[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 3312 Introduced in Senate (IS)]

112th CONGRESS
  2d Session
                                S. 3312

  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

                             June 19, 2012

  Mr. Udall of Colorado introduced the following bill; which was read 
    twice and referred to the Committee on Rules and Administration

_______________________________________________________________________

                                 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''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
                       TITLE I--PRIMARY ELECTIONS

Sec. 101. Increase in and modifications to matching payments.
Sec. 102. Eligibility requirements for matching payments.
Sec. 103. Inflation adjustment for contribution limitations and 
                            matching contributions.
Sec. 104. Repeal of expenditure limitations.
Sec. 105. Period of availability of matching payments.
Sec. 106. Examination and audits of matchable contributions.
Sec. 107. Modification to limitation on contributions for presidential 
                            primary candidates.
                      TITLE II--GENERAL ELECTIONS

Sec. 201. Modification of eligibility requirements for public 
                            financing.
Sec. 202. Repeal of expenditure limitations and use of qualified 
                            campaign contributions.
Sec. 203. Matching payments and other modifications to payment amounts.
Sec. 204. Inflation adjustment for payment amounts and qualified 
                            contributions.
Sec. 205. Increase in limit on coordinated party expenditures.
Sec. 206. Establishment of uniform date for release of payments.
Sec. 207. Amounts in Presidential Election Campaign Fund.
Sec. 208. Use of general election payments for general election legal 
                            and accounting compliance.
                    TITLE III--POLITICAL CONVENTIONS

Sec. 301. Repeal of public financing of party conventions.
Sec. 302. Contributions for political conventions.
Sec. 303. Prohibition on use of soft money.
                       TITLE IV--OTHER PROVISIONS

Sec. 401. Revisions to designation of income tax payments by individual 
                            taxpayers.
Sec. 402. Regulations with respect to best efforts for identifying 
                            persons making contributions.
Sec. 403. Prohibition on joint fundraising committees.
Sec. 404. Disclosure of bundled contributions to presidential 
                            campaigns.
Sec. 405. Judicial review of actions related to campaign finance laws.
                TITLE V--SEVERABILITY AND EFFECTIVE DATE

Sec. 501. Severability.
Sec. 502. Effective date.

                       TITLE I--PRIMARY ELECTIONS

SEC. 101. INCREASE IN AND MODIFICATIONS TO MATCHING PAYMENTS.

    (a) Increase and Modification.--
            (1) In general.--The first sentence of section 9034(a) of 
        the Internal Revenue Code of 1986 is amended--
                    (A) by striking ``an amount equal to the amount of 
                each contribution'' and inserting ``an amount equal to 
                400 percent of the amount of each matchable 
                contribution''; and
                    (B) by striking ``authorized committees'' and all 
                that follows through ``$250'' and inserting 
                ``authorized committees''.
            (2) Matchable contributions.--Section 9034 of such Code is 
        amended--
                    (A) by striking the last sentence of subsection 
                (a); and
                    (B) by inserting after subsection (b) the following 
                new subsection:
    ``(c) Matchable Contribution Defined.--For purposes of this section 
and section 9033(b)--
            ``(1) Matchable contribution.--The term `matchable 
        contribution' means, with respect to the nomination for 
        election to the office of President of the United States, a 
        contribution by an individual to a candidate or an authorized 
        committee of a candidate--
                    ``(A) which does not exceed $200, and
                    ``(B) with respect to which the candidate has 
                certified in writing that--
                            ``(i) the individual making such 
                        contribution has not made aggregate 
                        contributions (including such matchable 
                        contribution) to such candidate and the 
                        authorized committees of such candidate in 
                        excess of $200 with respect to such nomination,
                            ``(ii) such candidate and the authorized 
                        committees of such candidate will not accept 
                        contributions from such individual (including 
                        such matchable contribution) aggregating more 
                        than $200 with respect to such nomination, and
                            ``(iii) such contribution was not--
                                    ``(I) forwarded from the 
                                contributor from any person other than 
                                an individual, or
                                    ``(II) received by the candidate or 
                                committee from a contributor or 
                                contributors, but credited by the 
                                committee or candidate to another 
                                person who is not an individual through 
                                records, designations, or other means 
                                of recognizing that a certain amount of 
                                money has been raised by such person.
            ``(2) Contribution.--For purposes of this subsection, the 
        term `contribution' means a gift of money made by a written 
        instrument which identifies the individual 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).''.
            (3) Conforming amendments.--
                    (A) Section 9032(4) of such Code is amended by 
                striking ``section 9034(a)'' and inserting ``section 
                9034''.
                    (B) Section 9033(b)(3) of such Code is amended by 
                striking ``matching contributions'' and inserting 
                ``matchable contributions''.
    (b) Modification of Payment Limitation.--Section 9034(b) of the 
Internal Revenue Code of 1986 is amended by striking ``shall not 
exceed'' and all that follows and inserting ``shall not exceed 
$100,000,000.''.

SEC. 102. ELIGIBILITY REQUIREMENTS FOR MATCHING PAYMENTS.

    (a) Amount of Aggregate Contributions Per State.--Section 
9033(b)(3) of the Internal Revenue Code of 1986 is amended by striking 
``$5,000'' and inserting ``$25,000''.
    (b) Contribution Limit.--
            (1) In general.--Paragraph (4) of section 9033(b) of such 
        Code is amended to read as follows:
            ``(4) the candidate and the authorized committees of the 
        candidate will not accept aggregate contributions from any 
        person with respect to the nomination for election to the 
        office of President of the United States in excess of 
        $1,000.''.
            (2) Conforming amendments.--
                    (A) Section 9033(b) of such Code is amended by 
                adding at the end the following new flush sentence:
``For purposes of paragraph (4), the term `contribution' has the 
meaning given such term in section 301(8) of the Federal Election 
Campaign Act of 1971.''.
                    (B) Section 9032(4) of such Code, as amended by 
                section 101(a)(3)(A) is amended by inserting ``or 
                9033(b)'' after ``9034''.
    (c) Participation in System for Payments for General Election.--
Section 9033(b) of such Code is amended--
            (1) by striking ``and'' at the end of paragraph (3);
            (2) by striking the period at the end of paragraph (4) and 
        inserting ``, and''; and
            (3) 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.''.

SEC. 103. INFLATION ADJUSTMENT FOR CONTRIBUTION LIMITATIONS AND 
              MATCHING CONTRIBUTIONS.

    Section 9033 of such Code is amended by adding at the end the 
following new subsection:
    ``(d) Inflation Adjustments.--
            ``(1) In general.--In the case of any applicable period 
        beginning after 2012, each of the dollar amounts in paragraphs 
        (3) and (4) of subsection (b), subsection (c), and section 
        9034(b) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year following 
                the year which such applicable period begins, 
                determined by substituting `calendar year 2012' for 
                `calendar year 1992' in subparagraph (B) thereof.
            ``(2) Applicable period.--For purposes of this subsection, 
        the term `applicable period' means the 4-year period beginning 
        with the first day following the date of the last general 
        election for the office of President and ending on the date of 
        the next such general election.
            ``(3) Rounding.--If any amount as adjusted under paragraph 
        (1) is not a multiple of $100, such amount shall be rounded to 
        the nearest multiple of $100.''.

SEC. 104. REPEAL OF EXPENDITURE LIMITATIONS.

    (a) In General.--Subsection (a) of section 9035 of the Internal 
Revenue Code of 1986 is amended to read as follows:
    ``(a) Personal Expenditure Limitation.--No candidate shall 
knowingly make expenditures from his personal funds, or the personal 
funds of his immediate family, in connection with his campaign for 
nomination for election to the office of President in excess of, in the 
aggregate, $50,000.''.
    (b) Conforming Amendment.--Paragraph (1) of section 9033(b) of the 
Internal Revenue Code of 1986 is amended to read as follows:
            ``(1) the candidate will comply with the personal 
        expenditure limitation under section 9035,''.

SEC. 105. PERIOD OF AVAILABILITY OF MATCHING 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. 106. EXAMINATION AND AUDITS OF MATCHABLE CONTRIBUTIONS.

    Section 9038(a) of the Internal Revenue Code of 1986 is amended by 
inserting ``and matchable contributions accepted by'' after ``qualified 
campaign expenses of''.

SEC. 107. MODIFICATION TO LIMITATION ON CONTRIBUTIONS FOR PRESIDENTIAL 
              PRIMARY CANDIDATES.

    Section 315(a)(6) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)(6)) is amended by striking ``calendar year'' and 
inserting ``four-year election cycle''.

                      TITLE II--GENERAL ELECTIONS

SEC. 201. MODIFICATION OF ELIGIBILITY REQUIREMENTS FOR PUBLIC 
              FINANCING.

    Section 9003(a) of the Internal Revenue Code of 1986 is amended to 
read as follows:
    ``(a) In General.--In order to be eligible to receive any payments 
under section 9006, the candidates of a political party in a 
presidential election shall meet the following requirements:
            ``(1) Participation in primary payment system.--The 
        candidate for President received payments under chapter 96 for 
        the campaign for nomination for election to be President.
            ``(2) Agreements with commission.--The candidates, in 
        writing--
                    ``(A) agree to obtain and furnish to the Commission 
                such evidence as it may request of the qualified 
                campaign expenses of such candidates,
                    ``(B) agree to keep and furnish to the Commission 
                such records, books, and other information as it may 
                request, and
                    ``(C) agree to an audit and examination by the 
                Commission under section 9007 and to pay any amounts 
                required to be paid under such section.
            ``(3) Ban on certain contributions and solicitations.--The 
        candidates certify to the Commission, under penalty of perjury, 
        the following:
                    ``(A) Solicitations for joint fundraising 
                committees.--Such candidates and their authorized 
                committees will not, after June 1 of the election year, 
                solicit any funds for any joint fundraising committee 
                that includes any committee of a political party.
                    ``(B) Solicitation for political parties.--Such 
                candidates and their authorized committees will not, 
                after the date described in section 9006(b), solicit 
                any funds for any committee of a political party.
        Such certification shall be made within such time prior to the 
        day of the presidential election as the Commission shall 
        prescribe by rules or regulations.''.

SEC. 202. REPEAL OF EXPENDITURE LIMITATIONS AND USE OF QUALIFIED 
              CAMPAIGN CONTRIBUTIONS.

    (a) Major Parties.--Subsection (b) of section 9003 of the Internal 
Revenue Code of 1986 is amended to read as follows:
    ``(b) Major Parties.--In order to be eligible to receive any 
payments under section 9006, the candidates of a major party in a 
presidential election shall certify to the Commission, under penalty of 
perjury, that--
            ``(1) such candidates and their authorized committees have 
        not and will not accept any contributions to defray qualified 
        campaign expenses other than--
                    ``(A) qualified campaign contributions, and
                    ``(B) contributions to the extent necessary to make 
                up any deficiency payments received out of the fund on 
                account of the application of section 9006(c), and
            ``(2) such candidates and their authorized committees have 
        not and will not accept any contribution to defray expenses 
        which would be qualified campaign expenses but for subparagraph 
        (C) of section 9002(11).
Such certification shall be made at the same time as the certification 
required under subsection (a)(3).''.
    (b) Minor and New Parties.--Subsection (c) of section 9003 of the 
Internal Revenue Code of 1986 is amended to read as follows:
    ``(c) Minor and New Parties.--In order to be eligible to receive 
any payments under section 9006, the candidates of a minor or new party 
in a presidential election shall certify to the Commission, under 
penalty of perjury, that such candidates and their authorized 
committees have not and will not accept any contributions to defray 
qualified campaign expenses other than--
            ``(1) qualified campaign contributions, and
            ``(2) contributions other than qualified campaign 
        contributions to the extent to which--
                    ``(A) the aggregate payments to which such 
                candidates would be entitled under section 9004 if such 
                candidates were candidates of a major party, exceed
                    ``(B) the aggregate payments to which such 
                candidates are entitled to under section 9004.
Such certification shall be made at the same time as the certification 
required under subsection (a)(3).''.
    (c) Definition of Qualified Campaign Contributions.--Section 9002 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new paragraph:
            ``(13) Qualified campaign contribution.--The term 
        `qualified campaign contribution' means, with respect to any 
        election for the office of President of the United States, a 
        contribution from a person to a candidate or an authorized 
        committee of a candidate which--
                    ``(A) is made after June 1 of the year in which the 
                election is held,
                    ``(B) does not exceed $1,000, and
                    ``(C) with respect to which the candidate has 
                certified in writing that--
                            ``(i) the person making such contribution 
                        has not made aggregate contributions (including 
                        such qualified contribution) to such candidate 
                        and the authorized committees of such candidate 
                        in excess of $1,000 with respect to such 
                        election, and
                            ``(ii) such candidate and the authorized 
                        committees of such candidate will not accept 
                        contributions from such person (including such 
                        qualified contribution) aggregating more than 
                        $1,000 with respect to such election.''.
    (d) Conforming Amendments.--
            (1) Repeal of expenditure limits.--
                    (A) Section 315 of the Federal Election Campaign 
                Act of 1971 (2 U.S.C. 441a) is amended by striking 
                subsection (b).
                    (B) Section 315(c) of such Act (2 U.S.C. 441a(c)) 
                is amended--
                            (i) in paragraph (1)(B)(i), by striking ``, 
                        (b)''; and
                            (ii) in paragraph (2)(B)(i), by striking 
                        ``subsections (b) and (d)'' and inserting 
                        ``subsection (d)''.
            (2) Limitation on payments to candidates of minor and new 
        parties.--Paragraph (1) of section 9004(b) of the Internal 
        Revenue Code of 1986 is amended by inserting ``, other than 
        qualified contributions,'' after ``contributions''.
            (3) Repayments.--
                    (A) Section 9007(b) of such Code is amended by 
                striking paragraph (2) and redesignating paragraphs 
                (3), (4), and (5) as paragraphs (2), (3), and (4), 
                respectively.
                    (B) Paragraph (2) of section 9007(b) of such Code, 
                as redesignated by subparagraph (A), is amended by 
                inserting ``qualified contributions and'' after 
                ``contributions (other than''.
            (4) Criminal penalties.--
                    (A) Excess expenses.--Section 9012(a) of the 
                Internal Revenue Code of 1986 is amended by striking 
                the first sentence.
                    (B) Contributions.--
                            (i) Candidates of major parties.--Section 
                        9012(b)(1) of the Internal Revenue Code of 1986 
                        is amended by inserting ``other than qualified 
                        contributions,'' after ``to defray qualified 
                        campaign expenses,''.
                            (ii) Candidates of other parties.--Section 
                        9012(b)(2) of such Code is amended by inserting 
                        ``, other than qualified contributions,'' after 
                        ``contributions''.

SEC. 203. MATCHING PAYMENTS AND OTHER MODIFICATIONS TO PAYMENT AMOUNTS.

    (a) In General.--
            (1) Amount of payments for major party candidates.--
        Subsection (a) of section 9004 of the Internal Revenue Code of 
        1986 is amended to read as follows:
    ``(a) In General.--Subject to the provisions of this chapter--
            ``(1) Major parties.--The eligible candidates of each major 
        party in a presidential election shall be entitled to equal 
        payment under section 9006 in an amount equal to--
                    ``(A) $50,000,000, plus
                    ``(B) an amount equal to 400 percent of the amount 
                of each matchable contribution received by such 
                candidate on or after June 1 of the year of the 
                presidential election, or by his authorized committees.
        The total amount of payments to which a major party candidate 
        is entitled under subparagraph (B) shall not exceed 
        $150,000,000.
            ``(2) Pre-election payments for minor and new parties.--
                    ``(A) Payment based on prior votes received by 
                party.--
                            ``(i) In general.--The eligible candidates 
                        of a minor party in a presidential election 
                        shall be entitled to equal payment under 
                        section 9006 in an amount equal to the sum of--
                                    ``(I) the product of the popular 
                                vote ratio with respect to such minor 
                                party and the amount in effect under 
                                paragraph (1)(A), plus
                                    ``(II) an amount equal to the 
                                applicable percentage of the amount of 
                                each matchable contribution received by 
                                such candidate on or after June 1 of 
                                the year of the presidential election, 
                                or by his authorized committees.
                        The total amount of payments to which such a 
                        candidate is entitled under subclause (II) 
                        shall not exceed the product of the amount in 
                        effect under the last sentence of paragraph 
                        (1)(A) and the popular vote ratio with respect 
                        to such minor party.
                            ``(ii) Popular vote ratio with respect to a 
                        minor party.--For purposes of this 
                        subparagraph, the popular vote ratio with 
                        respect to a minor party is the ratio of the 
                        number of popular votes received by the 
                        candidate for President of the minor party, as 
                        such candidate, in the preceding presidential 
                        election to the average number of popular votes 
                        received by the candidates for President of the 
                        major parties in the preceding presidential 
                        election.
                            ``(iii) Applicable percentage.--For 
                        purposes of subparagraph (A), the applicable 
                        percentage is the product of 400 percent and 
                        the popular vote ratio with respect to such 
                        minor party.
                    ``(B) Payment based on prior votes received by 
                candidate.--
                            ``(i) In general.--If the candidate of one 
                        or more political parties (not including a 
                        major party) for the office of President was a 
                        candidate for such office in the preceding 
                        presidential election and received 5 percent or 
                        more but less than 25 percent of the total 
                        number of popular votes received by all 
                        candidates for such office, such candidate and 
                        his running mate for the office of Vice 
                        President, upon compliance with the provisions 
                        of section 9003(a) and (c), shall be treated as 
                        eligible candidates entitled to payments under 
                        section 9006 in an amount computed as provided 
                        in subparagraph (A), determined by substituting 
                        `the popular vote ratio with respect to such 
                        candidate' for `the popular vote ratio with 
                        respect to such minor party' each place it 
                        appears.
                            ``(ii) Popular vote ratio with respect to a 
                        candidate.--For purposes of this subparagraph, 
                        the popular vote ratio with respect to a 
                        candidate is the ratio of the number of popular 
                        votes received by such candidate for the office 
                        of President in the preceding presidential 
                        election to the average number of popular votes 
                        received by the candidates for President of the 
                        major parties in the preceding presidential 
                        election.
                            ``(iii) Coordination rule.--If eligible 
                        candidates of a minor party are entitled to 
                        payments under this subparagraph, such 
                        entitlement shall be reduced by the amount of 
                        the entitlement allowed under subparagraph (A).
            ``(3) Post-election payments for minor and new parties.--
                    ``(A) In general.--The eligible candidates of a 
                minor party or a new party in a presidential election 
                whose candidate for President in such election 
                receives, as such candidate, 5 percent or more of the 
                total number of popular votes cast for the office of 
                President in such election shall be entitled to 
                payments under section 9006 equal to the sum of--
                            ``(i) the product of the popular vote ratio 
                        with respect to such candidate and the amount 
                        in effect under paragraph (1)(A), plus
                            ``(ii) an amount equal to the applicable 
                        percentage of the amount of each matchable 
                        contribution received by such candidate on or 
                        after June 1 of the year of the presidential 
                        election, or by his authorized committees.
                The total amount of payments to which such a candidate 
                is entitled under clause (ii) shall not exceed the 
                product of the amount in effect under the last sentence 
                of paragraph (1)(A) and the popular vote ratio with 
                respect to such candidate.
                    ``(B) Popular vote ratio with respect to a 
                candidate.--For purposes of this paragraph, the popular 
                vote ratio with respect to a candidate in a 
                presidential election is the ratio of the number of 
                popular votes received by such candidate for the office 
                of President in such election to the average number of 
                popular votes received by the candidates for President 
                of the major parties in such election.
                    ``(C) Applicable percentage.--For purposes of 
                subparagraph (A), the applicable percentage is the 
                product of 400 percent and the popular vote ratio with 
                respect to such candidate.
                    ``(D) Coordination rule.--In the case of eligible 
                candidates entitled to payments under paragraph (2), 
                the amount allowable under this paragraph shall be 
                limited to the amount, if any, by which the entitlement 
                under the preceding sentence exceeds the amount of the 
                entitlement under paragraph (2).''.
            (2) Conforming amendment.--Section 9005(a) is amended by 
        adding at the end the following new sentence: ``The Commission 
        shall make such additional certifications as may be necessary 
        to receive payments under section 9004.''.
    (b) Matchable Contribution.--Section 9002 of such Code, as amended 
by section 202, is amended by adding at the end the following new 
paragraph:
            ``(14) Matchable contribution.--The term `matchable 
        contribution' means, with respect to the election to the office 
        of President of the United States, a contribution by an 
        individual to a candidate or an authorized committee of a 
        candidate--
                    ``(A) which does not exceed $200, and
                    ``(B) with respect to which the candidate has 
                certified in writing that--
                            ``(i) the individual making such 
                        contribution has not made aggregate 
                        contributions (including such matchable 
                        contribution) to such candidate and the 
                        authorized committees of such candidate in 
                        excess of $200 with respect to such election,
                            ``(ii) such candidate and the authorized 
                        committees of such candidate will not accept 
                        contributions from such individual (including 
                        such matchable contribution) aggregating more 
                        than $200 with respect to such election, and
                            ``(iii) such contribution was not--
                                    ``(I) forwarded from the 
                                contributor from any person other than 
                                an individual, or
                                    ``(II) received by the candidate or 
                                committee from a contributor or 
                                contributors, but credited by the 
                                committee or candidate to another 
                                person who is not an individual through 
                                records, designations, or other means 
                                of recognizing that a certain amount of 
                                money has been raised by such 
                                person.''.

SEC. 204. INFLATION ADJUSTMENT FOR PAYMENT AMOUNTS AND QUALIFIED 
              CONTRIBUTIONS.

    Section 9004 of such Code is amended by adding at the end the 
following new subsection:
    ``(f) Inflation Adjustments.--
            ``(1) In general.--In the case of any applicable period 
        beginning after 2016, each of the dollar amounts in subsection 
        (a), section 9002(13), and section 9002(14) shall be increased 
        by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year following 
                the year which such applicable period begins, 
                determined by substituting `calendar year 2016' for 
                `calendar year 1992' in subparagraph (B) thereof.
            ``(2) Applicable period.--For purposes of this subsection, 
        the term `applicable period' means the 4-year period beginning 
        with the first day following the date of the last general 
        election for the office of President and ending on the date of 
        the next such general election.
            ``(3) Rounding.--If any amount as adjusted under paragraph 
        (1) is not a multiple of $100, such amount shall be rounded to 
        the nearest multiple of $100.''.

SEC. 205. INCREASE IN LIMIT ON COORDINATED PARTY EXPENDITURES.

    (a) In General.--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 $50,000,000.
    ``(B) 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.
    ``(C) 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.''.
    (b) 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)), as amended by section 202(d)(1)(B), is amended--
                    (A) in subparagraph (B), by striking ``(d)'' and 
                inserting ``(d)(3)''; and
                    (B) by inserting at the end the following new 
                subparagraph:
    ``(D) In any calendar year after 2016--
            ``(i) the dollar amount in subsection (d)(2) shall be 
        increased by the percent difference determined under 
        subparagraph (A);
            ``(ii) the amount so increased shall remain in effect for 
        the calendar year; and
            ``(iii) if the 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)), as amended by section 202(d)(1)(B), is 
        amended--
                    (A) in clause (i)--
                            (i) by striking ``(d)'' and inserting 
                        ``(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 (d)(2), calendar 
                year 2015.''.

SEC. 206. ESTABLISHMENT OF UNIFORM DATE FOR RELEASE OF PAYMENTS.

    (a) Date for Payments.--
            (1) In general.--Section 9006(b) of the Internal Revenue 
        Code of 1986 is amended to read as follows:
    ``(b) Payments From the Fund.--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 pay to such candidates out of the fund the amount certified by 
the Commission on the later of--
            ``(1) the last Friday occurring before the first Monday in 
        September, or
            ``(2) 24 hours after receiving the certifications for the 
        eligible candidates of all major political parties.
Amounts paid to any such candidates shall be under the control of such 
candidates.''.
            (2) Conforming amendment.--The first sentence of section 
        9006(c) of such Code is amended by striking ``the time of a 
        certification by the Commission under section 9005 for 
        payment'' and inserting ``the time of making a payment under 
        subsection (b)''.
    (b) Time for Certification.--Section 9005(a) of the Internal 
Revenue Code of 1986 is amended by striking ``10 days'' and inserting 
``24 hours''.

SEC. 207. 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 January 1, 2013.

SEC. 208. USE OF GENERAL ELECTION PAYMENTS FOR GENERAL ELECTION LEGAL 
              AND ACCOUNTING COMPLIANCE.

    Section 9002(11) of the Internal Revenue Code of 1986 is amended by 
adding at the end the following new sentence: ``For purposes of 
subparagraph (A), an expense incurred by a candidate or authorized 
committee for general election legal and accounting compliance purposes 
shall be considered to be an expense to further the election of such 
candidate.''.

                    TITLE III--POLITICAL CONVENTIONS

SEC. 301. REPEAL OF PUBLIC FINANCING OF PARTY CONVENTIONS.

    (a) In General.--Chapter 95 of the Internal Revenue Code of 1986 is 
amended by striking section 9008.
    (b) Conforming Amendments.--
            (1) Section 9006(c) of such Code is amended by striking 
        ``section 9008(b)(3)''.
            (2) Section 9009 of such Code is amended by inserting 
        ``and'' at the end of paragraph (3), by striking the semi-colon 
        at the end of paragraph (4) and inserting a period, and by 
        striking paragraphs (5) and (6).
            (3) Section 9012 of such Code, as amended by section 
        202(d)(4), is amended--
                    (A) by striking subsection (a) and redesignating 
                subsections (b) through (f) as subsections (a) through 
                (e), respectively; and
                    (B) in subsection (a), as redesignated by 
                subparagraph (A), by striking paragraph (2) and 
                redesignating paragraph (3) as paragraph (2).
            (4) Section 9037(a) of such Code is amended by striking 
        ``and for payments under section 9008(b)(3)''.

SEC. 302. CONTRIBUTIONS FOR POLITICAL CONVENTIONS.

    (a) Separate Contribution Limitation.--
            (1) Individuals.--
                    (A) In general.--Subsection (a)(1) of section 315 
                of the Federal Election Campaign Act of 1971 (2 U.S.C. 
                441a) is amended by striking ``or'' at the end of 
                subparagraph (C), by striking the period at the end of 
                subparagraph (D) and inserting ``; or'', and by adding 
                at the end the following new subparagraph:
                    ``(E) to the national nominating convention account 
                of political committees established and maintained by a 
                national political party, in any 4-year period ending 
                on the last day of the calendar year beginning on the 
                day after a general election for the office of 
                President which, in the aggregate, exceed the dollar 
                amount in effect under subparagraph (B);''.
                    (B) Conforming amendment.--Subparagraph (B) of 
                section 315(a)(1) of such Act (2 U.S.C. 441a(a)(1)) is 
                amended by inserting ``(other than to the national 
                nominating convention accounts of such political 
                committees which are described in subparagraph (E))'' 
                after ``national political party''.
            (2) Aggregate contribution limitation.--Paragraph (3) of 
        section 315(a) of such Act (2 U.S.C. 441a(a)) is amended by 
        adding at the end the following new flush sentence:
``The dollar amount in subparagraph (B) shall be increased by the 
amount of contributions (not in excess of the dollar amount in effect 
under subparagraph (E)) made to the national nominating convention 
account of a political committee established and maintained by a 
national political party during the period described in the preceding 
sentence.''.
    (b) National Nominating Convention Account.--Subsection (a) of 
section 315 of such Act (2 U.S.C. 441a) is amended by adding at the end 
the following new paragraph:
            ``(9) For purposes of this subsection, the national 
        nomination convention account of any political committees 
        established and maintained by a national political party is a 
        separate account the funds of which may only be used to defray 
        the costs of the national nominating convention of such 
        party.''.

SEC. 303. PROHIBITION ON USE OF SOFT MONEY.

    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 (a) 
or (e) shall not solicit, receive, direct, transfer, or spend any funds 
in connection with a presidential nominating convention of any 
political party, including funds from or 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.''.

                       TITLE IV--OTHER PROVISIONS

SEC. 401. 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 
        2012, 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 2011.''.
    (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 January 1, 2013.

SEC. 402. REGULATIONS WITH RESPECT TO BEST EFFORTS FOR IDENTIFYING 
              PERSONS MAKING CONTRIBUTIONS.

    Not later than 6 months after the date of enactment of this Act, 
the Federal Election Commission shall promulgate regulations with 
respect to what constitutes best efforts under section 302(i) of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 432(i)) for determining 
the identification of persons making contributions to political 
committees, including the identifications of persons making 
contributions over the Internet or by credit card. Such regulations 
shall include a requirement that in the case of contributions made by a 
credit card, the political committee shall ensure that the name on the 
credit card used to make the contribution matches the name of the 
person making the contribution.

SEC. 403. PROHIBITION ON JOINT FUNDRAISING COMMITTEES.

    (a) In General.--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) No authorized committee of a candidate may establish 
        a joint fundraising committee with a political committee other 
        than an authorized committee of a candidate.''.
    (b) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2013.

SEC. 404. 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 2016, 
                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 2015.''.
    (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, 2013.

SEC. 405. JUDICIAL REVIEW OF ACTIONS RELATED TO CAMPAIGN FINANCE LAWS.

    (a) In General.--Title IV of the Federal Election Campaign Act of 
1971 (2 U.S.C. 451 et seq.) is amended by inserting after section 406 
the following new section:

``SEC. 407. JUDICIAL REVIEW.

    ``(a) In General.--If any action is brought for declaratory or 
injunctive relief to challenge the constitutionality of any provision 
of this Act or of chapter 95 or 96 of the Internal Revenue Code of 
1986, or is brought to with respect to any action of the Commission 
under chapter 95 or 96 of the Internal Revenue Code of 1986, the 
following rules shall apply:
            ``(1) The action shall be filed in the United States 
        District Court for the District of Columbia and an appeal from 
        the decision of the district court may be taken to the Court of 
        Appeals for the District of Columbia Circuit.
            ``(2) In the case of an action relating to declaratory or 
        injunctive relief to challenge the constitutionality of a 
        provision--
                    ``(A) a copy of the complaint shall be delivered 
                promptly to the Clerk of the House of Representatives 
                and the Secretary of the Senate; and
                    ``(B) it shall be the duty of the United States 
                District Court for the District of Columbia, the Court 
                of Appeals for the District of Columbia, and the 
                Supreme Court of the United States to advance on the 
                docket and to expedite to the greatest possible extent 
                the disposition of the action and appeal.
    ``(b) Intervention by Members of Congress.--In any action in which 
the constitutionality of any provision of this Act or chapter 95 or 96 
of the Internal Revenue Code of 1986 is raised, any member of the House 
of Representatives (including a Delegate or Resident Commissioner to 
the Congress) or Senate shall have the right to intervene either in 
support of or opposition to the position of a party to the case 
regarding the constitutionality of the provision. To avoid duplication 
of efforts and reduce the burdens placed on the parties to the action, 
the court in any such action may make such orders as it considers 
necessary, including orders to require intervenors taking similar 
positions to file joint papers or to be represented by a single 
attorney at oral argument.
    ``(c) Challenge by Members of Congress.--Any Member of Congress may 
bring an action, subject to the special rules described in subsection 
(a), for declaratory or injunctive relief to challenge the 
constitutionality of any provision of this Act or chapter 95 or 96 of 
the Internal Revenue Code of 1986.''.
    (b) Conforming Amendments.--
            (1) In general.--
                    (A) Section 310 of the Federal Election Campaign 
                Act of 1971 (2 U.S.C. 437h) is repealed.
                    (B) Section 9011 of the Internal Revenue Code of 
                1986 is amended to read as follows:

``SEC. 9011. JUDICIAL REVIEW.

    ``For provisions relating to judicial review of certifications, 
determinations, and actions by the Commission under this chapter, see 
section 407 of the Federal Election Campaign Act of 1971.''.
                    (C) Section 9041 of the Internal Revenue Code of 
                1986 is amended to read as follows:

``SEC. 9041. JUDICIAL REVIEW.

    ``For provisions relating to judicial review of actions by the 
Commission under this chapter, see section 407 of the Federal Election 
Campaign Act of 1971.''.
                    (D) Section 403 of the Bipartisan Campaign Finance 
                Reform Act of 2002 (2 U.S.C. 437h note) is repealed.
    (c) Effective Date.--The amendments made by this section shall 
apply to actions brought on or after January 1, 2013.

                TITLE V--SEVERABILITY AND 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. 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, 2013.
                                 <all>