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105TH CONGRESS

2D SESSION H. R. 4869

To amend the Federal Election Campaign Act of 1971 to prohibit all disbursements by foreign nationals in connection with campaigns for election

for Federal, State, and local office, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

OCTOBER 20, 1998

Mr. LEACH introduced the following bill; which was referred to the Committee

on House Oversight

A BILL

To amend the Federal Election Campaign Act of 1971 to

prohibit all disbursements by foreign nationals in connection with campaigns for election for Federal, State, and

local office, 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. FINDINGS.

4 Congress finds as follows:

5 (1) Section 319 of the Federal Election Cam6 paign Act of 1971 prohibits the making, solicitation,

7 acceptance, and receipt of contributions from foreign

8 nationals in connection with political campaigns.
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1 (2) The purpose of section 319 is to ensure that

2 all elections in the United States are free from any

3 financial influence from foreign sources.

4 (3) The plain language of section 319, as in ef5 fect prior to the date of the enactment of this Act,

6 states clearly that the prohibition applies not only in

7 connection with campaigns for elections for Federal

8 office but elections for all State and local offices in

9 the United States.

10 (4) A recent ruling by the United States Dis11 trict Court for the District of Columbia (United

12 States of America v. Yah Lin ‘‘Charlie’’ Trie, Crimi13 nal No. 98–0029, October 9, 1998) that the prohibi14 tion against political contributions by foreign nation15 als applies only to donations of so-called ‘‘hard

16 money’’ and not to donations of what is commonly

17 referred to as ‘‘soft money’’, has created uncertainty

18 as to the proper application of section 319.

19 (5) In order to ensure the successful enforce20 ment of the ban against the use of foreign money to

21 influence political campaigns, it is critical that any

22 uncertainty as to the scope of section 319 as re23 flected in the ruling described above be addressed by

24 Congress.
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1 SEC. 2. BAN ON DISBURSEMENTS OF SOFT MONEY BY FOR2 EIGN NATIONALS.

3 (a) PROHIBITION ON ALL DISBURSEMENTS BY FOR4 EIGN NATIONALS IN CONNECTION WITH FEDERAL,

5 STATE, AND LOCAL ELECTIONS.—Section 319 of the Fed6 eral Election Campaign Act of 1971 (2 U.S.C. 441e) is

7 amended—

8 (1) in the heading, by striking ‘‘CONTRIBU9 TIONS’’ and inserting ‘‘CONTRIBUTIONS AND DIS10 BURSEMENTS’’;

11 (2) in subsection (a), by striking ‘‘contribution’’

12 each place it appears and inserting ‘‘contribution or

13 disbursement’’; and

14 (3) in subsection (a), by striking the semicolon

15 and inserting the following: ‘‘, including any con16 tribution or disbursement to a political committee of

17 a political party and any contribution or disburse18 ment for an independent expenditure;’’.

19 (b) EFFECTIVE DATE.—The amendments made by

20 this section shall apply with respect to contributions and

21 disbursements made on or after the date of the enactment

22 of this Act.

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