[House Report 110-43]
[From the U.S. Government Publishing Office]



110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     110-43

======================================================================



 
            PRESIDENTIAL LIBRARY DONATION REFORM ACT OF 2007

                                _______
                                

 March 9, 2007.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Waxman, from the Committee on Oversight and Government Reform, 
                        submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 1254]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Oversight and Government Reform, to whom 
was referred the bill (H.R. 1254) to amend title 44, United 
States Code, to require information on contributors to 
Presidential library fundraising organizations, having 
considered the same, report favorably thereon without amendment 
and recommend that the bill do pass.

                                CONTENTS

                                                                   Page
Purpose and Summary..............................................     2
Background and Need for Legislation..............................     2
Legislative History..............................................     4
Section-by-Section...............................................     4
Explanation of Amendments........................................     5
Committee Consideration..........................................     5
Rollcall Votes...................................................     5
Application of Law to the Legislative Branch.....................     5
Statement of Oversight Findings and Recommendations of the 
  Committee......................................................     5
Statement of General Performance Goals and Objectives............     5
Constitutional Authority Statement...............................     5
Federal Advisory Committee Act...................................     6
Unfunded Mandate Statement.......................................     6
Earmark Identification...........................................     6
Committee Estimate...............................................     6
Budget Authority and Congressional Budget Office Cost Estimate...     6
Changes in Existing Law Made by the Bill as Reported.............     8
Additional Views of Representative Tom Davis.....................    10

                          Purpose and Summary

    H.R. 1254, the ``Presidential Library Donations Reform Act 
of 2007,'' was introduced March 1, 2007, by Reps. Henry A. 
Waxman, John Duncan, Wm. Lacy Clay, Todd Russell Platts, and 
Rahm Emanuel. The legislation requires organizations that raise 
funds for presidential libraries and their affiliated 
facilities to disclose information about their donors to 
Congress and the National Archives and Records Administration 
(NARA). It further requires NARA to make that information 
available to the public in a searchable format. Under existing 
law, these organizations can raise unlimited amounts of money 
from undisclosed donors, even while the president remains in 
office. This bill brings transparency to the presidential 
library fundraising process.

                  Background and Need for Legislation

    The presidential library system was created in 1939, when 
President Franklin Roosevelt proposed the creation of a 
federally maintained repository to house his presidential 
papers and other historical materials. He raised private funds 
for the construction of a library facility and then turned the 
facility and his papers over to the federal government for 
operation by NARA. This system was put into law in 1955, when 
the Presidential Libraries Act established a policy for 
creating federally maintained presidential libraries that are 
built with private funds. The Act requires foundations or other 
organizations to raise money and build the libraries. Once they 
are built, the libraries are then turned over to NARA to be 
managed as federal facilities.
    Amendments to the Presidential Libraries Act in 1986 
established new requirements for presidential libraries, 
including new financial obligations for the private foundations 
that build the libraries. Out of concern for the growing cost 
to taxpayers of library maintenance, the amendments required 
that the foundation provide an operating endowment to NARA when 
the foundation transfers possession of the facility. That 
endowment was set at 20% of the cost of the building for 
libraries of 70,000 square feet or less, and for larger 
facilities this percentage increases in accordance with the 
size of the facility. The Consolidated Appropriations Act of 
2003 increased the required endowment to at least 40% of the 
cost of the building for future presidents.\1\
---------------------------------------------------------------------------
    \1\ Pub. L. 108-7. The new requirements apply to ``any President 
who takes the oath of office as President for the first time on or 
after July 1, 2002.''
---------------------------------------------------------------------------
    Presidential libraries often include various facilities in 
addition to the library, such as museums, conference centers, 
or classrooms. These presidential facilities can be large and 
the costs for development and construction can be substantial. 
Press accounts indicate that the George H.W. Bush library cost 
$83 million to build, the Clinton library cost $165 million to 
build, and George W. Bush hopes to raise $500 million for his 
library and think tank in Texas.\2\ All of this money is raised 
privately, through a foundation or other organization dedicated 
to the purpose.
---------------------------------------------------------------------------
    \2\ See W library in Record Book, $500 M Center Would be Priciest 
for a Prez, New York Daily News (Nov. 27, 2006); Bush's Dream Library, 
National Journal (Dec. 2, 2006); House Bill Could Force Library Donors 
Out of Shadows, The Hill (Nov. 29, 2006).
---------------------------------------------------------------------------
    These fundraising efforts are unrestricted. They can begin 
long before a president leaves office, there are no limits on 
how much can be raised from a single source, and there is no 
requirement that donations to these libraries be disclosed 
publicly. Observers and members of Congress have regularly 
noted the possible influence that anonymous donors could exert 
on a sitting president. At a hearing on presidential library 
fundraising held by the Committee on February 28, 2007, 
witnesses described the potential for abuse that comes with 
these large fundraising campaigns. Sheila Krumholz, the 
Executive Director of the Center for Responsive Politics 
testified:

          Herein lies the central concern: that those who 
        donate money to presidential libraries will in return 
        receive special access to, and favors from, the 
        president and the federal government. To minimize the 
        potential for that sort of payback, and to build trust 
        among a citizenry that already questions the ethics of 
        elected officials, public disclosure of contributions 
        to presidential library projects seems both appropriate 
        and wise.

    H.R. 1254 requires presidential library fundraising 
organizations to disclose information about their contributors. 
The bill requires that all organizations established for the 
purpose of raising funds for presidential libraries or their 
related facilities report on a quarterly basis all 
contributions of $200 or more. These organizations are required 
to disclose information about their contributors while the 
president is in office and during the period before the federal 
government has taken possession of the library. The bill sets a 
minimum reporting period of four years after the end of a 
president's term.
    H.R. 1254 requires presidential library fundraising 
organizations to disclose to Congress and NARA the amount and 
date of each contribution, the name and address of the 
contributor, and if the contributor is an individual, the 
occupation of the contributor. Under the bill, NARA is required 
to make the information available to the public through a free, 
searchable, and downloadable database on the Internet.
    H.R. 1254 makes it illegal for either a contributor or an 
organization raising funds for a presidential library to 
knowingly submit false material information or to omit material 
information regarding a contribution. It also makes it illegal 
to make a contribution in the name of another person or for a 
person to knowingly permit his or her name to be used to make 
such a contribution. And finally, the bill makes it illegal to 
knowingly accept a contribution made by one person in the name 
of another person. The bill establishes penalties for each of 
these actions.
    The bill applies to organizations raising funds for 
presidential libraries that are established before, on, or 
after the date of enactment of the bill, but it applies only to 
contributions (monetary or in-kind) made after the date of 
enactment.

                          Legislative History

    H.R. 1254, legislation to require disclosure of donations 
to presidential libraries, was introduced on March 1, 2007, and 
referred to the Committee on Oversight and Government Reform. 
H.R. 1254 is similar to legislation introduced by Rep. Duncan 
in the 107th Congress, H.R. 577, which the House approved by a 
vote of 392-3.
    The Committee held a hearing on March 1, 2007, on the issue 
of public disclosure of donations to presidential libraries. 
The witnesses were Sharon Fawcett, Assistant Archivist for 
Presidential Records, National Archives and Records 
Administration; Celia Viggo Wexler, Vice President for 
Advocacy, Common Cause; and Sheila Krumholz, Executive 
Director, Center for Responsive Politics.
    The Committee held a markup to consider H.R. 1254 on March 
8, 2007, and ordered the bill to be reported by voice vote.

                           Section-by-Section


Section 1. Short title

    This section provides that the short title of H.R. 1254 is 
the ``Presidential Library Donation Reform Act of 2007.''

Section 2. Presidential libraries

    Subsection 2(a) adds a new subsection (h) to section 2112 
of title 44, United States Code.
    Subsection h(1) requires presidential library fundraising 
organizations to submit, on a quarterly basis, information 
about every contributor who gave the organization contributions 
totaling $200 or more during the quarterly period. Subsection 
h(2) establishes that those reports should be made to NARA, the 
Committee on Oversight and Government Reform in the House of 
Representatives, and the Committee on Homeland Security and 
Governmental Affairs in the Senate and requires that 
information to be provided by April 15, July 15, October 15, 
and January 15.
    Subsection h(2)(C) establishes that reporting will continue 
until the latter of either the Archivist accepting, taking 
title to, or entering into an agreement to use any land or 
facility for the archival depository or four years passing 
since the end of a president's term.
    Subsection h(3)(A) defines a presidential library 
fundraising organization as any organization established for 
the purpose of raising funds for creating, maintaining, 
expanding or conducting activities at a presidential archival 
depository or related facilities. Subsection h(3)(B) 
establishes that the presidential library fundraising 
organizations must submit the amount of each contribution, the 
name and address of the donor, the date of the contribution, 
and, if the donor is an individual, the occupation of the 
donor.
    Subsection h(4) requires the Archivist to make the 
information submitted publicly available in a free, searchable, 
sortable, downloadable database.
    Subsection (h)(5) prohibits a contributor from knowingly 
and willfully submitting false material information or omitting 
material information with respect to the contribution.
    Subsection (h)(6) prohibits an organization receiving 
contributions for a presidential library from knowingly and 
willfully submitting false material information, or omitting 
material information, regarding contributions required to be 
disclosed under this bill.
    Subsection (h)(7) prohibits any person from knowingly and 
willfully making a contribution to a presidential library in 
the name of another person or permitting his or her name to be 
used to make such a contribution. This subsection also 
prohibits the acceptance of contributions made by one person in 
the name of another person.
    Subsection (h)(8) authorizes NARA to promulgate regulations 
to implement the provisions of subsection (h).
    Section 2(b) provides that the bill covers organizations 
that were established to raise funds for a presidential library 
before, on or after the date of enactment of this bill are 
covered. It also provides that the requirement to disclose 
information about contributions applies only to contributions 
made after the date of the bill's enactment.

                       Explanation of Amendments

    No amendments to this bill were accepted by the Committee.

                        Committee Consideration

    On Thursday, March 8, 2007, the Committee ordered the bill 
reported to the House by a voice vote.

                             Rollcall Votes

    No rollcall votes were taken on this legislation.

              Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1 requires a 
description of the application of this bill to the legislative 
branch where the bill relates to the terms and conditions of 
employment or access to public services and accommodations. 
This bill provides for disclosure of donations topresidential 
library fundraising organizations. As such this bill does not relate to 
employment or access to public services and accommodations.

  Statement of Oversight Findings and Recommendations of the Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of Rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the descriptive portions of 
this report.

         Statement of General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the Committee's performance 
goals and objectives are reflected in the descriptive portions 
of this report.

                   Constitutional Authority Statement

    Under clause 3(d)(1) of rule XIII of the Rules of the House 
of Representatives, the Committee must include a statement 
citing the specific powers granted to Congress to enact the law 
proposed by H.R. 1254. Article I, Section 8, Clause 18 of the 
Constitution of the United States grants the Congress the power 
to enact this law.

                     Federal Advisory Committee Act

    The Committee finds that the legislation does not establish 
or authorize the establishment of an advisory committee within 
the definition of 5 U.S.C. App., Section 5(b).

                       Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandate Reform Act, P.L. 104-4) requires a statement whether 
the provisions of the reported include unfunded mandates. In 
compliance with this requirement the Committee has received a 
letter from the Congressional Budget Office included herein.

                         Earmark Identification

    H.R. 1255 does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9(d), 9(e), or 9(f) of rule XXI.

                           Committee Estimate

    Clause 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs that would be incurred in carrying out 
H.R. 1255. However, clause 3(d)(3)(B) of that rule provides 
that this requirement does not apply when the Committee has 
included in its report a timely submitted cost estimate of the 
bill prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act.

     Budget Authority and Congressional Budget Office Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause (3)(c)(3) of rule XIII of the Rules 
of the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following cost estimate for H.R. 1254 from the Director of 
Congressional Budget Office:

                                                     March 9, 2007.
Hon. Henry A. Waxman,
Chairman, Committee on Oversight and Government Reform,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1254, the 
Presidential Library Donation Reform Act of 2007.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Matthew 
Pickford (for federal costs), and Paige Piper/Bach (for the 
private-sector impact).
            Sincerely,
                                                   Peter R. Orzsag.
    Enclosure.

H.R. 1254--Presidential Library Donation Reform Act of 2007

    H.R. 1254 would require any organization that raises funds 
for a Presidential library to disclose the sources and amounts 
of such funds. The legislation would apply to donations 
totaling $200 or greater per quarter while the current 
President is in office and during the period before the federal 
government takes possession of the library (with a minimum 
reporting period of four years after a President's term). 
Additionally, H.R. 1254 would require fund-raising 
organizations to provide this information to the National 
Archives and Records Administration (NARA) and the Congress. 
The bill would direct NARA to make this information public in a 
free searchable database. Finally, H.R. 1254 would establish 
criminal penalties, including fines, for violations of its 
provisions.
    CBO estimates that implementing H.R. 1254 would cost $1 
million in 2008 and about $5 million over the 2008-2012 period, 
assuming appropriation of the necessary amounts. Enacting the 
legislation could affect direct spending and receipts, but we 
estimate that any impact would not be significant.
    Based on information from NARA, CBO estimates that 
requiring NARA to create an online searchable database of 
Presidential library donations would have an initial startup 
cost of $1 million. In addition, CBO estimates that NARA would 
need $800,000 annually to update and maintain the database 
after it is established. Thus, we estimate that the creation of 
a single comprehensive searchable database for library 
donations would cost about $5 million over the 2008-2012 
period, assuming appropriation of the necessary amounts.
    H.R. 1254 would establish a new federal crime for 
violations of its provisions. CBO expects that H.R. 1254 would 
apply to a very small number of offenders; any increase in 
costs for law enforcement, court proceedings, or prison 
operations would not be significant. Any such costs would be 
subject to the availability of appropriated funds.
    Because those prosecuted and convicted under H.R. 1254 
could be subject to criminal fines, the federal government 
might collect additional fines if the legislation is enacted. 
Collections of such fines are recorded in the budget as 
revenues, which are deposited in the Crime Victims Fund and 
later spent. CBO expects that any additional receipts and 
direct spending would be negligible because of the small number 
of cases involved.
    H.R. 1254 contains no intergovernmental mandates as defined 
in the Unfunded Mandates Reform Act (UMRA) and would not affect 
the budgets of state, local, or tribal governments.
    H.R. 1254 would impose a private-sector mandate, as defined 
by UMRA, on organizations established for the purpose of 
raising funds for a Presidential library. The bill would 
require those organizations to submit quarterly reports to the 
Administration and certain Congressional committees detailing 
the sources and amounts of certain contributions it receives. 
The reports would have to be submitted for a period of time as 
determined by conditions in the bill. The cost for such 
organizations to report the mandated information would be 
minimal. CBO estimates, therefore, that the direct cost of the 
mandate would fall well below the annual threshold established 
by UMRA for private-sector mandates ($131 million in 2007, 
adjusted annually for inflation).
    The CBO staff contacts for this estimate are Matthew 
Pickford (for federal costs) and Paige Piper/Bach (for the 
private-sector impact). This estimate was approved by Peter H. 
Fontaine, Deputy Assistant Director for Budget Analysis.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italic and existing law in which no change is 
proposed is shown in roman):

              SECTION 2112 OF TITLE 44, UNITED STATES CODE


Sec. 2112. PRESIDENTIAL ARCHIVAL DEPOSITORY

  (a) * * *

           *       *       *       *       *       *       *

  (h)(1) Any Presidential library fundraising organization 
shall submit on a quarterly basis, in accordance with paragraph 
(2), information with respect to every contributor who gave the 
organization a contribution or contributions (whether monetary 
or in-kind) totaling $200 or more for the quarterly period.
  (2) For purposes of paragraph (1)--
          (A) the entities to which information shall be 
        submitted under that paragraph are the Administration, 
        the Committee on Oversight and Government Reform of the 
        House of Representatives, and the Committee on Homeland 
        Security and Governmental Affairs of the Senate;
          (B) the dates by which information shall be submitted 
        under that paragraph are April 15, July 15, October 15, 
        and January 15 of each year and of the following year 
        (for the fourth quarterly filing);
          (C) the requirement to submit information under that 
        paragraph shall continue until the later of the 
        following occurs:
                  (i) The Archivist has accepted, taken title 
                to, or entered into an agreement to use any 
                land or facility for the archival depository.
                  (ii) The President whose archives are 
                contained in the depository no longer holds the 
                Office of President and a period of four years 
                has expired (beginning on the date the 
                President left the Office).
  (3) In this subsection:
          (A) The term ``Presidential library fundraising 
        organization'' means an organization that is 
        established for the purpose of raising funds for 
        creating, maintaining, expanding, or conducting 
        activities at--
                  (i) a Presidential archival depository; or
                  (ii) any facilities relating to a 
                Presidential archival depository.
          (B) The term ``information'' means the following:
                  (i) The amount or value of each contribution 
                made by a contributor referred to in paragraph 
                (1) in the quarter covered by the submission.
                  (ii) The source of each such contribution, 
                and the address of the entity or individual 
                that is the source of the contribution.
                  (iii) If the source of such a contribution is 
                an individual, the occupation of the 
                individual.
                  (iv) The date of each such contribution.
  (4) The Archivist shall make available to the public through 
the Internet (or a successor technology readily available to 
the public) as soon as is practicable after each quarterly 
filing any information that is submitted under paragraph (1). 
The information shall be made available without a fee or other 
access charge, in a searchable, sortable, and downloadable 
database.
  (5)(A) It shall be unlawful for any person who makes a 
contribution described in paragraph (1) to knowingly and 
willfully submit false material information or omit material 
information with respect to the contribution to an organization 
described in such paragraph.
  (B) The penalties described in section 1001 of title 18, 
United States Code, shall apply with respect to a violation of 
subparagraph (A) in the same manner as a violation described in 
such section.
  (6)(A) It shall be unlawful for any Presidential library 
fundraising organization to knowingly and willfully submit 
false material information or omit material information under 
paragraph (1).
  (B) The penalties described in section 1001 of title 18, 
United States Code, shall apply with respect to a violation of 
subparagraph (A) in the same manner as a violation described in 
such section.
  (7)(A) It shall be unlawful for a person to knowingly and 
willfully--
          (i) make a contribution described in paragraph (1) in 
        the name of another person;
          (ii) permit his or her name to be used to effect a 
        contribution described in paragraph (1); or
          (iii) accept a contribution described in paragraph 
        (1) that is made by one person in the name of another 
        person.
  (B) The penalties set forth in section 309(d) of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 437g(d)) shall apply to 
a violation of subparagraph (A) in the same manner as if such 
violation were a violation of section 316(b)(3) of such Act (2 
U.S.C. 441b(b)(3)).
  (8) The Archivist shall promulgate regulations for the 
purpose of carrying out this subsection.

              ADDITIONAL VIEWS OF REPRESENTATIVE TOM DAVIS

    Legislation to require the disclosure of donations to 
Presidential library fundraising organizations was first 
introduced in 1999 by Rep. John Duncan (R-TN) in an effort to 
disclose contributions made by private donors to presidential 
library fundraising organizations. Under Mr. Duncan's lead in 
the 107th Congress, this Committee and the House passed 
legislation on this issue with strong bipartisan support. 
During markup of H.R. 1254, I offered two amendments that were 
not included in the reported bill that I would like to take a 
moment to highlight.
    First, I offered an amendment that would apply the 
disclosure provisions of this legislation to Presidents elected 
after the date of enactment of this act. My concern was that 
our efforts to advance meaningful reform to the system have 
become politicized--with Republicans championing the issue when 
a Democrat held the White House and Democrats championing the 
issue when a Republican held the White House. If the Committee 
was serious about enacting longstanding reforms into law, it 
should be willing to take the political bite out of the 
legislation by applying it to all future Presidents rather than 
turning this into a debate about the sitting President. Without 
this change, the legislation becomes more of an attack on the 
current President than a serious effort at reform.
    The second amendment I offered would expand the scope of 
the legislation to include donations to congressional 
foundations. After all, much like donations to presidential 
libraries could be seen as backdoor attempts to curry favor 
with the President, donations to congressional foundations 
could be seen doing the same thing with the legislative branch. 
If we believe that the disclosure policy is important enough to 
impose upon the President of the United States, the United 
States Congress should be willing to live up to the same 
standard.
    I believe that both of these reforms would improve the bill 
and I intend to continue to pursue these changes as the bill 
moves forward.

                                                         Tom Davis.

                                  
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