Short Title

This Act may be cited as the Leadership PAC Prohibition Act of 2006.

Prohibiting Leadership PACs

(a)

Prohibition

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 paragraph:

(6)(A)A candidate for Federal office or an individual holding Federal office may not directly or indirectly establish, finance, maintain, or control any Federal or non-Federal political committee other than a principal campaign committee of the candidate, an authorized committee, a committee of a political party, 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. (B)Nothing in subparagraph (A) may be construed to prohibit an individual holding Federal office who is a candidate for State or local office from establishing, financing, maintaining, or controlling a political committee for the election of the individual to such State or local office.

(b)

Conforming Amendment

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.

Transition For Existing Committees

(a)

Continuation of Contributions

Notwithstanding section 302(e)(6) of the Federal Election Campaign Act of 1971 (as added by section 2(a)), a political committee which is established as of the date of the enactment of this Act but which is prohibited under such section may continue to make contributions during the 1-year period beginning on the date of the enactment of this Act. (b)

Disbursement of Funds

Upon the expiration of the 1-year period which begins on the date of the enactment of this Act, a political committee described in subsection (a) shall disburse its remaining funds by any of the following means: (1)Making contributions to an organization described in section 501(c)(3) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code, so long as the organization 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 of the United States. (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. (c)

Report of Disbursements to Federal Election Commission

(1)

Report

Not later than 48 hours after making any disbursements required under subsection (b), a political committee shall file a report with the Federal Election Commission describing each such disbursement and including the identification of the recipient of the disbursement. (2)

Electronic Form Required

For purposes of section 304(a)(11) of the Federal Election Campaign Act of 1971 (relating to the filing of reports in electronic form), the report required under paragraph (1) shall be considered to be a report required by such Act to be filed with the Commission.