signature on the document being filed) for 
                        verifying a designation, statement, or report 
                        covered by the regulations.
                            ``(ii) Treatment of verification.--A 
                        document verified under any of the methods 
                        shall be treated for all purposes (including 
                        penalties for perjury) in the same manner as a 
                        document verified by signature.''.

SEC. 402. AUDITS.

    (a) Random Audits.--Section 311(b) of the Federal Election Campaign 
Act of 1971 (2 U.S.C. 438(b)) is amended--
            (1) by inserting ``(1)'' before ``The Commission''; and
            (2) by adding at the end the following:
            ``(2) Random audits.--
                    ``(A) In general.--Notwithstanding paragraph (1), 
                the Commission may conduct random audits and 
                investigations to ensure voluntary compliance with this 
                Act.
                    ``(B) Limitation.--The Commission shall not 
                institute an audit or investigation of a candidate's 
                authorized committee under subparagraph (A) until the 
                candidate is no longer a candidate for the office 
                sought by the candidate in that election cycle.
                    ``(C) Applicability.--This paragraph does not apply 
                to an authorized committee of a candidate for President 
                or Vice President subject to audit under section 9007 
                or 9038 of the Internal Revenue Code of 1986.''.
    (b) Extension of Period During Which Campaign Audits May Be 
Begun.--Section 311(b) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 438(b)) is amended by striking ``6 months'' and inserting ``12 
months''.

SEC. 403. AUTHORITY TO SEEK INJUNCTION.

    Section 309(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 437g(a)) is amended--
            (1) by adding at the end the following:
    ``(13) Authority to seek injunction.--
            ``(A) In general.--If, at any time in a proceeding 
        described in paragraph (1), (2), (3), or (4), the Commission 
        believes that--
                    ``(i) there is a substantial likelihood that a 
                violation of this Act is occurring or is about to 
                occur;
                    ``(ii) the failure to act expeditiously will result 
                in irreparable harm to a party affected by the 
                potential violation;
                    ``(iii) expeditious action will not cause undue 
                harm or prejudice to the interests of others; and
                    ``(iv) the public interest would be best served by 
                the issuance of an injunction;
the Commission may initiate a civil action for a temporary restraining 
order or a preliminary injunction pending the outcome of the 
proceedings described in paragraphs (1), (2), (3), and (4).
            ``(B) Venue.--An action under subparagraph (A) shall be 
        brought in the United States district court for the district in 
        which the defendant resides, transacts business, or may be 
        found, or in which the violation is occurring, has occurred, or 
        is about to occur.'';
            (2) in paragraph (7), by striking ``(5) or (6)'' and 
        inserting ``(5), (6), or (13)''; and
            (3) in paragraph (11), by striking ``(6)'' and inserting 
        ``(6) or (13)''.

SEC. 404. INCREASE IN PENALTY FOR KNOWING AND WILLFUL VIOLATIONS.

    Section 309(a)(5)(B) of the Federal Election Campaign Act of 1971 
(2 U.S.C. 437g(a)(5)(B)) is amended by striking ``the greater of 
$10,000 or an amount equal to 200 percent'' and inserting ``the greater 
of $15,000 or an amount equal to 300 percent''.

SEC. 405. PROHIBITION OF CONTRIBUTIONS BY INDIVIDUALS NOT QUALIFIED TO 
              VOTE.

    (a) Prohibition.--Section 319 of the Federal Election Campaign Act 
of 1971 (2 U.S.C. 441e) is amended--
            (1) in the heading by adding ``AND INDIVIDUALS NOT 
        QUALIFIED TO REGISTER TO VOTE'' at the end; and
            (2) in subsection (a)--
                    (A) by striking ``(a) It shall'' and inserting the 
                following:
    ``(a) Prohibitions.--
            ``(1) Foreign nationals.--It shall''; and
                    (B) by adding at the end the following:
            ``(2) Individuals not qualified to vote.--It shall be 
        unlawful for an individual who is not qualified to register to 
        vote in a Federal election to make a contribution, or to 
        promise expressly or impliedly to make a contribution, in 
        connection with a Federal election; or for any person to 
        knowingly solicit, accept, or receive a contribution in 
        connection with a Federal election from an individual who is 
        not qualified to register to vote in a Federal election.''.
    (b) Inclusion in Definition of Identification.--Section 301(13) of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 431(13)) is 
amended--
            (1) in subparagraph (A)--
                    (A) by striking ``and'' the first place it appears; 
                and
                    (B) by inserting ``, and an affirmation that the 
                individual is an individual who is not prohibited by 
                section 319 from making a contribution'' after 
                ``employer''; and
            (2) in subparagraph (B) by inserting ``and an affirmation 
        that the person is a person that is not prohibited by section 
        319 from making a contribution'' after ``such person''.

SEC. 406. USE OF CANDIDATES' NAMES.

    Section 302(e) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 432(e)) is amended by striking paragraph (4) and inserting the 
following:
            ``(4)(A) The name of each authorized committee shall 
        include the name of the candidate who authorized the committee 
        under paragraph (1).
            ``(B) A political committee that is not an authorized 
        committee shall not--
                            ``(i) include the name of any candidate in 
                        its name, or
                            ``(ii) except in the case of a national, 
                        State, or local party committee, use the name 
                        of any candidate in any activity on behalf of 
                        such committee in such a context as to suggest 
                        that the committee is an authorized committee 
                        of the candidate or that the use of the 
                        candidate's name has been authorized by the 
                        candidate.''.

SEC. 407. EXPEDITED PROCEDURES.

    Section 309(a) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 437g(a)), as amended by section 403, is amended by adding at the 
end the following:
            ``(14) Expedited procedure.--
                    ``(A) 60 days preceding an election.--If the 
                complaint in a proceeding was filed within 60 days 
                immediately preceding a general election, the 
                Commission may take action described in this 
                subparagraph.
                    ``(B) Resolution before election.--If the 
                Commission determines, on the basis of facts alleged in 
                the complaint and other facts available to the 
                Commission, that there is clear and convincing evidence 
                that a violation of this Act has occurred, is 
                occurring, or is about to occur and it appears that the 
                requirements for relief stated in paragraph (13)(A) 
                (ii), (iii), and (iv) are met, the Commission may--
                            ``(i) order expedited proceedings, 
                        shortening the time periods for proceedings 
                        under paragraphs (1), (2), (3), and (4) as 
                        necessary to allow the matter to be resolved in 
                        sufficient time before the election to avoid 
                        harm or prejudice to the interests of the 
                        parties; or
                            ``(ii) if the Commission determines that 
                        there is insufficient time to conduct 
                        proceedings before the election, immediately 
                        seek relief under paragraph (13)(A).
                    ``(C) Complaint without merit.--If the Commission 
                determines, on the basis of facts alleged in the 
                complaint and other facts available to the Commission, 
                that the complaint is clearly without merit, the 
                Commission may--
                            ``(i) order expedited proceedings, 
                        shortening the time periods for proceedings 
                        under paragraphs (1), (2), (3), and (4) as 
                        necessary to allow the matter to be resolved in 
                        sufficient time before the election to avoid 
                        harm or prejudice to the interests of the 
                        parties; or
                            ``(ii) if the Commission determines that 
                        there is insufficient time to conduct 
                        proceedings before the election, summarily 
                        dismiss the complaint.''.

           TITLE V--SEVERABILITY; REGULATIONS; EFFECTIVE DATE

SEC. 501. SEVERABILITY.

    If any provision of this Act or amendment made by this Act, or the 
application of a provision or amendment to any person or circumstance, 
is held to be unconstitutional, the remainder of this Act and 
amendments made by this Act, and the application of the provisions and 
amendment to any person or circumstance, shall not be affected by the 
holding.

SEC. 502. REGULATIONS.

    The Federal Election Commission shall promulgate any regulations 
required to carry out this Act and the amendments made by this Act.

SEC. 503. EFFECTIVE DATE.

    Except as otherwise provided in this Act, this Act and the 
amendments made by this Act take effect on the date that is 30 days 
after the date of enactment of this Act.
                                 <all>