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[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1191 Introduced in Senate (IS)]

105th CONGRESS
  1st Session
                                S. 1191

 To reform the financing of Federal elections, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           September 18, 1997

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

_______________________________________________________________________

                                 A BILL

 
 To reform the financing of Federal elections, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Senate Campaign 
Finance Reform Act of 1997''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
         TITLE I--SENATE ELECTION SPENDING LIMITS AND BENEFITS

Sec. 101. Senate election spending limits and benefits.
           TITLE II--REDUCTION OF SPECIAL INTEREST INFLUENCE

   Subtitle A--Provisions Relating to Soft Money of Political Party 
                               Committees

Sec. 201. Soft money of political party committees.
Sec. 202. State party grassroots funds.
Sec. 203. Reporting requirements.
     Subtitle B--Soft Money of Persons Other Than Political Parties

Sec. 211. Soft money of persons other than political parties.
                       Subtitle C--Contributions

Sec. 221. Prohibition of contributions to Federal candidates and of 
                            donations of anything of value to political 
                            parties by foreign nationals.
Sec. 222. Closing of soft money loophole.
Sec. 223. Contribution to defray legal expenses of certain officials.
                  Subtitle D--Independent Expenditures

Sec. 231. Clarification of definitions relating to independent 
                            expenditures.
Sec. 232. Reporting requirements for independent expenditures.
                       TITLE III--APPROPRIATIONS

Sec. 301. Authorization of appropriations.
  TITLE IV--SEVERABILITY; JUDICIAL REVIEW; EFFECTIVE DATE; REGULATIONS

Sec. 401. Severability.
Sec. 402. Expedited review of constitutional issues.
Sec. 403. Effective date.
Sec. 404. Regulations.

         TITLE I--SENATE ELECTION SPENDING LIMITS AND BENEFITS

SEC. 101. SENATE ELECTION SPENDING LIMITS AND BENEFITS.

    (a) In General.--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--SPENDING LIMITS AND BENEFITS FOR SENATE ELECTION CAMPAIGNS

``SEC. 501. CANDIDATES ELIGIBLE TO RECEIVE BENEFITS.

    ``(a) In General.--For purposes of this title, a candidate is an 
eligible Senate candidate if the candidate--
            ``(1) meets the primary and general election filing 
        requirements of subsections (c) and (d);
            ``(2) meets the primary and runoff election expenditure 
        limits of subsection (b); and
            ``(3) meets the threshold contribution requirements of 
        subsection (e).
    ``(b) Primary and Runoff Expenditure Limits.--The requirements of 
this subsection are met if--
            ``(1) the candidate and the candidate's authorized 
        committees did not make expenditures for the primary election 
        in excess of 67 percent of the general election expenditure 
        limit under section 502(a); and
            ``(2) the candidate and the candidate's authorized 
        committees did not make expenditures for any runoff election in 
        excess of 20 percent of the general election expenditure limit 
        under section 502(a).
    ``(c) Primary Filing Requirements.--
            ``(1) In general.--The requirements of this subsection are 
        met if the candidate files with the Commission a certification 
        that--
                    ``(A) the candidate and the candidate's authorized 
                committees--
                            ``(i) will meet the primary and runoff 
                        election expenditure limits of subsection (b); 
                        and
                            ``(ii) will accept only an amount of 
                        contributions for the primary and runoff 
                        elections that does exceed those limits; and
                    ``(B) the candidate and the candidate's authorized 
                committees will meet the general election expenditure 
                limit under section 502(a).
            ``(2) Deadline for filing certification.--The certification 
        under paragraph (1) shall be filed not later than the date the 
        candidate files as a candidate for the primary election.
    ``(d) General Election Filing Requirements.--
            ``(1) In general.--The requirements of this subsection are 
        met if the candidate files a certification with the Commission 
        under penalty of perjury that--
                    ``(A) the candidate and the candidate's authorized 
                committees--
                            ``(i) met the primary and runoff election 
                        expenditure limits under subsection (b); and
                            ``(ii) did not accept contributions for the 
                        primary or runoff election in excess of the 
                        primary or runoff expenditure limit under 
                        subsection (b), whichever is applicable, 
                        reduced by any amounts transferred to the 
                        current election cycle from a preceding 
                        election cycle;
                    ``(B) at least one other candidate has qualified 
                for the same general election ballot under the law of 
                the candidate's State; and
                    ``(C) the candidate and the authorized committees 
                of the candidate--
                            ``(i) except as otherwise provided by this 
                        title, will not make expenditures that exceed 
                        the general election expenditure limit under 
                        section 502(a);
                            ``(ii) will not accept any contributions in 
                        violation of section 315; and
                            ``(iii) except as otherwise provided by 
                        this title, will not accept any contribution 
                        for the general election involved to the extent 
                        that the contribution would cause the aggregate 
                        amount of contributions to exceed the sum of 
                        the amount of the general election expenditure 
                        limit under section 502(a), reduced by any 
                        amounts transferred to the current election 
                        cycle from a previous election cycle and not 
                        taken into account under subparagraph (A)(ii).
            ``(2) Deadline for filing certification.--The certification 
        under paragraph (1) shall be filed not later than 7 days after 
        the earlier of--
                    ``(A) the date on which the candidate qualifies for 
                the general election ballot under State law; or
                    ``(B) if under State law, a primary or runoff 
                election to qualify for the general election ballot 
                occurs after September 1, the date on which the 
                candidate wins the primary or runoff election.
    ``(e) Threshold Contribution Requirements.--
            ``(1) In general.--The requirements of this subsection are 
        met if the candidate and the candidate's authorized committees 
        have received allowable contributions during the applicable 
        period in an amount at least equal to the lesser of--
                    ``(A) 10 percent of the general election 
                expenditure limit under section 502(a); or
                    ``(B) $250,000.
            ``(2) Definitions.--In this subsection:
                    ``(A) Allowable contribution.--The term `allowable 
                contribution' means a contribution that is made as a 
                gift of money by an individual pursuant to a written 
                instrument identifying the individual as the 
                contributor.
                    ``(B) Applicable period.--The term `applicable 
                period' means--
                            ``(i) the period beginning on January 1 of 
                        the calendar year preceding the calendar year 
                        of the general election involved and ending on 
                        the date on which the certification under 
                        subsection (c)(2) is filed by the candidate; or
                            ``(ii) in the case of a special election 
                        for the office of Senator, the period beginning 
                        on the date on which the vacancy in the office 
                        occurs and ending on the date of the general 
                        election.

``SEC. 502. LIMITATION ON EXPENDITURES.

    ``(a) General Election Expenditure Limit.--
            ``(1) In general.--The aggregate amount of expenditures for 
        a general election by an eligible Senate candidate and the 
        candidate's authorized committees shall not exceed the greater 
        of--
                    ``(A) $950,000; or
                    ``(B) $400,000; plus
                            ``(i) 30 cents multiplied by the voting age 
                        population not in excess of 4,000,000; and
                            ``(ii) 25 cents multiplied by the voting 
                        age population in excess of 4,000,000.
            ``(2) Indexing.--The amounts determined under paragraph (1) 
        shall be increased as of the beginning of each calendar year 
        based on the increase in the price index determined under 
        section 315(c), except that the base period shall be calendar 
        year 1997.
    ``(b) Payment of Taxes.--The limitation under subsection (a) shall 
not apply to any expenditure for Federal, State, or local taxes with 
respect to earnings on contributions raised.

``SEC. 503. MATCHING FUNDS FOR ELIGIBLE SENATE CANDIDATES IN RESPONSE 
              TO EXPENDITURES BY NON-ELIGIBLE OPPONENTS.

    ``(a) In General.--Not later than 5 days after the Commission 
determines that a Senate candidate has made or obligated to make 
expenditures or accepted contributions during an election in an 
aggregate amount in excess of the applicable election expenditure limit 
under section 502(a) or 501(b), the Commission shall make available to 
an eligible Senate candidate in the same election an aggregate amount 
of funds equal to the amount in excess of the applicable limit.
    ``(b) Eligible Senate Candidate Opposed by More Than 1 Non-Eligible 
Senate Candidate.--For purposes of subsection (a), if an eligible 
Senate candidate is opposed by more than 1 non-eligible Senate 
candidate in the same election, the Commission shall take into account 
only the amount of expenditures of the non-eligible Senate candidate 
that expends, in the aggregate, the greatest amount of funds.
    ``(c) Time To Make Determinations.--The Commission may, on the 
request of a candidate or on its own initiative, make a determination 
whether a candidate has made or obligated to make an aggregate amount 
of expenditures in excess of the applicable limit under subsection (a).
    ``(d) Use of Funds.--Funds made available to a candidate under 
subsection (a) shall be used in the same manner as contributions are 
used.
    ``(e) Treatment of Funds.--An expenditure made with funds made 
available to a candidate under this section shall not be treated as an 
expenditure for purposes of the expenditure limits under sections 
501(b) and 502(a).

``SEC. 504. CERTIFICATION BY COMMISSION.

    ``(a) In General.--Not later than 48 hours after an eligible 
candidate qualifies for a general election ballot, the Commission shall 
certify the candidate's eligibility for matching funds under section 
503.
    ``(b) Determinations by Commission.--A determination (including a 
certification under subsection (a)) made by the Commission under this 
title shall be final, except to the extent that the determination is 
subject to examination and audit by the Commission under section 505.

``SEC. 505. REVOCATION; MISUSE OF BENEFITS.

    ``(a) Revocation of Status.--If the Commission determines that any 
eligible Senate candidate has received contributions or made or 
obligated to make expenditures in excess of--
            ``(1) the applicable primary election expenditure limit 
        under this title; or
            ``(2) the applicable general election expenditure limit 
        under this title,
the Commission shall revoke the certification of the candidate as an 
eligible Senate candidate and notify the candidate of the revocation.
    ``(b) Misuse of Benefits.--If the Commission determines that any 
benefit made available to an eligible Senate candidate under this title 
was not used as provided for in this title or that a candidate has 
violated any of the spending limits contained in this Act, the 
Commission shall notify the candidate, and the candidate shall pay the 
Commission an amount equal to the value of the benefit.''.
    (b) Transition Period.--Expenditures made before January 1, 1998, 
shall not be counted as expenditures for purposes of the limitations 
contained in the amendment made by subsection (a).

           TITLE II--REDUCTION OF SPECIAL INTEREST INFLUENCE

   Subtitle A--Provisions Relating to Soft Money of Political Party 
                               Committees

SEC. 201. SOFT MONEY OF POLITICAL PARTY COMMITTEES.

    Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 
301 et seq.) is amended by adding at the end the following:

``SEC. 324. SOFT MONEY OF POLITICAL PARTY COMMITTEES.

    ``(a) National Committees.--A national committee of a political 
party (including a national congressional campaign committee of a 
political party, an entity that is established, financed, maintained, 
or controlled by the national committee, a national congressional 
campaign committee of a political party, and an officer or agent of any 
such party or entity but not including an entity regulated under 
subsection (b)) shall not solicit or receive any contributions, 
donations, or transfers of funds, or spend any funds, not subject to 
the limitations, prohibitions, and reporting requirements of this Act.
    ``(b) State, District, and Local Committees.--
            ``(1) Limitation.--Any amount that is expended or disbursed 
        by a State, district, or local committee of a political party 
        (including an entity that is established, financed, maintained, 
        or controlled by a State, district, or local committee of a 
        political party and an agent or officer of any such committee 
        or entity) during a calendar year in which a Federal election 
        is held, for any activity that might affect the outcome of a 
        Federal election, including any voter registration or get-out-
        the-vote activity, any generic campaign activity, and any 
        communication that identifies a candidate (regardless of 
        whether a candidate for State or local office is also mentioned 
        or identified) shall be made from funds subject to the 
        limitations, prohibitions, and reporting requirements of this 
        Act.
            ``(2) Activity not included in paragraph (1).--
                    ``(A) In general.--Paragraph (1) shall not apply to 
                an expenditure or disbursement made by a State, 
                district, or local committee of a political party for--
                            ``(i) a contribution to a candidate for 
                        State or local office if the contribution is 
                        not designated or otherwise earmarked to pay 
                        for an activity described in paragraph (1);
                            ``(ii) the costs of a State, district, or 
                        local political convention;
                            ``(iii) 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 any 
                        individual who spends more than 20 percent of 
                        the individual's time on activity during the 
                        month that may affect the outcome of a Federal 
                        election) except that for purposes of this 
                        paragraph, the non-Federal share of a party 
                        committee's administrative and overhead 
                        expenses shall be determined by applying the 
                        ratio of the non-Federal disbursements to the 
                        total Federal expenditures and non-Federal 
                        disbursements made by the committee during the 
                        previous presidential election year to the 
                        committee's administrative and overhead 
                        expenses in the election year in question;
                            ``(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; and
                            ``(v) the cost of any campaign activity 
                        conducted solely on behalf of a clearly 
                        identified candidate for State or local office, 
                        if the candidate activity is not an activity 
                        described in paragraph (1).
                    ``(B) Fundraising.--Any amount that is expended or 
                disbursed by a national, State, district, or local 
                committee, by an entity that is established, financed, 
                maintained, or controlled by a 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 
                an activity described in subparagraph (A) shall be made 
                from funds subject to the limitations, prohibitions, 
                and reporting requirements of this Act.
    ``(c) Tax-exempt Organizations.--No national, State, district, or 
local committee of a political party shall solicit any funds for or 
make any donations to an organization that is exempt from Federal 
taxation under section 501(c) of the Internal Revenue Code of 1986.
    ``(d) Candidates.--
            ``(1) In general.--Except as provided in paragraph (2), no 
        candidate, individual holding Federal office, or agent of a 
        candidate or individual holding Federal office may--
                    ``(A) solicit or receive funds in connection with 
                an election for Federal office unless the funds are 
                subject to the limitations, prohibitions, and reporting 
                requirements of this Act; or
                    ``(B) solicit or receive funds that are to be 
                expended in connection with any election for other than 
                a Federal 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) Exception.--Paragraph (1) does not apply to 
                the solicitation or receipt of funds by an individual 
                who is a candidate for a State or local office if the 
                solicitation or receipt of funds is permitted under 
                State law for the individual's State or local campaign 
                committee.''.

SEC. 202. 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)) (as amended by 
section 105) is amended--
            (1) in subparagraph (C) by striking ``or'' at the end;
            (2) by redesignating subparagraph (D) as subparagraph (E); 
        and
            (3) by inserting after subparagraph (C) the following:
            ``(D) to--
                    ``(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''.
    (b) Multicandidate Committee Contributions to State Party.--Section 
315(a)(2) of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441a(a)(2)) 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:
            ``(C) to--
                    ``(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 
                $15,000;
                    ``(ii) to any other political committee established 
                and maintained by a State committee of a political 
                party which, in the aggregate, exceed $5,000;
        except that the aggregate contributions described in this 
        subparagraph that may be made by a multicandidate political 
        committee 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 $15,000; or''.
    (c) Overall Limit.--
            (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:
            ``(3) Overall limit.--
                    ``(A) Election cycle.--No individual shall make 
                contributions during any election cycle that, in the 
                aggregate, exceed $60,000.
                    ``(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.''.
            (2) Definition.--Section 301 of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 431) is amended by adding at the 
        end the following:
            ``(20) Election cycle.--The term `election cycle' means--
                    ``(A) in the case of a candidate or the authorized 
                committees of a candidate, the period beginning on the 
                day after the date of the most recent general election 
                for the specific office or seat that the candidate 
                seeks and ending on the date of the next general 
                election for that office or sea; and
                    ``(B) in the case of all other persons, the period 
                beginning on the first day following the date of the 
                last general election and ending on the date of the 
                next general election.''.
    (d) State Party Grassroots Funds.--
            (1) In general.--Title III of the Federal Election Campaign 
        Act of 1971 (2 U.S.C. 301 et seq.) (as amended by section 201) 
        is amended by adding at the end the following:

``SEC. 325. STATE PARTY GRASSROOTS FUNDS.

    ``(a) 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.
    ``(b) Transfers.--Notwithstanding section 315(a)(4), no funds may 
be transferred by a State committee of a political party from its State 
Party Grassroots Fund to any other State Party Grassroots Fund or to 
any other political committee, except a transfer may be made to a 
district or local committee of the same political party in the same 
State if the district or local committee--
            ``(1) has established a separate segregated fund for the 
        purposes described in section 324(b)(1); and
            ``(2) 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 section 324(b)(1) that are for the 
        benefit of that candidate shall be treated as meeting the 
        requirements of 324(b)(1) and section 304(f) 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.''.
            (2) Definition.--Section 301 of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 431) (as amended by subsection 
        (c)(2)) is amended by adding at the end the following:
            ``(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 the purpose of making expenditures and other disbursements 
        described in section 325(a).''.

SEC. 203. REPORTING REQUIREMENTS.

    (a) Reporting Requirements.--Section 304 of the Federal Election 
Campaign Act of 1971 (2 U.S.C. 434) (as amended by section 232) is 
amended by adding at the end the following:
    ``(f) 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 325 
        applies.--A political committee (not described in paragraph 
        (1)) to which section 325(b)(1) applies shall report all 
        receipts and disbursements.
            ``(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) Transfers to State committees.--Any political 
        committee shall include in its report under paragraph (1) or 
        (2) the amount of any contribution received by a national 
        committee which is to be transferred to a State committee for 
        use directly (or primarily to support) activities described in 
        section 325(b)(2) and shall itemize such amounts to the extent 
        required by subsection (b)(3)(A).
            ``(5) 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 
        such person in the same manner as required in paragraph (3)(A), 
        (5), or (6) of subsection (b).
            ``(6) Reporting periods.--Reports required to be filed 
        under this subsection shall be filed for the same time periods 
        required for political committees under subsection (a).''.
    (b) Report of Exempt Contributions.--Section 301(8) of the Federal 
Election Campaign Act of 1971 (2 U.S.C. 431(8)) is amended by adding at 
the end the following:
                    ``(C) The exclusion provided in subparagraph 
                (B)(viii) shall not apply for purposes of any 
                requirement to report contributions under this Act, and 
                all such contributions aggregating in excess of $200 
                shall be reported.''.
    (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:
    ``(g) 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 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 new 
                subparagraph:
                    ``(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--
                    (A) by striking ``within the calendar year''; and
                    (B) by inserting ``, and the election to which the 
                operating expenditure relates'' after ``operating 
                expenditure''.

     Subtitle B--Soft Money of Persons Other Than Political Parties

SEC. 211. 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 203) is amended by adding at the end the 
following:
    ``(h) Election Activity of Persons Other Than Political Parties.--
            ``(1) In general.--A person other than a committee of a 
        political party that makes aggregate disbursements totaling in 
        excess of $10,000 for activities described in paragraph (2) 
        shall file a statement with the Commission--
                    ``(A) within 48 hours after the disbursements are 
                made; 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) any activity described in section 
                315(b)(2)(A) that refers to any candidate for Federal 
                office, any political party, or any Federal election; 
                and
                    ``(B) any activity described in subparagraph (B) or 
                (C) of section 315(b)(2).
            ``(3) Additional statements.--An additional statement shall 
        be filed each time additional disbursements aggregating $10,000 
        are made by a person described in paragraph (1).
            ``(4) Applicability.--This subsection does not apply to--
                    ``(A) a candidate or a candidate's authorized 
                committees; or
                    ``(B) an independent expenditure.
            ``(5) Contents.--A statement under this section shall 
        contain such information about the disbursements as the 
        Commission shall prescribe, including--
                    ``(A) the name and address of the person or entity 
                to whom the disbursement was made;
                    ``(B) the amount and purpose of the disbursement; 
                and
                    ``(C) 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.''.

                       Subtitle C--Contributions

SEC. 221. PROHIBITION OF CONTRIBUTIONS TO FEDERAL CANDIDATES AND OF 
              DONATIONS OF ANYTHING OF VALUE TO POLITICAL PARTIES BY 
              FOREIGN NATIONALS.

    Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441e) is amended--
            (1) by striking the heading and inserting ``prohibition of 
        contributions to candidates and donations of anything of value 
        to political parties by foreign nationals''; and
            (2) in subsection (a)--
                    (A) by inserting ``or to make a donation of money 
                or any other thing of value to a political committee of 
                a political party'' after ``office''; and
                    (B) by inserting ``or donation'' after 
                ``contribution'' the second place it appears.

SEC. 222. CLOSING OF SOFT MONEY LOOPHOLE.

    Section 315(a)(3) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)(3)) is amended by striking ``contributions'' and 
inserting ``contributions (as defined in section 301) to a candidate or 
donations (including a contribution as defined in section 301) to 
political committees''.

SEC. 223. CONTRIBUTIONS TO DEFRAY LEGAL EXPENSES OF CERTAIN OFFICIALS.

    (a) Contributions to Defray Legal Expenses.--
            (1) Prohibition on making of contributions.--It shall be 
        unlawful for any person to make a contribution to a candidate 
        for nomination to, or election to, a Federal office (as defined 
        in section 301(3) of the Federal Election Campaign Act of 1971 
        (2 U.S.C. 431(3))), an individual who is a holder of a Federal 
        office, or any head of an Executive department, or any entity 
        established on behalf of such individual, to defray legal 
        expenses of such individual--
            (1) to the extent it would result in the aggregate amount 
        of such contributions from such person to or on behalf of such 
        individual to exceed $10,000 for any calendar year; or
            (2) if the person is--
                    (A) a foreign national (as defined in section 
                319(b) of the Federal Election Campaign Act of 1971 (2 
                U.S.C. 441e(b)); or
                    (B) a person prohibited from contributing to the 
                campaign of a candidate under section 316 of the 
                Federal Election Campaign Act of 1971 (2 U.S.C. 441b).
            (2) Prohibition on acceptance of contributions.--No person 
        shall accept a contribution if the contribution would violate 
        paragraph (1).
            (3) Penalty.--A person that knowingly and willfully commits 
        a violation of paragraph (1) or (2) shall be fined an amount 
        not to exceed the greater of $25,000 or 300 percent of the 
        contribution involved in such violation, imprisoned for not 
        more than 1 year, or both.
            (4) Construction of prohibition.--Nothing in this section 
        shall be construed to permit the making of a contribution that 
        is otherwise prohibited by law.
    (b) Reporting Requirements.--A candidate for nomination to, or 
election to, a Federal office, an individual who is a holder of a 
Federal office, or any head of an Executive department, or any entity 
established on behalf of such individual, that accepts contributions to 
defray legal expenses of such individual shall file a quarterly report 
with the Federal Election Commission including the following 
information:
            (1) The name and address of each contributor who makes a 
        contribution in excess of $25.
            (2) The amount of each contribution.
            (3) The name and address of each individual or entity 
        receiving disbursements from the fund.
            (4) A brief description of the nature and amount of each 
        disbursement.
            (5) The name and address of any provider of pro bono 
        services to the fund.
            (6) The fair market value of any pro bono services provided 
        to the fund.

                  Subtitle D--Independent Expenditures

SEC. 231. CLARIFICATION OF DEFINITIONS RELATING TO INDEPENDENT 
              EXPENDITURES.

    Section 301 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
431) is amended by striking paragraphs (17) and (18) and inserting the 
following:
            ``(17) Independent expenditure.--The term `independent 
        expenditure' means an expenditure that--
                    ``(A) contains express advocacy; and
                    ``(B) is made without cooperation or consultation 
                with any candidate, or any authorized committee or 
                agent of such candidate, and which is not made in 
                concert with, or at the request or suggestion of, any 
                candidate, or any authorized committee or agent of such 
                candidate.
            ``(18) Express advocacy.--
                    ``(A) In general.--The term `express advocacy' 
                means a communication that, taken as a whole and with 
                limited reference to external events, makes positive 
                statements about or negative statements about or makes 
                an expression of support for or opposition to a 
                specific candidate, a specific group of candidates, or 
                candidates of a particular political party.
                    ``(B) Expression of support for or opposition to.--
                In subparagraph (A), the term `expression of support 
                for or opposition to' includes a suggestion to take 
                action with respect to an election, such as to vote for 
                or against, make contributions to, or participate in 
                campaign activity, or to refrain from taking action.
                    ``(C) Voting records.--The term `express advocacy' 
                does not include the publication and distribution of a 
                communication that is limited to providing information 
                about votes by elected officials on legislative matters 
                and that does not expressly advocate the election or 
                defeat of a clearly identified candidate.''.

SEC. 232. REPORTING REQUIREMENTS FOR INDEPENDENT EXPENDITURES.

    (a) Time for Reporting Certain Expenditures.--Section 304(c) of the 
Federal Election Campaign Act of 1971 (2 U.S.C. 434(c)) is amended--
            (1) in paragraph (2), by striking the undesignated matter 
        after subparagraph (C);
            (2) by redesignating paragraph (3) as paragraph (4); and
            (3) by inserting after paragraph (2), as amended by 
        paragraph (1), the following:
    ``(d) Time for Reporting Certain Expenditures.--
            ``(1) Expenditures aggregating $1,000.--
                    ``(A) Initial report.--A person that makes or 
                obligates to make independent expenditures aggregating 
                $1,000 or more after the 20th day, but more than 24 
                hours, before an election shall file a report 
                describing the expenditures within 24 hours after that 
                amount of independent expenditures has been made or 
                obligated to be made.
                    ``(B) Additional reports.--After a person files a 
                report under subparagraph (A), the person filing the 
                report shall file an additional report each time that 
                independent expenditures are made or obligated to be 
                made aggregating an additional $1,000 with respect to 
                the same election as that to which the initial report 
                relates.
            ``(2) Expenditures aggregating $10,000.--
                    ``(A) Initial report.--A person that makes or 
                obligates to make independent expenditures aggregating 
                $10,000 or more after the 90th day and up to and 
                including the 20th day before an election shall file a 
                report describing the expenditures within 24 hours 
                after that amount of independent expenditures has been 
                made or obligated to be made.
                    ``(B) Additional reports.--After a person files a 
                report under subparagraph (A), the person filing the 
                report shall file an additional report each time that 
                independent expenditures are made or obligated to be 
                made aggregating an additional $10,000 with respect to 
                the same election as that to which the initial report 
                relates.
            ``(3) Contents of Report.--A report under this subsection--
                    ``(A) shall be filed with the Commission;
                    ``(B) shall contain the information required by 
                subsection (c).''.
    (b) Affidavit Requirement.--Section 304 of the Federal Election 
Campaign Act of 1971 (2 U.S.C. 434) (as amended by subsection (a)) is 
amended--
            (1) in subsection (c)(2)(B), by inserting ``(in the case of 
        a committee, by both the chief executive officer and the 
        treasurer of the committee)'' after ``certification''; and
            (2) by adding at the end the following:
    ``(e) Certification Requirements.--
            ``(1) Commission.--Not later than 48 hours after receipt of 
        a certification under subsection (c)(2)(B), the Commission 
        shall notify the candidate to which the independent expenditure 
        refers and the candidate's campaign manager and campaign 
        treasurer that an expenditure has been made and a certification 
        has been received.
            ``(2) Candidate.--Not later than 48 hours after receipt of 
        notification under paragraph (1), the candidate and the 
        candidate's campaign manager and campaign treasurer shall each 
        file with the Commission a certification, under penalty of 
        perjury, stating whether or not the independent expenditure was 
        made in cooperation, consultation, or concert, with, or at the 
        request or suggestion of, the candidate or authorized committee 
        or agent of such candidate.''.

                       TITLE III--APPROPRIATIONS

SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

    The Federal Election Campaign Act of 1971 is amended--
            (1) by striking section 314 (2 U.S.C. 439c) and inserting 
        the following:

``SEC. 314. [REPEALED].'';

        and
            (2) by inserting after section 407 the following:

``SEC. 408. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this Act and 
chapters 95 and 96 of the Internal Revenue Code of 1986 such sums as 
are necessary.''.

  TITLE IV--SEVERABILITY; JUDICIAL REVIEW; EFFECTIVE DATE; REGULATIONS

SEC. 401. SEVERABILITY.

    If any provision of this Act, an amendment made by this Act, or the 
application of such provision or amendment to any person or 
circumstance is held to be unconstitutional, the remainder of this Act, 
the amendments made by this Act, and the application of the provisions 
of such to any person or circumstance shall not be affected thereby.

SEC. 402. EXPEDITED REVIEW OF CONSTITUTIONAL ISSUES.

    (a) Direct Appeal to Supreme Court.--An appeal may be taken 
directly to the Supreme Court of the United States from any 
interlocutory order or final judgment, decree, or order issued by any 
court ruling on the constitutionality of any provision of this Act or 
amendment made by this Act.
    (b) Acceptance and Expedition.--The Supreme Court shall, if it has 
not previously ruled on the question addressed in the ruling below, 
accept jurisdiction over, advance on the docket, and expedite the 
appeal to the greatest extent possible.

SEC. 403. EFFECTIVE DATE.

    Except as otherwise provided in this Act, the amendments made by, 
and the provisions of, this Act shall take effect on January 1, 1998.

SEC. 404. REGULATIONS.

    The Federal Election Commission shall prescribe any regulations 
required to carry out this Act not later than 9 months after the 
effective date of this Act.
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