[Congressional Record Volume 161, Number 92 (Wednesday, June 10, 2015)]
[Senate]
[Pages S4025-S4033]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. DURBIN (for himself, Ms. Baldwin, Mrs. Boxer, Mr. Brown, 
        Mr. Franken, Mrs. Gillibrand, Mr. Heinrich, Ms. Klobuchar, Mr. 
        Leahy, Mr. Markey, Mrs. McCaskill, Mr. Menendez, Mr. Merkley, 
        Mr. Murphy, Mr. Sanders, Mrs. Shaheen, Mr. Udall, and Ms. 
        Warren):
  S. 1538. A bill to reform the financing of Senate elections, and for 
other purposes; to the Committee on Finance.
  Mr. DURBIN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 1538

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

Sec. 1. Short title; table of contents.

     TITLE I--FAIR ELECTIONS FINANCING OF SENATE ELECTION CAMPAIGNS

              Subtitle A--Fair Elections Financing Program

Sec. 101. Findings and declarations.
Sec. 102. Eligibility requirements and benefits of Fair Elections 
              financing of Senate election campaigns.
Sec. 103. Prohibition on joint fundraising committees.
Sec. 104. Exception to limitation on coordinated expenditures by 
              political party committees with participating candidates.

                 TITLE II--IMPROVING VOTER INFORMATION

Sec. 201. Broadcasts relating to all Senate candidates.
Sec. 202. Broadcast rates for participating candidates.
Sec. 203. FCC to prescribe standardized form for reporting candidate 
              campaign ads.

     TITLE III--RESPONSIBILITIES OF THE FEDERAL ELECTION COMMISSION

Sec. 301. Petition for certiorari.
Sec. 302. Filing by Senate candidates with Commission.
Sec. 303. Electronic filing of FEC reports.

            TITLE IV--PARTICIPATION IN FUNDING OF ELECTIONS

Sec. 401. Refundable tax credit for Senate campaign contributions.

                      TITLE V--REVENUE PROVISIONS

Sec. 501. Fair Elections Fund revenue.

                   TITLE VI--MISCELLANEOUS PROVISIONS

Sec. 601. Severability.
Sec. 602. Effective date.

     TITLE I--FAIR ELECTIONS FINANCING OF SENATE ELECTION CAMPAIGNS

              Subtitle A--Fair Elections Financing Program

     SEC. 101. FINDINGS AND DECLARATIONS.

       (a) Undermining of Democracy by Campaign Contributions From 
     Private Sources.--The Senate finds and declares that the 
     current system of privately financed campaigns for election 
     to the United States Senate has the capacity, and is often 
     perceived by the public, to undermine democracy in the United 
     States by--
       (1) creating a culture that fosters actual or perceived 
     conflicts of interest by encouraging Senators to accept large 
     campaign contributions from private interests that are 
     directly affected by Federal legislation;
       (2) diminishing or appearing to diminish Senators' 
     accountability to constituents by compelling legislators to 
     be accountable to the major contributors who finance their 
     election campaigns;
       (3) undermining the meaning of the right to vote by 
     allowing monied interests to have a disproportionate and 
     unfair influence within the political process;
       (4) imposing large, unwarranted costs on taxpayers through 
     legislative and regulatory distortions caused by unequal 
     access to lawmakers for campaign contributors;
       (5) making it difficult for some qualified candidates to 
     mount competitive Senate election campaigns;
       (6) disadvantaging challengers and discouraging competitive 
     elections; and
       (7) burdening incumbents with a preoccupation with 
     fundraising and thus decreasing the time available to carry 
     out their public responsibilities.
       (b) Enhancement of Democracy by Providing Allocations From 
     the Fair Elections Fund.--The Senate finds and declares that 
     providing the option of the replacement of large private 
     campaign contributions with allocations from the Fair 
     Elections Fund for all primary, runoff, and general elections 
     to the Senate would enhance American democracy by--
       (1) reducing the actual or perceived conflicts of interest 
     created by fully private financing of the election campaigns 
     of public officials and restoring public confidence in the 
     integrity and fairness of the electoral and legislative 
     processes through a program which allows participating 
     candidates to adhere to substantially lower contribution 
     limits for contributors with an assurance that there will be 
     sufficient funds for such candidates to run viable electoral 
     campaigns;
       (2) increasing the public's confidence in the 
     accountability of Senators to the constituents who elect 
     them, which derives from the program's qualifying criteria to 
     participate in the voluntary program and the conclusions that 
     constituents may draw regarding candidates who qualify and 
     participate in the program;
       (3) helping to reduce the ability to make large campaign 
     contributions as a determinant of a citizen's influence 
     within the political process by facilitating the expression 
     of support by voters at every level of wealth, encouraging 
     political participation, and incentivizing participation on 
     the part of Senators through the matching of small dollar 
     contributions;
       (4) potentially saving taxpayers billions of dollars that 
     may be (or that are perceived to be) currently allocated 
     based upon legislative and regulatory agendas skewed by the 
     influence of campaign contributions;
       (5) creating genuine opportunities for all Americans to run 
     for the Senate and encouraging more competitive elections;
       (6) encouraging participation in the electoral process by 
     citizens of every level of wealth; and
       (7) freeing Senators from the incessant preoccupation with 
     raising money, and allowing them more time to carry out their 
     public responsibilities.

     SEC. 102. ELIGIBILITY REQUIREMENTS AND BENEFITS OF FAIR 
                   ELECTIONS FINANCING OF SENATE ELECTION 
                   CAMPAIGNS.

       The Federal Election Campaign Act of 1971 (52 U.S.C. 30101 
     et seq.) is amended by adding at the end the following:

    ``TITLE V--FAIR ELECTIONS FINANCING OF SENATE ELECTION CAMPAIGNS

                    ``Subtitle A--General Provisions

     ``SEC. 501. DEFINITIONS.

       ``In this title:
       ``(1) Allocation from the fund.--The term `allocation from 
     the Fund' means an allocation of money from the Fair 
     Elections Fund to a participating candidate pursuant to 
     section 522.
       ``(2) Board.--The term `Board' means the Fair Elections 
     Oversight Board established under section 531.
       ``(3) Fair elections qualifying period.--The term `Fair 
     Elections qualifying period' means, with respect to any 
     candidate for Senator, the period--

[[Page S4026]]

       ``(A) beginning on the date on which the candidate files a 
     statement of intent under section 511(a)(1); and
       ``(B) ending on the date that is 30 days before--
       ``(i) the date of the primary election; or
       ``(ii) in the case of a State that does not hold a primary 
     election, the date prescribed by State law as the last day to 
     qualify for a position on the general election ballot.
       ``(4) Fair elections start date.--The term `Fair Elections 
     start date' means, with respect to any candidate, the date 
     that is 180 days before--
       ``(A) the date of the primary election; or
       ``(B) in the case of a State that does not hold a primary 
     election, the date prescribed by State law as the last day to 
     qualify for a position on the general election ballot.
       ``(5) Fund.--The term `Fund' means the Fair Elections Fund 
     established by section 502.
       ``(6) Immediate family.--The term `immediate family' means, 
     with respect to any candidate--
       ``(A) the candidate's spouse;
       ``(B) a child, stepchild, parent, grandparent, brother, 
     half-brother, sister, or half-sister of the candidate or the 
     candidate's spouse; and
       ``(C) the spouse of any person described in subparagraph 
     (B).
       ``(7) Matching contribution.--The term `matching 
     contribution' means a matching payment provided to a 
     participating candidate for qualified small dollar 
     contributions, as provided under section 523.
       ``(8) Nonparticipating candidate.--The term 
     `nonparticipating candidate' means a candidate for Senator 
     who is not a participating candidate.
       ``(9) Participating candidate.--The term `participating 
     candidate' means a candidate for Senator who is certified 
     under section 515 as being eligible to receive an allocation 
     from the Fund.
       ``(10) Qualifying contribution.--The term `qualifying 
     contribution' means, with respect to a candidate, a 
     contribution that--
       ``(A) is in an amount that is--
       ``(i) not less than the greater of $5 or the amount 
     determined by the Commission under section 531; and
       ``(ii) not more than the greater of $150 or the amount 
     determined by the Commission under section 531;
       ``(B) is made by an individual--
       ``(i) who is a resident of the State in which such 
     candidate is seeking election; and
       ``(ii) who is not otherwise prohibited from making a 
     contribution under this Act;
       ``(C) is made during the Fair Elections qualifying period; 
     and
       ``(D) meets the requirements of section 512(b).
       ``(11) Qualified small dollar contribution.--The term 
     `qualified small dollar contribution' means, with respect to 
     a candidate, any contribution (or series of contributions)--
       ``(A) which is not a qualifying contribution (or does not 
     include a qualifying contribution);
       ``(B) which is made by an individual who is not prohibited 
     from making a contribution under this Act; and
       ``(C) the aggregate amount of which does not exceed the 
     greater of--
       ``(i) $150 per election; or
       ``(ii) the amount per election determined by the Commission 
     under section 531.
       ``(12) Qualifying multicandidate political committee 
     contribution.--
       ``(A) In general.--The term `qualifying multicandidate 
     political committee contribution' means any contribution to a 
     candidate that is made from a qualified account of a 
     multicandidate political committee (within the meaning of 
     section 315(a)(2)).
       ``(B) Qualified account.--For purposes of subparagraph (A), 
     the term `qualified account' means, with respect to a 
     multicandidate political committee, a separate, segregated 
     account of the committee that consists solely of 
     contributions which meet the following requirements:
       ``(i) All contributions to such account are made by 
     individuals who are not prohibited from making contributions 
     under this Act.
       ``(ii) The aggregate amount of contributions from each 
     individual to such account and all other accounts of the 
     political committee do not exceed the amount described in 
     paragraph (11)(C).

     ``SEC. 502. FAIR ELECTIONS FUND.

       ``(a) Establishment.--There is established in the Treasury 
     a fund to be known as the `Fair Elections Fund'.
       ``(b) Amounts Held by Fund.--The Fund shall consist of the 
     following amounts:
       ``(1) Appropriated amounts.--
       ``(A) In general.--Amounts appropriated to the Fund.
       ``(B) Sense of the senate regarding appropriations.--It is 
     the sense of the Senate that--
       ``(i) there should be imposed on any payment made to any 
     person (other than a State or local government or a foreign 
     nation) who has contracts with the Government of the United 
     States in excess of $10,000,000 a tax equal to 0.50 percent 
     of amount paid pursuant to such contracts, except that the 
     aggregate tax for any person for any taxable year shall not 
     exceed $500,000; and
       ``(ii) the revenue from such tax should be appropriated to 
     the Fund.
       ``(2) Voluntary contributions.--Voluntary contributions to 
     the Fund.
       ``(3) Other deposits.--Amounts deposited into the Fund 
     under--
       ``(A) section 513(c) (relating to exceptions to 
     contribution requirements);
       ``(B) section 521(c) (relating to remittance of allocations 
     from the Fund);
       ``(C) section 533 (relating to violations); and
       ``(D) any other section of this Act.
       ``(4) Investment returns.--Interest on, and the proceeds 
     from, the sale or redemption of, any obligations held by the 
     Fund under subsection (c).
       ``(c) Investment.--The Commission shall invest portions of 
     the Fund in obligations of the United States in the same 
     manner as provided under section 9602(b) of the Internal 
     Revenue Code of 1986.
       ``(d) Use of Fund.--
       ``(1) In general.--The sums in the Fund shall be used to 
     provide benefits to participating candidates as provided in 
     subtitle C.
       ``(2) Insufficient amounts.--Under regulations established 
     by the Commission, rules similar to the rules of section 
     9006(c) of the Internal Revenue Code shall apply.

              ``Subtitle B--Eligibility and Certification

     ``SEC. 511. ELIGIBILITY.

       ``(a) In General.--A candidate for Senator is eligible to 
     receive an allocation from the Fund for any election if the 
     candidate meets the following requirements:
       ``(1) The candidate files with the Commission a statement 
     of intent to seek certification as a participating candidate 
     under this title during the period beginning on the Fair 
     Elections start date and ending on the last day of the Fair 
     Elections qualifying period.
       ``(2) The candidate meets the qualifying contribution 
     requirements of section 512.
       ``(3) Not later than the last day of the Fair Elections 
     qualifying period, the candidate files with the Commission an 
     affidavit signed by the candidate and the treasurer of the 
     candidate's principal campaign committee declaring that the 
     candidate--
       ``(A) has complied and, if certified, will comply with the 
     contribution and expenditure requirements of section 513;
       ``(B) if certified, will comply with the debate 
     requirements of section 514;
       ``(C) if certified, will not run as a nonparticipating 
     candidate during such year in any election for the office 
     that such candidate is seeking; and
       ``(D) has either qualified or will take steps to qualify 
     under State law to be on the ballot.
       ``(b) General Election.--Notwithstanding subsection (a), a 
     candidate shall not be eligible to receive an allocation from 
     the Fund for a general election or a general runoff election 
     unless the candidate's party nominated the candidate to be 
     placed on the ballot for the general election or the 
     candidate otherwise qualified to be on the ballot under State 
     law.

     ``SEC. 512. QUALIFYING CONTRIBUTION REQUIREMENT.

       ``(a) In General.--A candidate for Senator meets the 
     requirement of this section if, during the Fair Elections 
     qualifying period, the candidate obtains--
       ``(1) a number of qualifying contributions equal to the 
     greater of--
       ``(A) the sum of--
       ``(i) 2,000; plus
       ``(ii) 500 for each congressional district in the State 
     with respect to which the candidate is seeking election; or
       ``(B) the amount determined by the Commission under section 
     531; and
       ``(2) a total dollar amount of qualifying contributions 
     equal to the greater of--
       ``(A) 10 percent of the amount of the allocation such 
     candidate would be entitled to receive for the primary 
     election under section 522(c)(1) (determined without regard 
     to paragraph (5) thereof) if such candidate were a 
     participating candidate; or
       ``(B) the amount determined by the Commission under section 
     531.
       ``(b) Requirements Relating to Receipt of Qualifying 
     Contribution.--Each qualifying contribution--
       ``(1) may be made by means of a personal check, money 
     order, debit card, credit card, or electronic payment 
     account;
       ``(2) shall be accompanied by a signed statement 
     containing--
       ``(A) the contributor's name and the contributor's address 
     in the State in which the contributor is registered to vote; 
     and
       ``(B) an oath declaring that the contributor--
       ``(i) understands that the purpose of the qualifying 
     contribution is to show support for the candidate so that the 
     candidate may qualify for Fair Elections financing;
       ``(ii) is making the contribution in his or her own name 
     and from his or her own funds;
       ``(iii) has made the contribution willingly; and
       ``(iv) has not received anything of value in return for the 
     contribution; and
       ``(3) shall be acknowledged by a receipt that is sent to 
     the contributor with a copy kept by the candidate for the 
     Commission and a copy kept by the candidate for the election 
     authorities in the State with respect to which the candidate 
     is seeking election.
       ``(c) Verification of Qualifying Contributions.--The 
     Commission shall establish procedures for the auditing and 
     verification of qualifying contributions to ensure that such 
     contributions meet the requirements of this section.

     ``SEC. 513. CONTRIBUTION AND EXPENDITURE REQUIREMENTS.

       ``(a) General Rule.--A candidate for Senator meets the 
     requirements of this section

[[Page S4027]]

     if, during the election cycle of the candidate, the 
     candidate--
       ``(1) except as provided in subsection (b), accepts no 
     contributions other than--
       ``(A) qualifying contributions;
       ``(B) qualified small dollar contributions;
       ``(C) qualifying multicandidate political committee 
     contributions;
       ``(D) allocations from the Fund under section 522;
       ``(E) matching contributions under section 523; and
       ``(F) vouchers provided to the candidate under section 524;
       ``(2) makes no expenditures from any amounts other than 
     from--
       ``(A) qualifying contributions;
       ``(B) qualified small dollar contributions;
       ``(C) qualifying multicandidate political committee 
     contributions;
       ``(D) allocations from the Fund under section 522;
       ``(E) matching contributions under section 523; and
       ``(F) vouchers provided to the candidate under section 524; 
     and
       ``(3) makes no expenditures from personal funds or the 
     funds of any immediate family member (other than funds 
     received through qualified small dollar contributions and 
     qualifying contributions).

     For purposes of this subsection, a payment made by a 
     political party in coordination with a participating 
     candidate shall not be treated as a contribution to or as an 
     expenditure made by the participating candidate.
       ``(b) Contributions for Leadership PACs, etc.--A political 
     committee of a participating candidate which is not an 
     authorized committee of such candidate may accept 
     contributions other than contributions described in 
     subsection (a)(1) from any person if--
       ``(1) the aggregate contributions from such person for any 
     calendar year do not exceed $150; and
       ``(2) no portion of such contributions is disbursed in 
     connection with the campaign of the participating candidate.
       ``(c) Exception.--Notwithstanding subsection (a), a 
     candidate shall not be treated as having failed to meet the 
     requirements of this section if any contributions that are 
     not qualified small dollar contributions, qualifying 
     contributions, qualifying multicandidate political committee 
     contributions, or contributions that meet the requirements of 
     subsection (b) and that are accepted before the date the 
     candidate files a statement of intent under section 511(a)(1) 
     are--
       ``(1) returned to the contributor; or
       ``(2) submitted to the Commission for deposit in the Fund.

     ``SEC. 514. DEBATE REQUIREMENT.

       ``A candidate for Senator meets the requirements of this 
     section if the candidate participates in at least--
       ``(1) 1 public debate before the primary election with 
     other participating candidates and other willing candidates 
     from the same party and seeking the same nomination as such 
     candidate; and
       ``(2) 2 public debates before the general election with 
     other participating candidates and other willing candidates 
     seeking the same office as such candidate.

     ``SEC. 515. CERTIFICATION.

       ``(a) In General.--Not later than 5 days after a candidate 
     for Senator files an affidavit under section 511(a)(3), the 
     Commission shall--
       ``(1) certify whether or not the candidate is a 
     participating candidate; and
       ``(2) notify the candidate of the Commission's 
     determination.
       ``(b) Revocation of Certification.--
       ``(1) In general.--The Commission may revoke a 
     certification under subsection (a) if--
       ``(A) a candidate fails to qualify to appear on the ballot 
     at any time after the date of certification; or
       ``(B) a candidate otherwise fails to comply with the 
     requirements of this title, including any regulatory 
     requirements prescribed by the Commission.
       ``(2) Repayment of benefits.--If certification is revoked 
     under paragraph (1), the candidate shall repay to the Fund an 
     amount equal to the value of benefits received under this 
     title plus interest (at a rate determined by the Commission) 
     on any such amount received.

                         ``Subtitle C--Benefits

     ``SEC. 521. BENEFITS FOR PARTICIPATING CANDIDATES.

       ``(a) In General.--For each election with respect to which 
     a candidate is certified as a participating candidate, such 
     candidate shall be entitled to--
       ``(1) an allocation from the Fund to make or obligate to 
     make expenditures with respect to such election, as provided 
     in section 522;
       ``(2) matching contributions, as provided in section 523; 
     and
       ``(3) for the general election, vouchers for broadcasts of 
     political advertisements, as provided in section 524.
       ``(b) Restriction on Uses of Allocations From the Fund.--
     Allocations from the Fund received by a participating 
     candidate under section 522 and matching contributions under 
     section 523 may only be used for campaign-related costs.
       ``(c) Remitting Allocations From the Fund.--
       ``(1) In general.--Not later than the date that is 45 days 
     after an election in which the participating candidate 
     appeared on the ballot, such participating candidate shall 
     remit to the Commission for deposit in the Fund an amount 
     equal to the lesser of--
       ``(A) the amount of money in the candidate's campaign 
     account; or
       ``(B) the sum of the allocations from the Fund received by 
     the candidate under section 522 and the matching 
     contributions received by the candidate under section 523.
       ``(2) Exception.--In the case of a candidate who qualifies 
     to be on the ballot for a primary runoff election, a general 
     election, or a general runoff election, the amounts described 
     in paragraph (1) may be retained by the candidate and used in 
     such subsequent election.

     ``SEC. 522. ALLOCATIONS FROM THE FUND.

       ``(a) In General.--The Commission shall make allocations 
     from the Fund under section 521(a)(1) to a participating 
     candidate--
       ``(1) in the case of amounts provided under subsection 
     (c)(1), not later than 48 hours after the date on which such 
     candidate is certified as a participating candidate under 
     section 515;
       ``(2) in the case of a general election, not later than 48 
     hours after--
       ``(A) the date of the certification of the results of the 
     primary election or the primary runoff election; or
       ``(B) in any case in which there is no primary election, 
     the date the candidate qualifies to be placed on the ballot; 
     and
       ``(3) in the case of a primary runoff election or a general 
     runoff election, not later than 48 hours after the 
     certification of the results of the primary election or the 
     general election, as the case may be.
       ``(b) Method of Payment.--The Commission shall distribute 
     funds available to participating candidates under this 
     section through the use of an electronic funds exchange or a 
     debit card.
       ``(c) Amounts.--
       ``(1) Primary election allocation; initial allocation.--
     Except as provided in paragraph (5), the Commission shall 
     make an allocation from the Fund for a primary election to a 
     participating candidate in an amount equal to 67 percent of 
     the base amount with respect to such participating candidate.
       ``(2) Primary runoff election allocation.--The Commission 
     shall make an allocation from the Fund for a primary runoff 
     election to a participating candidate in an amount equal to 
     25 percent of the amount the participating candidate was 
     eligible to receive under this section for the primary 
     election.
       ``(3) General election allocation.--Except as provided in 
     paragraph (5), the Commission shall make an allocation from 
     the Fund for a general election to a participating candidate 
     in an amount equal to the base amount with respect to such 
     candidate.
       ``(4) General runoff election allocation.--The Commission 
     shall make an allocation from the Fund for a general runoff 
     election to a participating candidate in an amount equal to 
     25 percent of the base amount with respect to such candidate.
       ``(5) Uncontested elections.--
       ``(A) In general.--In the case of a primary or general 
     election that is an uncontested election, the Commission 
     shall make an allocation from the Fund to a participating 
     candidate for such election in an amount equal to 25 percent 
     of the allocation which such candidate would be entitled to 
     under this section for such election if this paragraph did 
     not apply.
       ``(B) Uncontested election defined.--For purposes of this 
     subparagraph, an election is uncontested if not more than 1 
     candidate has campaign funds (including payments from the 
     Fund) in an amount equal to or greater than 10 percent of the 
     allocation a participating candidate would be entitled to 
     receive under this section for such election if this 
     paragraph did not apply.
       ``(d) Base Amount.--
       ``(1) In general.--Except as otherwise provided in this 
     subsection, the base amount for any candidate is an amount 
     equal to the greater of--
       ``(A) the sum of--
       ``(i) $750,000; plus
       ``(ii) $150,000 for each congressional district in the 
     State with respect to which the candidate is seeking 
     election; or
       ``(B) the amount determined by the Commission under section 
     531.
       ``(2) Indexing.--In each even-numbered year after 2019--
       ``(A) each dollar amount under paragraph (1)(A) shall be 
     increased by the percent difference between the price index 
     (as defined in section 315(c)(2)(A)) for the 12 months 
     preceding the beginning of such calendar year and the price 
     index for calendar year 2018;
       ``(B) each dollar amount so increased shall remain in 
     effect for the 2-year period beginning on the first day 
     following the date of the last general election in the year 
     preceding the year in which the amount is increased and 
     ending on the date of the next general election; and
       ``(C) if any amount after adjustment under subparagraph (A) 
     is not a multiple of $100, such amount shall be rounded to 
     the nearest multiple of $100.

     ``SEC. 523. MATCHING PAYMENTS FOR QUALIFIED SMALL DOLLAR 
                   CONTRIBUTIONS.

       ``(a) In General.--The Commission shall pay to each 
     participating candidate an amount equal to 600 percent of the 
     amount of qualified small dollar contributions received by 
     the candidate from individuals who are residents of the State 
     in which such participating candidate is seeking election 
     after the date on which such candidate is certified under 
     section 515.

[[Page S4028]]

       ``(b) Limitation.--The aggregate payments under subsection 
     (a) with respect to any candidate shall not exceed the 
     greater of--
       ``(1) 400 percent of the allocation such candidate is 
     entitled to receive for such election under section 522 
     (determined without regard to subsection (c)(5) thereof); or
       ``(2) the percentage of such allocation determined by the 
     Commission under section 531.
       ``(c) Time of Payment.--The Commission shall make payments 
     under this section not later than 2 business days after the 
     receipt of a report made under subsection (d).
       ``(d) Reports.--
       ``(1) In general.--Each participating candidate shall file 
     reports of receipts of qualified small dollar contributions 
     at such times and in such manner as the Commission may by 
     regulations prescribe.
       ``(2) Contents of reports.--Each report under this 
     subsection shall disclose--
       ``(A) the amount of each qualified small dollar 
     contribution received by the candidate;
       ``(B) the amount of each qualified small dollar 
     contribution received by the candidate from a resident of the 
     State in which the candidate is seeking election; and
       ``(C) the name, address, and occupation of each individual 
     who made a qualified small dollar contribution to the 
     candidate.
       ``(3) Frequency of reports.--Reports under this subsection 
     shall be made no more frequently than--
       ``(A) once every month until the date that is 90 days 
     before the date of the election;
       ``(B) once every week after the period described in 
     subparagraph (A) and until the date that is 21 days before 
     the election; and
       ``(C) once every day after the period described in 
     subparagraph (B).
       ``(4) Limitation on regulations.--The Commission may not 
     prescribe any regulations with respect to reporting under 
     this subsection with respect to any election after the date 
     that is 180 days before the date of such election.
       ``(e) Appeals.--The Commission shall provide a written 
     explanation with respect to any denial of any payment under 
     this section and shall provide the opportunity for review and 
     reconsideration within 5 business days of such denial.

     ``SEC. 524. POLITICAL ADVERTISING VOUCHERS.

       ``(a) In General.--The Commission shall establish and 
     administer a voucher program for the purchase of airtime on 
     broadcasting stations for political advertisements in 
     accordance with the provisions of this section.
       ``(b) Candidates.--The Commission shall only disburse 
     vouchers under the program established under subsection (a) 
     to participants certified pursuant to section 515 who have 
     agreed in writing to keep and furnish to the Commission such 
     records, books, and other information as it may require.
       ``(c) Amounts.--The Commission shall disburse vouchers to 
     each candidate certified under subsection (b) in an aggregate 
     amount equal to the greater of--
       ``(1) $100,000 multiplied by the number of congressional 
     districts in the State with respect to which such candidate 
     is running for office; or
       ``(2) the amount determined by the Commission under section 
     531.
       ``(d) Use.--
       ``(1) Exclusive use.--Vouchers disbursed by the Commission 
     under this section may be used only for the purchase of 
     broadcast airtime for political advertisements relating to a 
     general election for the office of Senate by the 
     participating candidate to which the vouchers were disbursed, 
     except that--
       ``(A) a candidate may exchange vouchers with a political 
     party under paragraph (2); and
       ``(B) a political party may use vouchers only to purchase 
     broadcast airtime for political advertisements for generic 
     party advertising (as defined by the Commission in 
     regulations), to support candidates for State or local office 
     in a general election, or to support participating candidates 
     of the party in a general election for Federal office, but 
     only if it discloses the value of the voucher used as an 
     expenditure under section 315(d).
       ``(2) Exchange with political party committee.--
       ``(A) In general.--A participating candidate who receives a 
     voucher under this section may transfer the right to use all 
     or a portion of the value of the voucher to a committee of 
     the political party of which the individual is a candidate 
     (or, in the case of a participating candidate who is not a 
     member of any political party, to a committee of the 
     political party of that candidate's choice) in exchange for 
     money in an amount equal to the cash value of the voucher or 
     portion exchanged.
       ``(B) Continuation of candidate obligations.--The transfer 
     of a voucher, in whole or in part, to a political party 
     committee under this paragraph does not release the candidate 
     from any obligation under the agreement made under subsection 
     (b) or otherwise modify that agreement or its application to 
     that candidate.
       ``(C) Party committee obligations.--Any political party 
     committee to which a voucher or portion thereof is 
     transferred under subparagraph (A)--
       ``(i) shall account fully, in accordance with such 
     requirements as the Commission may establish, for the receipt 
     of the voucher; and
       ``(ii) may not use the transferred voucher or portion 
     thereof for any purpose other than a purpose described in 
     paragraph (1)(B).
       ``(D) Voucher as a contribution under feca.--If a candidate 
     transfers a voucher or any portion thereof to a political 
     party committee under subparagraph (A)--
       ``(i) the value of the voucher or portion thereof 
     transferred shall be treated as a contribution from the 
     candidate to the committee, and from the committee to the 
     candidate, for purposes of sections 302 and 304;
       ``(ii) the committee may, in exchange, provide to the 
     candidate only funds subject to the prohibitions, 
     limitations, and reporting requirements of title III of this 
     Act; and
       ``(iii) the amount, if identified as a `voucher exchange', 
     shall not be considered a contribution for the purposes of 
     sections 315 and 513.
       ``(e) Value; Acceptance; Redemption.--
       ``(1) Voucher.--Each voucher disbursed by the Commission 
     under this section shall have a value in dollars, redeemable 
     upon presentation to the Commission, together with such 
     documentation and other information as the Commission may 
     require, for the purchase of broadcast airtime for political 
     advertisements in accordance with this section.
       ``(2) Acceptance.--A broadcasting station shall accept 
     vouchers in payment for the purchase of broadcast airtime for 
     political advertisements in accordance with this section.
       ``(3) Redemption.--The Commission shall redeem vouchers 
     accepted by broadcasting stations under paragraph (2) upon 
     presentation, subject to such documentation, verification, 
     accounting, and application requirements as the Commission 
     may impose to ensure the accuracy and integrity of the 
     voucher redemption system.
       ``(4) Expiration.--
       ``(A) Candidates.--A voucher may only be used to pay for 
     broadcast airtime for political advertisements to be 
     broadcast before midnight on the day before the date of the 
     Federal election in connection with which it was issued and 
     shall be null and void for any other use or purpose.
       ``(B) Exception for political party committees.--A voucher 
     held by a political party committee may be used to pay for 
     broadcast airtime for political advertisements to be 
     broadcast before midnight on December 31st of the odd-
     numbered year following the year in which the voucher was 
     issued by the Commission.
       ``(5) Voucher as expenditure under feca.--The use of a 
     voucher to purchase broadcast airtime constitutes an 
     expenditure as defined in section 301(9)(A).
       ``(f) Definitions.--In this section:
       ``(1) Broadcasting station.--The term `broadcasting 
     station' has the meaning given that term by section 315(f)(1) 
     of the Communications Act of 1934.
       ``(2) Political party.--The term `political party' means a 
     major party or a minor party as defined in section 9002 (3) 
     or (4) of the Internal Revenue Code of 1986 (26 U.S.C. 9002 
     (3) or (4)).

                ``Subtitle D--Administrative Provisions

     ``SEC. 531. FAIR ELECTIONS OVERSIGHT BOARD.

       ``(a) Establishment.--There is established within the 
     Federal Election Commission an entity to be known as the 
     `Fair Elections Oversight Board'.
       ``(b) Structure and Membership.--
       ``(1) In general.--The Board shall be composed of 5 members 
     appointed by the President by and with the advice and consent 
     of the Senate, of whom--
       ``(A) 2 shall be appointed after consultation with the 
     majority leader of the Senate;
       ``(B) 2 shall be appointed after consultation with the 
     minority leader of the Senate; and
       ``(C) 1 shall be appointed upon the recommendation of the 
     members appointed under subparagraphs (A) and (B).
       ``(2) Qualifications.--
       ``(A) In general.--The members shall be individuals who are 
     nonpartisan and, by reason of their education, experience, 
     and attainments, exceptionally qualified to perform the 
     duties of members of the Board.
       ``(B) Prohibition.--No member of the Board may be--
       ``(i) an employee of the Federal Government;
       ``(ii) a registered lobbyist; or
       ``(iii) an officer or employee of a political party or 
     political campaign.
       ``(3) Date.--Members of the Board shall be appointed not 
     later than 60 days after the date of the enactment of this 
     Act.
       ``(4) Terms.--A member of the Board shall be appointed for 
     a term of 5 years.
       ``(5) Vacancies.--A vacancy on the Board shall be filled 
     not later than 30 calendar days after the date on which the 
     Board is given notice of the vacancy, in the same manner as 
     the original appointment. The individual appointed to fill 
     the vacancy shall serve only for the unexpired portion of the 
     term for which the individual's predecessor was appointed.
       ``(6) Chairperson.--The Board shall designate a Chairperson 
     from among the members of the Board.
       ``(c) Duties and Powers.--
       ``(1) Administration.--
       ``(A) In general.--The Board shall have such duties and 
     powers as the Commission may prescribe, including the power 
     to administer the provisions of this title.
       ``(2) Review of fair elections financing.--
       ``(A) In general.--After each general election for Federal 
     office, the Board shall conduct a comprehensive review of the 
     Fair Elections financing program under this title, 
     including--
       ``(i) the maximum dollar amount of qualified small dollar 
     contributions under section 501(11);

[[Page S4029]]

       ``(ii) the maximum and minimum dollar amounts for 
     qualifying contributions under section 501(10);
       ``(iii) the number and value of qualifying contributions a 
     candidate is required to obtain under section 512 to qualify 
     for allocations from the Fund;
       ``(iv) the amount of allocations from the Fund that 
     candidates may receive under section 522;
       ``(v) the maximum amount of matching contributions a 
     candidate may receive under section 523;
       ``(vi) the amount and usage of vouchers under section 524;
       ``(vii) the overall satisfaction of participating 
     candidates and the American public with the program; and
       ``(viii) such other matters relating to financing of Senate 
     campaigns as the Board determines are appropriate.
       ``(B) Criteria for review.--In conducting the review under 
     subparagraph (A), the Board shall consider the following:
       ``(i) Qualifying contributions and qualified small dollar 
     contributions.--The Board shall consider whether the number 
     and dollar amount of qualifying contributions required and 
     maximum dollar amount for such qualifying contributions and 
     qualified small dollar contributions strikes a balance 
     regarding the importance of voter involvement, the need to 
     assure adequate incentives for participating, and fiscal 
     responsibility, taking into consideration the number of 
     primary and general election participating candidates, the 
     electoral performance of those candidates, program cost, and 
     any other information the Board determines is appropriate.
       ``(ii) Review of program benefits.--The Board shall 
     consider whether the totality of the amount of funds allowed 
     to be raised by participating candidates (including through 
     qualifying contributions and small dollar contributions), 
     allocations from the Fund under section 522, matching 
     contributions under section 523, and vouchers under section 
     524 are sufficient for voters in each State to learn about 
     the candidates to cast an informed vote, taking into account 
     the historic amount of spending by winning candidates, media 
     costs, primary election dates, and any other information the 
     Board determines is appropriate.
       ``(C) Adjustment of amounts.--
       ``(i) In general.--Based on the review conducted under 
     subparagraph (A), the Board shall provide for the adjustments 
     of the following amounts:

       ``(I) the maximum dollar amount of qualified small dollar 
     contributions under section 501(11)(C);
       ``(II) the maximum and minimum dollar amounts for 
     qualifying contributions under section 501(10)(A);
       ``(III) the number and value of qualifying contributions a 
     candidate is required to obtain under section 512(a)(1);
       ``(IV) the base amount for candidates under section 522(d);
       ``(V) the maximum amount of matching contributions a 
     candidate may receive under section 523(b); and
       ``(VI) the dollar amount for vouchers under section 524(c).

       ``(ii) Regulations.--The Commission shall promulgate 
     regulations providing for the adjustments made by the Board 
     under clause (i).
       ``(D) Report.--Not later than March 30 following any 
     general election for Federal office, the Board shall submit a 
     report to Congress on the review conducted under paragraph 
     (1). Such report shall contain a detailed statement of the 
     findings, conclusions, and recommendations of the Board based 
     on such review.
       ``(d) Meetings and Hearings.--
       ``(1) Meetings.--The Board may hold such hearings, sit and 
     act at such times and places, take such testimony, and 
     receive such evidence as the Board considers advisable to 
     carry out the purposes of this Act.
       ``(2) Quorum.--Three members of the Board shall constitute 
     a quorum for purposes of voting, but a quorum is not required 
     for members to meet and hold hearings.
       ``(e) Reports.--Not later than March 30, 2018, and every 2 
     years thereafter, the Board shall submit to the Senate 
     Committee on Rules and Administration a report documenting, 
     evaluating, and making recommendations relating to the 
     administrative implementation and enforcement of the 
     provisions of this title.
       ``(f) Administration.--
       ``(1) Compensation of members.--
       ``(A) In general.--Each member, other than the Chairperson, 
     shall be paid at a rate equal to the daily equivalent of the 
     minimum annual rate of basic pay prescribed for level IV of 
     the Executive Schedule under section 5315 of title 5, United 
     States Code.
       ``(B) Chairperson.--The Chairperson shall be paid at a rate 
     equal to the daily equivalent of the minimum annual rate of 
     basic pay prescribed for level III of the Executive Schedule 
     under section 5314 of title 5, United States Code.
       ``(2) Personnel.--
       ``(A) Director.--The Board shall have a staff headed by an 
     Executive Director. The Executive Director shall be paid at a 
     rate equivalent to a rate established for the Senior 
     Executive Service under section 5382 of title 5, United 
     States Code.
       ``(B) Staff appointment.--With the approval of the 
     Chairperson, the Executive Director may appoint such 
     personnel as the Executive Director and the Board determines 
     to be appropriate.
       ``(C) Actuarial experts and consultants.--With the approval 
     of the Chairperson, the Executive Director may procure 
     temporary and intermittent services under section 3109(b) of 
     title 5, United States Code.
       ``(D) Detail of government employees.--Upon the request of 
     the Chairperson, the head of any Federal agency may detail, 
     without reimbursement, any of the personnel of such agency to 
     the Board to assist in carrying out the duties of the Board. 
     Any such detail shall not interrupt or otherwise affect the 
     civil service status or privileges of the Federal employee.
       ``(E) Other resources.--The Board shall have reasonable 
     access to materials, resources, statistical data, and other 
     information from the Library of Congress and other agencies 
     of the executive and legislative branches of the Federal 
     Government. The Chairperson of the Board shall make requests 
     for such access in writing when necessary.
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated such sums as are necessary to 
     carry out the purposes of this subtitle.

     ``SEC. 532. ADMINISTRATION PROVISIONS.

       ``The Commission shall prescribe regulations to carry out 
     the purposes of this title, including regulations--
       ``(1) to establish procedures for--
       ``(A) verifying the amount of valid qualifying 
     contributions with respect to a candidate;
       ``(B) effectively and efficiently monitoring and enforcing 
     the limits on the raising of qualified small dollar 
     contributions;
       ``(C) monitoring the raising of qualifying multicandidate 
     political committee contributions through effectively and 
     efficiently monitoring and enforcing the limits on individual 
     contributions to qualified accounts of multicandidate 
     political committees;
       ``(D) effectively and efficiently monitoring and enforcing 
     the limits on the use of personal funds by participating 
     candidates;
       ``(E) monitoring the use of allocations from the Fund and 
     matching contributions under this title through audits or 
     other mechanisms; and
       ``(F) the administration of the voucher program under 
     section 524; and
       ``(2) regarding the conduct of debates in a manner 
     consistent with the best practices of States that provide 
     public financing for elections.

     ``SEC. 533. VIOLATIONS AND PENALTIES.

       ``(a) Civil Penalty for Violation of Contribution and 
     Expenditure Requirements.--If a candidate who has been 
     certified as a participating candidate under section 515(a) 
     accepts a contribution or makes an expenditure that is 
     prohibited under section 513, the Commission shall assess a 
     civil penalty against the candidate in an amount that is not 
     more than 3 times the amount of the contribution or 
     expenditure. Any amounts collected under this subsection 
     shall be deposited into the Fund.
       ``(b) Repayment for Improper Use of Fair Elections Fund.--
       ``(1) In general.--If the Commission determines that any 
     benefit made available to a participating candidate under 
     this title was not used as provided for in this title or that 
     a participating candidate has violated any of the dates for 
     remission of funds contained in this title, the Commission 
     shall so notify the candidate and the candidate shall pay to 
     the Fund an amount equal to--
       ``(A) the amount of benefits so used or not remitted, as 
     appropriate; and
       ``(B) interest on any such amounts (at a rate determined by 
     the Commission).
       ``(2) Other action not precluded.--Any action by the 
     Commission in accordance with this subsection shall not 
     preclude enforcement proceedings by the Commission in 
     accordance with section 309(a), including a referral by the 
     Commission to the Attorney General in the case of an apparent 
     knowing and willful violation of this title.''.

     SEC. 103. PROHIBITION ON JOINT FUNDRAISING COMMITTEES.

       Section 302(e) of the Federal Election Campaign Act of 1971 
     (52 U.S.C. 30102(e)) is amended by adding at the end the 
     following new paragraph:
       ``(6) No authorized committee of a participating candidate 
     (as defined in section 501) may establish a joint fundraising 
     committee with a political committee other than an authorized 
     committee of a candidate.''.

     SEC. 104. EXCEPTION TO LIMITATION ON COORDINATED EXPENDITURES 
                   BY POLITICAL PARTY COMMITTEES WITH 
                   PARTICIPATING CANDIDATES.

       Section 315(d) of the Federal Election Campaign Act of 1971 
     (52 U.S.C. 30116(d)) is amended--
       (1) in paragraph (3)(A), by striking ``in the case of'' and 
     inserting ``except as provided in paragraph (5), in the case 
     of''; and
       (2) by adding at the end the following new paragraph:
       ``(6)(A) The limitation under paragraph (3)(A) shall not 
     apply with respect to any expenditure from a qualified 
     political party-participating candidate coordinated 
     expenditure fund.
       ``(B) In this paragraph, the term `qualified political 
     party-participating candidate coordinated expenditure fund' 
     means a fund established by the national committee of a 
     political party, or a State committee of a political party, 
     including any subordinate committee of a State committee, for 
     purposes of making expenditures in connection with the 
     general election campaign of a candidate for election to the 
     office of Senator who is a participating candidate (as 
     defined in section

[[Page S4030]]

     501), that only accepts qualified coordinated expenditure 
     contributions.
       ``(C) In this paragraph, the term `qualified coordinated 
     expenditure contribution' means, with respect to the general 
     election campaign of a candidate for election to the office 
     of Senator who is a participating candidate (as defined in 
     section 501), any contribution (or series of contributions)--
       ``(i) which is made by an individual who is not prohibited 
     from making a contribution under this Act; and
       ``(ii) the aggregate amount of which does not exceed $500 
     per election.''.

                 TITLE II--IMPROVING VOTER INFORMATION

     SEC. 201. BROADCASTS RELATING TO ALL SENATE CANDIDATES.

       (a) Lowest Unit Charge; National Committees.--Section 
     315(b)(1) of the Communications Act of 1934 (47 U.S.C. 
     315(b)(1)) is amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``to such office'' and inserting the following: ``to such 
     office, or by a national committee of a political party on 
     behalf of such candidate in connection with such campaign,''; 
     and
       (2) in subparagraph (A), by inserting ``for preemptible use 
     thereof'' after ``station''.
       (b) Preemption; Audits.--Section 315 of the Communications 
     Act of 1934 (47 U.S.C. 315) is amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (f) and (g), respectively and moving them to follow the 
     existing subsection (e);
       (2) by redesignating the existing subsection (e) as 
     subsection (c); and
       (3) by inserting after subsection (c) (as redesignated by 
     paragraph (2)) the following:
       ``(d) Preemption.--
       ``(1) In general.--Except as provided in paragraph (2), and 
     notwithstanding the requirements of subsection (b)(1)(A), a 
     licensee shall not preempt the use of a broadcasting station 
     by a legally qualified candidate for Senate who has purchased 
     and paid for such use.
       ``(2) Circumstances beyond control of licensee.--If a 
     program to be broadcast by a broadcasting station is 
     preempted because of circumstances beyond the control of the 
     station, any candidate or party advertising spot scheduled to 
     be broadcast during that program shall be treated in the same 
     fashion as a comparable commercial advertising spot.
       ``(e) Audits.--During the 30-day period preceding a primary 
     election and the 60-day period preceding a general election, 
     the Commission shall conduct such audits as it deems 
     necessary to ensure that each broadcaster to which this 
     section applies is allocating television broadcast 
     advertising time in accordance with this section and section 
     312.''.
       (c) Revocation of License for Failure To Permit Access.--
     Section 312(a)(7) of the Communications Act of 1934 (47 
     U.S.C. 312(a)(7)) is amended--
       (1) by striking ``or repeated'';
       (2) by inserting ``or cable system'' after ``broadcasting 
     station''; and
       (3) by striking ``his candidacy'' and inserting ``the 
     candidacy of the candidate, under the same terms, conditions, 
     and business practices as apply to the most favored 
     advertiser of the licensee''.
       (d) Technical and Conforming Amendments.--Section 315 of 
     the Communications Act of 1934 (47 U.S.C. 315) is amended--
       (1) in subsection (f), as redesignated by subsection 
     (b)(1)--
       (A) in the matter preceding paragraph (1), by striking 
     ``For purposes of this section--'' and inserting the 
     following: ``Definitions.--For purposes of this section:'';
       (B) in paragraph (1)--
       (i) by striking ``the term'' and inserting ``Broadcasting 
     station.--The term''; and
       (ii) by striking ``; and'' and inserting a period; and
       (C) in paragraph (2), by striking ``the terms'' and 
     inserting ``Licensee; station licensee.--The terms''; and
       (2) in subsection (g), as redesignated by subsection 
     (b)(1), by striking ``The Commission'' and inserting 
     ``Regulations.--The Commission''.

     SEC. 202. BROADCAST RATES FOR PARTICIPATING CANDIDATES.

       Section 315(b) of the Communications Act of 1934 (47 U.S.C. 
     315(b)), as amended by section 201, is amended--
       (1) in paragraph (1)(A), by striking ``paragraph (2)'' and 
     inserting ``paragraphs (2) and (3)''; and
       (2) by adding at the end the following:
       ``(3) Participating candidates.--In the case of a 
     participating candidate (as defined in section 501(9) of the 
     Federal Election Campaign Act of 1971), the charges made for 
     the use of any broadcasting station for a television 
     broadcast shall not exceed 80 percent of the lowest charge 
     described in paragraph (1)(A) during--
       ``(A) the 45 days preceding the date of a primary or 
     primary runoff election in which the candidate is opposed; 
     and
       ``(B) the 60 days preceding the date of a general or 
     special election in which the candidate is opposed.
       ``(4) Rate cards.--A licensee shall provide to a candidate 
     for Senate a rate card that discloses--
       ``(A) the rate charged under this subsection; and
       ``(B) the method that the licensee uses to determine the 
     rate charged under this subsection.''.

     SEC. 203. FCC TO PRESCRIBE STANDARDIZED FORM FOR REPORTING 
                   CANDIDATE CAMPAIGN ADS.

       (a) In General.--Not later than 90 days after the date of 
     enactment of this Act, the Federal Communications Commission 
     shall initiate a rulemaking proceeding to establish a 
     standardized form to be used by each broadcasting station, as 
     defined in section 315(f) of the Communications Act of 1934 
     (47 U.S.C. 315(f)) (as redesignated by section 201(b)(1)), to 
     record and report the purchase of advertising time by or on 
     behalf of a candidate for nomination for election, or for 
     election, to Federal elective office.
       (b) Contents.--The form prescribed by the Commission under 
     subsection (a) shall require a broadcasting station to report 
     to the Commission and to the Federal Election Commission, at 
     a minimum--
       (1) the station call letters and mailing address;
       (2) the name and telephone number of the station's sales 
     manager (or individual with responsibility for advertising 
     sales);
       (3) the name of the candidate who purchased the advertising 
     time, or on whose behalf the advertising time was purchased, 
     and the Federal elective office for which he or she is a 
     candidate;
       (4) the name, mailing address, and telephone number of the 
     person responsible for purchasing broadcast political 
     advertising for the candidate;
       (5) notation as to whether the purchase agreement for which 
     the information is being reported is a draft or final 
     version; and
       (6) with respect to the advertisement--
       (A) the date and time of the broadcast;
       (B) the program in which the advertisement was broadcast; 
     and
       (C) the length of the broadcast airtime.
       (c) Internet Access.--In its rulemaking under subsection 
     (a), the Commission shall require any broadcasting station 
     required to file a report under this section that maintains 
     an Internet website to make available a link to each such 
     report on that website.

     TITLE III--RESPONSIBILITIES OF THE FEDERAL ELECTION COMMISSION

     SEC. 301. PETITION FOR CERTIORARI.

       Section 307(a)(6) of the Federal Election Campaign Act of 
     1971 (52 U.S.C. 30107(a)(6)) is amended by inserting 
     ``(including a proceeding before the Supreme Court on 
     certiorari)'' after ``appeal''.

     SEC. 302. FILING BY SENATE CANDIDATES WITH COMMISSION.

       Section 302(g) of the Federal Election Campaign Act of 1971 
     (52 U.S.C. 30102(g)) is amended to read as follows:
       ``(g) Filing With the Commission.--All designations, 
     statements, and reports required to be filed under this Act 
     shall be filed with the Commission.''.

     SEC. 303. ELECTRONIC FILING OF FEC REPORTS.

       Section 304(a)(11) of the Federal Election Campaign Act of 
     1971 (52 U.S.C. 30104(a)(11)) is amended--
       (1) in subparagraph (A), by striking ``under this Act--'' 
     and all that follows and inserting ``under this Act shall be 
     required to maintain and file such designation, statement, or 
     report in electronic form accessible by computers.'';
       (2) in subparagraph (B), by striking ``48 hours'' and all 
     that follows through ``filed electronically)'' and inserting 
     ``24 hours''; and
       (3) by striking subparagraph (D).

            TITLE IV--PARTICIPATION IN FUNDING OF ELECTIONS

     SEC. 401. REFUNDABLE TAX CREDIT FOR SENATE CAMPAIGN 
                   CONTRIBUTIONS.

       (a) In General.--Subpart C of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986 (relating to 
     refundable credits) is amended by inserting after section 36B 
     the following new section:

     ``SEC. 36C. CREDIT FOR SENATE CAMPAIGN CONTRIBUTIONS.

       ``(a) In General.--In the case of an individual, there 
     shall be allowed as a credit against the tax imposed by this 
     subtitle an amount equal to 50 percent of the qualified My 
     Voice Federal Senate campaign contributions paid or incurred 
     by the taxpayer during the taxable year.
       ``(b) Limitations.--
       ``(1) Dollar limitation.--The amount of qualified My Voice 
     Federal Senate campaign contributions taken into account 
     under subsection (a) for the taxable year shall not exceed 
     $50 (twice such amount in the case of a joint return).
       ``(2) Limitation on contributions to federal senate 
     candidates.--No credit shall be allowed under this section to 
     any taxpayer for any taxable year if such taxpayer made 
     aggregate contributions in excess of $300 during the taxable 
     year to--
       ``(A) any single Federal Senate candidate, or
       ``(B) any political committee established and maintained by 
     a national political party.
       ``(3) Provision of information.--No credit shall be allowed 
     under this section to any taxpayer unless the taxpayer 
     provides the Secretary with such information as the Secretary 
     may require to verify the taxpayer's eligibility for the 
     credit and the amount of the credit for the taxpayer.
       ``(c) Qualified My Voice Federal Senate Contributions.--For 
     purposes of this section, the term `My Voice Federal Senate 
     campaign contribution' means any contribution of cash by an 
     individual to a Federal Senate candidate or to a political 
     committee established and maintained by a national political 
     party if such contribution is not prohibited under the 
     Federal Election Campaign Act of 1971.

[[Page S4031]]

       ``(d) Federal Senate Candidate.--For purposes of this 
     section--
       ``(1) In general.--The term `Federal Senate candidate' 
     means any candidate for election to the office of Senator.
       ``(2) Treatment of authorized committees.--Any contribution 
     made to an authorized committee of a Federal Senate candidate 
     shall be treated as made to such candidate.
       ``(e) Inflation Adjustment.--
       ``(1) In general.--In the case of a taxable year beginning 
     after 2018, the $50 amount under subsection (b)(1) 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 in which the taxable 
     year begins, determined by substituting `calendar year 2017' 
     for `calendar year 1992' in subparagraph (B) thereof.
       ``(2) Rounding.--If any amount as adjusted under 
     subparagraph (A) is not a multiple of $5, such amount shall 
     be rounded to the nearest multiple of $5.''.
       (b) Conforming Amendments.--
       (1) Section 6211(b)(4)(A) of such Code is amended by 
     inserting ``36C,'' after ``36B,''.
       (2) Section 1324(b)(2) of title 31, United States Code, is 
     amended by inserting ``36C,'' after ``36B,''.
       (3) The table of sections for subpart C of part IV of 
     subchapter A of chapter 1 of the Internal Revenue Code of 
     1986 is amended by inserting after the item relating to 
     section 36B the following new item:

``Sec. 36C. Credit for Senate campaign contributions.''.

       (c) Forms.--The Secretary of the Treasury, or his designee, 
     shall ensure that the credit for contributions to Federal 
     Senate candidates allowed under section 36C of the Internal 
     Revenue Code of 1986, as added by this section, may be 
     claimed on Forms 1040EZ and 1040A.
       (d) Administration.--At the request of the Secretary of the 
     Treasury, the Federal Election Commission shall provide the 
     Secretary of the Treasury with such information and other 
     assistance as the Secretary may reasonably require to 
     administer the credit allowed under section 36C of the 
     Internal Revenue Code of 1986, as added by this section.
       (e) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2017.

                      TITLE V--REVENUE PROVISIONS

     SEC. 501. FAIR ELECTIONS FUND REVENUE.

       (a) In General.--The Internal Revenue Code of 1986 is 
     amended by inserting after chapter 36 the following new 
     chapter:

 ``CHAPTER 37--TAX ON PAYMENTS PURSUANT TO CERTAIN GOVERNMENT CONTRACTS

``Sec. 4501. Imposition of tax.

     ``SEC. 4501. IMPOSITION OF TAX.

       ``(a) Tax Imposed.--There is hereby imposed on any payment 
     made to a qualified person pursuant to a contract with the 
     Government of the United States a tax equal to 0.50 percent 
     of the amount paid.
       ``(b) Limitation.--The aggregate amount of tax imposed 
     under subsection (a) for any calendar year shall not exceed 
     $500,000.
       ``(c) Qualified Person.--For purposes of this section, the 
     term `qualified person' means any person which--
       ``(1) is not a State or local government, a foreign nation, 
     or an organization described in section 501(c)(3) which is 
     exempt from taxation under section 501(a), and
       ``(2) has contracts with the Government of the United 
     States with a value in excess of $10,000,000.
       ``(d) Payment of Tax.--The tax imposed by this section 
     shall be paid by the person receiving such payment.
       ``(e) Use of Revenue Generated by Tax.--It is the sense of 
     the Senate that amounts equivalent to the revenue generated 
     by the tax imposed under this chapter should be appropriated 
     for the financing of a Fair Elections Fund and used for the 
     public financing of Senate elections.''.
       (b) Conforming Amendment.--The table of chapters of the 
     Internal Revenue Code of 1986 is amended by inserting after 
     the item relating to chapter 36 the following:

     ``Chapter 37--Tax on Payments Pursuant to Certain Government 
                              Contracts''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to contracts entered into after the date of the 
     enactment of this Act.

                   TITLE VI--MISCELLANEOUS PROVISIONS

     SEC. 601. 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. 602. EFFECTIVE DATE.

       Except as otherwise provided for in this Act, this Act and 
     the amendments made by this Act shall take effect on January 
     1, 2018.
                                 ______
                                 
      By Mr. WHITEHOUSE (for himself and Mr. Schatz):
  S. 1548. A bill to amend the Internal Revenue Code of 1986 to provide 
for carbon dioxide and other greenhouse gas emission fees, reduce the 
rate of the corporate income tax, provide tax credits to workers, 
deliver additional benefits to retired and disabled Americans, and for 
other purposes; to the Committee on Finance.
  Mr. WHITEHOUSE. Mr. President, I rise this evening to introduce, 
along with my lead cosponsor, Senator Schatz of Hawaii, the American 
Opportunity Carbon Fee Act of 2015.
  We announced this legislation this afternoon at an event hosted by 
the American Enterprise Institute, and I want to thank the American 
Enterprise Institute for their hospitality. I think their interest in 
this idea clearly reflects the difference between core conservative 
economic principles and simply being pushed around by the hectoring of 
the fossil fuel industry. There is a difference between the two, and 
this bill meets legitimate conservative economic principles.
  I will start by saying the obvious, which is that climate change is 
real. It is virtually universal in peer-reviewed science that climate 
change is real, that carbon pollution from burning fossil fuels is 
causing unprecedented climate and oceanic changes. Every major 
scientific society in our country has said so. Our brightest scientists 
at NOAA and at NASA are unequivocal. The fundamental science of climate 
change is, indeed, settled.
  In the details of local application and the extent to which a 
particular storm is caused by or exacerbated by climate change, in the 
vagaries of prediction about how things are going to be 10 or 15 years 
out at those margins, yes--there is always room for conversation and 
debate at the margins, but the core science of climate change is beyond 
legitimate debate. It is known science, like debating gravity.
  Americans get it. In poll after poll, Americans understand that 
climate change is real, know that humans are the cause, and want their 
government to do something about it.
  Climate change is not our only national challenge. The Federal Tax 
Code, for example, is a mess, with one of the highest corporate tax 
rates in the developed world, while some take advantage of loopholes to 
pay far less than others and, indeed, some pay nothing at all. We have 
an economic recovery that has left far too many Americans behind, and 
we have a job market that has still not fully rebounded.
  What if our answer to climate change helped address those other 
concerns as well? What if that approach was firmly grounded in core 
conservative economic principles, values such as property rights, 
market efficiency, and personal liberty?
  Aparna Mathur of the free-market think tank the American Enterprise 
Institute conducted an analysis with a colleague from the Brookings 
Institution showing that a carbon fee could reduce emissions, shore up 
the country's fiscal outlook, and play an important part in broader tax 
reform. AEI's Kevin Hassett, Steven Hayward, and Kenneth Greene have 
pointed out that a carbon fee could obviate some environmental 
regulations. The idea behind it is extremely simple. You levy a price 
on the thing you don't want--carbon pollution--and you use the revenue 
to help with things you do want.
  Whether they are called neighborhood effects or negative 
externalities, the effects of carbon pollution harm us all. 
Conservative economist Milton Friedman wrote that the government exists 
in part to reduce such harms. When the costs of such externalities 
don't get factored into the price of a product, conservative economic 
doctrine--indeed, all economic doctrine--classifies that as a subsidy--
a market failure. Right now for fossil fuel producers, that subsidy is 
immense, giving them artificial advantage over cleaner energy sources. 
The International Monetary Fund just postulated that the annual subsidy 
just in America to the fossil fuel industry is $700 billion. We tend to 
talk around here in budget cycles of 10 years. That means it is $7 
trillion in a budget cycle. That is a subsidy, all right.
  A carbon fee can repair that market failure by incorporating unpriced 
damage into the costs of fossil fuels. Then the free market--not 
industry, not government--can drive the best energy mix for the 
country, with everyone competing on level ground.
  That is how Nixon's Treasury Secretary and Reagan's Secretary of 
State George Shultz sees it. He and the late Nobel laureate Gary S. 
Becker made the case for a carbon fee in the Wall Street Journal. They 
wrote:


[[Page S4032]]


       Americans like to compete on a level playing field. All 
     players should have an equal opportunity to win based on 
     their competitive merits, not on some artificial imbalance 
     that gives someone or some group a special advantage.

  Such as a $700 billion-a-year special advantage.
  Just last week, even the CEOs of Europe's major oil companies called 
on governments to institute national prices on carbon.
  This could be a big economic win. George W. Bush's Treasury Secretary 
Hank Paulson said, ``A tax on carbon emissions will unleash a wave of 
innovation to develop technologies, lower the costs of clean energy, 
and create jobs, as we and other nations develop new energy products 
and infrastructure.''
  It is in that spirit that I am introducing the American Opportunity 
Carbon Fee Act--a framework I hope both Republicans and Democrats can 
embrace. The bill would establish an economy-wide carbon fee on carbon 
dioxide and other greenhouse gas emissions. The fee would be assessed 
way upstream where it is easiest to administer, minimizing the universe 
of taxpayers and the compliance burden--at the coal mine, at the 
natural gas processing station, and at the petroleum refinery.
  Other sources of greenhouse gas emissions would be charged at 
existing reporting requirements that are rate tied to the carbon 
dioxide equivalency of each gas. Fluorocarbons are assessed at a 
special rate that accounts for their high greenhouse potency. 
Sequestering, utilizing, or encapsulating carbon dioxide earns you a 
credit.
  My bill sets the fee per ton of carbon emitted at $45 for 2016. That 
is the central range of the social cost of carbon as estimated by the 
Office of Management and Budget. That fee would increase each year at a 
real 2 percent. When emissions fall 80 percent below 2005 levels, the 
annual adjustment falls to inflation.
  Border adjustments for the trade of energy-intensive goods include 
tariffs on such goods imported from countries with weaker or no carbon 
pricing--to make sure we protect our industries at home--and rebates 
for U.S. exporters of energy-intensive goods. We took care to design 
the border adjustments to achieve harmony with World Trade Organization 
rules.
  According to the nonpartisan group Resources for the Future, this 
carbon fee proposal would reduce U.S. CO2 emissions by more 
than 40 percent by 2025.
  In addition to the environmental benefits, of course, a carbon fee 
also generates revenue. In this case, it would generate over $2 
trillion in revenue over 10 years. We intend to return every dime of 
that to the American people. Here is how.
  First, the bill lowers the top marginal corporate income tax rate 
from 35 percent to 29 percent. This would cut American corporate taxes 
by almost $600 billion over the first decade.
  Second, it provides workers with a $500 refundable tax credit--$1,000 
for a couple--to offset the first $500 paid each year in Social 
Security payroll taxes. The credit would grow with inflation. The tax 
credits would return over $750 billion to American households over the 
first 10 years.
  Third, it would give benefits to Social Security recipients, veterans 
program beneficiaries, and certain other groups of retirees at the same 
level as the tax credit. These benefits would total more than $400 
billion over 10 years.
  Finally, the bill would establish a block grant for States, totalling 
$20 billion in 2016 and growing with inflation, to help with low-income 
needs, rural households, and transitioning workers. Governors in these 
States will know best what to do with the funds. In West Virginia, for 
example, they could use the money to transition coal workers into the 
technology jobs of the future or to shore up the beleaguered pension 
plans of coal miners. Rhode Island, on the other hand, might choose to 
make homes more energy efficient. And we have a reporting mechanism for 
the public to transparently track where the money is going to assure 
that it is all going back to the American people.
  The entire bill is 37 pages long--short, simple, straightforward. It 
would cut back on the pollution that threatens dramatic changes to our 
home planet. It would cut taxes. It would end a grievous market 
distortion. It would start a wave of investment and innovation.
  With this bill, Senator Schatz and I extend an open hand, or as one 
Republican former Congressman who cares about the climate change 
problem said: It extends an olive limb to conservatives everywhere.
  Whether you want to pursue tax reform or support the free market for 
energy, or as Senator Graham suggested this week, honestly address the 
real effects of climate change, this can be a vehicle. I hope my 
colleagues will agree with me that this is a discussion that we can 
continue. I look forward to trying to find a way forward that is better 
than simply ignoring this problem, pretending that it does not exist, 
and sleepwalking through our moment in history.
  It is time to wake up. I have an attachment here that summarizes some 
of the support from conservatives and business leaders for a carbon 
fee. I ask unanimous consent that this document be printed in the 
Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

        Conservatives and Business Leaders Support a Carbon Fee


                      Former Republican Appointees

       ``A tax on carbon emissions will unleash a wave of 
     innovation to develop technologies, lower the costs of clean 
     energy and create jobs as we and other nations develop new 
     energy products and infrastructure.''--Henry M. Paulson, 
     Treasury Secretary under President George W Bush
       ``How can you possibly create a level playing field? By 
     taking a step that makes all forms of energy bear not only 
     their immediate costs of energy, but also the costs of the 
     pollution they emit . . . So my proposal is to have a 
     revenue-neutral carbon tax.''--George P. Schultz, Secretary 
     of Labor under President Nixon, Treasury Secretary under 
     Presidents Nixon and Ford, and Secretary of State under 
     President Reagan
       ``A market-based approach, like a carbon tax, would be the 
     best path to reducing greenhouse-gas emissions . . . Rather 
     than argue against [President Obama's] proposals, our leaders 
     in Congress should endorse them and start the overdue debate 
     about what bigger steps are needed and how to achieve 
     them.''--William D. Ruckelshaus, EPA Administrator under 
     Presidents Nixon and Reagan; Lee M. Thomas, EPA Administrator 
     under President Reagan; William K. Reilly, EPA Administrator 
     under President George H. W. Bush; and Christine Todd 
     Whitman, EPA Administrator under President George W. Bush


                    Conservative Members of Congress

       ``I am no scientist, but I've traveled throughout the world 
     with Senator McCain and others, and seen the effects of a 
     warming planet. . . . I've been told by a lot of business 
     leaders in South Carolina, `Senator Graham, once you price 
     carbon in a reasonable way, this green economy that we're 
     hoping for really will begin to flourish.''--Senator Lindsey 
     Graham (R-SC)
       ``I wish we would just talk about a carbon tax, 100 percent 
     of which would be returned to the American people.''--Senator 
     Bob Corker (R-TN)
       ``If there's one economic axiom, it's that if you want less 
     of something, you tax it. Clearly, it's in our interest to 
     move away from carbon.''-- Senator Jeff Flake (R-AZ)
       ``We should eliminate all the subsidies. No more Solyndras. 
     No more production tax credits for wind. No more credits for 
     electric vehicles. No more special tax provisions for oil and 
     gas. Level the playing field. The big challenge is reaching 
     fellow conservatives and convincing them that the biggest 
     subsidy of all may be to belch and burn into the trash dump 
     in the sky--for free. That lack of accountability may be the 
     biggest subsidy of them all.''--former Representative Bob 
     Inglis (R-SC)


                        Former Republican Aides

       ``The scientists tell us that world temperatures are rising 
     because humans are emitting carbon into the atmosphere. Basic 
     economics tells us that when you tax something, you normally 
     get less of it. So if we want to reduce global emissions of 
     carbon, we need a global carbon tax.''--N. Gregory Mankiw, 
     economic advisor to Mitt Romney's presidential campaign and 
     Harvard economist
       Using a carbon tax to fund a payroll tax cut ``would be 
     very good for the economy and as an adjunct, it would reduce 
     also carbon emissions into the environment.''--Arthur B. 
     Laffer, economic advisor to President Reagan
       ``Although a general carbon fuel tax is moot for the 
     moment, the idea will not go away. If carbon dioxide 
     emissions are to be reduced further in the U.S., such a tax 
     will achieve the goal with less economic waste than new 
     bureaucratic hurdles.''--Martin Feldstein, former Chairman of 
     President Reagan's Council of Economic Advisors


              Conservative Thought-leaders and Economists

       [Why a carbon tax?] ``First, it is a less expensive, more 
     efficient and more effective

[[Page S4033]]

     policy than the status quo. . . . Second, greenhouse gas 
     emissions impose risk. . . . Third, it is the principled 
     conservative position. Government's role is to protect the 
     rights to life, liberty, property and the pursuit of 
     happiness.''--Jerry Taylor, former vice president at the Cato 
     Institute and cofounder of the Niskanen Center
       ``We have a unique opportunity to end the rancorous debate 
     about climate change, a debate that is poisoning the air--the 
     political air, that is--and inhibiting progress on two 
     fronts: progress on addressing the possibility that we are on 
     the road to a catastrophic warming of the globe, and progress 
     on reforming our anti-growth tax structure, which is so 
     inequitable that it is straining the public's belief in the 
     fairness of capitalism and what we like to call `the American 
     Dream.' All we need do is stop pretending that the cost of 
     carbon emissions is certainly zero, and that regulation 
     provides a more efficient solution than the Market.''--Irwin 
     M. Stelzer, senior fellow at the Hudson Institute


                              Corporations

       This month, the top executives for six major oil and gas 
     companies penned a letter to the United Nations Framework 
     Convention on Climate Change calling for a worldwide price on 
     carbon:
       BP, Statoil, Shell, Eni SpA, Total, BG Group.
       Many other major companies have integrated an ``internal 
     carbon fee'' as part of their long-term financial planning. 
     Companies that have reportedly adopted an internal carbon 
     price include:
       Wal-Mart Stores; Delphi Automotive; Devon Energy 
     Corporation; Total; Delta Airlines; Jabil Circuit Inc.; 
     American Electric Power Co.; Entergy Corporation; Xcel Energy 
     Inc.; Microsoft; Chevron Corporation; Hess Corporation; Wells 
     Fargo & Company; General Electric Company; E.I. du Pont de 
     Nemours & Co.; CMS Energy Corporation; Integrys Energy Group; 
     Walt Disney World; ConocoPhillips; Royal Dutch Shell; Cummins 
     Inc.; Google Inc.; Ameren Corporation; Duke Energy 
     Corporation; PG&E Corporation.

                          ____________________