[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2412 Introduced in Senate (IS)]







110th CONGRESS
  1st Session
                                S. 2412

  To amend the Internal Revenue Code of 1986 to reform the system of 
  public financing for Presidential elections, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            December 5, 2007

  Mr. Feingold (for himself, Ms. Collins, Mr. Obama, Mr. Durbin, Mrs. 
 Clinton, Mr. Biden, Mr. Dodd, and Mr. Kerry) introduced the following 
  bill; which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to reform the system of 
  public financing for Presidential elections, 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 ``Presidential 
Funding Act of 2007''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Revisions to system of Presidential primary matching payments.
Sec. 3. Requiring participation in primary payment system as condition 
                            of eligibility for general election 
                            payments.
Sec. 4. Revisions to expenditure limits.
Sec. 5. Additional payments and increased expenditure limits for 
                            candidates participating in public 
                            financing who face certain nonparticipating 
                            opponents.
Sec. 6. Establishment of uniform date for release of payments from 
                            Presidential Election Campaign Fund to 
                            eligible candidates.
Sec. 7. Revisions to designation of income tax payments by individual 
                            taxpayers.
Sec. 8. Amounts in Presidential Election Campaign Fund.
Sec. 9. Regulation of convention financing.
Sec. 10. Disclosure of bundled contributions to presidential campaigns.
Sec. 11. Repeal of priority in use of funds for political conventions.
Sec. 12. Offsets.
Sec. 13. Effective date.

SEC. 2. REVISIONS TO SYSTEM OF PRESIDENTIAL PRIMARY MATCHING PAYMENTS.

    (a) Increase in Matching Payments.--
            (1) In general.--Section 9034(a) of the Internal Revenue 
        Code of 1986 is amended--
                    (A) by striking ``an amount equal to the amount'' 
                and inserting ``an amount equal to 400 percent of the 
                amount''; and
                    (B) by striking ``$250'' and inserting ``$200''.
            (2) Additional matching payments for candidates after march 
        31 of the election year.--Section 9034(b) of such Code is 
        amended to read as follows:
    ``(b) Additional Payments for Candidates After March 31 of the 
Election Year.--In addition to any payment under subsection (a), an 
individual who is a candidate after March 31 of the calendar year in 
which the presidential election is held and who is eligible to receive 
payments under section 9033 shall be entitled to payments under section 
9037 in an amount equal to the amount of each contribution received by 
such individual after March 31 of the calendar year in which such 
presidential election is held, disregarding any amount of contributions 
from any person to the extent that the total of the amounts contributed 
by such person after such date exceeds $200.''.
            (3) Conforming amendments.--Section 9034 of such Code, as 
        amended by paragraph (2), is amended--
                    (A) by striking the last sentence of subsection 
                (a); and
                    (B) by inserting after subsection (b) the following 
                new subsection:
    ``(c) Contribution Defined.--For purposes of this section and 
section 9033(b), the term `contribution' means a gift of money made by 
a written instrument which identifies the person making the 
contribution by full name and mailing address, but does not include a 
subscription, loan, advance, or deposit of money, or anything of value 
or anything described in subparagraph (B), (C), or (D) of section 
9032(4).''.
    (b) Eligibility Requirements.--
            (1) Amount of aggregate contributions per state.--Section 
        9033(b)(3) of such Code is amended by striking ``$5,000'' and 
        inserting ``$25,000''.
            (2) Amount of individual contributions.--Section 9033(b)(4) 
        of such Code is amended by striking ``$250'' and inserting 
        ``$200''.
            (3) Participation in system for payments for general 
        election.--Section 9033(b) of such Code is amended--
                    (A) by striking ``and'' at the end of paragraph 
                (3);
                    (B) by striking the period at the end of paragraph 
                (4) and inserting ``, and''; and
                    (C) by adding at the end the following new 
                paragraph:
            ``(5) if the candidate is nominated by a political party 
        for election to the office of President, the candidate will 
        apply for and accept payments with respect to the general 
        election for such office in accordance with chapter 95, 
        including the requirement that the candidate and the 
        candidate's authorized committees will not incur qualified 
        campaign expenses in excess of the aggregate payments to which 
        they will be entitled under section 9004.''.
    (c) Period of Availability of Payments.--Section 9032(6) of such 
Code is amended by striking ``the beginning of the calendar year in 
which a general election for the office of President of the United 
States will be held'' and inserting ``the date that is 6 months prior 
to the date of the earliest State primary election''.

SEC. 3. REQUIRING PARTICIPATION IN PRIMARY PAYMENT SYSTEM AS CONDITION 
              OF ELIGIBILITY FOR GENERAL ELECTION PAYMENTS.

    (a) Major Party Candidates.--Section 9003(b) of the Internal 
Revenue Code of 1986 is amended--
            (1) by redesignating paragraphs (1) and (2) as paragraphs 
        (2) and (3); and
            (2) by inserting before paragraph (2) (as so redesignated) 
        the following new paragraph:
            ``(1) the candidate received payments under chapter 96 for 
        the campaign for nomination;''.
    (b) Minor Party Candidates.--Section 9003(c) of such Code is 
amended--
            (1) by redesignating paragraphs (1) and (2) as paragraphs 
        (2) and (3); and
            (2) by inserting before paragraph (2) (as so redesignated) 
        the following new paragraph:
            ``(1) the candidate received payments under chapter 96 for 
        the campaign for nomination;''.

SEC. 4. REVISIONS TO EXPENDITURE LIMITS.

    (a) Increase in Expenditure Limits for Participating Candidates; 
Elimination of State-Specific Limits.--
            (1) In general.--Section 315(b)(1) of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 441a(b)(1)) is amended by 
        striking ``may make expenditures in excess of'' and all that 
        follows and inserting ``may make expenditures--
            ``(A) with respect to a campaign for nomination for 
        election to such office--
                    ``(i) in excess of $100,000,000 before April 1 of 
                the calendar year in which the presidential election is 
                held; and
                    ``(ii) in excess of $150,000,000 before the date 
                described in section 9006(b) of the Internal Revenue 
                Code of 1986; and
            ``(B) with respect to a campaign for election to such 
        office, in excess of $100,000,000.''.
            (2) Clerical correction.--Section 9004(a)(1) of the 
        Internal Revenue Code of 1986 is amended by striking ``section 
        320(b)(1)(B) of the Federal Election Campaign Act of 1971'' and 
        inserting ``section 315(b)(1)(B) of the Federal Election 
        Campaign Act of 1971''.
    (b) Increase in Limit on Coordinated Party Expenditures.--Section 
315(d)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441a(d)(2)) is amended to read as follows:
    ``(2)(A) The national committee of a political party may not make 
any expenditure in connection with the general election campaign of any 
candidate for President of the United States who is affiliated with 
such party which exceeds $25,000,000.
    ``(B) Notwithstanding the limitation under subparagraph (A), during 
the period beginning on April 1 of the year in which a presidential 
election is held and ending on the date described in section 9006(b) of 
the Internal Revenue Code of 1986, the national committee of a 
political party may make additional expenditures in connection with the 
general election campaign of a candidate for President of the United 
States who is affiliated with such party in an amount not to exceed 
$25,000,000.
    ``(C)(i) Notwithstanding subparagraph (B) or the limitation under 
subparagraph (A), if any nonparticipating primary candidate (within the 
meaning of subsection (b)(3)) affiliated with the national committee of 
a political party receives contributions or makes expenditures with 
respect to such candidate's campaign in an aggregate amount greater 
than 120 percent of the expenditure limitation in effect under 
subsection (b)(1)(A)(ii), then, during the period described in clause 
(ii), the national committee of any other political party may make 
expenditures in connection with the general election campaign of a 
candidate for President of the United States who is affiliated with 
such other party without limitation.
    ``(ii) The period described in this clause is the period--
            ``(I) beginning on the later of April 1 of the year in 
        which a presidential election is held or the date on which such 
        nonparticipating primary candidate first receives contributions 
        or makes expenditures in the aggregate amount described in 
        clause (i); and
            ``(II) ending on the earlier of the date such 
        nonparticipating primary candidate ceases to be a candidate for 
        nomination to the office of President of the United States and 
        is not a candidate for such office or the date described in 
        section 9006(b) of the Internal Revenue Code of 1986.
    ``(iii) If the nonparticipating primary candidate described in 
clause (i) ceases to be a candidate for nomination to the office of 
President of the United States and is not a candidate for such office, 
clause (i) shall not apply and the limitations under subparagraphs (A) 
and (B) shall apply. It shall not be considered to be a violation of 
this Act if the application of the preceding sentence results in the 
national committee of a political party violating the limitations under 
subparagraphs (A) and (B) solely by reason of expenditures made by such 
national committee during the period in which clause (i) applied.
    ``(D) For purposes of this paragraph--
            ``(i) any expenditure made by or on behalf of a national 
        committee of a political party and in connection with a 
        presidential election shall be considered to be made in 
        connection with the general election campaign of a candidate 
        for President of the United States who is affiliated with such 
        party; and
            ``(ii) any communication made by or on behalf of such party 
        shall be considered to be made in connection with the general 
        election campaign of a candidate for President of the United 
        States who is affiliated with such party if any portion of the 
        communication is in connection with such election.
    ``(E) Any expenditure under this paragraph shall be in addition to 
any expenditure by a national committee of a political party serving as 
the principal campaign committee of a candidate for the office of 
President of the United States.''.
    (c) Conforming Amendments Relating to Timing of Cost-of-Living 
Adjustment.--
            (1) In general.--Section 315(c)(1) of such Act (2 U.S.C. 
        441a(c)(1)) is amended--
                    (A) in subparagraph (B), by striking ``(b), (d),'' 
                and inserting ``(d)(3)''; and
                    (B) by inserting at the end the following new 
                subparagraph:
    ``(D) In any calendar year after 2008--
            ``(i) a limitation established by subsection (b) or (d)(2) 
        shall be increased by the percent difference determined under 
        subparagraph (A);
            ``(ii) each amount so increased shall remain in effect for 
        the calendar year; and
            ``(iii) if any amount after adjustment under clause (i) is 
        not a multiple of $100, such amount shall be rounded to the 
        nearest multiple of $100.''.
            (2) Base year.--Section 315(c)(2)(B) of such Act (2 U.S.C. 
        441a(c)(2)(B)) is amended--
                    (A) in clause (i)--
                            (i) by striking ``subsections (b) and (d)'' 
                        and inserting ``subsection (d)(3)''; and
                            (ii) by striking ``and'' at the end;
                    (B) in clause (ii), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following new clause:
                    ``(iii) for purposes of subsection (b) and (d)(2), 
                calendar year 2007.''.
    (d) Repeal of Exclusion of Fundraising Costs From Treatment as 
Expenditures.--Section 301(9)(B)(vi) of the Federal Election Campaign 
Act of 1971 (2 U.S.C. 431(9)(B)(vi)) is amended by striking ``in excess 
of an amount equal to 20 percent of the expenditure limitation 
applicable to such candidate under section 315(b)'' and inserting the 
following: ``who is seeking nomination for election or election to the 
office of President or Vice President of the United States''.

SEC. 5. ADDITIONAL PAYMENTS AND INCREASED EXPENDITURE LIMITS FOR 
              CANDIDATES PARTICIPATING IN PUBLIC FINANCING WHO FACE 
              CERTAIN NONPARTICIPATING OPPONENTS.

    (a) Candidates in Primary Elections.--
            (1) Additional payments.--
                    (A) In general.--Section 9034 of the Internal 
                Revenue Code of 1986, as amended by section 2, is 
                amended by redesignating subsection (c) as subsection 
                (d) and by inserting after subsection (b) the following 
                new subsection:
    ``(c) Additional Payments for Candidates Facing Nonparticipating 
Opponents.--
            ``(1) In general.--In addition to any payments provided 
        under subsections (a) and (b), each candidate described in 
        paragraph (2) shall be entitled to--
                    ``(A) a payment under section 9037 in an amount 
                equal to the amount of each contribution received by 
                such candidate on or after the beginning of the 
                calendar year preceding the calendar year of the 
                presidential election with respect to which such 
                candidate is seeking nomination and before the 
                qualifying date, disregarding any amount of 
                contributions from any person to the extent that the 
                total of the amounts contributed by such person exceeds 
                $200, and
                    ``(B) payments under section 9037 in an amount 
                equal to the amount of each contribution received by 
                such candidate on or after the qualifying date, 
                disregarding any amount of contributions from any 
                person to the extent that the total of the amounts 
                contributed by such person exceeds $200.
            ``(2) Candidates to whom this subsection applies.--A 
        candidate is described in this paragraph if such candidate--
                    ``(A) is eligible to receive payments under section 
                9033, and
                    ``(B) is opposed by a nonparticipating primary 
                candidate of the same political party who receives 
                contributions or makes expenditures with respect to the 
                campaign--
                            ``(i) before April 1 of the year in which 
                        the presidential election is held, in an 
                        aggregate amount greater than 120 percent of 
                        the expenditure limitation under section 
                        315(b)(1)(A)(i) of the Federal Election 
                        Campaign Act of 1971, or
                            ``(ii) before the date described in section 
                        9006(b), in an aggregate amount greater than 
                        120 percent of the expenditure limitation under 
                        section 315(b)(1)(A)(ii) of such Act.
            ``(3) Nonparticipating primary candidate.--In this 
        subsection, the term `nonparticipating primary candidate' means 
        a candidate for nomination for election for the office of 
        President who is not eligible under section 9033 to receive 
        payments from the Secretary under this chapter.
            ``(4) Qualifying date.--In this subsection, the term 
        `qualifying date' means the first date on which the 
        contributions received or expenditures made by the 
        nonparticipating primary candidate described in paragraph 
        (2)(B) exceed the amount described under either clause (i) or 
        clause (ii) of such paragraph.''.
                    (B) Conforming amendment.--Section 9034(b) of such 
                Code, as amended by section 2, is amended by striking 
                ``subsection (a)'' and inserting ``subsections (a) and 
                (c)''.
            (2) Increase in expenditure limit.--Section 315(b) of the 
        Federal Election Campaign Act of 1971 (2 U.S.C. 441a(b)) is 
        amended by adding at the end the following new paragraph:
    ``(3)(A) In the case of an eligible candidate, each of the 
limitations under clause (i) and (ii) of paragraph (1)(A) shall be 
increased--
            ``(i) by $50,000,000, if any nonparticipating primary 
        candidate of the same political party as such candidate 
        receives contributions or makes expenditures with respect to 
        the campaign in an aggregate amount greater than 120 percent of 
        the expenditure limitation applicable to eligible candidates 
        under clause (i) or (ii) of paragraph (1)(A) (before the 
        application of this clause), and
            ``(ii) by $100,000,000, if such nonparticipating primary 
        candidate receives contributions or makes expenditures with 
        respect to the campaign in an aggregate amount greater than 120 
        percent of the expenditure limitation applicable to eligible 
        candidates under clause (i) or (ii) of paragraph (1)(A) after 
        the application of clause (i).
    ``(B) Each dollar amount under subparagraph (A) shall be considered 
a limitation under this subsection for purposes of subsection (c).
    ``(C) In this paragraph, the term `eligible candidate' means, with 
respect to any period, a candidate--
            ``(i) who is eligible to receive payments under section 
        9033 of the Internal Revenue Code of 1986;
            ``(ii) who is opposed by a nonparticipating primary 
        candidate; and
            ``(iii) with respect to whom the Commission has given 
        notice under section 304(j)(1)(B)(i).
    ``(D) In this paragraph, the term `nonparticipating primary 
candidate' means, with respect to any eligible candidate, a candidate 
for nomination for election for the office of President who is not 
eligible under section 9033 of the Internal Revenue Code of 1986 to 
receive payments from the Secretary of the Treasury under chapter 96 of 
such Code.''.
    (b) Candidates in General Elections.--
            (1) Additional payments.--
                    (A) In general.--Section 9004(a)(1) of the Internal 
                Revenue Code of 1986 is amended--
                            (i) by striking ``(1) The eligible 
                        candidates'' and inserting ``(1)(A) Except as 
                        provided in subparagraph (B), the eligible 
                        candidates''; and
                            (ii) by adding at the end the following new 
                        subparagraph:
            ``(B) In addition to the payments described in subparagraph 
        (A), each eligible candidate of a major party in a presidential 
        election with an opponent in the election who is not eligible 
        to receive payments under section 9006 and who receives 
        contributions or makes expenditures with respect to the primary 
        and general elections in an aggregate amount greater than 120 
        percent of the combined expenditure limitations applicable to 
        eligible candidates under section 315(b)(1) of the Federal 
        Election Campaign Act of 1971 shall be entitled to an equal 
        payment under section 9006 in an amount equal to 100 percent of 
        the expenditure limitation applicable under such section with 
        respect to a campaign for election to the office of 
        President.''.
                    (B) Special rule for minor party candidates.--
                Section 9004(a)(2)(A) of such Code is amended--
                            (i) by striking ``(A) The eligible 
                        candidates'' and inserting ``(A)(i) Except as 
                        provided in clause (ii), the eligible 
                        candidates''; and
                            (ii) by adding at the end the following new 
                        clause:
            ``(ii) In addition to the payments described in clause (i), 
        each eligible candidate of a minor party in a presidential 
        election with an opponent in the election who is not eligible 
        to receive payments under section 9006 and who receives 
        contributions or makes expenditures with respect to the primary 
        and general elections in an aggregate amount greater than 120 
        percent of the combined expenditure limitations applicable to 
        eligible candidates under section 315(b)(1) of the Federal 
        Election Campaign Act of 1971 shall be entitled to an equal 
        payment under section 9006 in an amount equal to 100 percent of 
        the payment to which such candidate is entitled under clause 
        (i).''.
            (2) Exclusion of additional payment from determination of 
        expenditure limits.--Section 315(b) of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 441a(b)), as amended by 
        subsection (a), is amended by adding at the end the following 
        new paragraph:
    ``(4) In the case of a candidate who is eligible to receive 
payments under section 9004(a)(1)(B) or 9004(a)(2)(A)(ii) of the 
Internal Revenue Code of 1986, the limitation under paragraph (1)(B) 
shall be increased by the amount of such payments received by the 
candidate.''.
    (c) Process for Determination of Eligibility for Additional Payment 
and Increased Expenditure Limits.--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:
    ``(j) Reporting and Certification for Additional Public Financing 
Payments for Candidates.--
            ``(1) Primary candidates.--
                    ``(A) Notification of expenditures by ineligible 
                candidates.--
                            ``(i) Expenditures in excess of 120 percent 
                        of limit.--If a candidate for a nomination for 
                        election for the office of President who is not 
                        eligible to receive payments under section 9033 
                        of the Internal Revenue Code of 1986 receives 
                        contributions or makes expenditures with 
                        respect to the primary election in an aggregate 
                        amount greater than 120 percent of the 
                        expenditure limitation applicable to eligible 
                        candidates under clause (i) or (ii) of section 
                        315(b)(1)(A), the candidate shall notify the 
                        Commission in writing that the candidate has 
                        received aggregate contributions or made 
                        aggregate expenditures in such an amount not 
                        later than 24 hours after first receiving 
                        aggregate contributions or making aggregate 
                        expenditures in such an amount.
                            ``(ii) Expenditures in excess of 120 
                        percent of increased limit.--If a candidate for 
                        a nomination for election for the office of 
                        President who is not eligible to receive 
                        payments under section 9033 of the Internal 
                        Revenue Code of 1986 receives contributions or 
                        makes expenditures with respect to the primary 
                        election in an aggregate amount greater than 
                        120 percent of the expenditure limitation 
                        applicable to eligible candidates under section 
                        315(b) after the application of paragraph 
                        (3)(A)(i) thereof, the candidate shall notify 
                        the Commission in writing that the candidate 
                        has received aggregate contributions or made 
                        aggregate expenditures in such an amount not 
                        later than 24 hours after first receiving 
                        aggregate contributions or making aggregate 
                        expenditures in such an amount.
                    ``(B) Certification.--Not later than 24 hours after 
                receiving any written notice under subparagraph (A) 
                from a candidate, the Commission shall--
                            ``(i) certify to the Secretary of the 
                        Treasury that opponents of the candidate are 
                        eligible for additional payments under section 
                        9034(c) of the Internal Revenue Code of 1986;
                            ``(ii) notify each opponent of the 
                        candidate who is eligible to receive payments 
                        under section 9033 of the Internal Revenue Code 
                        of 1986 of the amount of the increased 
                        limitation on expenditures which applies 
                        pursuant to section 315(b)(3); and
                            ``(iii) in the case of a notice under 
                        subparagraph (A)(i), notify the national 
                        committee of each political party (other than 
                        the political party with which the candidate is 
                        affiliated) of the inapplicability of 
                        expenditure limits under section 315(d)(2) 
                        pursuant to subparagraph (C) thereof.
            ``(2) General election candidates.--
                    ``(A) Notification of expenditures by ineligible 
                candidates.--If a candidate in a presidential election 
                who is not eligible to receive payments under section 
                9006 of the Internal Revenue Code of 1986 receives 
                contributions or makes expenditures with respect to the 
                primary and general elections in an aggregate amount 
                greater than 120 percent of the combined expenditure 
                limitations applicable to eligible candidates under 
                section 315(b)(1), the candidate shall notify the 
                Commission in writing that the candidate has received 
                aggregate contributions or made aggregate expenditures 
                in such an amount not later than 24 hours after first 
                receiving aggregate contributions or making aggregate 
                expenditures in such an amount.
                    ``(B) Certification.--Not later than 24 hours after 
                receiving a written notice under subparagraph (A), the 
                Commission shall certify to the Secretary of the 
                Treasury for payment to any eligible candidate who is 
                entitled to an additional payment under paragraph 
                (1)(B) or (2)(A)(ii) of section 9004(a) of the Internal 
                Revenue Code of 1986 that the candidate is entitled to 
                payment in full of the additional payment under such 
                section.''.

SEC. 6. ESTABLISHMENT OF UNIFORM DATE FOR RELEASE OF PAYMENTS FROM 
              PRESIDENTIAL ELECTION CAMPAIGN FUND TO ELIGIBLE 
              CANDIDATES.

    (a) In General.--The first sentence of section 9006(b) of the 
Internal Revenue Code of 1986 is amended to read as follows: ``If the 
Secretary of the Treasury receives a certification from the Commission 
under section 9005 for payment to the eligible candidates of a 
political party, the Secretary shall, on the last Friday occurring 
before the first Monday in September, pay to such candidates of the 
fund the amount certified by the Commission.''.
    (b) Conforming Amendment.--The first sentence of section 9006(c) of 
such Code is amended by striking ``the time of a certification by the 
Comptroller General under section 9005 for payment'' and inserting 
``the time of making a payment under subsection (b)''.

SEC. 7. REVISIONS TO DESIGNATION OF INCOME TAX PAYMENTS BY INDIVIDUAL 
              TAXPAYERS.

    (a) Increase in Amount Designated.--Section 6096(a) of the Internal 
Revenue Code of 1986 is amended--
            (1) in the first sentence, by striking ``$3'' each place it 
        appears and inserting ``$10''; and
            (2) in the second sentence--
                    (A) by striking ``$6'' and inserting ``$20''; and
                    (B) by striking ``$3'' and inserting ``$10''.
    (b) Indexing.--Section 6096 of such Code is amended by adding at 
the end the following new subsection:
    ``(d) Indexing of Amount Designated.--
            ``(1) In general.--With respect to each taxable year after 
        2008, each amount referred to in subsection (a) shall be 
        increased by the percent difference described in paragraph (2), 
        except that if any such amount after such an increase is not a 
        multiple of $1, such amount shall be rounded to the nearest 
        multiple of $1.
            ``(2) Percent difference described.--The percent difference 
        described in this paragraph with respect to a taxable year is 
        the percent difference determined under section 315(c)(1)(A) of 
        the Federal Election Campaign Act of 1971 with respect to the 
        calendar year during which the taxable year begins, except that 
        the base year involved shall be 2008.''.
    (c) Ensuring Tax Preparation Software Does Not Provide Automatic 
Response to Designation Question.--Section 6096 of such Code, as 
amended by subsection (b), is amended by adding at the end the 
following new subsection:
    ``(e) Ensuring Tax Preparation Software Does Not Provide Automatic 
Response to Designation Question.--The Secretary shall promulgate 
regulations to ensure that electronic software used in the preparation 
or filing of individual income tax returns does not automatically 
accept or decline a designation of a payment under this section.''.
    (d) Public Information Program on Designation.--Section 6096 of 
such Code, as amended by subsections (b) and (c), is amended by adding 
at the end the following new subsection:
    ``(f) Public Information Program.--
            ``(1) In general.--The Federal Election Commission shall 
        conduct a program to inform and educate the public regarding 
        the purposes of the Presidential Election Campaign Fund, the 
        procedures for the designation of payments under this section, 
        and the effect of such a designation on the income tax 
        liability of taxpayers.
            ``(2) Use of funds for program.--Amounts in the 
        Presidential Election Campaign Fund shall be made available to 
        the Federal Election Commission to carry out the program under 
        this subsection, except that the amount made available for this 
        purpose may not exceed $10,000,000 with respect to any 
        Presidential election cycle. In this paragraph, a `Presidential 
        election cycle' is the 4-year period beginning with January of 
        the year following a Presidential election.''.
    (e) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 8. AMOUNTS IN PRESIDENTIAL ELECTION CAMPAIGN FUND.

    (a) Determination of Amounts in Fund.--Section 9006(c) of the 
Internal Revenue Code of 1986 is amended by adding at the end the 
following new sentence: ``In making a determination of whether there 
are insufficient moneys in the fund for purposes of the previous 
sentence, the Secretary shall take into account in determining the 
balance of the fund for a Presidential election year the Secretary's 
best estimate of the amount of moneys which will be deposited into the 
fund during the year, except that the amount of the estimate may not 
exceed the average of the annual amounts deposited in the fund during 
the previous 3 years.''.
    (b) Special Rule for First Campaign Cycle Under This Act.--
            (1) In general.--Section 9006 of the Internal Revenue Code 
        of 1986 is amended by adding at the end the following new 
        subsection:
    ``(d) Special Authority To Borrow.--
            ``(1) In general.--Notwithstanding subsection (c), there 
        are authorized to be appropriated to the fund, as repayable 
        advances, such sums as are necessary to carry out the purposes 
        of the fund during the period ending on the first presidential 
        election occurring after the date of the enactment of this 
        subsection.
            ``(2) Repayment of advances.--
                    ``(A) In general.--Advances made to the fund shall 
                be repaid, and interest on such advances shall be paid, 
                to the general fund of the Treasury when the Secretary 
                determines that moneys are available for such purposes 
                in the fund.
                    ``(B) Rate of interest.--Interest on advances made 
                to the fund shall be at a rate determined by the 
                Secretary of the Treasury (as of the close of the 
                calendar month preceding the month in which the advance 
                is made) to be equal to the current average market 
                yield on outstanding marketable obligations of the 
                United States with remaining periods to maturity 
                comparable to the anticipated period during which the 
                advance will be outstanding and shall be compounded 
                annually.''.
            (2) Effective date.--The amendment made by this subsection 
        shall take effect on the date of the enactment of this Act.

SEC. 9. REGULATION OF CONVENTION FINANCING.

    Section 323 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441i) is amended by adding at the end the following new subsection:
    ``(g) National Conventions.--Any person described in subsection (e) 
shall not solicit, receive, direct, transfer, or spend any funds in 
connection with a presidential nominating convention of any political 
party, including funds for a host committee, civic committee, 
municipality, or any other person or entity spending funds in 
connection with such a convention, unless such funds--
            ``(1) are not in excess of the amounts permitted with 
        respect to contributions to the political committee established 
        and maintained by a national political party committee under 
        section 315; and
            ``(2) are not from sources prohibited by this Act from 
        making contributions in connection with an election for Federal 
        office.''.

SEC. 10. DISCLOSURE OF BUNDLED CONTRIBUTIONS TO PRESIDENTIAL CAMPAIGNS.

    (a) In General.--Paragraphs (1) through (3) of section 304(i) of 
the Federal Election Campaign Act of 1971 (2 U.S.C. 434(i)) are amended 
to read as follows:
            ``(1) In general.--
                    ``(A) Disclosure of bundled contributions by 
                lobbyists.--Each committee described in paragraph (6) 
                shall include in the first report required to be filed 
                under this section after each covered period (as 
                defined in paragraph (2)) a separate schedule setting 
                forth the name, address, and employer of each person 
                reasonably known by the committee to be a person 
                described in paragraph (7) who provided 2 or more 
                bundled contributions to the committee in an aggregate 
                amount greater than the applicable threshold (as 
                defined in paragraph (3)) during the covered period, 
                and the aggregate amount of the bundled contributions 
                provided by each such person during the covered period.
                    ``(B) Disclosure of bundled contributions to 
                presidential campaigns.--Each committee which is an 
                authorized committee of a candidate for the office of 
                President or for nomination to such office shall 
                include in the first report required to be filed under 
                this section after each covered period (as defined in 
                paragraph (2)) a separate schedule setting forth the 
                name, address, and employer of each person who provided 
                2 or more bundled contributions to the committee in an 
                aggregate amount greater than the applicable threshold 
                (as defined in paragraph (3)) during the election 
                cycle, and the aggregate amount of the bundled 
                contributions provided by each such person during the 
                covered period and such election cycle. Such schedule 
                shall include a separate listing of the name, address, 
                and employer of each person included on such schedule 
                who is reasonably known by the committee to be a person 
                described in paragraph (7), together with the aggregate 
                amount of bundled contributions provided by such person 
                during such period and such cycle.
            ``(2) Covered period.--In this subsection, a `covered 
        period' means--
                    ``(A) with respect to a committee which is an 
                authorized committee of a candidate for the office of 
                President or for nomination to such office--
                            ``(i) the 4-year election cycle ending with 
                        the date of the election for the office of the 
                        President; and
                            ``(ii) any reporting period applicable to 
                        the committee under this section during which 
                        any person provided 2 or more bundled 
                        contributions to the committee; and
                    ``(B) with respect to any other committee--
                            ``(i) the period beginning January 1 and 
                        ending June 30 of each year;
                            ``(ii) the period beginning July 1 and 
                        ending December 31 of each year; and
                            ``(iii) any reporting period applicable to 
                        the committee under this section during which 
                        any person described in paragraph (7) provided 
                        2 or more bundled contributions to the 
                        committee in an aggregate amount greater than 
                        the applicable threshold.
            ``(3) Applicable threshold.--
                    ``(A) In general.--In this subsection, the 
                `applicable threshold' is--
                            ``(i) $50,000 in the case of a committee 
                        which is an authorized committee of a candidate 
                        for the office of President or for nomination 
                        to such office; and
                            ``(ii) $15,000 in the case of any other 
                        committee.
                In determining whether the amount of bundled 
                contributions provided to a committee by a person 
                exceeds the applicable threshold, there shall be 
                excluded any contribution made to the committee by the 
                person or the person's spouse.
                    ``(B) Indexing.--In any calendar year after 2007, 
                section 315(c)(1)(B) shall apply to each amount 
                applicable under subparagraph (A) in the same manner as 
                such section applies to the limitations established 
                under subsections (a)(1)(A), (a)(1)(B), (a)(3), and (h) 
                of such section, except that for purposes of applying 
                such section to the amount applicable under 
                subparagraph (A), the `base period' shall be 2006.''.
    (b) Conforming Amendments.--Subsection (i) of section 304 of such 
Act (2 U.S.C. 434) is amended--
            (1) in paragraph (5), by striking ``described in paragraph 
        (7)'' each place it appears in subparagraphs (C) and (D);
            (2) in paragraph (6), by inserting ``(other than a 
        candidate for the office of President or for nomination to such 
        office)'' after ``candidate''; and
            (3) in paragraph (8)(A)--
                    (A) by striking ``, with respect to a committee 
                described in paragraph (6) and a person described in 
                paragraph (7),'' and inserting ``, with respect to a 
                committee described in paragraph (6) or an authorized 
                committee of a candidate for the office of President or 
                for nomination to such office,'';
                    (B) by striking ``by the person'' in clause (i) 
                thereof and inserting ``by any person''; and
                    (C) by striking ``the person'' each place it 
                appears in clause (ii) and inserting ``such person''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to reports filed under section 304 of the Federal 
Election Campaign Act of 1971 after January 1, 2009.

SEC. 11. REPEAL OF PRIORITY IN USE OF FUNDS FOR POLITICAL CONVENTIONS.

    (a) In General.--Section 9008(a) of the Internal Revenue Code of 
1986 is amended by striking the period at the end of the second 
sentence and all that follows and inserting the following: ``, except 
that the amount deposited may not exceed the amount available after the 
Secretary determines that amounts for payments under section 9006 and 
section 9037 are available for such payments.''.
    (b) Conforming Amendment.--The second sentence of section 9037(a) 
of such Code is amended by striking ``section 9006(c) and for payments 
under section 9008(b)(3)'' and inserting ``section 9006''.

SEC. 12. OFFSETS.

    (a) Removal of Prohibition on Increasing Fees for Permits.--Section 
365 of the Energy Policy Act of 2005 (42 U.S.C. 15924) is amended--
            (1) by striking subsection (i); and
            (2) by redesignating subsection (j) as subsection (i).
    (b) Disposal of Moneys From Sales, Bonuses, Rentals, and 
Royalties.--Section 20 of the Geothermal Steam Act of 1970 (30 U.S.C. 
1019) is amended to read as follows:

``SEC. 20. DISPOSAL OF MONEYS FROM SALES, BONUSES, RENTALS, AND 
              ROYALTIES.

    ``Subject to section 35 of the Mineral Leasing Act (30 U.S.C. 192), 
all funds received from the sales, bonuses, royalties, and rentals 
under this Act (including payments referred to in section 6) shall be 
disposed of in the same manner as funds received pursuant to section 6 
of this Act or section 35 of the Mineral Leasing Act (30 U.S.C. 192), 
as the case may be.''.
    (c) Royalty for Hardrock Mining.--The Revised Statutes are amended 
by inserting after section 2352 (30 U.S.C. 76) the following:

``SEC. 2353. RESERVATION OF ROYALTY.

    ``(a) Definition of Locatable Mineral.--In this section:
            ``(1) In general.--The term `locatable mineral' means any 
        mineral, the legal and beneficial title to which remains in the 
        United States and that is not subject to disposition under--
                    ``(A) the Mineral Leasing Act (30 U.S.C. 181 et 
                seq.);
                    ``(B) the Act of August 7, 1947 (commonly known as 
                the `Mineral Leasing Act for Acquired Lands') (30 
                U.S.C. 351 et seq.);
                    ``(C) the Act of July 31, 1947 (commonly known as 
                the `Materials Act of 1947') (30 U.S.C. 601 et seq.); 
                or
                    ``(D) the Geothermal Steam Act of 1970 (30 U.S.C. 
                1001 et seq.).
            ``(2) Exclusions.--The term `locatable mineral' does not 
        include any mineral that is subject to a restriction against 
        alienation imposed by the United States and is--
                    ``(A) held in trust by the United States for any 
                Indian or Indian tribe (as defined in section 2 of the 
                Indian Mineral Development Act of 1982 (25 U.S.C. 
                2101)); or
                    ``(B) owned by any Indian or Indian tribe (s 
                defined in section 2 of that Act).
    ``(b) Royalty.--Except as otherwise provided in this section, 
production of all locatable minerals from any mining claim located 
under the general mining laws, or mineral concentrates or products 
derived from locatable minerals from any such mining claim, as the case 
may be, shall be subject to a royalty of 8 percent of the gross income 
from mining.
    ``(c) Liability for Payment.--The claim holder or any operator to 
whom the claim holder has assigned the obligation to make royalty 
payments under the claim, and any person who controls the claim holder 
or operator, shall be liable for payment of royalties under this 
section.
    ``(d) Royalty for Federal Land Subject to Existing Permit.--The 
royalty under subsection (b) shall be 4 percent in the case of any 
Federal land that--
            ``(1) is subject to an operations permit on the date of 
        enactment of this section; and
            ``(2) produces valuable locatable minerals in commercial 
        quantities on the date of enactment of this section.
    ``(e) Federal Land Added to Existing Operations Permit.--Any 
Federal land added through a plan modification to an operations permit 
that is submitted after the date of enactment of this section shall be 
subject to the royalty that applies to Federal land under subsection 
(b).
    ``(f) Deposit.--Amounts received by the United States as royalties 
under this section shall be deposited into the general fund of the 
Treasury.''.
    (d) Hardrock Mining Claim Maintenance Fee.--
            (1) Fee.--
                    (A) In general.--Except as provided in section 
                2511(e)(2) of the Energy Policy Act of 1992 (30 U.S.C. 
                242(e)(2)), for each unpatented mining claim, mill, or 
                tunnel site on federally owned land, whether located 
                before, on, or after enactment of this Act, each 
                claimant shall pay to the Secretary, on or before 
                August 31 of each year, a claim maintenance fee of $150 
                per claim to hold the unpatented mining claim, mill, or 
                tunnel site for the assessment year beginning at noon 
                on September 1.
                    (B) Relation to other law.--A claim maintenance fee 
                described in subparagraph (A) shall be in lieu of--
                            (i) the assessment work requirement in 
                        section 2324 of the Revised Statutes (30 U.S.C. 
                        28); and
                            (ii) the related filing requirements in 
                        subsections (a) and (c) of section 314 of the 
                        Federal Land Policy and Management Act of 1976 
                        (43 U.S.C. 1744).
                    (C) Waiver.--
                            (i) In general.--The claim maintenance fee 
                        required under subparagraph (A) shall be waived 
                        for a claimant who certifies in writing to the 
                        Secretary that on the date the payment was due, 
                        the claimant and all related parties--
                                    (I) held not more than 10 mining 
                                claims, mill sites, or tunnel sites, or 
                                any combination of mining claims, mill 
                                sites, or tunnel sites, on public land; 
                                and
                                    (II) have performed assessment work 
                                required under section 2324 of the 
                                Revised Statutes (30 U.S.C. 28) to 
                                maintain the mining claims held by the 
                                claimant and all related parties for 
                                the assessment year ending on noon of 
                                September 1 of the calendar year in 
                                which payment of the claim maintenance 
                                fee was due.
                            (ii) Definition of all related parties.--In 
                        clause (i), with the respect to any claimant, 
                        the term ``all related parties'' means--
                                    (I) the spouse and dependent 
                                children (as defined in section 152 of 
                                the Internal Revenue Code of 1986), of 
                                the claimant; or
                                    (II) a person affiliated with the 
                                claimant, including--
                                            (aa) a person controlled 
                                        by, controlling, or under 
                                        common control with the 
                                        claimant; or
                                            (bb) a subsidiary or parent 
                                        company or corporation of the 
                                        claimant.
                    (D) Adjustment.--
                            (i) In general.--Not less than 5 years 
                        after the date of enactment of this Act, and 
                        every 5 years thereafter, or more frequently if 
                        the Secretary determines an adjustment to be 
                        reasonable, the Secretary shall adjust the 
                        claim maintenance fee required under 
                        subparagraph (A) to reflect changes for the 12-
                        month period ending the preceding November 30 
                        in the Consumer Price Index for All Urban 
                        Consumers published by the Bureau of Labor 
                        Statistics of the Department of Labor.
                            (ii) Notification.--Not later than July 1 
                        of any year in which an adjustment is made 
                        under clause (i), the Secretary shall provide 
                        claimants notice of the adjustment.
                            (iii) Application.--A fee adjustment under 
                        clause (i) shall be effective beginning January 
                        1 of the calendar year following the calendar 
                        year in which the adjustment is made.
            (2) Location fee.--Notwithstanding any other provision of 
        law, for each unpatented mining claim, mill, or tunnel site 
        located during the period beginning on the date of enactment of 
        this Act and ending on September 30, 1998, the locator shall, 
        at the time the location notice is recorded with the Bureau of 
        Land Management, pay to the Secretary a location fee, in 
        addition to the fee required by paragraph (1), of $50 per 
        claim.
            (3) Deposit.--Amounts received under paragraph (1) or (2) 
        that are not otherwise allocated for the administration of the 
        mining laws by the Department of the Interior shall be 
        deposited into the general fund of the Treasury.
            (4) Co-ownership.--The co-ownership provisions of section 
        2324 of the Revised Statutes (30 U.S.C. 28) shall remain in 
        effect except that the annual claim maintenance fee, if 
        applicable, shall replace applicable assessment requirements 
        and expenditures.
            (5) Failure to pay.--Failure to pay the claim maintenance 
        fee required by paragraph (1) shall conclusively constitute a 
        forfeiture of the unpatented mining claim, mill, or tunnel site 
        by the claimant and the claim shall be considered to be null 
        and void by operation of law.
            (6) Other requirements.--
                    (A) Relation to other law.--Nothing in this section 
                changes or modifies the requirements of subsections (b) 
                or (c) of section 314(b) of the Federal Land Policy and 
                Management Act of 1976 (43 U.S.C. 1744).
                    (B) Conforming amendment.--Section 2324 of the 
                Revised Statutes of the United States (30 U.S.C. 28) is 
                amended by inserting ``or section 12(d)(1) of the 
                Presidential Funding Act of 2007'' after ``Act of 
                1993,''.
    (e) Grazing Fees.--Section 6(a) of the Public Rangelands 
Improvement Act of 1978 (43 U.S.C. 1905) is amended by striking ``the 
$1.23 base'' and all that follows through ``previous year's fee'' and 
inserting ``an amount determined in the same manner as the State in 
which the land is located determines the amount of fees charged for 
public grazing on land owned by the State, as determined by the 
Secretary of Agriculture and the Secretary of the Interior, as 
appropriate''.
    (f) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 13. EFFECTIVE DATE.

    Except as otherwise provided in this Act, the amendments made by 
this Act shall apply with respect to elections occurring after January 
1, 2009.
                                 <all>