107th CONGRESS
1st Session
S. 719
To amend Federal election law to provide for clean elections funded
by clean money.
IN THE SENATE OF THE UNITED STATES
April 5, 2001
Mr. WELLSTONE (for himself, Mr. KERRY, Mrs. CLINTON, and Ms. CANTWELL) introduced
the following bill; which was read twice and referred to the Committee on
Rules and Administration
A BILL
To amend Federal election law to provide for clean elections funded
by clean money.
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 `Clean Money, Clean Elections
Act'.
Sec. 1. Short title; table of contents.
TITLE I--CLEAN MONEY FINANCING OF SENATE ELECTION CAMPAIGNS
Sec. 101. Findings and declarations.
Sec. 102. Eligibility requirements and benefits of clean money financing
of Senate election campaigns.
Sec. 103. Reporting requirements for expenditures of private money candidates.
Sec. 104. Transition rule for current election cycle.
TITLE II--INDEPENDENT EXPENDITURES; COORDINATED EXPENDITURES
Sec. 201. Reporting requirements for independent expenditures.
Sec. 202. Definition of independent expenditure.
Sec. 203. Limit on expenditures by political party committees.
Sec. 204. Party independent expenditures and coordinated expenditures.
TITLE III--VOTER INFORMATION
Sec. 301. Free broadcast time.
Sec. 302. Broadcast rates and preemption.
Sec. 303. Campaign advertisements; issue advertisements.
Sec. 304. Limit on congressional use of the franking privilege.
TITLE IV--SOFT MONEY
Sec. 401. Soft money of political parties.
Sec. 402. State party grassroots funds.
Sec. 403. Reporting requirements.
Sec. 404. Soft money of persons other than political parties.
TITLE V--RESTRUCTURING AND STRENGTHENING OF THE FEDERAL ELECTION COMMISSION
Sec. 501. Appointment and terms of commissioners.
Sec. 503. Authority to seek injunction.
Sec. 504. Standard for investigation.
Sec. 505. Petition for certiorari.
Sec. 506. Expedited procedures.
Sec. 507. Filing by Senate candidates with Commission.
Sec. 508. Power to issue subpoena without signature of chairperson.
Sec. 509. Prohibition of contributions by individuals not qualified to vote.
Sec. 510. Penalties for violations.
TITLE VI--EFFECTIVE DATE
Sec. 601. Effective date.
TITLE I--CLEAN MONEY FINANCING OF SENATE ELECTION CAMPAIGNS
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 Senate undermines democracy in the United States
by--
(1) violating the democratic principle of `one person, one vote' and diminishing
the meaning of the right to vote by allowing monied interests to have a
disproportionate and unfair influence within the political process;
(2) diminishing a Senator's accountability to constituents by compelling
legislators to be accountable to the major contributors who finance their
election campaigns;
(3) creating a conflict of interest, perceived and real, by encouraging
Senators to take money from private interests that are directly affected
by Federal legislation;
(4) imposing large, unwarranted costs on taxpayers through legislative and
regulatory outcomes shaped by unequal access to lawmakers for campaign contributors;
(5) driving up the cost of election campaigns, making it difficult for qualified
candidates without personal fortunes or access to campaign contributions
from monied individuals and interest groups to mount competitive Senate
election campaigns;
(6) disadvantaging challengers, because large campaign contributors tend
to give their money to incumbent Senators, thus causing Senate elections
to be less competitive; 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 CLEAN MONEY- The Senate finds and
declares that the replacement of private campaign contributions with clean
money financing for all primary, runoff, and general elections to the Senate
would enhance American democracy by--
(1) helping to eliminate access to wealth as a determinant of a citizen's
influence within the political process and to restore meaning to the principle
of `one person, one vote';
(2) increasing the accountability of Senators to the constituents who elect
them;
(3) eliminating the inherent conflict of interest caused by the private
financing of the election campaigns of public officials, thus restoring
public confidence in the fairness of the electoral and legislative processes;
(4) reversing the escalating cost of elections and saving taxpayers billions
of dollars that are currently misspent due to legislative and regulatory
agendas skewed by the influence of contributions;
(5) creating a more level playing field for incumbents and challengers,
creating genuine opportunities for all Americans to run for the Senate,
and encouraging more competitive elections; and
(6) freeing Senators from the constant preoccupation with raising money,
and allowing them more time to carry out their public responsibilities.
SEC. 102. ELIGIBILITY REQUIREMENTS AND BENEFITS OF CLEAN MONEY FINANCING
OF SENATE ELECTION CAMPAIGNS.
The Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.) is amended
by adding at the end the following:
`TITLE V--CLEAN MONEY FINANCING OF SENATE ELECTION CAMPAIGNS
`SEC. 501. DEFINITIONS.
`(1) ALLOWABLE CONTRIBUTION- The term `allowable contribution' means a qualifying
contribution or seed money contribution.
`(2) CLEAN MONEY- The term `clean money' means funds that are made available
by the Commission to a clean money candidate under this title.
`(3) CLEAN MONEY CANDIDATE- The term `clean money candidate' means a candidate
for the Senate who is certified under section 505 as being eligible to receive
clean money.
`(4) CLEAN MONEY QUALIFYING PERIOD- The term `clean money qualifying period'
means the period beginning on the date that is 270 days before the date
of the primary election and ending on the date that is 30 days before the
date of the general election.
`(5) GENERAL ELECTION PERIOD- The term `general election period' means,
with respect to a candidate, the period beginning on the day after the date
of the primary or primary runoff election for the specific office that the
candidate is seeking, whichever is later, and ending on the earlier of--
`(A) the date of the general election; or
`(B) the date on which the candidate withdraws from the campaign or otherwise
ceases actively to seek election.
`(6) GENERAL RUNOFF ELECTION PERIOD- The term `general runoff election period'
means, with respect to a candidate, the period beginning on the day following
the date of the last general election for the specific office that the candidate
is seeking and ending on the date of the runoff election for that office.
`(7) IMMEDIATE FAMILY- The term `immediate family' means--
`(A) a 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).
`(8) MAJOR PARTY CANDIDATE- The term `major party candidate' means a candidate
of a political party of which a candidate for Senator, for President, or
for Governor in the preceding 5 years received, as a candidate of that party,
25 percent or more of the total number of popular votes received in the
State by all candidates for the same office.
`(9) PERSONAL FUNDS- The term `personal funds' means an amount that is derived
from--
`(A) the personal funds of the candidate or a member of the candidate's
immediate family; and
`(B) proceeds of indebtedness incurred by the candidate or a member of
the candidate's immediate family.
`(A) IN GENERAL- The term `personal use' means the use of funds to fulfill
a commitment, obligation, or expense of a person that would exist irrespective
of the candidate's election campaign or that individual's duties as a
holder of Federal office.
`(B) INCLUSIONS- The term `personal use' includes--
`(i) a home mortgage, rent, or utility payment;
`(ii) a clothing purchase;
`(iii) a noncampaign-related automobile expense;
`(iv) a country club membership;
`(v) a vacation or other noncampaign-related trip;
`(vi) a household food item;
`(vii) a tuition payment;
`(viii) admission to a sporting event, concert, theater, or other form
of entertainment not associated with an election campaign; and
`(ix) dues, fees, and other payments to a health club or recreational
facility.
`(11) PRIMARY ELECTION PERIOD- The term `primary election period' means
the period beginning on the date that is 90 days before the date of the
primary election and ending on the date of the primary election.
`(12) PRIMARY RUNOFF ELECTION PERIOD- The term `primary runoff election
period' means, with respect to a candidate, the period beginning on the
day following the date of the last primary election for the specific office
that the candidate is seeking and ending on the date of the runoff election
for that office.
`(13) PRIVATE MONEY CANDIDATE- The term `private money candidate' means
a candidate for the Senate other than a clean money candidate.
`(14) QUALIFYING CONTRIBUTION- The term `qualifying contribution' means
a contribution that--
`(A) is in the amount of $5 exactly;
`(B) is made by an individual who is a resident in the candidate's State
and is otherwise authorized to make a contribution under this Act;
`(C) is made during the clean money qualifying period; and
`(D) meets the requirements of section 502(a)(2)(D).
`(15) SEED MONEY CONTRIBUTION- The term `seed money contribution' means
a contribution (or contributions in the aggregate made by any 1 person)
of not more than $100.
`(16) SENATE ELECTION FUND- The term `Senate Election Fund' means the fund
established by section 507(a).
`SEC. 502. ELIGIBILITY FOR CLEAN MONEY.
`(a) PRIMARY ELECTION PERIOD AND PRIMARY RUNOFF ELECTION PERIOD-
`(1) IN GENERAL- A candidate qualifies as a clean money candidate during
the primary election period and primary runoff election period if the candidate
files with the Commission a declaration, signed by the candidate and the
treasurer of the candidate's principal campaign committee, that the candidate--
`(A) has complied and will comply with all of the requirements of this
title;
`(B) will not run in the general election as a private money candidate;
and
`(C) meets the qualifying contribution requirement of paragraph (2).
`(2) QUALIFYING CONTRIBUTION REQUIREMENT-
`(A) MAJOR PARTY CANDIDATES- The requirement of this paragraph is met
if, during the clean money qualifying period, a major party candidate
receives the greater of--
`(i) 1,000 qualifying contributions; or
`(ii) a number of qualifying contributions equal to 0.25 percent of
the voting age population of the candidate's State.
`(B) CANDIDATES THAT ARE NOT MAJOR PARTY CANDIDATES- The requirement of
this paragraph is met if, during the clean money qualifying period, a
candidate that is not a major party candidate receives a number of qualifying
contributions that is at least 150 percent of the number of qualifying
contributions that a major party candidate in the same election is required
to receive under subparagraph (A).
`(C) RECEIPT OF QUALIFYING CONTRIBUTION- A qualifying contribution shall--
`(i) be accompanied by the contributor's name and home address;
`(ii) be accompanied by a signed statement that the contributor understands
the purpose of the qualifying contribution;
`(iii) be made by a personal check or money order payable to the Senate
Election Fund or by cash; and
`(iv) 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 candidate's State.
`(D) DEPOSIT OF QUALIFYING CONTRIBUTIONS IN SENATE ELECTION FUND-
`(i) IN GENERAL- Not later than the date that is 1 day after the date
on which the candidate is certified under section 505, a candidate shall
remit all qualifying contributions to the Commission for deposit in
the Senate Election Fund.
`(ii) CANDIDATES THAT ARE NOT CERTIFIED- Not later than the last day
of the clean money qualifying period, a candidate who has received qualifying
contributions and is not certified under section 505 shall remit all
qualifying contributions to the Commission for deposit in the Senate
Election Fund.
`(3) TIME TO FILE DECLARATION- A declaration under paragraph (1) shall be
filed by a candidate not later than the date that is 30 days before the
date of the primary election.
`(b) GENERAL ELECTION PERIOD-
`(1) IN GENERAL- A candidate qualifies as a clean money candidate during
the general election period if--
`(A)(i) the candidate qualified as a clean money candidate during the
primary election period (and primary runoff election period, if applicable);
or
`(ii) the candidate files with the Commission a declaration, signed by
the candidate and the treasurer of the candidate's principal committee,
that the candidate--
`(I) has complied and will comply with all the requirements of this
title; and
`(II) meets the qualifying contribution requirement of subsection (a)(2);
`(B) the candidate files with the Commission a written agreement between
the candidate and the candidate's political party in which the political
party agrees not to make any expenditures in connection with the general
election of the candidate in excess of the limit in section 315(d)(3)(C);
`(C) the candidate's party nominated the candidate to be placed on the
ballot for the general election or the candidate qualified to be placed
on the ballot as an independent candidate; and
`(D) the candidate is qualified under State law to be on the ballot.
`(2) TIME TO FILE DECLARATION OR STATEMENT- A declaration or statement required
to be filed under paragraph (1) shall be filed by a candidate not later
than the date that is 30 days before the date of the general election.
`(c) GENERAL RUNOFF ELECTION PERIOD- A candidate qualifies as a clean money
candidate during the general runoff election period if the candidate qualified
as a clean money candidate during the general election period.
`SEC. 503. REQUIREMENTS APPLICABLE TO CLEAN MONEY CANDIDATES.
`(a) OBLIGATION TO COMPLY- A clean money candidate who accepts benefits under
section 506 during the primary election period shall comply with all the requirements
of this Act through the primary runoff election period, the general election
period, and the general runoff election period (if applicable) whether the
candidate continues to accept benefits or not.
`(b) CONTRIBUTIONS AND EXPENDITURES-
`(1) PROHIBITION OF PRIVATE CONTRIBUTIONS- Except as otherwise provided
in this title, during the election cycle of a clean money candidate, the
candidate shall not accept contributions other than clean money from any
source.
`(2) PROHIBITION OF EXPENDITURES FROM PRIVATE SOURCES- Except as otherwise
provided in this title, during the election cycle of a clean money candidate,
the candidate shall not make expenditures from any amounts other than clean
money amounts.
`(c) USE OF PERSONAL FUNDS-
`(1) IN GENERAL- A clean money candidate shall not use personal funds to
make an expenditure except as provided in paragraph (2).
`(2) EXCEPTIONS- A seed money contribution or qualifying contribution from
the candidate or a member of the candidate's immediate family shall not
be considered to be use of personal funds.
`(1) NUMBER OF DEBATES- A clean money candidate shall participate in at
least--
`(A) 1 public debate with other clean money candidates from the same party
for the same office during the primary election period; and
`(B) 2 public debates with other clean money candidates for the same office
during the general election period.
`(2) REGULATION- The Commission shall promulgate regulations as necessary
to carry out paragraph (1).
`SEC. 504. SEED MONEY.
`(a) SEED MONEY LIMIT- A clean money candidate may accept seed money contributions
in an aggregate amount not exceeding--
`(2) if there is more than 1 congressional district in the candidate's State,
an amount that is equal to $5,000 times the number of additional congressional
districts.
`(b) CONTRIBUTION LIMIT- Except as provided in section 502(a)(2), a clean
money candidate shall not accept a contribution from any person except a seed
money contribution (as defined in section 501).
`(c) RECORDS- A clean money candidate shall maintain a record of the contributor's
name, street address, and amount of the contribution.
`(1) IN GENERAL- A clean money candidate may expend seed money for any election
campaign-related costs, including costs to open an office, fund a grassroots
campaign, or hold community meetings.
`(2) PROHIBITED USES- A clean money candidate shall not expend seed money
for--
`(A) a television or radio broadcast; or
`(e) REPORT- Unless a seed money contribution or expenditure made with a seed
money contribution has been reported previously under section 304, a clean
money candidate shall file with the Commission a report disclosing all seed
money contributions and expenditures not later than 48 hours after--
`(1) the earliest date on which the Commission makes funds available to
the candidate for an election period under paragraph (1) or (2) of section
506(b); or
`(2) the end of the clean money qualifying period,
`(f) TIME TO ACCEPT AND EXPEND SEED MONEY CONTRIBUTIONS- A clean money candidate
may accept and expend seed money contributions for an election during the
time period beginning on the day after the date of the previous general election
for the office to which the candidate is seeking election and ending on the
earliest date on which the Commission makes funds available to the candidate
for an election period under paragraph (1) or (2) of section 506(b).
`(g) DEPOSIT OF UNSPENT SEED MONEY CONTRIBUTIONS- A clean money candidate
shall remit any unspent seed money to the Commission, for deposit in the Senate
Election Fund, not later than the earliest date on which the Commission makes
funds available to the candidate for an election period under paragraph (1)
or (2) of section 506(b).
`(h) NOT CONSIDERED AN EXPENDITURE- An expenditure made with seed money shall
not be treated as an expenditure for purposes of section 506(f)(2).
`SEC. 505. CERTIFICATION BY COMMISSION.
`(a) IN GENERAL- Not later than 5 days after a candidate files a declaration
under section 502, the Commission shall--
`(1) determine whether the candidate meets the eligibility requirements
of section 502; and
`(2) certify whether or not the candidate is a clean money candidate.
`(b) REVOCATION OF CERTIFICATION- The Commission may revoke a certification
under subsection (a) if a candidate fails to comply with this title.
`(c) REPAYMENT OF BENEFITS- If certification is revoked under subsection (b),
the candidate shall repay to the Senate Election Fund an amount equal to the
value of benefits received under this title.
`SEC. 506. BENEFITS FOR CLEAN MONEY CANDIDATES.
`(a) IN GENERAL- A clean money candidate shall be entitled to--
`(1) a clean money amount for each election period to make or to obligate
to make expenditures during the election period for which the clean money
is provided, as provided in subsection (c);
`(2) media benefits under section 315 of the Communications Act of 1934
(47 U.S.C. 315); and
`(3) an aggregate amount of increase in the clean money amount in response
to certain independent expenditures and expenditures of a private money
candidate under subsection (d) that, in the aggregate, are in excess of
125 percent of the clean money amount of the clean money candidate.
`(b) PAYMENT OF CLEAN MONEY AMOUNT-
`(1) PRIMARY ELECTION- The Commission shall make funds available to a clean
money candidate on the later of--
`(A) the date on which the candidate is certified as a clean money candidate
under section 505; or
`(B) the date on which the primary election period begins.
`(2) GENERAL ELECTION- The Commission shall make funds available to a clean
money candidate not later than 48 hours after--
`(A) certification of the primary election or primary runoff election
result; or
`(B) the date on which the candidate is certified as a clean money candidate
under section 505 for the general election,
whichever occurs first.
`(3) RUNOFF ELECTION- The Commission shall make funds available to a clean
money candidate not later than 48 hours after the certification of the primary
or general election result (as applicable).
`(c) CLEAN MONEY AMOUNTS-
`(1) PRIMARY ELECTION CLEAN MONEY AMOUNT-
`(A) MAJOR PARTY CANDIDATES- The primary election clean money amount with
respect to a clean money candidate who is a major party candidate is 67
percent of the general election clean money amount with respect to the
clean money candidate.
`(B) CANDIDATES THAT ARE NOT MAJOR PARTY CANDIDATES- The primary election
clean money amount with respect to a clean money candidate who is not
a major party candidate is 25 percent of the general election clean money
amount with respect to the clean money candidate.
`(2) PRIMARY RUNOFF ELECTION CLEAN MONEY AMOUNT- The primary runoff election
clean money amount with respect to a clean money candidate is 25 percent
of the primary election clean money amount with respect to the clean money
candidate.
`(3) GENERAL ELECTION CLEAN MONEY AMOUNT-
`(A) IN GENERAL- The general election clean money amount with respect
to a clean money candidate is the lesser of--
`(aa) 24 cents multiplied by the voting age population not in excess
of 4,000,000; and
`(bb) 20 cents multiplied by the voting age population in excess
of 4,000,000.
`(B) EXCEPTION- In the case of an eligible Senate candidate in a State
that has not more than 1 transmitter for a commercial Very High Frequency
(VHF) television station licensed to operate in that State, subparagraph
(A)(ii)(II) shall be applied by substituting--
`(i) `64 cents' for `24 cents' in item (aa); and
`(ii) `56 cents' for `20 cents' in item (bb).
`(C) INDEXING- The clean money amount under subparagraphs (A) and (B)
shall be increased as of the beginning of each calendar year based on
an increase in the price index determined under section 315(c), except
that the base period shall be calendar year 2001.
`(4) GENERAL RUNOFF ELECTION CLEAN MONEY AMOUNT- The general runoff election
clean money amount with respect to a clean money candidate is 25 percent
of the general election clean money amount with respect to the clean money
candidate.
`(5) UNOPPOSED CANDIDATES- Except for a candidate receiving amounts under
paragraph (1)(B), a clean money candidate in a primary or general election
in which there is no opposing candidate shall receive a clean money amount
with respect to that election equal to 25 percent of the full clean money
amount that the candidate would receive in a contested election.
`(d) MATCHING FUNDS IN RESPONSE TO INDEPENDENT EXPENDITURES AND EXPENDITURES
OF PRIVATE MONEY CANDIDATES-
`(1) IN GENERAL- If the Commission--
`(A) receives notification under--
`(i) subparagraph (A) or (B) of section 304(c)(2) that a person has
made or has obligated to make an independent expenditure in an aggregate
amount of $1,000 or more in an election period or that a person has
made or has obligated to make an independent expenditure in an aggregate
amount of $500 or more during the 20 days preceding the date of an election
in support of another candidate or against a clean money candidate;
or
`(ii) section 304(d)(1) that a private money candidate has made or has
obligated to make expenditures in an aggregate amount in excess of 100
percent of the amount of clean money provided to a clean money candidate
who is an opponent of the private money candidate in the same election;
and
`(B) determines that the aggregate amount of expenditures described in
subparagraph (A) in an election period is in excess of 125 percent of
the amount of clean money provided to a clean money candidate who is an
opponent of the private money candidate in the same election or against
whom the independent expenditure is made,
the Commission shall make available to the clean money candidate, not later
than 24 hours after receiving a notification described in subparagraph (A),
an aggregate amount of increase in clean money in an amount equal to the
aggregate amount of expenditures that is in excess of 125 percent of the
amount of clean money provided to the clean money candidate as determined
under subparagraph (B).
`(2) CLEAN MONEY CANDIDATES OPPOSED BY MORE THAN 1 PRIVATE MONEY CANDIDATE-
For purposes of paragraph (1), if a clean money candidate is opposed by
more than 1 private money candidate in the same election, the Commission
shall take into account only the amount of expenditures of the private money
candidate that expends, in the aggregate, the greatest amount (as determined
each
time notification is received under section 304(d)(1)).
`(3) CLEAN MONEY CANDIDATES OPPOSED BY CLEAN MONEY CANDIDATES- If a clean
money candidate is opposed by a clean money candidate, the increase in clean
money amounts under paragraph (1) shall be made available to the clean money
candidate if independent expenditures are made against the clean money candidate
or on behalf of the opposing clean money candidate in the same manner as
the increase would be made available for a clean money candidate who is
opposed by a private money candidate.
`(e) LIMITS ON MATCHING FUNDS- The aggregate amount of clean money that a
clean money candidate receives to match independent expenditures and the expenditures
of private money candidates under subsection (d) shall not exceed 200 percent
of the clean money amount that the clean money candidate receives under subsection
(c).
`(f) EXPENDITURES MADE WITH CLEAN MONEY AMOUNTS-
`(1) IN GENERAL- The clean money amount received by a clean money candidate
shall be used only for the purpose of making or obligating to make expenditures
during the election period for which the clean money is provided.
`(2) EXPENDITURES IN EXCESS OF CLEAN MONEY AMOUNT- A clean money candidate
shall not make expenditures or incur obligations in excess of the clean
money amount.
`(3) PROHIBITED USES- The clean money amount received by a clean money candidate
shall not be--
`(A) converted to a personal use; or
`(B) used in violation of law.
`(A) IN GENERAL- A candidate may establish a petty cash fund, to be used
to pay expenses such as the costs of food, newspapers, magazines, pay
telephone calls, and other minor necessary expenses, that contains, on
any day, not more than--
`(ii) if there is more than 1 congressional district in the candidate's
State, an amount that is equal to $20 times the number of additional
congressional districts.
`(B) RECEIPT- An expenditure from the petty cash fund in an amount greater
than $25 shall be evidenced by a receipt describing the item purchased,
the purpose and cost of the item, and the name and street address of the
seller.
`(5) PENALTY- A person that uses a clean money amount in violation of this
subsection shall be imprisoned not more than 5 years, fined not more than
$15,000, or both.
`(g) REMITTING OF CLEAN MONEY AMOUNTS- Not later than the date that is 14
days after the last day of the applicable election period, a clean money candidate
shall remit any unspent clean money amount to the Commission for deposit in
the Senate Election Fund.
`SEC. 507. ADMINISTRATION OF CLEAN MONEY.
`(a) SENATE ELECTION FUND-
`(1) ESTABLISHMENT- There is established in the Treasury a fund to be known
as the `Senate Election Fund'.
`(2) DEPOSITS- The Commission shall deposit unspent seed money contributions,
qualifying contributions, penalty amounts received under this title, and
amounts appropriated for clean money financing in the Senate Election Fund.
`(3) FUNDS- The Commission shall withdraw the clean money amount for a clean
money candidate from the Senate Election Fund.
`(b) REGULATIONS- The Commission shall promulgate regulations to--
`(1) effectively and efficiently monitor and enforce the limits on use of
private money by clean money candidates;
`(2) effectively and efficiently monitor use of publicly financed amounts
under this title; and
`(3) enable clean money candidates to monitor expenditures and comply with
the requirements of this title.
`SEC. 508. EXPENDITURES MADE FROM FUNDS OTHER THAN CLEAN MONEY.
`If a clean money candidate makes an expenditure using funds other than funds
provided under this title, the Commission shall assess a civil penalty against
the candidate in an amount that is not more than 10 times the amount of the
expenditure.
`SEC. 509. AUTHORIZATION OF APPROPRIATIONS.
`There are authorized to be appropriated to the Senate Election Fund such
sums as are necessary to carry out this title.'.
SEC. 103. REPORTING REQUIREMENTS FOR EXPENDITURES OF PRIVATE MONEY CANDIDATES.
Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 434) is
amended by adding at the end the following:
`(e) PRIVATE MONEY CANDIDATES-
`(1) EXPENDITURES IN EXCESS OF CLEAN MONEY AMOUNTS- Not later than 48 hours
after making or obligating to make an expenditure, a private money candidate
(as defined in section 501) that makes or obligates to make expenditures
during an election period (as defined in section 501), in an aggregate amount
in excess of 100 percent of the amount of clean money provided to a clean
money candidate (as defined in section 501), who is an opponent of the private
money candidate shall file with the Commission a report stating the amount
of each expenditure (in increments of an aggregate amount of $1,000) made
or obligated to be made.
`(2) PLACE OF FILING; NOTIFICATION-
`(A) PLACE OF FILING- A report under this subsection shall be filed with
the Commission.
`(B) NOTIFICATION OF CLEAN MONEY CANDIDATES- Not later than 24 hours after
receipt of a report under this subsection, the
Commission shall notify each clean money candidate seeking nomination for
election to, or election to, the office the private money candidate is seeking,
of the receipt of the report.
`(3) DETERMINATIONS BY THE COMMISSION-
`(A) IN GENERAL- The Commission may, on a request of a candidate or on
its own initiative, make a determination that a private money candidate
has made, or has obligated to make, expenditures in excess of the applicable
amount in paragraph (1).
`(B) NOTIFICATION- In the case of such a determination, the Commission
shall notify each clean money candidate seeking nomination for election
to, or election to, the office the private money candidate is seeking,
of the determination not later than 24 hours after making the determination.
`(C) TIME TO COMPLY WITH REQUEST FOR DETERMINATION- A determination made
at the request of a candidate shall be made not later than 48 hours after
the time of the request.'.
SEC. 104. TRANSITION RULE FOR CURRENT ELECTION CYCLE.
(a) IN GENERAL- During the election cycle in effect on the date of enactment
of this Act, a candidate may be certified as a clean money candidate (as defined
in section 501 of the Federal Election Campaign Act of 1971, as added by section
102 of this Act), notwithstanding the acceptance of contributions or making
of expenditures from private funds before the date of enactment that would,
absent this section, disqualify the candidate as a clean money candidate.
(b) PRIVATE FUNDS- A candidate may be certified as a clean money candidate
only if any private funds accepted and not expended before the date of enactment
of this Act are--
(1) returned to the contributor; or
(2) submitted to the Federal Election Commission for deposit in the Senate
Election Fund (as defined in section 501 of the Federal Election Campaign
Act of 1971, as added by section 102 of this Act).
TITLE II--INDEPENDENT EXPENDITURES; COORDINATED EXPENDITURES
SEC. 201. REPORTING REQUIREMENTS FOR INDEPENDENT EXPENDITURES.
(a) INDEPENDENT EXPENDITURES- Section 304(c) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434(c)) is amended--
(1) by striking `(c)(1) Every person' and inserting the following:
`(c) INDEPENDENT EXPENDITURES-
`(A) REQUIRED FILING- Except as provided in paragraph (2), every person';
(2) in paragraph (2), by redesignating subparagraphs (A), (B), and (C) as
clauses (i), (ii), and (iii), respectively, and adjusting the margins accordingly;
(3) by redesignating paragraphs (2) and (3) as subparagraphs (B) and (C),
respectively, and adjusting the margins accordingly; and
(4) by adding at the end the following:
`(A) Independent expenditures more than 20 days before an election-
`(i) IN GENERAL- If, more than 20 days before the date of an election
for the office of Senator, a person makes or obligates to make independent
expenditures in an aggregate amount exceeding $1,000 during an election
period (as defined in section 501) in support of, or in opposition to,
a candidate for the office, such person shall file with the Commission
a statement containing the information described in clause (ii) not
later than 48 hours after making or obligating to make such expenditures.
`(ii) CONTENTS OF STATEMENT- A statement under subparagraph (A) shall
include a certification, under penalty of perjury, that contains the
information required by subsection (b)(6)(B)(iii).
`(iii) ADDITIONAL STATEMENTS- An additional statement shall be filed
for each aggregate of independent expenditures that exceeds $1,000.
`(B) INDEPENDENT EXPENDITURES DURING THE 20 DAYS PRECEDING AN ELECTION-
If, during the 20 days preceding the date of an election for the office
of Senator, a person makes or obligates to make independent expenditures
in an aggregate amount exceeding $500 in support of, or in opposition
to, a candidate for the office, such person shall file with the Commission
a statement setting forth the amount of each such expenditure not later
than 24 hours after making or obligating to make such expenditures.
`(C) PLACE OF FILING; NOTIFICATION-
`(i) PLACE OF FILING- A report or statement under this paragraph shall
be filed with the Commission.
`(ii) NOTIFICATION OF CLEAN MONEY CANDIDATES- Not later than 24 hours
after receipt of a statement under this paragraph, the Commission shall
notify each clean money candidate seeking nomination for election to,
or election to, the office in question of the receipt of a statement.
`(D) DETERMINATION BY THE COMMISSION-
`(i) IN GENERAL- The Commission may, on request of a candidate or on
its
own initiative, make a determination that a person has made or obligated
to make independent expenditures with respect to a candidate that in the aggregate
exceed the applicable amount under subparagraph (A).
`(ii) NOTIFICATION- Not later than 24 hours after making a determination
under clause (i), the Commission shall notify each clean money candidate
in the election of the determination.
`(iii) TIME TO COMPLY WITH REQUEST FOR DETERMINATION- A determination
made at the request of a candidate shall be made not later than 48 hours
after the time of the request.'.
SEC. 202. DEFINITION OF INDEPENDENT EXPENDITURE.
(a) IN GENERAL- Section 301 of the Federal Election Campaign Act of 1971 (2
U.S.C. 431) is amended by striking paragraph (17) and inserting the following:
`(17) INDEPENDENT EXPENDITURE-
`(A) IN GENERAL- The term `independent expenditure' means an expenditure
made by a person other than a candidate or candidate's authorized committee--
`(i) for a communication that is express advocacy; and
`(ii) that is not coordinated activity or is not provided in coordination
with a candidate or a candidate's agent or a person who is coordinating
with a candidate or a candidate's agent.
`(B) EXPRESS ADVOCACY- Except as provided in subparagraph (C), the term
`express advocacy' means a communication that is made through a broadcast
medium, newspaper, magazine, billboard, direct mail, or similar type of
general public communication or political advertising and that advocates
the election or defeat of a clearly identified candidate by--
`(i) containing a phrase such as `vote for', `re-elect', `support',
`cast your ballot for', `(name of candidate) for Congress', `(name of
candidate) in (year)', `vote against', `defeat', `reject';
`(ii) containing campaign slogans or individual words that in context
can have no reasonable meaning other than to recommend the election
or defeat of 1 or more clearly identified candidates; or
`(iii) referring to a clearly identified candidate in a paid advertisement
that is broadcast through radio or television but only if the communication--
`(I) is made not more than 60 days before the date of a general election;
and
`(II) involves aggregate disbursements of $5,000 or more.
`(C) VOTING RECORD AND VOTING GUIDE EXCEPTION- The term `express advocacy'
does not include a communication which is in printed form or posted on
the Internet that--
`(i) presents information solely about the voting record or position
on a campaign issue of 1 or more candidates (including any statement
by the sponsor of the voting record or voting guide of its agreement
or disagreement with the record or position of a candidate), so long
as the voting record or voting guide when taken as a whole does not
express unmistakable and unambiguous support for or opposition to one
or more clearly identified candidates;
`(ii) is not coordinated activity or is not made in coordination with
a candidate, political party, or agent of the candidate or party, or
a candidate's agent or a person who is coordinating with a candidate
or a candidate's agent, except that nothing in this clause may be construed
to prevent the sponsor of the voting guide from directing questions
in writing to a candidate about the candidate's position on issues for
purposes of preparing a voter guide or to prevent the candidate from
responding in writing to such questions; and
`(iii) does not contain a phrase such as `vote for', `re-elect', `support',
`cast your ballot for', `(name of candidate) for Congress', `(name of
candidate) in (year)', `vote against', `defeat', or `reject', or a campaign
slogan or words that in context can have no reasonable meaning other
than to urge the election or defeat of one or more clearly identified
candidates.'.
(b) DEFINITION APPLICABLE WHEN PROVISION NOT IN EFFECT- For purposes of the
Federal Election Campaign Act of 1971, during any period beginning after the
effective date of this Act in which the definition, or any part of the definition,
under section 301(17)(B) of that Act (as added by subsection (a)) is not in
effect, the definition of `express advocacy' shall mean, in addition to the
part of the definition that is in effect, a communication that clearly identifies
a candidate and--
(1) taken as a whole and with limited reference to external events, such
as proximity to an election, expresses unmistakable support for or opposition
to 1 or more clearly identified candidates; or
(2) is made for the clear purpose of advocating the election or defeat of
the candidate, as shown by the existence of each of the following factors:
(A) A statement or action by the person making the communication.
(B) The targeting or placement of the communication.
(C) The use by the person making the communication of polling, demographic,
or other similar data relating to the candidate's campaign for election.
SEC. 203. LIMIT ON EXPENDITURES BY POLITICAL PARTY COMMITTEES.
Section 315(d)(3) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(d)(3))
is amended--
(1) in subparagraph (A)--
(A) by inserting `except an election in which 1 or more of the candidates
is a clean money candidate (as defined in section 501)' after `Senator';
and
(B) by striking `and' at the end;
(2) in subparagraph (B), by striking the period at the end and inserting
`; and'; and
(3) by adding at the end the following:
`(C) in the case of a candidate for election to the office of Senator in
which 1 or more candidates is a clean money candidate (as defined in section
501), 10 percent of the amount of clean money that a clean money candidate
is eligible to receive for the general election period.'.
SEC. 204. PARTY INDEPENDENT EXPENDITURES AND COORDINATED EXPENDITURES.
(a) DETERMINATION TO MAKE COORDINATED EXPENDITURES- Section 315(d) of the
Federal Election Campaign Act of 1971 (2 U.S.C. 441a(d)) is amended--
(A) by inserting `coordinated' after `make'; and
(B) by striking `(2) and (3)' and inserting `(2), (3), and (4)'; and
(2) by adding at the end the following:
`(4)(A) Before a committee of a political party makes a coordinated expenditure
in connection with a general election campaign for Federal office in excess
of $5,000, the committee shall file with the Commission a certification,
signed by the treasurer of the committee, that the committee has not made
and will not make any independent expenditures in connection with that campaign
for Federal office. A party committee that determines to make a coordinated
expenditure shall not make any transfer of funds in the same election cycle
to, or receive any transfer of funds in the same election cycle from, any
other party committee that determines to make independent expenditures in
connection with the same campaign for Federal office.
`(B) A committee of a political party shall be considered to be in coordination
with a candidate of the party if the committee--
`(i) makes a payment for a communication or anything of value which constitutes
a coordinated activity described in section 301(8)(C);
`(ii) makes a coordinated expenditure under this subsection on behalf
of the candidate;
`(iii) participates in joint fundraising with the candidate or in any
way solicits or receives a contribution on behalf of the candidate;
`(iv) communicates with the candidate, or an agent of the candidate (including
a pollster, media consultant, vendor, advisor, or staff member), acting
on behalf of the candidate, about advertising, message, allocation of
resources, fundraising, or other campaign matters related to the candidate's
campaign, including campaign operations, staffing, tactics or strategy;
or
`(v) provides in-kind services, polling data, or anything of value to
the candidate.
`(C) For purposes of this paragraph, all political committees established
and maintained by a national political party (including all congressional
campaign committees) and all political committees established by State political
parties shall be considered to be a single political committee.
`(D) For purposes of subparagraph (A), any coordination between a committee
of a political party and a candidate of the party after the candidate has
filed a statement of candidacy constitutes coordination for the period beginning
with the filing of the statement of candidacy and ending at the end of the
election cycle.'.
(b) DEFINITION OF COORDINATION WITH CANDIDATES-
(1) SECTION 301(8)- Section 301(8) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 431(8)) is amended--
(A) in subparagraph (A)--
(i) by striking `or' at the end of clause (i);
(ii) by striking the period at the end of clause (ii) and inserting
`; or'; and
(iii) by adding at the end the following:
`(iii) any coordinated activity (as defined in subparagraph (C)).';
and
(B) by adding at the end the following:
`(C) The term `coordinated activity' means anything of value provided
by a person in coordination with a candidate, an agent of the candidate,
or the political party of the candidate or its agent for the purpose of
influencing a Federal election (regardless of whether the value being
provided is a communication that is express advocacy) in which such candidate
seeks nomination or election to Federal office, and includes any of the
following:
`(i) A payment made by a person in cooperation, consultation, or concert
with, at the request or suggestion of, or pursuant to any general or
particular understanding with a candidate, the candidate's authorized
committee, the political party of the candidate, or an agent acting
on behalf of a candidate, authorized committee, or the political party
of the candidate.
`(ii) A payment made by a person for the production, dissemination,
distribution, or republication, in whole or in part, of any broadcast
or any written, graphic, or other form of campaign material prepared
by a candidate, a candidate's authorized committee, or an agent of a
candidate or authorized committee (not including a communication described
in paragraph (9)(B)(i) or a communication that expressly advocates the
candidate's defeat).
`(iii) A payment made by a person based on information about a candidate's
plans, projects, or needs provided to the
person making the payment by the candidate or the candidate's agent who provides
the information with the intent that the payment be made.
`(iv) A payment made by a person if, in the same election cycle in which
the payment is made, the person making the payment is serving or has
served as a member, employee, fundraiser, or agent of the candidate's
authorized committee in an executive or policymaking position.
`(v) A payment made by a person if the person making the payment has
served in any formal policymaking or advisory position with the candidate's
campaign or has participated in formal strategic or formal policymaking
discussions (other than any discussion treated as a lobbying contact
under the Lobbying Disclosure Act of 1995 in the case of a candidate
holding Federal office or as a similar lobbying activity in the case
of a candidate holding State or other elective office) with the candidate's
campaign relating to the candidate's pursuit of nomination for election,
or election, to Federal office, in the same election cycle as the election
cycle in which the payment is made.
`(vi) A payment made by a person if, in the same election cycle, the
person making the payment retains the professional services of any person
that has provided or is providing campaign-related services in the same
election cycle to a candidate (including services provided through a
political committee of the candidate's political party) in connection
with the candidate's pursuit of nomination for election, or election,
to Federal office, including services relating to the candidate's decision
to seek Federal office, and the person retained is retained to work
on activities relating to that candidate's campaign.
`(vii) A payment made by a person who has directly participated in fundraising
activities with the candidate or in the solicitation or receipt of contributions
on behalf of the candidate.
`(viii) A payment made by a person who has communicated with the candidate
or an agent of the candidate (including a communication through a political
committee of the candidate's political party) after the declaration
of candidacy (including a pollster, media consultant, vendor, advisor,
or staff member acting on behalf of the candidate), about an advertising
message, allocation of resources, fundraising, or other campaign matters
related to the candidate's campaign, including campaign operations,
staffing, tactics, or strategy.
`(ix) The provision of in-kind professional services or polling data
(including services or data provided through a political committee of
the candidate's political party) to the candidate or candidate's agent.
`(x) A payment made by a person who has engaged in a coordinated activity
with a candidate described in clauses (i) through (ix) for a communication
that clearly refers to the candidate or the candidate's opponent and
is for the purpose of influencing that candidate's election (regardless
of whether the communication is express advocacy).
`(D) For purposes of subparagraph (C), the term `professional services'
means polling, media advice, fundraising, campaign research or direct
mail (except for mailhouse services solely for the distribution of voter
guides as defined in section 301(17)(C)) services in support of a candidate's
pursuit of nomination for election, or election, to Federal office.
`(E) For purposes of subparagraph (C), all political committees established
and maintained by a national political party (including all congressional
campaign committees) and all political committees established and maintained
by a State political party (including any subordinate committee of a State
committee) shall be considered to be a single political committee.'.
(2) SECTION 315(a)(7)- Section 315(a)(7) (2 U.S.C. 441a(a)(7)) is amended
by striking subparagraph (B) and inserting the following:
`(B) a coordinated activity, as described in section 301(8)(C), shall
be considered to be a contribution to the candidate, and in the case of
a limitation on expenditures, shall be treated as an expenditure by the
candidate.'.
(c) MEANING OF CONTRIBUTION OR EXPENDITURE FOR THE PURPOSES OF SECTION 316-
Section 316(b)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441b(b)(2))
is amended by striking `shall include' and inserting `includes a contribution
or expenditure (as those terms are defined in section 301) and also includes'.
TITLE III--VOTER INFORMATION
SEC. 301. FREE BROADCAST TIME.
Section 315 of the Communications Act of 1934 (47 U.S.C. 315) is amended--
(1) in subsection (a), in the third sentence, by striking `within the meaning
of this subsection' and inserting `within the meaning of this subsection
or subsection (c)';
(2) by redesignating subsections (c) and (d) as subsections (d) and (e),
respectively;
(3) by inserting after subsection (b) the following:
`(c) FREE BROADCAST TIME-
`(1) AMOUNT OF TIME- A clean money candidate shall be entitled to receive--
`(A) 30 minutes of free broadcast time during each of the primary election
period and the primary runoff election period; and
`(B) 60 minutes of free broadcast time during the general election period.
`(2) TIME DURING WHICH THE BROADCAST IS AIRED- The broadcast time available
under paragraph (1) shall be--
`(A) with respect to a television broadcast, the time between 6:00 p.m.
and 10:00 p.m. on any day that falls on Monday through Friday; and
`(B) with respect to a radio broadcast, the time between 7:00 a.m. and
9:30 a.m. or between 4:30 p.m. and 7:00 p.m. on any day that falls on
Monday through Friday.
`(3) MAXIMUM REQUIRED OF ANY STATION- The amount of free broadcast time
that any 1 station is required to make available to any 1 clean money candidate
during each of the primary election period, primary runoff election period,
and general election period shall not exceed 15 minutes.
`(4) CONTENT OF BROADCAST- A broadcast under this subsection shall be more
than 30 seconds and less than 5 minutes in length.'; and
(4) in subsection (d) (as redesignated by paragraph (1))--
(A) by striking `and' at the end of paragraph (1);
(B) by striking the period at the end of paragraph (2) and inserting a
semicolon, and by redesignating that paragraph as paragraph (4);
(C) by inserting after paragraph (1) the following:
`(2) the term `clean money candidate' has the meaning given in section 501
of the Federal Election Campaign Act of 1971;
`(3) the term `general election period' has the meaning given in section
501 of the Federal Election Campaign Act of 1971;'; and
(D) by adding at the end the following:
`(5) the term `primary election period' has the meaning given in section
501 of the Federal Election Campaign Act of 1971;
`(6) the term `private money candidate' has the meaning given in section
501 of the Federal Election Campaign Act of 1971; and
`(7) the term `primary runoff election period' has the meaning given in
section 501 of the Federal Election Campaign Act of 1971.'.
SEC. 302. BROADCAST RATES AND PREEMPTION.
(a) BROADCAST RATES- Section 315(b) of the Communications Act of 1934 (47
U.S.C. 315(b)) is amended--
(1) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B),
respectively, and adjusting the margins accordingly;
(2) by striking `The charges' and inserting the following:
`(1) IN GENERAL- Except as provided in paragraph (2), the charges'; and
(3) by adding at the end the following:
`(2) CLEAN MONEY CANDIDATES- In the case of a clean money candidate, the
charges for the use of a television broadcasting station shall not exceed
50 percent of the lowest charge described in paragraph (1)(A) during--
`(A) the 30 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.
`(3) RATE CARDS- A licensee shall provide to a Senate candidate 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.'.
(b) PREEMPTION- Section 315 of the Communications Act of 1934 (47 U.S.C. 315)
(as amended by section 301) is amended--
(1) by redesignating subsections (d) and (e) as subsections (e) and (f),
respectively; and
(2) by inserting after subsection (d) the following:
`(1) IN GENERAL- Except as provided in paragraph (2), a licensee shall not
preempt the use of a broadcasting station by a legally qualified candidate
for the United States 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 broadcasting station, any candidate advertising spot scheduled
to be broadcast during that program may also be preempted.'.
SEC. 303. CAMPAIGN ADVERTISEMENTS; ISSUE ADVERTISEMENTS.
(a) CONTENTS OF CAMPAIGN ADVERTISEMENTS- Section 318 of the Federal Election
Campaign Act of 1971 (2 U.S.C. 441d) is amended--
(A) in the matter preceding paragraph (1)--
(i) by striking `Whenever' and inserting `Whenever a political committee
makes a disbursement for the purpose of financing any communication
through any broadcasting station, newspaper, magazine, outdoor advertising
facility, mailing, or any other type of general public political advertising,
or whenever';
(ii) by striking `an expenditure' and inserting `a disbursement'; and
(iii) by striking `direct'; and
(B) in paragraph (3), by inserting `and permanent street address' after
`name'; and
(2) by adding at the end the following:
`(c) Any printed communication described in subsection (a) shall be--
`(1) of sufficient type size to be clearly readable by the recipient of
the communication;
`(2) contained in a printed box set apart from the other contents of the
communication; and
`(3) consist of a reasonable degree of color contrast between the background
and the printed statement.
`(d)(1) Any broadcast or cablecast communication described in paragraph (1)
or (2) of subsection (a) shall include, in addition to the requirements of
those paragraphs, an audio statement by the candidate that identifies the
candidate and states that the candidate has approved the communication.
`(2) If a broadcast or cablecast communication described in paragraph (1)
is broadcast or cablecast by means of television, the communication shall
include, in addition to the audio statement under paragraph (1), a written
statement which--
`(A) appears at the end of the communication in a clearly readable manner
with a reasonable degree of color contrast between the background and the
printed statement, for a period of at least 4 seconds; and
`(B) is accompanied by a clearly identifiable photographic or similar image
of the candidate.
`(e) Any broadcast or cablecast communication described in subsection (a)(3)
shall include, in addition to the other requirements of this section, in a
clearly spoken manner, the following statement: `XXXXXXXX is responsible
for the content of this advertisement.' (with the blank to be filled in with
the name of the political committee or other person paying for the communication
and the name of any connected organization of the payor). If broadcast or
cablecast by means of television, the statement shall also appear in a clearly
readable manner with a reasonable degree of color contrast between the background
and the printed statement, for a period of at least 4 seconds.
`(f) Any broadcast or cablecast communication described in subsection (a)(1),
made by or on behalf of a private money candidate (as defined in section 501),
shall include, in addition to the other requirements of this section, in a
clearly spoken manner, the following statement: `This candidate has chosen
not to participate in the Clean Money, Clean Elections Act and is receiving
campaign contributions from private sources'.'.
(b) REPORTING REQUIREMENTS FOR ISSUE ADVERTISEMENTS- Section 304 of the Federal
Election Campaign Act of 1971 (2 U.S.C. 434) (as amended by section 103) is
amended by adding at the end the following:
`(f) ISSUE ADVERTISEMENTS-
`(1) IN GENERAL- A person that makes or obligates to make a disbursement
to purchase an issue advertisement shall file a report with the Commission
not later than 48 hours after making or obligating to make the disbursement,
containing the following information--
`(A) the amount of the disbursement;
`(B) the information required under subsection (b)(3)(A) for each person
that makes a contribution, in an aggregate amount of $5,000 or greater
in a calendar year, to the person who makes the disbursement;
`(C) the name and address of the person making the disbursement; and
`(D) the purpose of the issue advertisement.
`(2) DEFINITION OF ISSUE ADVERTISEMENT- In this subsection, the term `issue
advertisement' means a communication through a broadcasting station, newspaper,
magazine, outdoor advertising facility, mailing, or any other type of general
public political advertising--
`(A) the purchase of which is not an independent expenditure or a contribution;
`(B) that contains the name or likeness of a Senate candidate;
`(C) that is communicated during an election year; and
`(D) that recommends a position on a political issue.'.
SEC. 304. LIMIT ON CONGRESSIONAL USE OF THE FRANKING PRIVILEGE.
Section 3210(a)(6) of title 39, United States Code, is amended by striking
subparagraph (A) and inserting the following:
`(A)(i) Except as provided in clause (ii), a Member of Congress shall
not mail any mass mailing as franked mail during a year in which there
will be an election for the seat held by the Member during the period
between January 1 of that year and the date of the general election for
that office, unless the Member has made a public announcement that the
Member will not be a candidate for reelection in that year or for election
to any other Federal office.
`(ii) A Member of Congress may mail a mass mailing as franked mail if--
`(I) the purpose of the mailing is to communicate information about
a public meeting; and
`(II) the content of the mailed matter includes only the candidate's
name, and the date, time, and place of the public meeting.'.
TITLE IV--SOFT MONEY
SEC. 401. SOFT MONEY OF POLITICAL PARTIES.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.)
is amended by adding at the end the following:
`SEC. 323. SOFT MONEY OF POLITICAL PARTIES.
`(a) NATIONAL COMMITTEES-
`(1) IN GENERAL- A national committee of a political party (including a
national congressional campaign committee of a political party) and any
officers or agents of such party committees, shall not solicit, receive,
or direct to another person a contribution, donation, or transfer of funds,
or spend any funds, that are not subject to the limitations, prohibitions,
and reporting requirements of this Act.
`(2) APPLICABILITY- This subsection shall apply to an entity that is directly
or indirectly established, financed, maintained, or controlled by a national
committee of a political party (including a national congressional campaign
committee of a political party), or an entity acting on behalf of a national
committee, and an officer or agent acting on behalf of any such committee
or entity.
`(b) STATE, DISTRICT, AND LOCAL COMMITTEES-
`(1) IN GENERAL- An amount that is expended or disbursed by a State, district,
or local committee of a political party (including an entity that is directly
or indirectly established, financed, maintained, or controlled by a State,
district, or local committee of a political party and an officer or agent
acting on behalf of such committee or entity) for Federal election activity
shall be made from funds subject to the limitations, prohibitions, and reporting
requirements of this Act.
`(2) FEDERAL ELECTION ACTIVITY-
`(A) IN GENERAL- The term `Federal election activity' means--
`(i) voter registration activity during the period that begins on the
date that is 120 days before the date a regularly scheduled Federal
election is held and ends on the date of the election;
`(ii) voter identification, get-out-the-vote activity, or generic campaign
activity conducted in connection with an election in which a candidate
for Federal office appears on the ballot (regardless of whether a candidate
for State or local office also appears on the ballot); and
`(iii) a communication that refers to a clearly identified candidate
for Federal office (regardless of whether a candidate for State or local
office is also mentioned or identified) and is made for the purpose
of influencing a Federal election (regardless of whether the communication
is express advocacy).
`(B) EXCLUDED ACTIVITY- The term `Federal election activity' does not
include an amount expended or disbursed by a State, district, or local
committee of a political party for--
`(i) campaign activity conducted solely on behalf of a clearly identified
candidate for State or local office, provided the campaign activity
is not a Federal election activity described in subparagraph (A);
`(ii) a contribution to a candidate for State or local office, provided
the contribution is not designated or used to pay for a Federal election
activity described in subparagraph (A);
`(iii) the costs of a State, district, or local political convention;
`(iv) the costs of grassroots campaign materials, including buttons,
bumper stickers, and yard signs, that name or depict only a candidate
for State or local office;
`(v) the non-Federal share of a State, district, or local party committee's
administrative and overhead expenses (but not including the compensation
in any month of an individual who spends more than 20 percent of the
individual's time on Federal election activity) as determined by a regulation
promulgated by the Commission to determine the non-Federal share of
a State, district, or local party committee's administrative and overhead
expenses; and
`(vi) the cost of constructing or purchasing an office facility or equipment
for a State, district or local committee.
`(c) FUNDRAISING COSTS- An amount spent by a national, State, district, or
local committee of a political party, by an entity that is established, financed,
maintained, or controlled by a national, State, district, or local committee
of a political party, or by an agent or officer of any such committee or entity,
to raise funds that are used, in whole or in part, to pay the costs of a Federal
election activity shall be made from funds subject to the limitations, prohibitions,
and reporting requirements of this Act.
`(d) TAX-EXEMPT ORGANIZATIONS- A national, State, district, or local committee
of a political party (including a national congressional campaign committee
of a political party), an entity that is directly or indirectly established,
financed, maintained, or controlled by any such national, State, district,
or local committee or its agent, and an officer or agent acting on behalf
of any such party committee or entity, shall not solicit any funds for, or
make or direct any donations to, an organization that is described in section
501(c) of the Internal Revenue Code of 1986 and exempt from taxation under
section 501(a) of such Code (or has submitted an application to
the Secretary of the Treasury for determination of tax-exemption under such
section).
`(1) IN GENERAL- A candidate, individual holding Federal office, agent of
a candidate or individual holding Federal office, or an entity directly
or indirectly established, financed, maintained, or controlled by or acting
on behalf of one or more candidates or individuals holding Federal office,
shall not--
`(A) solicit, receive, direct, transfer, or spend funds in connection
with an election for Federal office, including funds for any Federal election
activity, unless the funds are subject to the limitations, prohibitions,
and reporting requirements of this Act; or
`(B) solicit, receive, direct, transfer, or spend funds in connection
with any election other than an election for Federal office or disburse
funds in connection with such an election unless the funds--
`(i) are not in excess of the amounts permitted with respect to contributions
to candidates and political committees under paragraphs (1) and (2)
of section 315(a); and
`(ii) are not from sources prohibited by this Act from making contributions
with respect to an election for Federal office.
`(2) STATE LAW- Paragraph (1) does not apply to the solicitation, receipt,
or spending of funds by an individual who is a candidate for a State or
local office in connection with such election for State or local office
if the solicitation, receipt, or spending of funds is permitted under State
law for any activity other than a Federal election activity.
`(3) FUNDRAISING EVENTS- Notwithstanding paragraph (1), a candidate may
attend, speak, or be a featured guest at a fundraising event for a State,
district, or local committee of a political party.'.
SEC. 402. STATE PARTY GRASSROOTS FUNDS.
(a) INDIVIDUAL CONTRIBUTIONS- Section 315(a)(1) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 441a(a)(1)) is amended--
(1) in subparagraph (B) by striking `or' at the end;
(2) by redesignating subparagraph (C) as subparagraph (D); and
(3) by inserting after subparagraph (B) the following:
`(i) a State Party Grassroots Fund established and maintained by a State
committee of a political party in any calendar year which, in the aggregate,
exceed $20,000;
`(ii) any other political committee established and maintained by a State
committee of a political party in any calendar year which, in the aggregate,
exceed $5,000;
except that the aggregate contributions described in this subparagraph that
may be made by a person to the State Party Grassroots Fund and all committees
of a State Committee of a political party in any State in any calendar year
shall not exceed $20,000; or'.
(1) IN GENERAL- Section 315(a) of the Federal Election Campaign Act of 1971
(2 U.S.C. 441a(a)) is amended by striking paragraph (3) and inserting the
following:
`(A) INDIVIDUAL LIMIT- No individual shall make contributions during any
calendar year that, in the aggregate, exceed $25,000.
`(B) CALENDAR YEAR- No individual shall make contributions during any
calendar year--
`(i) to all candidates and their authorized political committees that,
in the aggregate, exceed $25,000; or
`(ii) to all political committees established and maintained by State
committees of a political party that, in the aggregate, exceed $20,000.
`(C) NONELECTION YEARS- For purposes of subparagraph (B)(i), any contribution
made to a candidate or the candidate's authorized political committees
in a year other than the calendar year in which the election is held with
respect to which the contribution is made shall be treated as being made
during the calendar year in which the election is held.'.
(c) DEFINITIONS- Section 301 of the Federal Election Campaign Act of 1970
(2 U.S.C. 431) is amended by adding at the end the following:
`(20) GENERIC CAMPAIGN ACTIVITY- The term `generic campaign activity' means
an activity that promotes a political party and does not promote a candidate
or non-Federal candidate.
`(21) STATE PARTY GRASSROOTS FUND- The term `State Party Grassroots Fund'
means a separate segregated fund established and maintained by a State committee
of a political party solely for purposes of making expenditures and other
disbursements described in section 324(d).'.
(d) STATE PARTY GRASSROOTS FUNDS- Title III of the Federal Election Campaign
Act of 1971 (2 U.S.C. 431 et seq.) (as amended by section 401) is amended
by adding at the end the following:
`SEC. 324. STATE PARTY GRASSROOTS FUNDS.
`(a) IN GENERAL- A State committee of a political party shall only make disbursements
and expenditures from the committee's State Party Grassroots Fund that are
described in subsection (d).
`(1) IN GENERAL- Notwithstanding section 315(a)(4), a State committee of
a political party shall not transfer any funds from the committee's State
Party Grassroots Fund to any other State
Party Grassroots Fund or to any other political committee, except as provided
in paragraph (2).
`(2) EXCEPTION- A committee of a political party may transfer funds from
the committee's State Party Grassroots Fund to a district or local committee
of the same political party in the same State if the district or local committee--
`(A) has established a separate segregated fund for the purposes described
in subsection (d); and
`(B) uses the transferred funds solely for those purposes.
`(c) AMOUNTS RECEIVED BY GRASSROOTS FUNDS FROM STATE AND LOCAL CANDIDATE COMMITTEES-
`(1) IN GENERAL- Any amount received by a State Party Grassroots Fund from
a State or local candidate committee for expenditures described in subsection
(d) that are for the benefit of that candidate shall be treated as meeting
the requirements of 323(b)(1) and section 304(d) if--
`(A) the amount is derived from funds which meet the requirements of this
Act with respect to any limitation or prohibition as to source or dollar
amount specified in paragraphs (1)(A) and (2)(A) of section 315(a); and
`(B) the State or local candidate committee--
`(i) maintains, in the account from which payment is made, records of
the sources and amounts of funds for purposes of determining whether
those requirements are met; and
`(ii) certifies that the requirements were met.
`(2) DETERMINATION OF COMPLIANCE- For purposes of paragraph (1)(A), in determining
whether the funds transferred meet the requirements of this Act described
in paragraph (1)(A)--
`(A) a State or local candidate committee's cash on hand shall be treated
as consisting of the funds most recently received by the committee; and
`(B) the committee must be able to demonstrate that its cash on hand contains
funds meeting those requirements sufficient to cover the transferred funds.
`(3) REPORTING- Notwithstanding paragraph (1), any State Party Grassroots
Fund that receives a transfer described in paragraph (1) from a State or
local candidate committee shall be required to meet the reporting requirements
of this Act, and shall submit to the Commission all certifications received,
with respect to receipt of the transfer from the candidate committee.
`(d) DISBURSEMENTS AND EXPENDITURES- A State committee of a political party
may make disbursements and expenditures from its State Party Grassroots Fund
only for--
`(1) any generic campaign activity;
`(2) payments described in clauses (v), (ix), and (xi) of paragraph (8)(B)
and clauses (iv), (viii), and (ix) of paragraph (9)(B) of section 301;
`(3) subject to the limitations of section 315(d), payments described in
clause (xii) of paragraph (8)(B), and clause (ix) of paragraph (9)(B), of
section 301 on behalf of candidates other than for President and Vice President;
`(4) voter registration; and
`(5) development and maintenance of voter files during an even-numbered
calendar year.
`(e) DEFINITION- In this section, the term `State or local candidate committee'
means a committee established, financed, maintained, or controlled by a candidate
for other than Federal office.'.
SEC. 403. REPORTING REQUIREMENTS.
(a) REPORTING REQUIREMENTS- Section 304 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 434) (as amended by section 303(b)) is amended by adding
at the end the following:
`(g) POLITICAL COMMITTEES-
`(1) NATIONAL AND CONGRESSIONAL POLITICAL COMMITTEES- The national committee
of a political party, any congressional campaign committee of a political
party, and any subordinate committee of either, shall report all receipts
and disbursements during the reporting period, whether or not in connection
with an election for Federal office.
`(2) OTHER POLITICAL COMMITTEES TO WHICH SECTION 323 APPLIES- A political
committee to which section 323(b)(1) applies shall report all receipts and
disbursements made for activities described in paragraphs (1) and (2)(A)(iii)
of section 323(b).
`(3) OTHER POLITICAL COMMITTEES- Any political committee to which paragraph
(1) or (2) does not apply shall report any receipts or disbursements that
are used in connection with a Federal election.
`(4) ITEMIZATION- If a political committee has receipts or disbursements
to which this subsection applies from any person aggregating in excess of
$200 for any calendar year, the political committee shall separately itemize
its reporting for the person in the same manner as required in paragraphs
(3)(A), (5), and (6) of subsection (b).
`(5) REPORTING PERIODS- Reports required to be filed under this subsection
shall be filed for the same time periods as reports are required for political
committees under subsection (a).'.
(b) BUILDING FUND EXCEPTION TO THE DEFINITION OF CONTRIBUTION- Section 301(8)(A)
of the Federal Election Campaign Act of 1971 (2 U.S.C. 431(8)(A)) is amended--
(1) by striking clause (viii); and
(2) by redesignating clauses (ix) through (xv) as clauses (viii) through
(xiv), respectively.
(c) REPORTS BY STATE COMMITTEES- Section 304 of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434) (as amended by subsection (a)) is amended by adding
at the end the following:
`(h) FILING OF STATE REPORTS- In lieu of any report required to be filed by
this Act, the Commission may allow a State committee of a political party
to file with the Commission a report required to be filed under State law
if the Commission determines that such reports contain substantially the same
information.'.
(d) OTHER REPORTING REQUIREMENTS-
(1) AUTHORIZED COMMITTEES- Section 304(b)(4) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434(b)(4)) is amended--
(A) by striking `and' at the end of subparagraph (H);
(B) by inserting `and' at the end of subparagraph (I); and
(C) by adding at the end the following:
`(J) in the case of an authorized committee, disbursements for the primary
election, the general election, and any other election in which the candidate
participates;'.
(2) NAMES AND ADDRESSES- Section 304(b)(5)(A) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 434(b)(5)(A)) is amended by striking `operating expense'
and inserting `operating expenditure, and the election to which the operating
expenditure relates'.
SEC. 404. SOFT MONEY OF PERSONS OTHER THAN POLITICAL PARTIES.
Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 434) (as
amended by section 403(c)) is amended by adding at the end the following:
`(i) DISBURSEMENTS OF PERSONS OTHER THAN POLITICAL PARTIES-
`(1) IN GENERAL- A person, other than a political committee of a political
party or a person described in section 501(d) of the Internal Revenue Code
of 1986, that makes an aggregate amount of disbursements in excess of $50,000
during a calendar year for activities described in paragraph (2) shall file
a statement with the Commission--
`(A) on a monthly basis as described in subsection (a)(4)(B); or
`(B) in the case of disbursements that are made within 20 days of an election,
within 24 hours after the disbursements are made.
`(2) ACTIVITY- The activity described in this paragraph is--
`(A) Federal election activity (as defined in section 323(b)(2));
`(B) an activity described in section 316(b)(2)(A) that expresses support
for or opposition to a candidate for Federal office or a political party;
and
`(C) an activity described in subparagraph (B) or (C) of section 316(b)(2).
`(3) APPLICABILITY- This subsection does not apply to--
`(A) a candidate or a candidate's authorized committees; or
`(B) an independent expenditure.
`(4) CONTENTS- A statement under this section shall contain such information
about the disbursements made during the reporting period as the Commission
shall prescribe, including--
`(A) the aggregate amount of disbursements made;
`(B) the name and address of the person or entity to whom a disbursement
is made in an aggregate amount in excess of $200;
`(C) the date made, amount, and purpose of the disbursement; and
`(D) if applicable, whether the disbursement was in support of, or in
opposition to, a candidate or a political party, and the name of the candidate
or the political party.'.
TITLE V--RESTRUCTURING AND STRENGTHENING OF THE FEDERAL ELECTION COMMISSION
SEC. 501. APPOINTMENT AND TERMS OF COMMISSIONERS.
(a) IN GENERAL- Section 306(a) of the Federal Election Campaign Act of 1971
(2 U.S.C. 437c(a)) is amended--
(A) by striking `(1) There is established' and inserting `(1)(A) There
is established';
(B) by striking the second sentence and inserting the following:
`(B) COMPOSITION OF COMMISSION- The Commission is composed of 6 members appointed
by the President, by and with the advice and consent of the Senate, and 1
member appointed by the President from among persons recommended by the Commission
as provided in subparagraph (D).';
(C) by striking `No more than' and inserting the following:
`(C) PARTY AFFILIATION- Not more than'; and
(D) by adding at the end the following:
`(D) NOMINATION BY COMMISSION OF ADDITIONAL MEMBER-
`(i) IN GENERAL- The members of the Commission shall recommend to the President,
by a vote of 4 members, 3 persons for the appointment to the Commission.
`(ii) VACANCY- On vacancy of the position of the member appointed under
this subparagraph, a member shall be appointed to fill the vacancy in the
same manner as provided in clause (i).'; and
(2) in paragraphs (3) and (4), by striking `(other than the Secretary of
the Senate and the Clerk of the House of Representatives)'.
(b) TRANSITION RULE- Not later than 90 days after the date of enactment of
this Act, the Commission shall recommend persons for appointment under section
306(a)(1)(D) of the Federal Election Campaign Act of 1971, as added by subsection
(a)(1)(D).
SEC. 502. AUDITS.
(a) RANDOM AUDIT- Section 311(b) of the Federal Election Campaign Act of 1971
(2 U.S.C. 438(b)) is amended--
(1) by inserting `(1)' before `The Commission'; and
(2) by adding at the end the following:
`(A) IN GENERAL- Notwithstanding paragraph (1), after every primary, general,
and runoff election, the Commission may conduct random audits and investigations
to ensure voluntary compliance with this Act.
`(B) SELECTION OF SUBJECTS- The subjects of audits and investigations
under this paragraph shall be selected on the basis of impartial criteria
established by a vote of at least 4 members of the Commission.
`(C) EXCLUSION- This paragraph does not apply to an authorized committee
of a candidate for President or Vice President subject to audit under
chapter 95 or 96 of the Internal Revenue Code of 1986.'.
SEC. 503. AUTHORITY TO SEEK INJUNCTION.
Section 309(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a))
is amended--
(1) by adding at the end the following:
`(13) AUTHORITY TO SEEK INJUNCTION-
`(A) IN GENERAL- If, at any time in a proceeding described in paragraph
(1), (2), (3), or (4), the Commission believes that--
`(i) there is a substantial likelihood that a violation of this Act is
occurring or is about to occur;
`(ii) the failure to act expeditiously will result in irreparable harm
to a party affected by the potential violation;
`(iii) expeditious action will not cause undue harm or prejudice to the
interests of others; and
`(iv) the public interest would be best served by the issuance of an injunction;
the Commission may initiate a civil action for a temporary restraining order
or preliminary injunction pending the outcome of proceedings under paragraphs
(1), (2), (3), and (4).
`(B) VENUE- An action under subparagraph (A) shall be brought in the United
States district court for the district in which the defendant resides, transacts
business, or may be found, or in which the violation is occurring, has occurred,
or is about to occur.';
(2) in paragraph (7), by striking `(5) or (6)' and inserting `(5), (6),
or (13)'; and
(3) in paragraph (11), by striking `(6)' and inserting `(6) or (13)'.
SEC. 504. STANDARD FOR INVESTIGATION.
Section 309(a)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437f(a)(2))
is amended by striking `reason to believe that' and inserting `reason to open
an investigation on whether'.
SEC. 505. PETITION FOR CERTIORARI.
Section 307(a)(6) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437d(a))
is amended by inserting `(including a proceeding before the Supreme Court
on certiorari)' after `appeal'.
SEC. 506. EXPEDITED PROCEDURES.
Section 309(a) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437g(a))
(as amended by section 503) is amended by adding at the end the following:
`(14) EXPEDITED PROCEDURE-
`(A) 60 DAYS BEFORE A GENERAL ELECTION- If the complaint in a proceeding
was filed within 60 days before the date of a general election, the Commission
may take action described in this subparagraph.
`(B) RESOLUTION BEFORE AN ELECTION- If the Commission determines, on the
basis of facts alleged in the complaint and other facts available to the
Commission, that there is clear and convincing evidence that a violation
of this Act has occurred, is occurring, or is about to occur and it appears
that the requirements for relief stated in clauses (ii), (iii), and (iv)
of paragraph (13)(A) are met, the Commission may--
`(i) order expedited proceedings, shortening the time periods for proceedings
under paragraphs (1), (2), (3), and (4) as necessary to allow the matter
to be resolved in sufficient time before the election to avoid harm
or prejudice to the interests of the parties; or
`(ii) if the Commission determines that there is insufficient time to
conduct proceedings before the election, immediately seek relief under
paragraph (13)(A).
`(C) MERITLESS COMPLAINTS- If the Commission determines, on the basis
of facts alleged in the complaint and other facts available to the Commission,
that the complaint is clearly without merit, the Commission may--
`(i) order expedited proceedings, shortening the time periods for proceedings
under paragraphs (1), (2), (3), and (4) as necessary to allow the matter
to be resolved in sufficient time before the election to avoid harm
or prejudice to the interests of the parties; or
`(ii) if the Commission determines that there is insufficient time to
conduct proceedings before the election, summarily dismiss the complaint.'.
SEC. 507. FILING BY SENATE CANDIDATES WITH COMMISSION.
Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 431 et seq.)
is amended--
(1) in section 302, by striking subsection (g) and inserting the following:
`(g) FILING WITH THE COMMISSION- All designations, statements, and reports
required to be filed under this Act shall be filed with the Commission.';
and
(A) in subsection (a)(6)(A), by striking `the Secretary or'; and
(B) in the matter following subsection (c)(2), by striking `the Secretary
or'.
SEC. 508. POWER TO ISSUE SUBPOENA WITHOUT SIGNATURE OF CHAIRPERSON.
Section 307(a)(3) of the Federal Election Campaign Act of 1971 (2 U.S.C. 437d(a)(3))
is amended by striking `, signed by the chairman or the vice chairman,'.
SEC. 509. PROHIBITION OF FOREIGN MONEY IN FEDERAL ELECTIONS.
Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 441e) is
amended--
(1) by striking the heading and inserting the following: `CONTRIBUTIONS
AND DONATIONS BY FOREIGN NATIONALS'; and
(2) by striking subsection (a) and inserting the following:
`(a) PROHIBITION- It shall be unlawful for--
`(1) a foreign national, directly or indirectly, to make--
`(A) a donation of money or other thing of value, or to make an express
or implied promise to make a donation, in connection with a Federal, State,
or local election; or
`(B) a contribution or donation to a committee of a political party; or
`(2) for a person to solicit, accept, or receive such contribution or donation
from a foreign national.'.
SEC. 510. PENALTIES FOR VIOLATIONS.
(a) INCREASED PENALTIES- Section 309(a) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 437g(a)) is amended--
(1) in paragraphs (5)(A), (6)(A), and (6)(B), by striking `$5,000' and inserting
`$10,000'; and
(2) in paragraphs (5)(B) and (6)(C), by striking `$10,000 or an amount equal
to 200 percent' and inserting `$20,000 or an amount equal to 300 percent'.
(b) EQUITABLE REMEDIES- Section 309(a)(5)(A) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 437g(a)(5)) is amended by striking the period at the
end and inserting `, and may include equitable remedies or penalties, including
disgorgement of funds to the Treasury or community service requirements (including
requirements to participate in public education programs).'.
(c) AUTOMATIC PENALTY FOR LATE FILING- Section 309(a) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 437g(a)) (as amended by section 506) is amended--
(1) by adding at the end the following:
`(15) PENALTY FOR LATE FILING-
`(i) MONETARY PENALTIES- The Commission shall establish a schedule of
mandatory monetary penalties that shall be imposed by the Commission for
failure to meet a time requirement for filing under section 304.
`(ii) REQUIRED FILING- In addition to imposing a penalty, the Commission
may require a report that has not been filed within the time requirements
of section 304 to be filed by a specific date.
`(iii) PROCEDURE- A penalty or filing requirement imposed under this paragraph
shall not be subject to paragraph (1), (2), (3), (4), (5), or (12).
`(B) FILING AN EXCEPTION-
`(i) TIME TO FILE- A political committee shall have 30 days after the
imposition of a penalty or filing requirement by the Commission under
this paragraph in which to file an exception with the Commission.
`(ii) TIME FOR COMMISSION TO RULE- Within 30 days after receiving an exception,
the Commission shall make a determination that is a final agency action
subject to exclusive review by the United States Court of Appeals for
the District of Columbia Circuit under section 706 of title 5, United
States Code, upon petition filed in that court by the political committee
or treasurer that is the subject of the agency action, if the petition
is filed within 30 days after the date of the Commission action for which
review is sought.';
(2) in paragraph (5)(D)--
(A) by inserting after the first sentence the following: `In any case
in which a penalty or filing requirement imposed on a political committee
or treasurer under paragraph (15) has not been satisfied, the Commission
may institute a civil action for enforcement under paragraph (6)(A).';
and
(B) by inserting before the period at the end of the last sentence the
following: `or has failed to pay a penalty or meet a filing requirement
imposed under paragraph (15)'; and
(3) in paragraph (6)(A), by striking `paragraph (4)(A)' and inserting `paragraph
(4)(A) or (15)'.
TITLE VI--EFFECTIVE DATE
SEC. 601. EFFECTIVE DATE.
This Act and the amendments made by this Act take effect on January 1, 2002.
END
