II 

Calendar No. 448 

111TH CONGRESS 

2D SESSION H. R. 5175 

IN THE SENATE OF THE UNITED STATES 

JUNE 28, 2010 

Received and read the first time 

JUNE 29, 2010 

Read the second time and placed on the calendar 

AN ACT 

To amend the Federal Election Campaign Act of 1971 to 

prohibit foreign influence in Federal elections, to prohibit 

government contractors from making expenditures with 

respect to such elections, and to establish additional disclosure requirements with respect to spending in such 

elections, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Democracy is Strengthened by Casting Light on Spend6 ing in Elections Act’’ or the ‘‘DISCLOSE Act’’. 


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1 (b) TABLE OF CONTENTS.—The table of contents of 

2 this Act is as follows: 

Sec. 1. Short title; table of contents. 

TITLE I—REGULATION OF CERTAIN POLITICAL SPENDING 

Sec. 101. Prohibiting independent expenditures and electioneering communications by government contractors. 

Sec. 102. Application of ban on contributions and expenditures by foreign nationals to foreign-controlled domestic corporations. 

Sec. 103. Treatment of payments for coordinated communications as contributions. 

Sec. 104. Treatment of political party communications made on behalf of candidates. 

Sec. 105. Restriction on internet communications treated as public communications. 

TITLE II—PROMOTING EFFECTIVE DISCLOSURE OF CAMPAIGNRELATED ACTIVITY 

Subtitle A—Treatment of Independent Expenditures and Electioneering 

Communications Made by All Persons 

Sec. 201. Independent expenditures. 

Sec. 202. Electioneering communications. 

Sec. 203. Mandatory electronic filing by persons making independent expenditures or electioneering communications exceeding $10,000 at 

any time. 

Subtitle B—Expanded Requirements for Corporations and Other 

Organizations 

Sec. 211. Additional information required to be included in reports on disbursements by covered organizations. 

Sec. 212. Rules regarding use of general treasury funds by covered organizations for campaign-related activity. 

Sec. 213. Optional use of separate account by covered organizations for campaign-related activity. 

Sec. 214. Modification of rules relating to disclaimer statements required for 

certain communications. 

Sec. 215. Indexing of certain amounts. 

Subtitle C—Reporting Requirements for Registered Lobbyists 

Sec. 221. Requiring registered lobbyists to report information on independent 

expenditures and electioneering communications. 

TITLE III—DISCLOSURE BY COVERED ORGANIZATIONS OF 

INFORMATION ON CAMPAIGN-RELATED ACTIVITY 

Sec. 301. Requiring disclosure by covered organizations of information on campaign-related activity. 

TITLE IV—OTHER PROVISIONS 

Sec. 401. Judicial review. 


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Sec. 402. No Effect on Protections Against Threats, Harassments, and Reprisals. 

Sec. 403. Severability. 

Sec. 404. Effective date. 

1 TITLE I—REGULATION OF 

2 CERTAIN POLITICAL SPENDING 

3 SEC. 101. PROHIBITING INDEPENDENT EXPENDITURES AND 

4 ELECTIONEERING COMMUNICATIONS BY 

5 GOVERNMENT CONTRACTORS. 

6 (a) PROHIBITION APPLICABLE TO GOVERNMENT

7 CONTRACTORS.— 

8 (1) PROHIBITION.— 

9 (A) IN GENERAL.—Section 317(a)(1) of 

10 the Federal Election Campaign Act of 1971 (2 

11 U.S.C. 441c(a)(1)) is amended by striking 

12 ‘‘purpose or use; or’’ and inserting the fol13 lowing: ‘‘purpose or use, to make any inde14 pendent expenditure, or to disburse any funds 

15 for an electioneering communication; or’’. 

16 (B) CONFORMING AMENDMENT.—The 

17 heading of section 317 of such Act (2 U.S.C. 

18 441c) is amended by striking ‘‘CONTRIBU19 TIONS’’ and inserting ‘‘CONTRIBUTIONS, INDE20 PENDENT EXPENDITURES, AND ELECTION21 EERING COMMUNICATIONS’’. 


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1 (2) THRESHOLD FOR APPLICATION OF BAN.— 

2 Section 317 of such Act (2 U.S.C. 441c) is amend3 ed— 

4 (A) by redesignating subsections (b) and 

5 (c) as subsections (c) and (d); and 

6 (B) by inserting after subsection (a) the 

7 following new subsection: 

8 ‘‘(b) To the extent that subsection (a)(1) prohibits 

9 a person who enters into a contract described in such sub10 section from making any independent expenditure or dis11 bursing funds for an electioneering communication, such 

12 subsection shall apply only if the value of the contract is 

13 equal to or greater than $10,000,000.’’. 

14 (b) APPLICATION TO RECIPIENTS OF ASSISTANCE

15 UNDER TROUBLED ASSET PROGRAM.—Section 317(a) of 

16 such Act (2 U.S.C. 441c(a)) is amended— 

17 (1) by striking ‘‘or’’ at the end of paragraph 

18 (1); 

19 (2) by redesignating paragraph (2) as para20 graph (3); and 

21 (3) by inserting after paragraph (1) the fol22 lowing new paragraph: 

23 ‘‘(2) who enters into negotiations for financial 

24 assistance under title I of the Emergency Economic 

25 Stabilization Act of 2008 (12 U.S.C. 5211 et seq.) 


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1 (relating to the purchase of troubled assets by the 

2 Secretary of the Treasury), during the period— 

3 ‘‘(A) beginning on the later of the com4 mencement of the negotiations or the date of 

5 the enactment of the Democracy is Strength6 ened by Casting Light on Spending in Elections 

7 Act; and 

8 ‘‘(B) ending with the later of the termi9 nation of such negotiations or the repayment of 

10 such financial assistance; 

11 directly or indirectly to make any contribution of 

12 money or other things of value, or to promise ex13 pressly or impliedly to make any such contribution 

14 to any political party, committee, or candidate for 

15 public office or to any person for any political pur16 pose or use, to make any independent expenditure, 

17 or to disburse any funds for an electioneering com18 munication; or’’. 

19 (c) APPLICATION TO PERSONS HOLDING LEASES

20 FOR DRILLING IN OUTER CONTINENTAL SHELF.—Sec21 tion 317(a) of such Act (2 U.S.C. 441c(a)) is amended— 

22 (1) by striking ‘‘or’’ at the end of paragraph 

23 (1); 

24 (2) by redesignating paragraph (2) as para25 graph (3); and 


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1 (3) by inserting after paragraph (1) the fol2 lowing new paragraph: 

3 ‘‘(2) who enters into negotiations for a lease for 

4 exploration for, and development and production of, 

5 oil and gas under the Outer Continental Shelf Lands 

6 Act (43 U.S.C. 1331 et seq.), during the period— 

7 ‘‘(A) beginning on the later of the com8 mencement of the negotiations or the date of 

9 the enactment of the Democracy is Strength10 ened by Casting Light on Spending in Elections 

11 Act; and 

12 ‘‘(B) ending with the later of the termi13 nation of such negotiations or the termination 

14 of such lease; 

15 directly or indirectly to make any contribution of 

16 money or other things of value, or to promise ex17 pressly or impliedly to make any such contribution 

18 to any political party, committee, or candidate for 

19 public office or to any person for any political pur20 pose or use, to make any independent expenditure, 

21 or to disburse any funds for an electioneering com22 munication; or’’. 

23 (d) TECHNICAL AMENDMENT.—Section 317 of such 

24 Act (2 U.S.C. 441c) is amended by striking ‘‘section 321’’ 

25 each place it appears and inserting ‘‘section 316’’. 


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1 SEC. 102. APPLICATION OF BAN ON CONTRIBUTIONS AND 

2 EXPENDITURES BY FOREIGN NATIONALS TO 

3 FOREIGN-CONTROLLED DOMESTIC COR4 PORATIONS. 

5 (a) APPLICATION OF BAN.—Section 319(b) of the 

6 Federal Election Campaign Act of 1971 (2 U.S.C. 

7 441e(b)) is amended— 

8 (1) by striking ‘‘or’’ at the end of paragraph 

9 (1); 

10 (2) by striking the period at the end of para11 graph (2) and inserting ‘‘; or’’; and 

12 (3) by adding at the end the following new 

13 paragraph: 

14 ‘‘(3) any corporation which is not a foreign na15 tional described in paragraph (1) and— 

16 ‘‘(A) in which a foreign national described 

17 in paragraph (1) or (2) directly or indirectly 

18 owns or controls— 

19 ‘‘(i) 5 percent or more of the voting 

20 shares, if the foreign national is a foreign 

21 country, a foreign government official, or a 

22 corporation principally owned or controlled 

23 by a foreign country or foreign government 

24 official; or 


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1 ‘‘(ii) 20 percent or more of the voting 

2 shares, if the foreign national is not de3 scribed in clause (i); 

4 ‘‘(B) in which two or more foreign nation5 als described in paragraph (1) or (2), each of 

6 whom owns or controls at least 5 percent of the 

7 voting shares, directly or indirectly own or con8 trol 50 percent or more of the voting shares; 

9 ‘‘(C) with respect to which the majority of 

10 the members of the board of directors are for11 eign nationals described in paragraph (1) or 

12 (2); 

13 ‘‘(D) over which one or more foreign na14 tionals described in paragraph (1) or (2) has 

15 the power to direct, dictate, or control the deci16 sion-making process of the corporation with re17 spect to its interests in the United States; or 

18 ‘‘(E) over which one or more foreign na19 tionals described in paragraph (1) or (2) has 

20 the power to direct, dictate, or control the deci21 sion-making process of the corporation with re22 spect to activities in connection with a Federal, 

23 State, or local election, including— 

24 ‘‘(i) the making of a contribution, do25 nation, expenditure, independent expendiVerDate Mar 15 2010 01:34 Jun 30, 2010 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H5175.PCS H5175

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1 ture, or disbursement for an electioneering 

2 communication (within the meaning of sec3 tion 304(f)(3)); or 

4 ‘‘(ii) the administration of a political 

5 committee established or maintained by the 

6 corporation.’’. 

7 (b) CERTIFICATION OF COMPLIANCE.—Section 319 

8 of such Act (2 U.S.C. 441e) is amended by adding at the 

9 end the following new subsection: 

10 ‘‘(c) CERTIFICATION OF COMPLIANCE REQUIRED

11 PRIOR TO CARRYING OUT ACTIVITY.—Prior to the mak12 ing in connection with an election for Federal office of any 

13 contribution, donation, expenditure, independent expendi14 ture, or disbursement for an electioneering communication 

15 by a corporation during a year, the chief executive officer 

16 of the corporation (or, if the corporation does not have 

17 a chief executive officer, the highest ranking official of the 

18 corporation), shall file a certification with the Commission, 

19 under penalty of perjury, that the corporation is not pro20 hibited from carrying out such activity under subsection 

21 (b)(3), unless the chief executive officer has previously 

22 filed such a certification during the year. Nothing in this 

23 subsection shall be construed to apply to any contribution, 

24 donation, expenditure, independent expenditure, or dis25 bursement from a separate segregated fund established 


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1 and administered by a corporation under section 

2 316(b)(2)(C).’’. 

3 (c) NO EFFECT ON CERTAIN ACTIVITIES OF DOMES4 TIC CORPORATIONS.—Section 319 of such Act (2 U.S.C. 

5 441e), as amended by subsection (b), is further amended 

6 by adding at the end the following new subsection: 

7 ‘‘(d) NO EFFECT ON CERTAIN ACTIVITIES OF DO8 MESTIC CORPORATIONS.— 

9 ‘‘(1) SEPARATE SEGREGATED FUNDS.—Nothing 

10 in this section shall be construed to prohibit any cor11 poration which is not a foreign national described in 

12 paragraph (1) of subsection (b) from establishing, 

13 administering, and soliciting contributions to a sepa14 rate segregated fund under section 316(b)(2)(C), so 

15 long as none of the amounts in the fund are pro16 vided by any foreign national described in paragraph 

17 (1) or (2) of subsection (b) and no foreign national 

18 described in paragraph (1) or (2) of subsection (b) 

19 has the power to direct, dictate, or control the estab20 lishment or administration of the fund. 

21 ‘‘(2) STATE AND LOCAL ELECTIONS.—Nothing 

22 in this section shall be construed to prohibit any cor23 poration which is not a foreign national described in 

24 paragraph (1) of subsection (b) from making a con25 tribution or donation in connection with a State or 


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1 local election to the extent permitted under State or 

2 local law, so long as no foreign national described in 

3 paragraph (1) or (2) of subsection (b) has the power 

4 to direct, dictate, or control such contribution or do5 nation. 

6 ‘‘(3) OTHER PERMISSIBLE CORPORATE CON7 TRIBUTIONS AND EXPENDITURES.—Nothing in this 

8 section shall be construed to prohibit any corpora9 tion which is not a foreign national described in 

10 paragraph (1) of subsection (b) from carrying out 

11 any activity described in subparagraph (A) or (B) of 

12 section 316(b)(2), so long as none of the amounts 

13 used to carry out the activity are provided by any 

14 foreign national described in paragraph (1) or (2) of 

15 subsection (b) and no foreign national described in 

16 paragraph (1) or (2) of subsection (b) has the power 

17 to direct, dictate, or control such activity.’’. 

18 (d) NO EFFECT ON OTHER LAWS.—Section 319 of 

19 such Act (2 U.S.C. 441e), as amended by subsections (b) 

20 and (c), is further amended by adding at the end the fol21 lowing new subsection: 

22 ‘‘(e) NO EFFECT ON OTHER LAWS.—Nothing in this 

23 section shall be construed to affect the determination of 

24 whether a corporation is treated as a foreign national for 

25 purposes of any law other than this Act.’’. 


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1 SEC. 103. TREATMENT OF PAYMENTS FOR COORDINATED 

2 COMMUNICATIONS AS CONTRIBUTIONS. 

3 (a) IN GENERAL.—Section 301(8)(A) of the Federal 

4 Election Campaign Act of 1971 (2 U.S.C. 431(8)(A)) is 

5 amended— 

6 (1) by striking ‘‘or’’ at the end of clause (i); 

7 (2) by striking the period at the end of clause 

8 (ii) and inserting ‘‘; or’’; and 

9 (3) by adding at the end the following new 

10 clause: 

11 ‘‘(iii) any payment made by any person 

12 (other than a candidate, an authorized com13 mittee of a candidate, or a political committee 

14 of a political party) for a coordinated commu15 nication (as determined under section 324).’’. 

16 (b) COORDINATED COMMUNICATIONS DESCRIBED.— 

17 Section 324 of such Act (2 U.S.C. 441k) is amended to 

18 read as follows: 

19 ‘‘SEC. 324. COORDINATED COMMUNICATIONS. 

20 ‘‘(a) COORDINATED COMMUNICATIONS DEFINED.— 

21 ‘‘(1) IN GENERAL.—For purposes of this Act, 

22 the term ‘coordinated communication’ means— 

23 ‘‘(A) a covered communication which, sub24 ject to subsection (c), is made in cooperation, 

25 consultation, or concert with, or at the request 

26 or suggestion of, a candidate, an authorized 


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1 committee of a candidate, or a political com2 mittee of a political party; or 

3 ‘‘(B) any communication that republishes, 

4 disseminates, or distributes, in whole or in part, 

5 any broadcast or any written, graphic, or other 

6 form of campaign material prepared by a can7 didate, an authorized committee of a candidate, 

8 or their agents. 

9 ‘‘(2) EXCEPTION.—The term ‘coordinated com10 munication’ does not include— 

11 ‘‘(A) a communication appearing in a news 

12 story, commentary, or editorial distributed 

13 through the facilities of any broadcasting sta14 tion, newspaper, magazine, or other periodical 

15 publication, unless such facilities are owned or 

16 controlled by any political party, political com17 mittee, or candidate; or 

18 ‘‘(B) a communication which constitutes a 

19 candidate debate or forum conducted pursuant 

20 to the regulations adopted by the Commission 

21 to carry out section 304(f)(3)(B)(iii), or which 

22 solely promotes such a debate or forum and is 

23 made by or on behalf of the person sponsoring 

24 the debate or forum. 

25 ‘‘(b) COVERED COMMUNICATION DEFINED.— 


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1 ‘‘(1) IN GENERAL.—Except as provided in para2 graph (4), for purposes of this subsection, the term 

3 ‘covered communication’ means, for purposes of the 

4 applicable election period described in paragraph (2) 

5 and with respect to the coordinated communication 

6 involved, a public communication (as defined in sec7 tion 301(22)) that refers to the candidate described 

8 in subsection (a)(1)(A) or an opponent of such can9 didate and is publicly distributed or publicly dissemi10 nated during such period. 

11 ‘‘(2) APPLICABLE ELECTION PERIOD.—For 

12 purposes of paragraph (1), the ‘applicable election 

13 period’ with respect to a communication means— 

14 ‘‘(A) in the case of a communication which 

15 refers to a candidate for the office of President 

16 or Vice President, the period— 

17 ‘‘(i) beginning with the date that is 

18 120 days before the date of the first pri19 mary election, preference election, or nomi20 nating convention for nomination for the 

21 office of President which is held in any 

22 State; and 

23 ‘‘(ii) ending with the date of the gen24 eral election for such office; or 


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1 ‘‘(B) in the case of a communication which 

2 refers to a candidate for any other Federal of3 fice, the period— 

4 ‘‘(i) beginning with the date that is 90 

5 days before the earliest of the primary 

6 election, preference election, or nominating 

7 convention with respect to the nomination 

8 for the office that the candidate is seeking; 

9 and 

10 ‘‘(ii) ending with the date of the gen11 eral election for such office. 

12 ‘‘(3) SPECIAL RULE FOR PUBLIC DISTRIBUTION

13 OF COMMUNICATIONS INVOLVING CONGRESSIONAL

14 CANDIDATES.—For purposes of paragraph (1), in 

15 the case of a communication involving a candidate 

16 for an office other than President or Vice President, 

17 the communication shall be considered to be publicly 

18 distributed or publicly disseminated only if the dis19 semination or distribution occurs in the jurisdiction 

20 of the office that the candidate is seeking. 

21 ‘‘(c) NO FINDING OF COORDINATION BASED SOLELY

22 ON SHARING OF INFORMATION REGARDING LEGISLATIVE

23 OR POLICY POSITION.—For purposes of subsection (a)(1), 

24 a covered communication shall not be considered to be 

25 made in cooperation, consultation, or concert with, or at 


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1 the request or suggestion of, a candidate, an authorized 

2 committee of a candidate, or a political committee of a 

3 political party solely on the grounds that a person or an 

4 agent thereof engaged in discussions with to the candidate 

5 or committee regarding that person’s position on a legisla6 tive or policy matter (including urging the candidate or 

7 party to adopt that person’s position), so long as there 

8 is no discussion between the person and the candidate or 

9 committee regarding the candidate’s campaign plans, 

10 projects, activities, or needs. 

11 ‘‘(d) PRESERVATION OF CERTAIN SAFE HARBORS

12 AND FIREWALLS.—Nothing in this section may be con13 strued to affect 11 CFR 109.21(g) or (h), as in effect on 

14 the date of the enactment of the Democracy is Strength15 ened by Casting Light on Spending in Elections Act. 

16 ‘‘(e) TREATMENT OF COORDINATION WITH POLIT17 ICAL PARTIES FOR COMMUNICATIONS REFERRING TO

18 CANDIDATES.—For purposes of this section, if a commu19 nication which refers to any clearly identified candidate 

20 or candidates of a political party or any opponent of such 

21 a candidate or candidates is determined to have been made 

22 in cooperation, consultation, or concert with or at the re23 quest or suggestion of a political committee of the political 

24 party but not in cooperation, consultation, or concert with 

25 or at the request or suggestion of such clearly identified 


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1 candidate or candidates, the communication shall be treat2 ed as having been made in cooperation, consultation, or 

3 concert with or at the request or suggestion of the political 

4 committee of the political party but not with or at the 

5 request or suggestion of such clearly identified candidate 

6 or candidates.’’. 

7 (c) EFFECTIVE DATE.— 

8 (1) IN GENERAL.—This section and the amend9 ments made by this section shall apply with respect 

10 to payments made on or after the expiration of the 

11 30-day period which begins on the date of the enact12 ment of this Act, without regard to whether or not 

13 the Federal Election Commission has promulgated 

14 regulations to carry out such amendments. 

15 (2) TRANSITION RULE FOR ACTIONS TAKEN

16 PRIOR TO ENACTMENT.—No person shall be consid17 ered to have made a payment for a coordinated com18 munication under section 324 of the Federal Elec19 tion Campaign Act of 1971 (as amended by sub20 section (b)) by reason of any action taken by the 

21 person prior to the date of the enactment of this 

22 Act. Nothing in the previous sentence shall be con23 strued to affect any determination under any other 

24 provision of such Act which is in effect on the date 

25 of the enactment of this Act regarding whether a 


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1 communication is made in cooperation, consultation, 

2 or concert with, or at the request or suggestion of, 

3 a candidate, an authorized committee of a candidate, 

4 or a political committee of a political party. 

5 SEC. 104. TREATMENT OF POLITICAL PARTY COMMUNICA6 TIONS MADE ON BEHALF OF CANDIDATES. 

7 (a) TREATMENT OF PAYMENT FOR PUBLIC COMMU8 NICATION AS CONTRIBUTION IF MADE UNDER CONTROL

9 OR DIRECTION OF CANDIDATE.—Section 301(8)(A) of the 

10 Federal Election Campaign Act of 1971 (2 U.S.C. 

11 431(8)(A)), as amended by section 103(a), is amended— 

12 (1) by striking ‘‘or’’ at the end of clause (ii); 

13 (2) by striking the period at the end of clause 

14 (iii) and inserting ‘‘; or’’; and 

15 (3) by adding at the end the following new 

16 clause: 

17 ‘‘(iv) any payment by a political committee 

18 of a political party for the direct costs of a pub19 lic communication (as defined in paragraph 

20 (22)) made on behalf of a candidate for Federal 

21 office who is affiliated with such party, but only 

22 if the communication is controlled by, or made 

23 at the direction of, the candidate or an author24 ized committee of the candidate.’’. 


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1 (b) REQUIRING CONTROL OR DIRECTION BY CAN2 DIDATE FOR TREATMENT AS COORDINATED PARTY EX3 PENDITURE.— 

4 (1) IN GENERAL.—Paragraph (4) of section 

5 315(d) of such Act (2 U.S.C. 441a(d)) is amended 

6 to read as follows: 

7 ‘‘(4) SPECIAL RULE FOR DIRECT COSTS OF COMMU8 NICATIONS.—The direct costs incurred by a political com9 mittee of a political party for a communication made in 

10 connection with the campaign of a candidate for Federal 

11 office shall not be subject to the limitations contained in 

12 paragraphs (2) and (3) unless the communication is con13 trolled by, or made at the direction of, the candidate or 

14 an authorized committee of the candidate.’’. 

15 (2) CONFORMING AMENDMENT.—Paragraph (1) 

16 of section 315(d) of such Act (2 U.S.C. 441a(d)) is 

17 amended by striking ‘‘paragraphs (2), (3), and (4)’’ 

18 and inserting ‘‘paragraphs (2) and (3)’’. 

19 (c) EFFECTIVE DATE.—This section and the amend20 ments made by this section shall apply with respect to pay21 ments made on or after the expiration of the 30-day period 

22 which begins on the date of the enactment of this Act, 

23 without regard to whether or not the Federal Election 

24 Commission has promulgated regulations to carry out 

25 such amendments. 


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1 SEC. 105. RESTRICTION ON INTERNET COMMUNICATIONS 

2 TREATED AS PUBLIC COMMUNICATIONS. 

3 (a) IN GENERAL.—Section 301(22) of the Federal 

4 Election Campaign Act of 1971 (2 U.S.C. 431(22)) is 

5 amended by adding at the end the following new sentence: 

6 ‘‘A communication which is disseminated through the 

7 Internet shall not be treated as a form of general public 

8 political advertising under this paragraph unless the com9 munication was placed for a fee on another person’s Web 

10 site.’’. 

11 (b) EFFECTIVE DATE.—The amendment made by 

12 subsection (a) shall take effect on the date of the enact13 ment of this Act. 

14 TITLE II—PROMOTING EFFEC15 TIVE DISCLOSURE OF CAM16 PAIGN-RELATED ACTIVITY 

17 Subtitle A—Treatment of Inde18 pendent Expenditures and Elec19 tioneering Communications 

20 Made by All Persons 

21 SEC. 201. INDEPENDENT EXPENDITURES. 

22 (a) REVISION OF DEFINITION.—Subparagraph (A) of 

23 section 301(17) of the Federal Election Campaign Act of 

24 1971 (2 U.S.C. 431(17)) is amended to read as follows: 

25 ‘‘(A) that, when taken as a whole, ex26 pressly advocates the election or defeat of a 


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1 clearly identified candidate, or is the functional 

2 equivalent of express advocacy because it can be 

3 interpreted by a reasonable person only as ad4 vocating the election or defeat of a candidate, 

5 taking into account whether the communication 

6 involved mentions a candidacy, a political party, 

7 or a challenger to a candidate, or takes a posi8 tion on a candidate’s character, qualifications, 

9 or fitness for office; and’’. 

10 (b) UNIFORM 24-HOUR REPORTING FOR PERSONS

11 MAKING INDEPENDENT EXPENDITURES EXCEEDING

12 $10,000 AT ANY TIME.—Section 304(g) of such Act (2 

13 U.S.C. 434(g)) is amended by striking paragraphs (1) and 

14 (2) and inserting the following: 

15 ‘‘(1) INDEPENDENT EXPENDITURES EXCEED16 ING THRESHOLD AMOUNT.— 

17 ‘‘(A) INITIAL REPORT.—A person (includ18 ing a political committee) that makes or con19 tracts to make independent expenditures in an 

20 aggregate amount equal to or greater than the 

21 threshold amount described in subparagraph 

22 (C) shall electronically file a report describing 

23 the expenditures within 24 hours. 

24 ‘‘(B) ADDITIONAL REPORTS.—After a per25 son files a report under subparagraph (A), the 


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1 person shall electronically file an additional re2 port within 24 hours after each time the person 

3 makes or contracts to make independent ex4 penditures in an aggregate amount equal to or 

5 greater than the threshold amount with respect 

6 to the same election as that to which the initial 

7 report relates. 

8 ‘‘(C) THRESHOLD AMOUNT DESCRIBED.— 

9 In this paragraph, the ‘threshold amount’ 

10 means— 

11 ‘‘(i) during the period up to and in12 cluding the 20th day before the date of an 

13 election, $10,000; or 

14 ‘‘(ii) during the period after the 20th 

15 day, but more than 24 hours, before the 

16 date of an election, $1,000. 

17 ‘‘(2) PUBLIC AVAILABILITY.—Notwithstanding 

18 any other provision of this section, the Commission 

19 shall ensure that the information required to be dis20 closed under this subsection is publicly available 

21 through the Commission website not later than 24 

22 hours after receipt in a manner that is downloadable 

23 in bulk and machine readable.’’. 

24 (c) EFFECTIVE DATE.— 


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1 (1) IN GENERAL.—The amendment made by 

2 subsection (a) shall apply with respect to contribu3 tions and expenditures made on or after the expira4 tion of the 30-day period which begins on the date 

5 of the enactment of this Act, without regard to 

6 whether or not the Federal Election Commission has 

7 promulgated regulations to carry out such amend8 ments. 

9 (2) REPORTING REQUIREMENTS.—The amend10 ment made by subsection (b) shall apply with re11 spect to reports required to be filed after the date 

12 of the enactment of this Act. 

13 SEC. 202. ELECTIONEERING COMMUNICATIONS. 

14 (a) EXPANSION OF PERIOD COVERING GENERAL

15 ELECTION.—Section 304(f)(3)(A)(i)(II)(aa) of the Fed16 eral Election Campaign Act of 1971 (2 U.S.C. 

17 434(f)(3)(A)(i)(II)(aa)) is amended by striking ‘‘60 days’’ 

18 and inserting ‘‘120 days’’. 

19 (b) EFFECTIVE DATE; TRANSITION FOR COMMU20 NICATIONS MADE PRIOR TO ENACTMENT.—The amend21 ment made by subsection (a) shall apply with respect to 

22 communications made on or after the date of the enact23 ment of this Act, without regard to whether or not the 

24 Federal Election Commission has promulgated regulations 

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1 tion which is made prior to the date of the enactment of 

2 this Act shall be treated as an electioneering communica3 tion under section 304(f)(3)(A)(i)(II) of the Federal Elec4 tion Campaign Act of 1971 (as amended by subsection 

5 (a)) unless the communication would be treated as an elec6 tioneering communication under such section if the 

7 amendment made by subsection (a) did not apply. 

8 SEC. 203. MANDATORY ELECTRONIC FILING BY PERSONS 

9 MAKING INDEPENDENT EXPENDITURES OR 

10 ELECTIONEERING COMMUNICATIONS EX11 CEEDING $10,000 AT ANY TIME. 

12 Section 304(d)(1) of the Federal Election Campaign 

13 Act of 1971 (2 U.S.C. 434(d)(1)) is amended— 

14 (1) by striking ‘‘or (g)’’; and 

15 (2) by adding at the end the following: ‘‘Not16 withstanding any other provision of this section, any 

17 person who is required to file a statement under 

18 subsection (f) or subsection (g) shall file the state19 ment in electronic form accessible by computers, in 

20 a manner which ensures that the information pro21 vided is searchable, sortable, and downloadable.’’. 


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1 Subtitle B—Expanded Require2 ments for Corporations and 

3 Other Organizations 

4 SEC. 211. ADDITIONAL INFORMATION REQUIRED TO BE IN5 CLUDED IN REPORTS ON DISBURSEMENTS BY 

6 COVERED ORGANIZATIONS. 

7 (a) INDEPENDENT EXPENDITURE REPORTS.—Sec8 tion 304(g) of the Federal Election Campaign Act of 1971 

9 (2 U.S.C. 434(g)) is amended by adding at the end the 

10 following new paragraph: 

11 ‘‘(5) DISCLOSURE OF ADDITIONAL INFORMA12 TION BY COVERED ORGANIZATIONS MAKING PAY13 MENTS FOR PUBLIC INDEPENDENT EXPENDI14 TURES.— 

15 ‘‘(A) ADDITIONAL INFORMATION.—If a 

16 covered organization makes or contracts to 

17 make public independent expenditures in an ag18 gregate amount equal to or exceeding $10,000 

19 in a calendar year, the report filed by the orga20 nization under this subsection shall include, in 

21 addition to the information required under 

22 paragraph (3), the following information (sub23 ject to subparagraph (B)(iv)): 

24 ‘‘(i) If any person made a donation or 

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1 ing the covered organization reporting pe2 riod which was provided for the purpose of 

3 being used for campaign-related activity or 

4 in response to a solicitation for funds to be 

5 used for campaign-related activity— 

6 ‘‘(I) subject to subparagraph (C), 

7 the identification of each person who 

8 made such donations or payments in 

9 an aggregate amount equal to or ex10 ceeding $600 during such period, pre11 sented in the order of the aggregate 

12 amount of donations or payments 

13 made by such persons during such pe14 riod (with the identification of the 

15 person making the largest donation or 

16 payment appearing first); and 

17 ‘‘(II) if any person identified 

18 under subclause (I) designated that 

19 the donation or payment be used for 

20 campaign-related activity with respect 

21 to a specific election or in support of 

22 a specific candidate, the name of the 

23 election or candidate involved, and if 

24 any such person designated that the 

25 donation or payment be used for a 


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1 specific public independent expendi2 ture, a description of the expenditure. 

3 ‘‘(ii) The identification of each person 

4 who made unrestricted donor payments to 

5 the organization during the covered organi6 zation reporting period— 

7 ‘‘(I) in an aggregate amount 

8 equal to or exceeding $600 during 

9 such period, if any of the disburse10 ments made by the organization for 

11 any of the public independent expendi12 tures which are covered by the report 

13 were not made from the organization’s 

14 Campaign-Related Activity Account 

15 under section 326; or 

16 ‘‘(II) in an aggregate amount 

17 equal to or exceeding $6,000 during 

18 such period, if the disbursements 

19 made by the organization for all of 

20 the public independent expenditures 

21 which are covered by the report were 

22 made exclusively from the organiza23 tion’s Campaign-Related Activity Ac24 count under section 326 (but only if 

25 the organization has made deposits 


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1 described in subparagraph (D) of sec2 tion 326(a)(2) into that Account dur3 ing such period in an aggregate 

4 amount equal to or greater than 

5 $10,000), 

6 presented in the order of the aggregate 

7 amount of payments made by such persons 

8 during such period (with the identification 

9 of the person making the largest payment 

10 appearing first). 

11 ‘‘(B) TREATMENT OF TRANSFERS MADE

12 TO OTHER PERSONS.— 

13 ‘‘(i) IN GENERAL.—Subject to clause 

14 (iii), for purposes of the requirement to file 

15 reports under this subsection (including 

16 the requirement under subparagraph (A) 

17 to include additional information in such 

18 reports), a covered organization which 

19 transfers amounts to another person (other 

20 than the covered organization itself) for 

21 the purpose of making a public inde22 pendent expenditure by that person or by 

23 any other person, or (in accordance with 

24 clause (ii)) which is deemed to have trans25 ferred amounts to another person (other 


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1 than the covered organization itself) for 

2 the purpose of making a public inde3 pendent expenditure by that person or by 

4 any other person, shall be considered to 

5 have made a public independent expendi6 ture. 

7 ‘‘(ii) RULES FOR DEEMING TRANS8 FERS MADE FOR PURPOSE OF MAKING EX9 PENDITURES.—For purposes of clause (i), 

10 in determining whether a covered organiza11 tion which transfers amounts to another 

12 person shall be deemed to have transferred 

13 the amounts for the purpose of making a 

14 public independent expenditure, the fol15 lowing rules apply: 

16 ‘‘(I) The covered organization 

17 shall be deemed to have transferred 

18 the amounts for the purpose of mak19 ing a public independent expenditure 

20 if— 

21 ‘‘(aa) the covered organiza22 tion designates, requests, or sug23 gests that the amounts be used 

24 for public independent expendi25 tures and the person to whom 


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1 the amounts were transferred 

2 agrees to do so; 

3 ‘‘(bb) the person making the 

4 public independent expenditure 

5 or another person acting on that 

6 person’s behalf expressly solicited 

7 the covered organization for a do8 nation or payment for making or 

9 paying for any public inde10 pendent expenditures; 

11 ‘‘(cc) the covered organiza12 tion and the person to whom the 

13 amounts were transferred en14 gaged in written or oral discus15 sion regarding the person either 

16 making, or paying for, any public 

17 independent expenditure, or do18 nating or transferring the 

19 amounts to another person for 

20 that purpose; 

21 ‘‘(dd) the covered organiza22 tion which transferred the funds 

23 knew or had reason to know that 

24 the person to whom the amounts 

25 were transferred intended to 


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1 make public independent expendi2 tures; or 

3 ‘‘(ee) the covered organiza4 tion which transferred the funds 

5 or the person to whom the 

6 amounts were transferred made 

7 one or more public independent 

8 expenditures in an aggregate 

9 amount of $50,000 or more dur10 ing the 2-year period which ends 

11 on the date on which the 

12 amounts were transferred. 

13 ‘‘(II) The covered organization 

14 shall not be deemed to have trans15 ferred the amounts for the purpose of 

16 making a public independent expendi17 ture if— 

18 ‘‘(aa) the transfer was a 

19 commercial transaction occurring 

20 in the ordinary course of business 

21 between the covered organization 

22 and the person to whom the 

23 amounts were transferred, unless 

24 there is affirmative evidence that 

25 the amounts were transferred for 


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1 the purpose of making a public 

2 independent expenditure; or 

3 ‘‘(bb) the covered organiza4 tion and the person to whom the 

5 amounts were transferred mutu6 ally agreed (as provided in sec7 tion 325(b)(1)) that the person 

8 will not use the amounts for cam9 paign-related activity. 

10 ‘‘(iii) SPECIAL RULE REGARDING

11 TRANSFERS AMONG AFFILIATES.— 

12 ‘‘(I) SPECIAL RULE.—In the case 

13 of an amount transferred by one cov14 ered organization to another covered 

15 organization which is treated as a 

16 transfer between affiliates under sub17 clause (II), clause (i) and (ii) shall 

18 apply to the covered organization 

19 which transfers the amount only if the 

20 aggregate amount transferred during 

21 the year by such covered organization 

22 to that same covered organization is 

23 equal to or greater than $50,000. 

24 ‘‘(II) DESCRIPTION OF TRANS25 FERS BETWEEN AFFILIATES.—A 


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1 transfer of amounts from one covered 

2 organization to another covered orga3 nization shall be treated as a transfer 

4 between affiliates if— 

5 ‘‘(aa) one of the organiza6 tions is an affiliate of the other 

7 organization; or 

8 ‘‘(bb) each of the organiza9 tions is an affiliate of the same 

10 organization, 

11 except that the transfer shall not be 

12 treated as a transfer between affiliates 

13 if one of the organizations is estab14 lished for the purpose of disbursing 

15 funds for campaign-related activity. 

16 ‘‘(III) DETERMINATION OF AF17 FILIATE STATUS.—For purposes of 

18 subclause (II), a covered organization 

19 is an affiliate of another covered orga20 nization if— 

21 ‘‘(aa) the governing instru22 ment of the organization requires 

23 it to be bound by decisions of the 

24 other organization; 


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1 ‘‘(bb) the governing board of 

2 the organization includes persons 

3 who are specifically designated 

4 representatives of the other orga5 nization or are members of the 

6 governing board, officers, or paid 

7 executive staff members of the 

8 other organization, or whose 

9 service on the governing board is 

10 contingent upon the approval of 

11 the other organization; or 

12 ‘‘(cc) the organization is 

13 chartered by the other organiza14 tion. 

15 ‘‘(IV) COVERAGE OF TRANSFERS

16 TO AFFILIATED SECTION 501(C)(3) OR17 GANIZATIONS.—This clause shall 

18 apply with respect to an amount 

19 transferred by a covered organization 

20 to an organization described in para21 graph (3) of section 501(c) of the In22 ternal Revenue Code of 1986 and ex23 empt from tax under section 501(a) of 

24 such Code in the same manner as this 

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1 ferred by a covered organization to 

2 another covered organization. 

3 ‘‘(iv) SPECIAL THRESHOLD FOR DIS4 CLOSURE OF DONORS.—Notwithstanding 

5 clause (i) or (ii) of subparagraph (A), if a 

6 covered organization is required to include 

7 the identification of a person described in 

8 such clause in a report filed under this 

9 subsection because the covered organiza10 tion is deemed (in accordance with clause 

11 (ii)) to have transferred amounts for the 

12 purpose of making a public independent 

13 expenditure, the organization shall include 

14 the identification of the person only if the 

15 person made donations or payments (in the 

16 case of a person described in clause (i)(I) 

17 of subparagraph (A)) or unrestricted donor 

18 payments (in the case of a person de19 scribed in clause (ii) of subparagraph (A)) 

20 to the covered organization during the cov21 ered organization reporting period involved 

22 in an aggregate amount equal to or exceed23 ing $10,000. 

24 ‘‘(v) WAIVER OF REQUIREMENT TO

25 FILE REPORT.—Notwithstanding clause 


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1 (i), a covered organization which is consid2 ered to have made a public independent ex3 penditure under such clause shall not be 

4 required to file a report under this sub5 section if— 

6 ‘‘(I) the organization would be 

7 required to file the report solely be8 cause the organization is deemed (in 

9 accordance with clause (ii)) to have 

10 transferred amounts for the purpose 

11 of making a public independent ex12 penditure; 

13 ‘‘(II) no person made donations 

14 or payments (in the case of a person 

15 described in clause (i)(I) of subpara16 graph (A)) or unrestricted donor pay17 ments (in the case of a person de18 scribed in clause (ii) of subparagraph 

19 (A)) to the covered organization dur20 ing the covered organization reporting 

21 period involved in an aggregate 

22 amount equal to or exceeding 

23 $10,000; and 

24 ‘‘(III) all of the persons who 

25 made donations or payments (in the 


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1 case of a person described in clause 

2 (i)(I) of subparagraph (A)) or unre3 stricted donor payments (in the case 

4 of a person described in clause (ii) of 

5 subparagraph (A)) to the covered or6 ganization during the covered organi7 zation reporting period in any amount 

8 were individuals. 

9 ‘‘(C) EXCLUSION OF AMOUNTS DES10 IGNATED FOR OTHER CAMPAIGN-RELATED AC11 TIVITY.—For purposes of subparagraph (A)(i), 

12 in determining the amount of a donation or 

13 payment made by a person which was provided 

14 for the purpose of being used for campaign-re15 lated activity or in response to a solicitation for 

16 funds to be used for campaign-related activity, 

17 there shall be excluded any amount which was 

18 designated by the person to be used— 

19 ‘‘(i) for campaign-related activity de20 scribed in clause (i) of section 

21 325(d)(2)(A) (relating to independent ex22 penditures) with respect to a different elec23 tion, or with respect to a candidate in a 

24 different election, than an election which is 

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1 pendent expenditures covered by the report 

2 involved; or 

3 ‘‘(ii) for any campaign-related activity 

4 described in clause (ii) of section 

5 325(d)(2)(A) (relating to electioneering 

6 communications). 

7 ‘‘(D) EXCLUSION OF AMOUNTS PAID FROM

8 SEPARATE SEGREGATED FUND.—In deter9 mining the amount of public independent ex10 penditures made by a covered organization for 

11 purposes of this paragraph, there shall be ex12 cluded any amounts paid from a separate seg13 regated fund established and administered by 

14 the organization under section 316(b)(2)(C). 

15 ‘‘(E) DETERMINATION OF AMOUNT OF

16 CERTAIN PAYMENTS AMONG AFFILIATES.—For 

17 purposes of determining the amount of any do18 nation, payment, or transfer under this sub19 section which is made by a covered organization 

20 to another covered organization which is an af21 filiate of the covered organization or each of 

22 which is an affiliate of the same organization 

23 (as determined in accordance with subpara24 graph (B)(iii)), to the extent that the donation, 

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1 utable to dues, fees, or assessments which are 

2 paid by individuals on a regular, periodic basis 

3 in accordance with a per-individual calculation 

4 which is made on a regular basis, the donation, 

5 payment, or transfer shall be attributed to the 

6 individuals paying the dues, fees, or assess7 ments and shall not be attributed to the covered 

8 organization. 

9 ‘‘(F) COVERED ORGANIZATION REPORTING

10 PERIOD DESCRIBED.—In this paragraph, the 

11 ‘covered organization reporting period’ is, with 

12 respect to a report filed by a covered organiza13 tion under this subsection— 

14 ‘‘(i) in the case of the first report filed 

15 by a covered organization under this sub16 section which includes information required 

17 under this paragraph, the shorter of— 

18 ‘‘(I) the period which begins on 

19 the effective date of the Democracy is 

20 Strengthened by Casting Light on 

21 Spending in Elections Act and ends 

22 on the last day covered by the report, 

23 or 


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1 ‘‘(II) the 12-month period ending 

2 on the last day covered by the report; 

3 and 

4 ‘‘(ii) in the case of any subsequent re5 port filed by a covered organization under 

6 this subsection which includes information 

7 required under this paragraph, the period 

8 occurring since the most recent report filed 

9 by the organization which includes such in10 formation. 

11 ‘‘(G) COVERED ORGANIZATION DE12 FINED.—In this paragraph, the term ‘covered 

13 organization’ means any of the following: 

14 ‘‘(i) Any corporation which is subject 

15 to section 316(a), other than a corporation 

16 which is an organization described in para17 graph (3) of section 501(c) of the Internal 

18 Revenue Code of 1986 and exempt from 

19 tax under section 501(a) of such Code. 

20 ‘‘(ii) Any labor organization (as de21 fined in section 316). 

22 ‘‘(iii) Any organization described in 

23 paragraph (4), (5), or (6) of section 501(c) 

24 of the Internal Revenue Code of 1986 and 

25 exempt from tax under section 501(a) of 


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1 such Code, other than an exempt section 

2 501(c)(4) organization (as defined in sec3 tion 301(27)). 

4 ‘‘(iv) Any political organization under 

5 section 527 of the Internal Revenue Code 

6 of 1986, other than a political committee 

7 under this Act. 

8 ‘‘(H) OTHER DEFINITIONS.—In this para9 graph— 

10 ‘‘(i) the terms ‘campaign-related activ11 ity’ and ‘unrestricted donor payment’ have 

12 the meaning given such terms in section 

13 325; and 

14 ‘‘(ii) the term ‘public independent ex15 penditure’ means an independent expendi16 ture for a public communication (as de17 fined in section 301(22)).’’. 

18 (b) ELECTIONEERING COMMUNICATION REPORTS.— 

19 (1) IN GENERAL.—Section 304(f) of such Act 

20 (2 U.S.C. 434(f)) is amended— 

21 (A) by redesignating paragraphs (6) and 

22 (7) as paragraphs (7) and (8); and 

23 (B) by inserting after paragraph (5) the 

24 end the following new paragraph: 


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1 ‘‘(6) DISCLOSURE OF ADDITIONAL INFORMA2 TION BY COVERED ORGANIZATIONS.— 

3 ‘‘(A) ADDITIONAL INFORMATION.—If a 

4 covered organization files a statement under 

5 this subsection, the statement shall include, in 

6 addition to the information required under 

7 paragraph (2), the following information (sub8 ject to subparagraph (B)(iv)): 

9 ‘‘(i) If any person made a donation or 

10 payment to the covered organization dur11 ing the covered organization reporting pe12 riod which was provided for the purpose of 

13 being used for campaign-related activity or 

14 in response to a solicitation for funds to be 

15 used for campaign-related activity— 

16 ‘‘(I) subject to subparagraph (C), 

17 the identification of each person who 

18 made such donations or payments in 

19 an aggregate amount equal to or ex20 ceeding $1,000 during such period, 

21 presented in the order of the aggre22 gate amount of donations or payments 

23 made by such persons during such pe24 riod (with the identification of the 


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1 person making the largest donation or 

2 payment appearing first); and 

3 ‘‘(II) if any person identified 

4 under subclause (I) designated that 

5 the donation or payment be used for 

6 campaign-related activity with respect 

7 to a specific election or in support of 

8 a specific candidate, the name of the 

9 election or candidate involved, and if 

10 any such person designated that the 

11 donation or payment be used for a 

12 specific electioneering communication, 

13 a description of the communication. 

14 ‘‘(ii) The identification of each person 

15 who made unrestricted donor payments to 

16 the organization during the covered organi17 zation reporting period— 

18 ‘‘(I) in an aggregate amount 

19 equal to or exceeding $1,000 during 

20 such period, if the organization made 

21 any of the disbursements which are 

22 described in subclause (II) from a 

23 source other than the organization’s 

24 Campaign-Related Activity Account 

25 under section 326; or 


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1 ‘‘(II) in an aggregate amount 

2 equal to or exceeding $10,000 during 

3 such period, if the organization made 

4 from its Campaign-Related Activity 

5 Account under section 326 all of its 

6 disbursements for electioneering com7 munications during such period which 

8 are, on the basis of a reasonable belief 

9 by the organization, subject to treat10 ment as disbursements for an exempt 

11 function for purposes of section 527(f) 

12 of the Internal Revenue Code of 1986 

13 (but only if the organization has made 

14 deposits described in subparagraph 

15 (D) of section 326(a)(2) into that Ac16 count during such period in an aggre17 gate amount equal to or greater than 

18 $10,000), 

19 presented in the order of the aggregate 

20 amount of payments made by such persons 

21 during such period (with the identification 

22 of the person making the largest payment 

23 appearing first). 

24 ‘‘(B) TREATMENT OF TRANSFERS MADE

25 TO OTHER PERSONS.— 


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1 ‘‘(i) IN GENERAL.—Subject to clause 

2 (iii), for purposes of the requirement to file 

3 statements under this subsection (including 

4 the requirement under subparagraph (A) 

5 to include additional information in such 

6 statements), a covered organization which 

7 transfers amounts to another person (other 

8 than the covered organization itself) for 

9 the purpose of making an electioneering 

10 communication by that person or by any 

11 other person, or (in accordance with clause 

12 (ii)) which is deemed to have transferred 

13 amounts to another person (other than the 

14 covered organization itself) for the purpose 

15 of making an electioneering communication 

16 by that person or by any other person, 

17 shall be considered to have made a dis18 bursement for an electioneering commu19 nication. 

20 ‘‘(ii) RULES FOR DEEMING TRANS21 FERS MADE FOR PURPOSE OF MAKING

22 COMMUNICATIONS.—For purposes of 

23 clause (i), in determining whether a cov24 ered organization which transfers amounts 

25 to another person shall be deemed to have 


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1 transferred the amounts for the purpose of 

2 making an electioneering communication, 

3 the following rules apply: 

4 ‘‘(I) The covered organization 

5 shall be deemed to have transferred 

6 the amounts for the purpose of mak7 ing an electioneering communication 

8 if— 

9 ‘‘(aa) the covered organiza10 tion designates, requests, or sug11 gests that the amounts be used 

12 for electioneering communica13 tions and the person to whom the 

14 amounts were transferred agrees 

15 to do so; 

16 ‘‘(bb) the person making the 

17 electioneering communication or 

18 another person acting on that 

19 person’s behalf expressly solicited 

20 the covered organization for a do21 nation or payment for making or 

22 paying for any electioneering 

23 communications; 

24 ‘‘(cc) the covered organiza25 tion and the person to whom the 


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1 amounts were transferred en2 gaged in written or oral discus3 sion regarding the person either 

4 making, or paying for, any elec5 tioneering communication, or do6 nating or transferring the 

7 amounts to another person for 

8 that purpose; 

9 ‘‘(dd) the covered organiza10 tion which transferred the funds 

11 knew or had reason to know that 

12 the person to whom the amounts 

13 were transferred intended to 

14 make electioneering communica15 tions; or 

16 ‘‘(ee) the covered organiza17 tion which transferred the funds 

18 or the person to whom the 

19 amounts were transferred made 

20 one or more electioneering com21 munications in an aggregate 

22 amount of $50,000 or more dur23 ing the 2-year period which ends 

24 on the date on which the 

25 amounts were transferred. 


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1 ‘‘(II) The covered organization 

2 shall not be deemed to have trans3 ferred the amounts for the purpose of 

4 making an electioneering communica5 tion if— 

6 ‘‘(aa) the transfer was a 

7 commercial transaction occurring 

8 in the ordinary course of business 

9 between the covered organization 

10 and the person to whom the 

11 amounts were transferred, unless 

12 there is affirmative evidence that 

13 the amounts were transferred for 

14 the purpose of making an elec15 tioneering communication; or 

16 ‘‘(bb) the covered organiza17 tion and the person to whom the 

18 amounts were transferred mutu19 ally agreed (as provided in sec20 tion 325(b)(1)) that the person 

21 will not use the amounts for cam22 paign-related activity. 

23 ‘‘(iii) SPECIAL RULE REGARDING

24 TRANSFERS AMONG AFFILIATES.— 


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1 ‘‘(I) SPECIAL RULE.—In the case 

2 of an amount transferred by one cov3 ered organization to another covered 

4 organization which is treated as a 

5 transfer between affiliates under sub6 clause (II), clause (i) and (ii) shall 

7 apply to the covered organization 

8 which transfers the amount only if the 

9 aggregate amount transferred during 

10 the year by such covered organization 

11 to that same covered organization is 

12 equal to or greater than $50,000. 

13 ‘‘(II) DESCRIPTION OF TRANS14 FERS BETWEEN AFFILIATES.—A 

15 transfer of amounts from one covered 

16 organization to another covered orga17 nization shall be treated as a transfer 

18 between affiliates if— 

19 ‘‘(aa) one of the organiza20 tions is an affiliate of the other 

21 organization; or 

22 ‘‘(bb) each of the organiza23 tions is an affiliate of the same 

24 organization, 


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1 except that the transfer shall not be 

2 treated as a transfer between affiliates 

3 if one of the organizations is estab4 lished for the purpose of disbursing 

5 funds for campaign-related activity. 

6 ‘‘(III) DETERMINATION OF AF7 FILIATE STATUS.—For purposes of 

8 subclause (II), a covered organization 

9 is an affiliate of another covered orga10 nization if— 

11 ‘‘(aa) the governing instru12 ment of the organization requires 

13 it to be bound by decisions of the 

14 other organization; 

15 ‘‘(bb) the governing board of 

16 the organization includes persons 

17 who are specifically designated 

18 representatives of the other orga19 nization or are members of the 

20 governing board, officers, or paid 

21 executive staff members of the 

22 other organization, or whose 

23 service on the governing board is 

24 contingent upon the approval of 

25 the other organization; or 


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1 ‘‘(cc) the organization is 

2 chartered by the other organiza3 tion. 

4 ‘‘(IV) COVERAGE OF TRANSFERS

5 TO AFFILIATED SECTION 501(C)(3) OR6 GANIZATIONS.—This clause shall 

7 apply with respect to an amount 

8 transferred by a covered organization 

9 to an organization described in para10 graph (3) of section 501(c) of the In11 ternal Revenue Code of 1986 and ex12 empt from tax under section 501(a) of 

13 such Code in the same manner as this 

14 clause applies to an amount trans15 ferred by a covered organization to 

16 another covered organization. 

17 ‘‘(iv) SPECIAL THRESHOLD FOR DIS18 CLOSURE OF DONORS.—Notwithstanding 

19 clause (i) or (ii) of subparagraph (A), if a 

20 covered organization is required to include 

21 the identification of a person described in 

22 such clause in a statement filed under this 

23 subsection because the covered organiza24 tion is deemed (in accordance with clause 

25 (ii)) to have transferred amounts for the 


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1 purpose of making an electioneering com2 munication, the organization shall include 

3 the identification of the person only if the 

4 person made donations or payments (in the 

5 case of a person described in clause (i)(I) 

6 of subparagraph (A)) or unrestricted donor 

7 payments (in the case of a person de8 scribed in clause (ii) of subparagraph (A)) 

9 to the covered organization during the cov10 ered organization reporting period involved 

11 in an aggregate amount equal to or exceed12 ing $10,000. 

13 ‘‘(v) WAIVER OF REQUIREMENT TO

14 FILE STATEMENT.—Notwithstanding 

15 clause (i), a covered organization which is 

16 considered to have made a disbursement 

17 for an electioneering communication under 

18 such clause shall not be required to file a 

19 report under this subsection if— 

20 ‘‘(I) the organization would be 

21 required to file the report solely be22 cause the organization is deemed (in 

23 accordance with clause (ii)) to have 

24 transferred amounts for the purpose 


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1 of making an electioneering commu2 nication; 

3 ‘‘(II) no person made donations 

4 or payments (in the case of a person 

5 described in clause (i)(I) of subpara6 graph (A)) or unrestricted donor pay7 ments (in the case of a person de8 scribed in clause (ii) of subparagraph 

9 (A)) to the covered organization dur10 ing the covered organization reporting 

11 period involved in an aggregate 

12 amount equal to or exceeding 

13 $10,000; and 

14 ‘‘(III) all of the persons who 

15 made donations or payments (in the 

16 case of a person described in clause 

17 (i)(I) of subparagraph (A)) or unre18 stricted donor payments (in the case 

19 of a person described in clause (ii) of 

20 subparagraph (A)) to the covered or21 ganization during the covered organi22 zation reporting period in any amount 

23 were individuals. 

24 ‘‘(C) EXCLUSION OF AMOUNTS DES25 IGNATED FOR OTHER CAMPAIGN-RELATED ACVerDate Mar 15 2010 01:34 Jun 30, 2010 Jkt 089200 PO 00000 Frm 00053 Fmt 6652 Sfmt 6201 E:\BILLS\H5175.PCS H5175

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1 TIVITY.—For purposes of subparagraph (A)(i), 

2 in determining the amount of a donation or 

3 payment made by a person which was provided 

4 for the purpose of being used for campaign-re5 lated activity or in response to a solicitation for 

6 funds to be used for campaign-related activity, 

7 there shall be excluded any amount which was 

8 designated by the person to be used— 

9 ‘‘(i) for campaign-related activity de10 scribed in clause (i) of section 

11 325(d)(2)(A) (relating to independent ex12 penditures) with respect to a different elec13 tion, or with respect to a candidate in a 

14 different election, than an election which is 

15 the subject of any of the public inde16 pendent expenditures covered by the report 

17 involved; or 

18 ‘‘(ii) for any campaign-related activity 

19 described in clause (ii) of section 

20 325(d)(2)(A) (relating to electioneering 

21 communications). 

22 ‘‘(D) DETERMINATION OF AMOUNT OF

23 CERTAIN PAYMENTS AMONG AFFILIATES.—For 

24 purposes of determining the amount of any do25 nation, payment, or transfer under this subVerDate Mar 15 2010 01:34 Jun 30, 2010 Jkt 089200 PO 00000 Frm 00054 Fmt 6652 Sfmt 6201 E:\BILLS\H5175.PCS H5175

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1 section which is made by a covered organization 

2 to another covered organization which is an af3 filiate of the covered organization or each of 

4 which is an affiliate of the same organization 

5 (as determined in accordance with subpara6 graph (B)(iii)), to the extent that the donation, 

7 payment, or transfer consists of funds attrib8 utable to dues, fees, or assessments which are 

9 paid by individuals on a regular, periodic basis 

10 in accordance with a per-individual calculation 

11 which is made on a regular basis, the donation, 

12 payment, or transfer shall be attributed to the 

13 individuals paying the dues, fees, or assess14 ments and shall not be attributed to the covered 

15 organization. 

16 ‘‘(E) COVERED ORGANIZATION REPORTING

17 PERIOD DESCRIBED.—In this paragraph, the 

18 ‘covered organization reporting period’ is, with 

19 respect to a statement filed by a covered orga20 nization under this subsection— 

21 ‘‘(i) in the case of the first statement 

22 filed by a covered organization under this 

23 subsection which includes information re24 quired under this paragraph, the shorter 

25 of— 


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1 ‘‘(I) the period which begins on 

2 the effective date of the Democracy is 

3 Strengthened by Casting Light on 

4 Spending in Elections Act and ends 

5 on the disclosure date for the state6 ment, or 

7 ‘‘(II) the 12-month period ending 

8 on the disclosure date for the state9 ment; and 

10 ‘‘(ii) in the case of any subsequent 

11 statement filed by a covered organization 

12 under this subsection which includes infor13 mation required under this paragraph, the 

14 period occurring since the most recent 

15 statement filed by the organization which 

16 includes such information. 

17 ‘‘(F) COVERED ORGANIZATION DEFINED.— 

18 In this paragraph, the term ‘covered organiza19 tion’ means any of the following: 

20 ‘‘(i) Any corporation which is subject 

21 to section 316(a), other than a corporation 

22 which is an organization described in para23 graph (3) of section 501(c) of the Internal 

24 Revenue Code of 1986 and exempt from 

25 tax under section 501(a) of such Code. 


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1 ‘‘(ii) Any labor organization (as de2 fined in section 316). 

3 ‘‘(iii) Any organization described in 

4 paragraph (4), (5), or (6) of section 501(c) 

5 of the Internal Revenue Code of 1986 and 

6 exempt from tax under section 501(a) of 

7 such Code, other than an exempt section 

8 501(c)(4) organization (as defined in sec9 tion 301(27)). 

10 ‘‘(iv) Any political organization under 

11 section 527 of the Internal Revenue Code 

12 of 1986, other than a political committee 

13 under this Act. 

14 ‘‘(G) OTHER DEFINITIONS.—In this para15 graph, the terms ‘campaign-related activity’ and 

16 ‘unrestricted donor payment’ have the meaning 

17 given such terms in section 325.’’. 

18 (2) CONFORMING AMENDMENT.—Section 

19 304(f)(2) of such Act (2 U.S.C. 434(f)(2)) is 

20 amended by striking ‘‘If the disbursements’’ each 

21 place it appears in subparagraph (E) and (F) and 

22 inserting the following: ‘‘Except in the case of a 

23 statement which is required to include additional in24 formation under paragraph (6), if the disburse25 ments’’. 


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1 (c) EXEMPTION OF CERTAIN SECTION 501(C)(4) OR2 GANIZATIONS.—Section 301 of such Act (2 U.S.C. 431) 

3 is amended by adding at the end the following: 

4 ‘‘(27) EXEMPT SECTION 501(C)(4) ORGANIZA5 TION.—The term ‘exempt section 501(c)(4) organi6 zation’ means, with respect to disbursements made 

7 by an organization during a calendar year, an orga8 nization for which the chief executive officer of the 

9 organization certifies to the Commission (prior to 

10 the first disbursement made by the organization dur11 ing the year) that each of the following applies: 

12 ‘‘(A) The organization is described in para13 graph (4) of section 501(c) of the Internal Rev14 enue Code of 1986 and exempt from tax under 

15 section 501(a) of such Code, and was so de16 scribed and so exempt during each of the 10 

17 previous calendar years. 

18 ‘‘(B) The organization has at least 

19 500,000 individuals who paid membership dues 

20 during the previous calendar year (determined 

21 as of the last day of that year). 

22 ‘‘(C) The dues-paying membership of the 

23 organization includes at least one individual 

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1 eral States, the District of Columbia, and the 

2 Commonwealth of Puerto Rico. 

3 ‘‘(D) During the previous calendar year, 

4 the portion of funds provided to the organiza5 tion by corporations (as described in section 

6 316) or labor organizations (as defined in sec7 tion 316), other than funds provided pursuant 

8 to commercial transactions occurring in the or9 dinary course of business, did not exceed 15 

10 percent of the total amount of all funds pro11 vided to the organization from all sources. 

12 ‘‘(E) The organization does not use any of 

13 the funds provided to the organization by cor14 porations (as described in section 316) or labor 

15 organizations (as defined in section 316) for 

16 campaign-related activity (as defined in section 

17 325).’’. 

18 SEC. 212. RULES REGARDING USE OF GENERAL TREASURY 

19 FUNDS BY COVERED ORGANIZATIONS FOR 

20 CAMPAIGN-RELATED ACTIVITY. 

21 Title III of the Federal Election Campaign Act of 

22 1971 (2 U.S.C. 431 et seq.) is amended by adding at the 

23 end the following new section: 


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1 ‘‘SEC. 325. SPECIAL RULES FOR USE OF GENERAL TREAS2 URY FUNDS BY COVERED ORGANIZATIONS 

3 FOR CAMPAIGN-RELATED ACTIVITY. 

4 ‘‘(a) USE OF FUNDS FOR CAMPAIGN-RELATED AC5 TIVITY.— 

6 ‘‘(1) IN GENERAL.—Subject to any applicable 

7 restrictions and prohibitions under this Act, a cov8 ered organization may make disbursements for cam9 paign-related activity using— 

10 ‘‘(A) amounts paid or donated to the orga11 nization which are designated by the person 

12 providing the amounts to be used for campaign13 related activity; 

14 ‘‘(B) unrestricted donor payments made to 

15 the organization; and 

16 ‘‘(C) other funds of the organization, in17 cluding amounts received pursuant to commer18 cial activities in the regular course of a covered 

19 organization’s business. 

20 ‘‘(2) NO EFFECT ON USE OF SEPARATE SEG21 REGATED FUND.—Nothing in this section shall be 

22 construed to affect the authority of a covered organi23 zation to make disbursements from a separate seg24 regated fund established and administered by the or25 ganization under section 316(b)(2)(C). 


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1 ‘‘(b) MUTUALLY AGREED RESTRICTIONS ON USE OF

2 FUNDS FOR CAMPAIGN-RELATED ACTIVITY.— 

3 ‘‘(1) AGREEMENT AND CERTIFICATION.—If a 

4 covered organization and a person mutually agree, 

5 at the time the person makes a donation, payment, 

6 or transfer to the organization which would require 

7 the organization to disclose the person’s identifica8 tion under section 304(g)(5)(A)(ii) or section 

9 304(f)(6)(A)(ii), that the organization will not use 

10 the donation, payment, or transfer for campaign-re11 lated activity, then not later than 30 days after the 

12 organization receives the donation, payment, or 

13 transfer the organization shall transmit to the per14 son a written certification by the chief financial offi15 cer of the covered organization (or, if the organiza16 tion does not have a chief financial officer, the high17 est ranking financial official of the organization) 

18 that— 

19 ‘‘(A) the organization will not use the do20 nation, payment, or transfer for campaign-re21 lated activity; and 

22 ‘‘(B) the organization will not include any 

23 information on the person in any report filed by 

24 the organization under section 304 with respect 

25 to independent expenditures or electioneering 


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1 communications, so that the person will not be 

2 required to appear in a significant funder state3 ment or a Top 5 Funders list under section 

4 318(e). 

5 ‘‘(2) EXCEPTION FOR PAYMENTS MADE PURSU6 ANT TO COMMERCIAL ACTIVITIES.—Paragraph (1) 

7 does not apply with respect to any payment or trans8 fer made pursuant to commercial activities in the 

9 regular course of a covered organization’s business. 

10 ‘‘(c) CERTIFICATIONS REGARDING DISBURSEMENTS

11 FOR CAMPAIGN-RELATED ACTIVITY.— 

12 ‘‘(1) CERTIFICATION BY CHIEF EXECUTIVE OF13 FICER.—If, at any time during a calendar quarter, 

14 a covered organization makes a disbursement of 

15 funds for campaign-related activity using funds de16 scribed in subsection (a)(1), the chief executive offi17 cer of the covered organization or the chief executive 

18 officer’s designee (or, if the organization does not 

19 have a chief executive officer, the highest ranking of20 ficial of the organization or the highest ranking offi21 cial’s designee) shall file a statement with the Com22 mission which contains the following certifications: 

23 ‘‘(A) None of the campaign-related activity 

24 for which the organization disbursed the funds 

25 during the quarter was made in cooperation, 


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1 consultation, or concert with, or at the request 

2 or suggestion of, any candidate or any author3 ized committee or agent of such candidate, or 

4 political committee of a political party or agent 

5 of any political party. 

6 ‘‘(B) The chief executive officer or highest 

7 ranking official of the covered organization (as 

8 the case may be) has reviewed and approved 

9 each statement and report filed by the organi10 zation under section 304 with respect to any 

11 such disbursement made during the quarter. 

12 ‘‘(C) Each statement and report filed by 

13 the organization under section 304 with respect 

14 to any such disbursement made during the 

15 quarter is complete and accurate. 

16 ‘‘(D) All such disbursements made during 

17 the quarter are in compliance with this Act. 

18 ‘‘(E) No portion of the amounts used to 

19 make any such disbursements during the quar20 ter is attributable to funds received by the orga21 nization that were subject to a mutual agree22 ment (as provided in subsection (b)(1)) that the 

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1 vided the funds from being used for campaign2 related activity pursuant to subsection (b). 

3 ‘‘(2) APPLICATION OF ELECTRONIC FILING

4 RULES.—Section 304(d)(1) shall apply with respect 

5 to a statement required under this subsection in the 

6 same manner as such section applies with respect to 

7 a statement under subsection (c) or (g) of section 

8 304. 

9 ‘‘(3) DEADLINE.—The chief executive officer or 

10 highest ranking official of a covered organization (as 

11 the case may be) shall file the statement required 

12 under this subsection with respect to a calendar 

13 quarter not later than 15 days after the end of the 

14 quarter. 

15 ‘‘(d) DEFINITIONS.—For purposes of this section, the 

16 following definitions apply: 

17 ‘‘(1) COVERED ORGANIZATION.—The term ‘cov18 ered organization’ means any of the following: 

19 ‘‘(A) Any corporation which is subject to 

20 section 316(a), other than a corporation which 

21 is an organization described in paragraph (3) of 

22 section 501(c) of the Internal Revenue Code of 

23 1986 and exempt from tax under section 501(a) 

24 of such Code. 


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1 ‘‘(B) Any labor organization (as defined in 

2 section 316). 

3 ‘‘(C) Any organization described in para4 graph (4), (5), or (6) of section 501(c) of the 

5 Internal Revenue Code of 1986 and exempt 

6 from tax under section 501(a) of such Code, 

7 other than an exempt section 501(c)(4) organi8 zation (as defined in section 301(27)). 

9 ‘‘(D) Any political organization under sec10 tion 527 of the Internal Revenue Code of 1986, 

11 other than a political committee under this Act. 

12 ‘‘(2) CAMPAIGN-RELATED ACTIVITY.— 

13 ‘‘(A) IN GENERAL.—The term ‘campaign14 related activity’ means— 

15 ‘‘(i) an independent expenditure con16 sisting of a public communication (as de17 fined in section 301(22)), a transfer of 

18 funds to another person (other than the 

19 transferor itself) for the purpose of making 

20 such an independent expenditure by that 

21 person or by any other person (subject to 

22 subparagraph (C)), or (in accordance with 

23 subparagraph (B) and subject to subpara24 graph (C)) a transfer of funds to another 

25 person (other than the transferor itself) 


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1 which is deemed to have been made for the 

2 purpose of making such an independent ex3 penditure by that person or by any other 

4 person; or 

5 ‘‘(ii) an electioneering communication, 

6 a transfer of funds to another person 

7 (other than the transferor itself) for the 

8 purpose of making an electioneering com9 munication by that person or by any other 

10 person (subject to subparagraph (C)), or 

11 (in accordance with subparagraph (B) and 

12 subject to subparagraph (C)) a transfer of 

13 funds to another person (other than the 

14 transferor itself)which is deemed to have 

15 been made for the purpose of making an 

16 electioneering communication by that per17 son or by any other person. 

18 ‘‘(B) RULE FOR DEEMING TRANSFERS

19 MADE FOR PURPOSE OF CAMPAIGN-RELATED

20 ACTIVITY.—For purposes of subparagraph (A), 

21 in determining whether a transfer of funds by 

22 a covered organization to another person shall 

23 be deemed to have been made for the purpose 

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1 tioneering communication, the following rules 

2 apply: 

3 ‘‘(i) The transfer shall be deemed to 

4 have been made for the purpose of making 

5 such an independent expenditure or an 

6 electioneering communication if— 

7 ‘‘(I) the covered organization des8 ignates, requests, or suggests that the 

9 amounts be used for such independent 

10 expenditures or electioneering commu11 nications and the person to whom the 

12 amounts were transferred agrees to do 

13 so; 

14 ‘‘(II) the person making such 

15 independent expenditures or election16 eering communications or another 

17 person acting on that person’s behalf 

18 expressly solicited the covered organi19 zation for a donation or payment for 

20 making or paying for any such inde21 pendent expenditure or electioneering 

22 communication; 

23 ‘‘(III) the covered organization 

24 and the person to whom the amounts 

25 were transferred engaged in written or 


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1 oral discussion regarding the person 

2 either making, or paying for, such 

3 independent expenditures or election4 eering communications, or donating or 

5 transferring the amounts to another 

6 person for that purpose; 

7 ‘‘(IV) the covered organization 

8 which transferred the funds knew or 

9 had reason to know that the person to 

10 whom the amounts were transferred 

11 intended to make such independent 

12 expenditures or electioneering commu13 nications; or 

14 ‘‘(V) the covered organization 

15 which transferred the funds or the 

16 person to whom the amounts were 

17 transferred made one or more such 

18 independent expenditures or election19 eering communications in an aggre20 gate amount of $50,000 or more dur21 ing the 2-year period which ends on 

22 the date on which the amounts were 

23 transferred. 

24 ‘‘(ii) The transfer shall not be deemed 

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1 ing such an independent expenditure or an 

2 electioneering communication if— 

3 ‘‘(I) the transfer was a commer4 cial transaction occurring in the ordi5 nary course of business between the 

6 covered organization and the person 

7 to whom the amounts were trans8 ferred, unless there is affirmative evi9 dence that the amounts were trans10 ferred for the purpose of making such 

11 an independent expenditure or elec12 tioneering communication; or 

13 ‘‘(II) the covered organization 

14 and the person to whom the amounts 

15 were transferred mutually agreed (as 

16 provided in subsection (b)(1)) that the 

17 person will not use the amounts for 

18 campaign-related activity. 

19 ‘‘(C) SPECIAL RULE REGARDING TRANS20 FERS AMONG AFFILIATES.— 

21 ‘‘(I) SPECIAL RULE.—In the case of a 

22 transfer of an amount by one covered orga23 nization to another covered organization 

24 which is treated as a transfer between af25 filiates under clause (ii), subparagraphs 


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1 (A) and (B) shall apply to the transfer 

2 only if the aggregate amount transferred 

3 during the year by such covered organiza4 tion to that same covered organization is 

5 equal to or greater than $50,000. 

6 ‘‘(ii) DETERMINATION OF AMOUNT OF

7 CERTAIN TRANSFERS AMONG AFFILI8 ATES.—In determining the amount of a 

9 transfer between affiliates for purposes of 

10 clause (I), to the extent that the transfer 

11 consists of funds attributable to dues, fees, 

12 or assessments which are paid by individ13 uals on a regular, periodic basis in accord14 ance with a per-individual calculation 

15 which is made on a regular basis, the 

16 transfer shall be attributed to the individ17 uals paying the dues, fees, or assessments 

18 and shall not be attributed to the covered 

19 organization. 

20 ‘‘(iii) DESCRIPTION OF TRANSFERS

21 BETWEEN AFFILIATES.—A transfer of 

22 amounts from one covered organization to 

23 another covered organization shall be 

24 treated as a transfer between affiliates if— 


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1 ‘‘(I) one of the organizations is 

2 an affiliate of the other organization; 

3 or 

4 ‘‘(II) each of the organizations is 

5 an affiliate of the same organization, 

6 except that the transfer shall not be treat7 ed as a transfer between affiliates if one of 

8 the organizations is established for the 

9 purpose of disbursing funds for campaign10 related activity. 

11 ‘‘(iv) DETERMINATION OF AFFILIATE

12 STATUS.—For purposes of clause (ii), a 

13 covered organization is an affiliate of an14 other covered organization if— 

15 ‘‘(I) the governing instrument of 

16 the organization requires it to be 

17 bound by decisions of the other orga18 nization; 

19 ‘‘(II) the governing board of the 

20 organization includes persons who are 

21 specifically designated representatives 

22 of the other organization or are mem23 bers of the governing board, officers, 

24 or paid executive staff members of the 

25 other organization, or whose service 


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1 on the governing board is contingent 

2 upon the approval of the other organi3 zation; or 

4 ‘‘(III) the organization is char5 tered by the other organization. 

6 ‘‘(v) COVERAGE OF TRANSFERS TO

7 AFFILIATED SECTION 501(C)(3) ORGANIZA8 TIONS.—This subparagraph shall apply 

9 with respect to an amount transferred by 

10 a covered organization to an organization 

11 described in paragraph (3) of section 

12 501(c) of the Internal Revenue Code of 

13 1986 and exempt from tax under section 

14 501(a) of such Code in the same manner 

15 as this subparagraph applies to an amount 

16 transferred by a covered organization to 

17 another covered organization. 

18 ‘‘(3) UNRESTRICTED DONOR PAYMENT.—The 

19 term ‘unrestricted donor payment’ means a payment 

20 to a covered organization which consists of a dona21 tion or payment from a person other than the cov22 ered organization, except that such term does not in23 clude— 


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1 ‘‘(A) any payment made pursuant to com2 mercial activities in the regular course of a cov3 ered organization’s business; or 

4 ‘‘(B) any donation or payment which is 

5 designated by the person making the donation 

6 or payment to be used for campaign-related ac7 tivity or made in response to a solicitation for 

8 funds to be used for campaign-related activ9 ity.’’. 

10 SEC. 213. OPTIONAL USE OF SEPARATE ACCOUNT BY COV11 ERED ORGANIZATIONS FOR CAMPAIGN-RE12 LATED ACTIVITY. 

13 (a) IN GENERAL.—Title III of the Federal Election 

14 Campaign Act of 1971 (2 U.S.C. 431 et seq.), as amended 

15 by section 212, is further amended by adding at the end 

16 the following new section: 

17 ‘‘SEC. 326. OPTIONAL USE OF SEPARATE ACCOUNT BY COV18 ERED ORGANIZATIONS FOR CAMPAIGN-RE19 LATED ACTIVITY. 

20 ‘‘(a) OPTIONAL USE OF SEPARATE ACCOUNT.— 

21 ‘‘(1) ESTABLISHMENT OF ACCOUNT.— 

22 ‘‘(A) IN GENERAL.—At its option, a cov23 ered organization may make disbursements for 

24 campaign-related activity using amounts from a 

25 bank account established and controlled by the 


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1 organization to be known as the Campaign-Re2 lated Activity Account (hereafter in this section 

3 referred to as the ‘Account’), which shall be 

4 maintained separately from all other accounts 

5 of the organization and which shall consist ex6 clusively of the deposits described in paragraph 

7 (2). 

8 ‘‘(B) MANDATORY USE OF ACCOUNT

9 AFTER ESTABLISHMENT.—If a covered organi10 zation establishes an Account under this sec11 tion, it may not make disbursements for cam12 paign-related activity from any source other 

13 than amounts from the Account, other than dis14 bursements for campaign-related activity which, 

15 on the basis of a reasonable belief by the orga16 nization, would not be treated as disbursements 

17 for an exempt function for purposes of section 

18 527(f) of the Internal Revenue Code of 1986. 

19 ‘‘(C) EXCLUSIVE USE OF ACCOUNT FOR

20 CAMPAIGN-RELATED ACTIVITY.—Amounts in 

21 the Account shall be used exclusively for dis22 bursements by the covered organization for 

23 campaign-related activity. After such disburse24 ments are made, information with respect to de25 posits made to the Account shall be disclosed in 


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1 accordance with section 304(g)(5) or section 

2 304(f)(6). 

3 ‘‘(2) DEPOSITS DESCRIBED.—The deposits de4 scribed in this paragraph are deposits of the fol5 lowing amounts: 

6 ‘‘(A) Amounts donated or paid to the cov7 ered organization by a person other than the 

8 organization for the purpose of being used for 

9 campaign-related activity, and for which the 

10 person providing the amounts has designated 

11 that the amounts be used for campaign-related 

12 activity with respect to a specific election or 

13 specific candidate. 

14 ‘‘(B) Amounts donated or paid to the cov15 ered organization by a person other than the 

16 organization for the purpose of being used for 

17 campaign-related activity, and for which the 

18 person providing the amounts has not des19 ignated that the amounts be used for campaign20 related activity with respect to a specific elec21 tion or specific candidate. 

22 ‘‘(C) Amounts donated or paid to the cov23 ered organization by a person other than the 

24 organization in response to a solicitation for 

25 funds to be used for campaign-related activity. 


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1 ‘‘(D) Amounts transferred to the Account 

2 by the covered organization from other accounts 

3 of the organization, including from the organi4 zation’s general treasury funds. 

5 ‘‘(3) NO TREATMENT AS POLITICAL COM6 MITTEE.—The establishment and administration of 

7 an Account in accordance with this subsection shall 

8 not by itself be treated as the establishment or ad9 ministration of a political committee for any purpose 

10 of this Act. 

11 ‘‘(b) REDUCTION IN AMOUNTS OTHERWISE AVAIL12 ABLE FOR ACCOUNT IN RESPONSE TO DEMAND OF GEN13 ERAL DONORS.— 

14 ‘‘(1) IN GENERAL.—If a covered organization 

15 which has established an Account obtains any reve16 nues during a year which are attributable to a dona17 tion or payment from a person other than the cov18 ered organization, and if the organization and any 

19 such person have mutually agreed (as provided in 

20 section 325(b)(1)) that the organization will not use 

21 the person’s donation, payment, or transfer for cam22 paign-related activity, the organization shall reduce 

23 the amount of its revenues available for deposits to 

24 the Account which are described in subsection 

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1 nation or payment which is subject to the mutual 

2 agreement. 

3 ‘‘(2) EXCEPTION.—Paragraph (1) does not 

4 apply with respect to any payment made pursuant to 

5 commercial activities in the regular course of a cov6 ered organization’s business. 

7 ‘‘(c) COVERED ORGANIZATION DEFINED.—In this 

8 section, the term ‘covered organization’ means any of the 

9 following: 

10 ‘‘(1) Any corporation which is subject to section 

11 316(a), other than a corporation which is an organi12 zation described in paragraph (3) of section 501(c) 

13 of the Internal Revenue Code of 1986 and exempt 

14 from tax under section 501(a) of such Code. 

15 ‘‘(2) Any labor organization (as defined in sec16 tion 316). 

17 ‘‘(3) Any organization described in paragraph 

18 (4), (5), or (6) of section 501(c) of the Internal Rev19 enue Code of 1986 and exempt from tax under sec20 tion 501(a) of such Code, other than an exempt sec21 tion 501(c)(4) organization (as defined in section 

22 301(27)). 

23 ‘‘(4) Any political organization under section 

24 527 of the Internal Revenue Code of 1986, other 

25 than a political committee under this Act. 


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1 ‘‘(d) CAMPAIGN-RELATED ACTIVITY DEFINED.—In 

2 this section, the term ‘campaign-related activity’ has the 

3 meaning given such term in section 325.’’. 

4 (b) CLARIFICATION OF TREATMENT AS SEPARATE

5 SEGREGATED FUND.—A Campaign-Related Activity Ac6 count (within the meaning of section 326 of the Federal 

7 Election Campaign Act of 1971, as added by subsection 

8 (a)) may be treated as a separate segregated fund for pur9 poses of section 527(f)(3) of the Internal Revenue Code 

10 of 1986. 

11 SEC. 214. MODIFICATION OF RULES RELATING TO DIS12 CLAIMER STATEMENTS REQUIRED FOR CER13 TAIN COMMUNICATIONS. 

14 (a) APPLYING REQUIREMENTS TO ALL INDE15 PENDENT EXPENDITURE COMMUNICATIONS.—Section 

16 318(a) of the Federal Election Campaign Act of 1971 (2 

17 U.S.C. 441d(a)) is amended by striking ‘‘for the purpose 

18 of financing communications expressly advocating the 

19 election or defeat of a clearly identified candidate’’ and 

20 inserting ‘‘for an independent expenditure consisting of a 

21 public communication’’. 

22 (b) STAND BY YOUR AD REQUIREMENTS.— 

23 (1) MAINTENANCE OF EXISTING REQUIRE24 MENTS FOR COMMUNICATIONS BY POLITICAL PAR25 TIES AND OTHER POLITICAL COMMITTEES.—Section 


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1 318(d)(2) of such Act (2 U.S.C. 441d(d)(2)) is 

2 amended— 

3 (A) in the heading, by striking ‘‘OTHERS’’ 

4 and inserting ‘‘POLITICAL COMMITTEES’’; 

5 (B) by striking ‘‘subsection (a)’’ and in6 serting ‘‘subsection (a) which is paid for by a 

7 political committee (including a political com8 mittee of a political party), other than a polit9 ical committee which is described in subsection 

10 (e)(7)(B),’’; and 

11 (C) by striking ‘‘or other person’’ each 

12 place it appears. 

13 (2) SPECIAL DISCLAIMER REQUIREMENTS FOR

14 CERTAIN COMMUNICATIONS.—Section 318 of such 

15 Act (2 U.S.C. 441d) is amended by adding at the 

16 end the following new subsection: 

17 ‘‘(e) COMMUNICATIONS BY OTHERS.— 

18 ‘‘(1) IN GENERAL.—Any communication de19 scribed in paragraph (3) of subsection (a) which is 

20 transmitted through radio or television (other than 

21 a communication to which subsection (d)(2) applies 

22 because the communication is paid for by a political 

23 committee, including a political committee of a polit24 ical party, other than a political committee which is 

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1 dition to the requirements of that paragraph, the 

2 following: 

3 ‘‘(A) The individual disclosure statement 

4 described in paragraph (2) (if the person pay5 ing for the communication is an individual) or 

6 the organizational disclosure statement de7 scribed in paragraph (3) (if the person paying 

8 for the communication is not an individual). 

9 ‘‘(B) If the communication is an election10 eering communication or an independent ex11 penditure consisting of a public communication 

12 and is paid for in whole or in part with a pay13 ment which is treated as a disbursement by a 

14 covered organization for campaign-related activ15 ity under section 325, the significant funder 

16 disclosure statement described in paragraph (4) 

17 (if applicable), unless, on the basis of criteria 

18 established in regulations promulgated by the 

19 Commission, the communication is of such 

20 short duration that including the statement in 

21 the communication would constitute a hardship 

22 to the person paying for the communication by 

23 requiring a disproportionate amount of the 

24 communication’s content to consist of the state25 ment. 


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1 ‘‘(C) If the communication is an election2 eering communication or an independent ex3 penditure consisting of a public communication 

4 and is paid for in whole or in part with a pay5 ment which is treated as a disbursement by a 

6 covered organization for campaign-related activ7 ity under section 325, the Top Five Funders 

8 list described in paragraph (5) (if applicable), 

9 unless, on the basis of criteria established in 

10 regulations promulgated by the Commission, 

11 the communication is of such short duration 

12 that including the Top Five Funders list in the 

13 communication would constitute a hardship to 

14 the person paying for the communication by re15 quiring a disproportionate amount of the com16 munication’s content to consist of the Top Five 

17 Funders list. 

18 ‘‘(2) INDIVIDUAL DISCLOSURE STATEMENT DE19 SCRIBED.—The individual disclosure statement de20 scribed in this paragraph is the following: ‘I am 

21 lllllll, of lllllll, 

22 lllllll, and I approve this message.’, 

23 with— 

24 ‘‘(A) the first blank filled in with the name 

25 of the applicable individual; 


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1 ‘‘(B) the second blank filled in with the 

2 local jurisdiction in which the applicable indi3 vidual resides; and 

4 ‘‘(C) the third blank filled in with the 

5 State in which the applicable individual resides. 

6 ‘‘(3) ORGANIZATIONAL DISCLOSURE STATE7 MENT DESCRIBED.—The organizational disclosure 

8 statement described in this paragraph is the fol9 lowing: ‘I am lllllll, the lllllll 

10 of lllllll, located in lllllll, 

11 lllllll, and lllllll approves 

12 this message.’, with— 

13 ‘‘(A) the first blank to be filled in with the 

14 name of the applicable individual; 

15 ‘‘(B) the second blank to be filled in with 

16 the title of the applicable individual; 

17 ‘‘(C) the third blank to be filled in with the 

18 name of the organization or other person pay19 ing for the communication; 

20 ‘‘(D) the fourth blank to be filled in with 

21 the local jurisdiction in which such organiza22 tion’s or person’s principal office is located; 

23 ‘‘(E) the fifth blank to be filled in with the 

24 State in which such organization’s or person’s 

25 principal office is located; and 


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1 ‘‘(F) the sixth blank to be filled in with the 

2 name of such organization or person. 

3 ‘‘(4) SIGNIFICANT FUNDER DISCLOSURE STATE4 MENT DESCRIBED.— 

5 ‘‘(A) STATEMENT IF SIGNIFICANT FUNDER

6 IS AN INDIVIDUAL.—If the significant funder of 

7 a communication paid for in whole or in part 

8 with a payment which is treated as a disburse9 ment by a covered organization for campaign10 related activity under section 325 is an indi11 vidual, the significant funder disclosure state12 ment described in this paragraph is the fol13 lowing: ‘I am lllllll, of 

14 lllllll, lllllll. I helped to 

15 pay for this message, and I approve it.’, with— 

16 ‘‘(i) the first blank filled in with the 

17 name of the applicable individual; 

18 ‘‘(ii) the second blank filled in with 

19 the local jurisdiction in which the applica20 ble individual resides; and 

21 ‘‘(iii) the third blank filled in with the 

22 State in which the applicable individual re23 sides. 

24 ‘‘(B) STATEMENT IF SIGNIFICANT FUNDER

25 IS NOT AN INDIVIDUAL.—If the significant 


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1 funder of a communication paid for in whole or 

2 in part with a payment which is treated as a 

3 disbursement by a covered organization for 

4 campaign-related activity under section 325 is 

5 not an individual, the significant funder disclo6 sure statement described in this paragraph is 

7 the following: ‘I am lllllll, the 

8 lllllll of lllllll, located 

9 in lllllll, lllllll. 

10 lllllll helped to pay for this mes11 sage, and lllllll approves it.’, with— 

12 ‘‘(i) the first blank to be filled in with 

13 the name of the applicable individual; 

14 ‘‘(ii) the second blank to be filled in 

15 with the title of the applicable individual; 

16 ‘‘(iii) the third blank to be filled in 

17 with the name of the significant funder of 

18 the communication; 

19 ‘‘(iv) the fourth blank to be filled in 

20 with the local jurisdiction in which the sig21 nificant funder’s principal office is located; 

22 ‘‘(v) the fifth blank to be filled in with 

23 the State in which the significant funder’s 

24 principal office is located; and 


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1 ‘‘(vi) the sixth and seventh blank each 

2 to be filled in with the name of the signifi3 cant funder of the communication. 

4 ‘‘(C) SIGNIFICANT FUNDER DEFINED.— 

5 ‘‘(i) INDEPENDENT EXPENDITURES.— 

6 For purposes of this paragraph, the ‘sig7 nificant funder’ with respect to an inde8 pendent expenditure consisting of a public 

9 communication paid for in whole or in part 

10 with a payment which is treated as a dis11 bursement by a covered organization for 

12 campaign-related activity under section 

13 325 shall be determined as follows: 

14 ‘‘(I) If any report filed by any or15 ganization with respect to the inde16 pendent expenditure under section 

17 304 during the 12-month period 

18 which ends on the date of the dis19 bursement includes information on 

20 any person who made a payment to 

21 the organization in an amount equal 

22 to or exceeding $100,000 which was 

23 designated by the person to be used 

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1 penditure (as required to be included 

2 in the report under section 

3 304(g)(5)(A)(i)), the person who is 

4 identified among all such reports as 

5 making the largest such payment. 

6 ‘‘(II) If any report filed by any 

7 organization with respect to the inde8 pendent expenditure under section 

9 304 during the 12-month period 

10 which ends on the date of the dis11 bursement includes information on 

12 any person who made a payment to 

13 the organization in an amount equal 

14 to or exceeding $100,000 which was 

15 designated by the person to be used 

16 for campaign-related activity with re17 spect to the same election or in sup18 port of the same candidate (as re19 quired to be included in the report 

20 under section 304(g)(5)(A)(i)) but 

21 subclause (I) does not apply, the per22 son who is identified among all such 

23 reports as making the largest such 

24 payment. 


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1 ‘‘(III) If any report filed by any 

2 organization with respect to the inde3 pendent expenditure under section 

4 304 during the 12-month period 

5 which ends on the date of the dis6 bursement includes information on 

7 any person who made a payment to 

8 the organization in an amount equal 

9 to or exceeding $10,000 which was 

10 provided for the purpose of being used 

11 for campaign-related activity or in re12 sponse to a solicitation for funds to be 

13 used for campaign-related activity (as 

14 required to be included in the report 

15 under section 304(g)(5)(A)(i)) but 

16 subclause (I) or subclause (II) does 

17 not apply, the person who is identified 

18 among all such reports as making the 

19 largest such payment. 

20 ‘‘(IV) If none of the reports filed 

21 by any organization with respect to 

22 the independent expenditure under 

23 section 304 during the 12-month pe24 riod which ends on the date of the dis25 bursement includes information on 


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1 any person (other than the organiza2 tion) who made a payment to the or3 ganization in an amount equal to or 

4 exceeding $10,000 which was provided 

5 for the purpose of being used for cam6 paign-related activity or in response to 

7 a solicitation for funds to be used for 

8 campaign-related activity, but any of 

9 such reports includes information on 

10 any person who made an unrestricted 

11 donor payment to the organization (as 

12 required to be included in the report 

13 under section 304(g)(5)(A)(ii)) in an 

14 amount equal to or exceeding 

15 $10,000, the person who is identified 

16 among all such reports as making the 

17 largest such unrestricted donor pay18 ment. 

19 ‘‘(ii) ELECTIONEERING COMMUNICA20 TIONS.—For purposes of this paragraph, 

21 the ‘significant funder’ with respect to an 

22 electioneering communication paid for in 

23 whole or in part with a payment which is 

24 treated as a disbursement by a covered or25 ganization for campaign-related activity 


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1 under section 325, shall be determined as 

2 follows: 

3 ‘‘(I) If any report filed by any or4 ganization with respect to the elec5 tioneering communication under sec6 tion 304 during the 12-month period 

7 which ends on the date of the dis8 bursement includes information on 

9 any person who made a payment to 

10 the organization in an amount equal 

11 to or exceeding $100,000 which was 

12 designated by the person to be used 

13 for campaign-related activity con14 sisting of that specific electioneering 

15 communication (as required to be in16 cluded in the report under section 

17 304(f)(6)(A)(i)), the person who is 

18 identified among all such reports as 

19 making the largest such payment. 

20 ‘‘(II) If any report filed by any 

21 organization with respect to the elec22 tioneering communication under sec23 tion 304 during the 12-month period 

24 which ends on the date of the dis25 bursement includes information on 


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1 any person who made a payment to 

2 the organization in an amount equal 

3 to or exceeding $100,000 which was 

4 designated by the person to be used 

5 for campaign-related activity with re6 spect to the same election or in sup7 port of the same candidate (as re8 quired to be included in the report 

9 under section 304(f)(6)(A)(i)) but 

10 subclause (I) does not apply, the per11 son who is identified among all such 

12 reports as making the largest such 

13 payment. 

14 ‘‘(III) If any report filed by any 

15 organization with respect to the elec16 tioneering communication under sec17 tion 304 during the 12-month period 

18 which ends on the date of the dis19 bursement includes information on 

20 any person who made a payment to 

21 the organization in an amount equal 

22 to or exceeding $10,000 which was 

23 provided for the purpose of being used 

24 for campaign-related activity or in re25 sponse to a solicitation for funds to be 


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1 used for campaign-related activity (as 

2 required to be included in the report 

3 under section 304(f)(6)(A)(i)) but 

4 subclause (I) or subclause (II) does 

5 not apply, the person who is identified 

6 among all such reports as making the 

7 largest such payment. 

8 ‘‘(IV) If none of the reports filed 

9 by any organization with respect to 

10 the electioneering communication 

11 under section 304 during the 12- 

12 month period which ends on the date 

13 of the disbursement includes informa14 tion on any person who made a pay15 ment to the organization in an 

16 amount equal to or exceeding $10,000 

17 which was provided for the purpose of 

18 being used for campaign-related activ19 ity or in response to a solicitation for 

20 funds to be used for campaign-related 

21 activity, but any of such reports in22 cludes information on any person who 

23 made an unrestricted donor payment 

24 to the organization (as required to be 

25 included in the report under section 


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1 304(f)(6)(A)(ii)) in an amount equal 

2 to or exceeding $10,000, the person 

3 who is identified among all such re4 ports as making the largest such un5 restricted donor payment. 

6 ‘‘(5) TOP 5 FUNDERS LIST DESCRIBED.—With 

7 respect to a communication paid for in whole or in 

8 part with a payment which is treated as a disburse9 ment by a covered organization for campaign-related 

10 activity under section 325, the Top 5 Funders list 

11 described in this paragraph is— 

12 ‘‘(A) in the case of a disbursement for an 

13 independent expenditure consisting of a public 

14 communication, a list of the 5 persons (or, in 

15 the case of a communication transmitted 

16 through radio, the 2 persons) who provided the 

17 largest payments of any type in an aggregate 

18 amount equal to or exceeding $10,000 which 

19 are required under section 304(g)(5)(A) to be 

20 included in the reports filed by any organization 

21 with respect to that independent expenditure 

22 under section 304 during the 12-month period 

23 which ends on the date of the disbursement, to24 gether with the amount of the payments each 

25 such person provided and the local jurisdiction 


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1 and State in which each such person lives (in 

2 the case of a person who is an individual) or is 

3 located (in the case of any other person); or 

4 ‘‘(B) in the case of a disbursement for an 

5 electioneering communication, a list of the 5 

6 persons (or, in the case of a communication 

7 transmitted through radio, the 2 persons) who 

8 provided the largest payments of any type in an 

9 aggregate amount equal to or exceeding 

10 $10,000 which are required under section 

11 304(f)(6)(A) to be included in the reports filed 

12 by any organization with respect to that elec13 tioneering communication under section 304 

14 during the 12-month period which ends on the 

15 date of the disbursement, together with the 

16 amount of the payments each such person pro17 vided and the local jurisdiction and State in 

18 which each such person lives (in the case of a 

19 person who is an individual) or is located (in 

20 the case of any other person). 

21 ‘‘(6) METHOD OF CONVEYANCE OF STATE22 MENT.— 

23 ‘‘(A) COMMUNICATIONS TRANSMITTED

24 THROUGH RADIO.—In the case of a communica25 tion to which this subsection applies which is 


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1 transmitted through radio, the disclosure state2 ments required under paragraph (1) shall be 

3 made by audio by the applicable individual in a 

4 clearly spoken manner. 

5 ‘‘(B) COMMUNICATIONS TRANSMITTED

6 THROUGH TELEVISION.—In the case of a com7 munication to which this subsection applies 

8 which is transmitted through television, the in9 formation required under paragraph (1)— 

10 ‘‘(i) shall appear in writing at the end 

11 of the communication in a clearly readable 

12 manner, with a reasonable degree of color 

13 contrast between the background and the 

14 printed statement, for a period of at least 

15 6 seconds; and 

16 ‘‘(ii) except in the case of a Top 5 

17 Funders list described in paragraph (5), 

18 shall also be conveyed by an unobscured, 

19 full-screen view of the applicable indi20 vidual, or by the applicable individual mak21 ing the statement in voice-over accom22 panied by a clearly identifiable photograph 

23 or similar image of the individual. 

24 ‘‘(7) APPLICATION TO CERTAIN PACS.— 


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1 ‘‘(A) APPLICATION.—This subsection shall 

2 apply with respect to an electioneering commu3 nication, and to an independent expenditure 

4 consisting of a public communication, which is 

5 paid for in whole or in part with a payment by 

6 a political committee described in subparagraph 

7 (B) in the same manner as this subsection ap8 plies with respect to an electioneering commu9 nication and an independent expenditure con10 sisting of a public communication which is paid 

11 for in whole or in part with a payment which 

12 is treated as a disbursement by a covered orga13 nization under section 325, except that— 

14 ‘‘(i) in applying paragraph (4)(C), the 

15 ‘significant funder’ with respect to such an 

16 electioneering communication or such an 

17 independent expenditure shall be the per18 son who is identified as providing the larg19 est aggregate amount of contributions, do20 nations, or payments to the political com21 mittee during the 12-month period which 

22 ends on the date the committee made the 

23 disbursement for the electioneering com24 munication or independent expenditure (as 

25 determined on the basis of the information 


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1 contained in all reports filed by the com2 mittee under section 304 during such pe3 riod); and 

4 ‘‘(ii) in applying paragraph (5), the 

5 ‘Top 5 Funders list’ shall be a list of the 

6 5 persons who are identified as providing 

7 the largest aggregate amounts of contribu8 tions, donations, or payments to the polit9 ical committee during such 12-month pe10 riod (as determined on the basis of the in11 formation contained in all such reports). 

12 ‘‘(B) POLITICAL COMMITTEE DE13 SCRIBED.—A political committee described in 

14 this subparagraph is a political committee 

15 which receives or accepts contributions or dona16 tions which do not comply with the contribution 

17 limits or source prohibitions of this Act. 

18 ‘‘(8) APPLICABLE INDIVIDUAL DEFINED.—In 

19 this subsection, the term ‘applicable individual’ 

20 means, with respect to a communication to which 

21 this paragraph applies— 

22 ‘‘(A) if the communication is paid for by 

23 an individual or if the significant funder of the 

24 communication under paragraph (4) is an indi25 vidual, the individual involved; 


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1 ‘‘(B) if the communication is paid for by a 

2 corporation or if the significant funder of the 

3 communication under paragraph (4) is a cor4 poration, the chief executive officer of the cor5 poration (or, if the corporation does not have a 

6 chief executive officer, the highest ranking offi7 cial of the corporation); 

8 ‘‘(C) if the communication is paid for by a 

9 labor organization or if the significant funder of 

10 the communication under paragraph (4) is a 

11 labor organization, the highest ranking officer 

12 of the labor organization; or 

13 ‘‘(D) if the communication is paid for by 

14 any other person or if the significant funder of 

15 the communication under paragraph (4) is any 

16 other person, the highest ranking official of 

17 such person. 

18 ‘‘(9) COVERED ORGANIZATION DEFINED.—In 

19 this subsection, the term ‘covered organization’ 

20 means any of the following: 

21 ‘‘(A) Any corporation which is subject to 

22 section 316(a), other than a corporation which 

23 is an organization described in paragraph (3) of 

24 section 501(c) of the Internal Revenue Code of 


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1 1986 and exempt from tax under section 501(a) 

2 of such Code. 

3 ‘‘(B) Any labor organization (as defined in 

4 section 316). 

5 ‘‘(C) Any organization described in para6 graph (4), (5), or (6) of section 501(c) of the 

7 Internal Revenue Code of 1986 and exempt 

8 from tax under section 501(a) of such Code, 

9 other than an exempt section 501(c)(4) organi10 zation (as defined in section 301(27)). 

11 ‘‘(D) Any political organization under sec12 tion 527 of the Internal Revenue Code of 1986, 

13 other than a political committee under this Act. 

14 ‘‘(10) OTHER DEFINITIONS.—In this sub15 section, the terms ‘campaign-related activity’ and 

16 ‘unrestricted donor payment’ have the meaning 

17 given such terms in section 325.’’. 

18 (3) APPLICATION TO CERTAIN MASS MAIL19 INGS.—Section 318(a)(3) of such Act (2 U.S.C. 

20 441d(a)(3)) is amended to read as follows: 

21 ‘‘(3) if not authorized by a candidate, an au22 thorized political committee of a candidate, or its 

23 agents, shall clearly state— 

24 ‘‘(A) the name and permanent street ad25 dress, telephone number, or World Wide Web 


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1 address of the person who paid for the commu2 nication; 

3 ‘‘(B) if the communication is an inde4 pendent expenditure consisting of a mass mail5 ing (as defined in section 301(23)) which is 

6 paid for in whole or in part with a payment 

7 which is treated as a disbursement by a covered 

8 organization for campaign-related activity under 

9 section 325, or which is paid for in whole or in 

10 part by a political committee described in sub11 section (e)(7)(B), the name and permanent 

12 street address, telephone number, or World 

13 Wide Web address of— 

14 ‘‘(i) the significant funder of the com15 munication, if any (as determined in ac16 cordance with subsection (e)(4)(C)(i) or 

17 (e)(7)(A)(i); and 

18 ‘‘(ii) each person who would be in19 cluded in the Top 5 Funders list which 

20 would be submitted with respect to the 

21 communication if the communication were 

22 transmitted through television, if any (as 

23 determined in accordance with subsection 

24 (e)(5) or (e)(7)(A)(ii)); and 


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1 ‘‘(C) that the communication is not au2 thorized by any candidate or candidate’s com3 mittee.’’. 

4 (4) APPLICATION TO POLITICAL ROBOCALLS.— 

5 Section 318 of such Act (2 U.S.C. 441d), as amend6 ed by paragraph (2), is further amended by adding 

7 at the end the following new subsection: 

8 ‘‘(f) SPECIAL RULES FOR POLITICAL ROBOCALLS.— 

9 ‘‘(1) REQUIRING COMMUNICATIONS TO INCLUDE

10 CERTAIN DISCLAIMER STATEMENTS.—Any commu11 nication consisting of a political robocall which 

12 would be subject to the requirements of subsection 

13 (e) if the communication were transmitted through 

14 radio or television shall include the following: 

15 ‘‘(A) The individual disclosure statement 

16 described in subsection (e)(2) (if the person 

17 paying for the communication is an individual) 

18 or the organizational disclosure statement de19 scribed in subsection (e)(3) (if the person pay20 ing for the communication is not an individual). 

21 ‘‘(B) If the communication is an election22 eering communication or an independent ex23 penditure consisting of a public communication 

24 and is paid for in whole or in part with a pay25 ment which is treated as a disbursement by a 


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1 covered organization for campaign-related activ2 ity under section 325, or which is paid for in 

3 whole or in part by a political committee de4 scribed in subsection (e)(7)(B), the significant 

5 funder disclosure statement described in sub6 section (e)(4) or (e)(7) (if applicable). 

7 ‘‘(2) TIMING OF CERTAIN STATEMENT.—The 

8 statements required to be included under paragraph 

9 (1) shall be made at the beginning of the political 

10 robocall, unless, on the basis of criteria established 

11 in regulations promulgated by the Commission, the 

12 communication is of such short duration that includ13 ing the statement in the communication would con14 stitute a hardship to the person paying for the com15 munication by requiring a disproportionate amount 

16 of the communication’s content to consist of the 

17 statement. 

18 ‘‘(3) POLITICAL ROBOCALL DEFINED.—In this 

19 subsection, the term ‘political robocall’ means any 

20 outbound telephone call— 

21 ‘‘(A) in which a person is not available to 

22 speak with the person answering the call, and 

23 the call instead plays a recorded message; and 


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1 ‘‘(B) which promotes, supports, attacks, or 

2 opposes a candidate for election for Federal of3 fice.’’. 

4 SEC. 215. INDEXING OF CERTAIN AMOUNTS. 

5 Title III of the Federal Election Campaign Act of 

6 1971, as amended by section 213, is amended by adding 

7 at the end the following new section: 

8 ‘‘SEC. 327. INDEXING OF CERTAIN AMOUNTS. 

9 ‘‘(a) INDEXING.—In any calendar year after 2010— 

10 ‘‘(1) each of the amounts referred to in sub11 section (b) shall be increased by the percent dif12 ference determined under subparagraph (A) of sec13 tion 315(c)(1), except that for purposes of this para14 graph, such percent difference shall be determined 

15 as if the base year referred to in such subparagraph 

16 were 2009; 

17 ‘‘(2) each amount so increased shall remain in 

18 effect for the calendar year; and 

19 ‘‘(3) if any amount after adjustment under 

20 paragraph (1) is not a multiple of $100, such 

21 amount shall be rounded to the nearest multiple of 

22 $100. 

23 ‘‘(b) AMOUNTS DESCRIBED.—The amounts referred 

24 to in this subsection are as follows: 


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1 ‘‘(1) The amount referred to in section 

2 304(g)(5)(A)(i)(I). 

3 ‘‘(2) The amount referred to in section 

4 304(g)(5)(A)(ii)(I). 

5 ‘‘(3) Each of the amounts referred to in section 

6 304(g)(5)(A)(ii)(II). 

7 ‘‘(4) The amount referred to in section 

8 304(g)(5)(B)(ii)(I)(ee). 

9 ‘‘(5) The amount referred to in section 

10 304(g)(5)(B)(iii)(I). 

11 ‘‘(6) The amount referred to in section 

12 304(f)(6)(A)(i)(I). 

13 ‘‘(7) The amount referred to in section 

14 304(f)(6)(A)(ii)(I). 

15 ‘‘(8) Each of the amounts referred to in section 

16 304(f)(6)(A)(ii)(II). 

17 ‘‘(9) The amount referred to in section 

18 304(f)(6)(B)(ii)(I)(ee). 

19 ‘‘(10) The amount referred to in section 

20 304(f)(6)(B)(iii)(I). 

21 ‘‘(11) The amount referred to in section 317(b). 

22 ‘‘(12) Each of the amounts referred to in sec23 tion 318(e)(4)(C). 

24 ‘‘(13) The amount referred to in section 

25 325(d)(2)(B)(i)(V). 


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1 ‘‘(14) The amount referred to in section 

2 325(d)(2)(C)(i).’’. 

3 Subtitle C—Reporting Require4 ments for Registered Lobbyists 

5 SEC. 221. REQUIRING REGISTERED LOBBYISTS TO REPORT 

6 INFORMATION ON INDEPENDENT EXPENDI7 TURES AND ELECTIONEERING COMMUNICA8 TIONS. 

9 (a) IN GENERAL.—Section 5(d)(1) of the Lobbying 

10 Disclosure Act of 1995 (2 U.S.C. 1604(d)(1)) is amend11 ed— 

12 (1) by striking ‘‘and’’ at the end of subpara13 graph (F); 

14 (2) by redesignating subparagraph (G) as sub15 paragraph (I); and 

16 (3) by inserting after subparagraph (F) the fol17 lowing new subparagraphs: 

18 ‘‘(G) the amount of any independent ex19 penditure (as defined in section 301(17) of the 

20 Federal Election Campaign Act of 1971 (2 

21 U.S.C. 431(17)) equal to or greater than 

22 $1,000 made by such person or organization, 

23 and for each such expenditure the name of each 

24 candidate being supported or opposed and the 


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1 amount spent supporting or opposing each such 

2 candidate; 

3 ‘‘(H) the amount of any electioneering 

4 communication (as defined in section 304(f)(3) 

5 of such Act (2 U.S.C. 434(f)(3)) equal to or 

6 greater than $1,000 made by such person or or7 ganization, and for each such communication 

8 the name of the candidate referred to in the 

9 communication; and’’. 

10 (b) EFFECTIVE DATE.—The amendments made by 

11 this section shall apply with respect to reports for semi12 annual periods described in section 5(d)(1) of the Lob13 bying Disclosure Act of 1995 that begin after the date 

14 of the enactment of this Act. 

15 TITLE III—DISCLOSURE BY COV16 ERED ORGANIZATIONS OF IN17 FORMATION ON CAMPAIGN18 RELATED ACTIVITY 

19 SEC. 301. REQUIRING DISCLOSURE BY COVERED ORGANI20 ZATIONS OF INFORMATION ON CAMPAIGN21 RELATED ACTIVITY. 

22 Title III of the Federal Election Campaign Act of 

23 1971 (2 U.S.C. 431 et seq.), as amended by section 215, 

24 is amended by adding at the end the following new section: 


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1 ‘‘SEC. 328. DISCLOSURES BY COVERED ORGANIZATIONS TO 

2 SHAREHOLDERS, MEMBERS, AND DONORS OF 

3 INFORMATION ON DISBURSEMENTS FOR 

4 CAMPAIGN-RELATED ACTIVITY. 

5 ‘‘(a) INCLUDING INFORMATION IN REGULAR PERI6 ODIC REPORTS.— 

7 ‘‘(1) IN GENERAL.—A covered organization 

8 which submits regular, periodic reports to its share9 holders, members, or donors on its finances or ac10 tivities shall include in each such report, in a clear 

11 and conspicuous manner, the information described 

12 in paragraph (2) with respect to the disbursements 

13 made by the organization for campaign-related activ14 ity during the period covered by the report. 

15 ‘‘(2) INFORMATION DESCRIBED.—The informa16 tion described in this paragraph is, for each dis17 bursement for campaign-related activity— 

18 ‘‘(A) the date of the independent expendi19 ture or electioneering communication involved; 

20 ‘‘(B) the amount of the independent ex21 penditure or electioneering communication in22 volved; 

23 ‘‘(C) the name of the candidate identified 

24 in the independent expenditure or electioneering 

25 communication involved and the office sought 

26 by the candidate; 


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1 ‘‘(D) in the case of a transfer of funds to 

2 another person, the information required by 

3 subparagraphs (A) through (C), as well as the 

4 name of the recipient of the funds and the date 

5 and amount of the funds transferred; 

6 ‘‘(E) the source of such funds; and 

7 ‘‘(F) such other information as the Com8 mission determines is appropriate to further the 

9 purposes of this subsection. 

10 ‘‘(b) HYPERLINK TO INFORMATION INCLUDED IN

11 REPORTS FILED WITH COMMISSION.— 

12 ‘‘(1) REQUIRING POSTING OF HYPERLINK.—If a 

13 covered organization maintains an Internet site, the 

14 organization shall post on such Internet site a 

15 hyperlink from its homepage to the location on the 

16 Internet site of the Commission which contains the 

17 following information: 

18 ‘‘(A) The information the organization is 

19 required to report under section 304(g)(5)(A) 

20 with respect to public independent expenditures. 

21 ‘‘(B) The information the organization is 

22 required to include in a statement of disburse23 ments for electioneering communications under 

24 section 304(f)(6). 


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1 ‘‘(2) DEADLINE; DURATION OF POSTING.—The 

2 covered organization shall post the hyperlink de3 scribed in paragraph (1) not later than 24 hours 

4 after the Commission posts the information de5 scribed in such paragraph on the Internet site of the 

6 Commission, and shall ensure that the hyperlink re7 mains on the Internet site of the covered organiza8 tion until the expiration of the 1-year period which 

9 begins on the date of the election with respect to 

10 which the public independent expenditures or elec11 tioneering communications are made. 

12 ‘‘(c) COVERED ORGANIZATION DEFINED.—In this 

13 section, the term ‘covered organization’ means any of the 

14 following: 

15 ‘‘(1) Any corporation which is subject to section 

16 316(a), other than a corporation which is an organi17 zation described in paragraph (3) of section 501(c) 

18 of the Internal Revenue Code of 1986 and exempt 

19 from tax under section 501(a) of such Code. 

20 ‘‘(2) Any labor organization (as defined in sec21 tion 316). 

22 ‘‘(3) Any organization described in paragraph 

23 (4), (5), or (6) of section 501(c) of the Internal Rev24 enue Code of 1986 and exempt from tax under sec25 tion 501(a) of such Code, other than an exempt secVerDate Mar 15 2010 01:34 Jun 30, 2010 Jkt 089200 PO 00000 Frm 00108 Fmt 6652 Sfmt 6201 E:\BILLS\H5175.PCS H5175

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1 tion 501(c)(4) organization (as defined in section 

2 301(27)). 

3 ‘‘(4) Any political organization under section 

4 527 of the Internal Revenue Code of 1986, other 

5 than a political committee under this Act.’’. 

6 TITLE IV—OTHER PROVISIONS 

7 SEC. 401. JUDICIAL REVIEW. 

8 (a) SPECIAL RULES FOR ACTIONS BROUGHT ON

9 CONSTITUTIONAL GROUNDS.—If any action is brought for 

10 declaratory or injunctive relief to challenge the constitu11 tionality of any provision of this Act or any amendment 

12 made by this Act, the following rules shall apply: 

13 (1) The action shall be filed in the United 

14 States District Court for the District of Columbia, 

15 and an appeal from a decision of the District Court 

16 may be taken to the Court of Appeals for the Dis17 trict of Columbia Circuit. 

18 (2) A copy of the complaint shall be delivered 

19 promptly to the Clerk of the House of Representa20 tives and the Secretary of the Senate. 

21 (b) INTERVENTION BY MEMBERS OF CONGRESS.—In 

22 any action in which the constitutionality of any provision 

23 of this Act or any amendment made by this Act is raised, 

24 any member of the House of Representatives (including 

25 a Delegate or Resident Commissioner to the Congress) or 


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1 Senate who satisfies the requirements for standing under 

2 article III of the Constitution shall have the right to inter3 vene either in support of or opposition to the position of 

4 a party to the case regarding the constitutionality of the 

5 provision or amendment. To avoid duplication of efforts 

6 and reduce the burdens placed on the parties to the action, 

7 the court in any such action may make such orders as 

8 it considers necessary, including orders to require interve9 nors taking similar positions to file joint papers or to be 

10 represented by a single attorney at oral argument. 

11 (c) CHALLENGE BY MEMBERS OF CONGRESS.—Any 

12 Member of the House of Representatives (including a Del13 egate or Resident Commissioner to the Congress) or Sen14 ate may bring an action, subject to the special rules de15 scribed in subsection (a), for declaratory or injunctive re16 lief to challenge the constitutionality of any provision of 

17 this Act or any amendment made by this Act. 

18 SEC. 402. NO EFFECT ON PROTECTIONS AGAINST THREATS, 

19 HARASSMENTS, AND REPRISALS. 

20 Nothing in this Act or in any amendment made by 

21 this Act shall be construed to affect any provision of law 

22 or any rule or regulation which waives a requirement to 

23 disclose information relating to any person in any case in 

24 which there is a reasonable probability that the disclosure 


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1 of the information would subject the person to threats, 

2 harassments, or reprisals. 

3 SEC. 403. SEVERABILITY. 

4 If any provision of this Act or amendment made by 

5 this Act, or the application of a provision or amendment 

6 to any person or circumstance, is held to be unconstitu7 tional, the remainder of this Act and amendments made 

8 by this Act, and the application of the provisions and 

9 amendment to any person or circumstance, shall not be 

10 affected by the holding. 

11 SEC. 404. EFFECTIVE DATE. 

12 Except as otherwise provided, this Act and the 

13 amendments made by this Act shall take effect upon the 

14 expiration of the 30-day period which begins on the date 

15 of the enactment of this Act, and shall take effect without 

16 regard to whether or not the Federal Election Commission 

17 has promulgated regulations to carry out such amend18 ments. 

Passed the House of Representatives June 24, 2010. 

Attest: LORRAINE C. MILLER, 

Clerk. 


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Calendar No. 448 

111TH CONGRESS 

2D SESSION H. R. 5175 

AN ACT 

To amend the Federal Election Campaign Act of 

elections, and for other purposes. requirements with respect to spending in such elections, and to establish additional disclosure from making expenditures with respect to such elections, to prohibit government contractors 1971 to prohibit foreign influence in Federal 

JUNE 29, 2010 

Read the second time and placed on the calendar 


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