During the 106th Congress, a similar version of campaign finance reform legislation passed the House of Representatives, but failed in the Senate. It would close legal loopholes in current campaign finance law by which certain groups use vast sums of money to overly influence elections. The measure, which has bipartisan support in both houses, would close the biggest loophole in campaign financing law that now exists by banning unregulated soft money contributions to political parties.
Soft money is raised by national parties and spent on behalf of their candidates.
By law, these candidates are forbidden to raise and spend this money themselves. The campaign finance reform bill also would limit issue advocacy that targets specific candidates. Issue advocacy has been used by politically interested groups as a way to circumvent federal election laws. The legislation also would tighten disclosure requirements, providing additional information to the American people on the financing of campaigns for federal office. In addition, the measure would establish a bipartisan commission to research and recommend additional changes in election law.