IB
Union Calendar No. 74
107TH CONGRESS
1ST SESSION
H. R. 2360
[Report No. 107–132]
To amend the Federal Election Campaign Act of 1971 to restrict the use
of non-Federal funds by national political parties, to revise the limitations
on the amount of certain contributions which may be made under such
Act, to promote the availability of information on communications made
with respect to campaigns for Federal elections, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JUNE 28, 2001
Mr. NEY (for himself, Mr. WYNN, Mr. SWEENEY, Mr. MICA, Mr. REYNOLDS,
Mr. LATOURETTE, Mr. PETERSON of Pennsylvania, Mr. HOBSON, Ms.
DUNN of Washington, Mr. CUNNINGHAM, Mr. TAYLOR of North Carolina,
Mr. TRAFICANT, Ms. PRYCE of Ohio, Mr. BLUNT, Mr. EHLERS, Mr.
BALLENGER, and Mr. NORWOOD) introduced the following bill; which was
referred to the Committee on House Administration
JULY 10, 2001
Additional sponsors: Mr. PORTMAN and Mr. FORBES
JULY 10, 2001
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
[For text of introduced bill, see copy of bill as introduced on June 28, 2001]
A BILL
To amend the Federal Election Campaign Act of 1971 to
restrict the use of non-Federal funds by national political
parties, to revise the limitations on the amount of certain
contributions which may be made under such Act, to
promote the availability of information on communica-
tions made with respect to campaigns for Federal elec-
tions, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Campaign Reform and Citizen Participation Act of
2001’’.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I—SOFT MONEY OF NATIONAL PARTIES
Sec. 101. Restrictions on soft money of national political parties.
TITLE II—MODIFICATION OF CONTRIBUTION LIMITS
Sec. 201. Increase in limits on certain contributions.
Sec. 202. Increase in limits on contributions to State parties.
Sec. 203. Treatment of contributions to national party under aggregate annual
limit on individual contributions.
Sec. 204. Exemption of costs of volunteer campaign materials produced and dis-
tributed by parties from treatment as contributions and expendi-
tures.
Sec. 205. Indexing.
TITLE III—DISCLOSURE OF ELECTION-RELATED COMMUNICATIONS
Sec. 301. Disclosure of information on communications broadcast prior to elec-
tion.
Sec. 302. Disclosure of information on targeted mass communications.
TITLE IV—EFFECTIVE DATE
Sec. 401. Effective date.
TITLE I—SOFT MONEY OF
NATIONAL PARTIES
SEC. 101. RESTRICTIONS ON SOFT MONEY OF NATIONAL
POLITICAL PARTIES.
Title III of the Federal Election Campaign Act of 1971
(2 U.S.C. 431 et seq.) is amended by adding at the end
the following new section:
‘‘SOFT MONEY OF NATIONAL POLITICAL PARTIES
‘‘SEC. 323. (a) PROHIBITING USE OF SOFT MONEY
FOR FEDERAL ELECTION ACTIVITY.—A national committee
of a political party (including a national congressional
campaign committee of a political party) may not solicit,
receive, or direct to another person a contribution, dona-
tion, or transfer of funds or any other thing of value for
Federal election activity, or spend any funds for Federal
election activity, that are not subject to the limitations, pro-
hibitions, and reporting requirements of this Act.
‘‘(b) LIMIT ON AMOUNT OF NONFEDERAL FUNDS PRO-
VIDED TO PARTY BY ANY PERSON FOR ANY PURPOSE.—
No person shall make contributions, donations, or transfers
of funds which are not subject to the limitations and prohi-
bitions of this Act to a political committee established and
maintained by a national political party in any calendar
year in an aggregate amount equal to or greater than
$75,000.
‘‘(c) APPLICABILITY.— This subsection shall apply to
any political committee established and maintained by a
national political party, any officer or agent of such a com-
mittee acting on behalf of the committee, and any entity
that is directly or indirectly established, maintained, or
controlled by such a national committee.
‘‘(d) DEFINITIONS.—
‘‘(1) FEDERAL ELECTION ACTIVITY.—
‘‘(A) IN GENERAL.—The term ‘Federal elec-
tion activity’ means—
‘‘(i) voter registration activity during
the period that begins on the date that is
120 days before the date a regularly sched-
uled Federal election is held and ends on the
date of the election, unless the activity con-
stitutes generic campaign activity;
‘‘(ii) voter identification or get-out-the-
vote activity conducted in connection with
an election in which a candidate for Fed-
eral office appears on the ballot (regardless
of whether a candidate for State or local of-
fice also appears on the ballot), unless the
activity constitutes generic campaign activ-
ity;
‘‘(iii) any public communication that
refers to or depicts a clearly identified can-
didate for Federal office (regardless of
whether a candidate for State or local office
is also mentioned or identified) and that
promotes or supports a candidate for that
office, or attacks or opposes a candidate for
that office (regardless of whether the com-
munication expressly advocates a vote for or
against a candidate); or
‘‘(iv) any public communication made
by means of any broadcast, cable, or sat-
ellite communication.
‘‘(B) EXCEPTION FOR CERTAIN ADMINISTRA-
TIVE ACTIVITIES.—The term ‘Federal election ac-
tivity’ does not include any activity relating to
establishment, administration, or solicitation
costs of a political committee established and
maintained by a national political party, so
long as the funds used to carry out the activity
are derived from funds or payments made to the
committee which are segregated and used exclu-
sively to defray the costs of such activities.
‘‘(2) GENERIC
CAMPAIGN
ACTIVITY.—The term
‘generic campaign activity’ means any activity that
does not mention, depict, or otherwise promote a
clearly identified Federal candidate.
‘‘(3) PUBLIC COMMUNICATION.—The term ‘public
communication’ means a communication by means of
any broadcast, cable, or satellite communication,
newspaper, magazine, outdoor advertising facility, or
direct mail.
‘‘(4) DIRECT
MAIL.—The term ‘direct mail’
means a mailing by a commercial vendor or any
mailing made from a commercial list.’’.
TITLE II—MODIFICATION OF
CONTRIBUTION LIMITS
SEC. 201. INCREASE IN LIMITS ON CERTAIN CONTRIBU-
TIONS.
(a) CONTRIBUTIONS BY INDIVIDUALS TO NATIONAL
PARTIES.—Section 315(a)(1)(B) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 441a(a)(1)(B)) is amend-
ed by striking ‘‘$20,000’’ and inserting ‘‘$30,000’’.
(b) CONTRIBUTIONS BY COMMITTEES TO NATIONAL
PARTIES.—Section 315(a)(2)(B) of such Act (2 U.S.C.
441a(a)(2)(B)) is amended by striking ‘‘$15,000’’ and in-
serting ‘‘$30,000’’.
(c) AGGREGATE ANNUAL LIMIT ON CONTRIBUTIONS BY
INDIVIDUALS.—Section 315(a)(3) of such Act (2 U.S.C.
441a(a)(3)) is amended by striking ‘‘$25,000’’ and insert-
ing ‘‘$37,500’’.
SEC. 202. INCREASE IN LIMITS ON CONTRIBUTIONS TO
STATE PARTIES.
(a) 
CONTRIBUTIONS
BY
INDIVIDUALS.—Section
315(a)(1) of the Federal Election Campaign Act of 1971
(2 U.S.C. 441a(a)(1)) is amended—
(1) in subparagraph (B), by striking ‘‘or’’ at the
end;
(2) in subparagraph (C)—
(A) by inserting ‘‘(other than a committee
described in subparagraph (D))’’ after ‘‘com-
mittee’’; and
(B) by striking the period at the end and
inserting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(D) to a political committee established and
maintained by a State committee of a political party
in any calendar year which, in the aggregate, exceed
$10,000.’’.
(b) 
CONTRIBUTIONS
BY
COMMITTEES.—Section
315(a)(2) of the Federal Election Campaign Act of 1971
(2 U.S.C. 441a(a)(2)) is amended—
(1) in subparagraph (B), by striking ‘‘or’’ at the
end;
(2) in subparagraph (C)—
(A) by inserting ‘‘(other than a committee
described in subparagraph (D))’’ after ‘‘com-
mittee’’; and
(B) by striking the period at the end and
inserting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(D) to a political committee established and
maintained by a State committee of a political party
in any calendar year which, in the aggregate, exceed
$10,000.’’.
SEC. 203. TREATMENT OF CONTRIBUTIONS TO NATIONAL
PARTY UNDER AGGREGATE ANNUAL LIMIT ON
INDIVIDUAL CONTRIBUTIONS.
Section 315(a)(3) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 441(a)(3)) is amended—
(1) by striking ‘‘(3)’’ and inserting ‘‘(3)(A)’’;
and
(2) by adding at the end the following new sub-
paragraph:
‘‘(B) Subparagraph (A) shall not apply with respect
to any contribution made to any political committee estab-
lished and maintained by a national political party which
is not the authorized political committee of any candidate.’’.
SEC. 204. EXEMPTION OF COSTS OF VOLUNTEER CAMPAIGN
MATERIALS PRODUCED AND DISTRIBUTED BY
PARTIES FROM TREATMENT AS CONTRIBU-
TIONS AND EXPENDITURES.
(a) 
TREATMENT
AS
CONTRIBUTIONS.—Section
301(8)(B)(x) of the Federal Election Campaign Act of 1971
(2 U.S.C. 431(8)(B)(x)) is amended by striking ‘‘a State
or local committee of a political party of the costs of ’’ and
inserting ‘‘a national, State, or local committee of a polit-
ical party of the costs of producing and distributing’’.
(b) 
TREATMENT
AS
EXPENDITURES.—Section
301(9)(B)(viii) of the Federal Election Campaign Act of
1971 (2 U.S.C. 431(9)(B)(viii)) is amended by striking ‘‘a
State or local committee of a political party of the costs
of ’’ and inserting ‘‘a national, State, or local committee
of a political party of the costs of producing and distrib-
uting’’.
SEC. 205. INDEXING.
Section 315(c) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441a(c)) is amended—
(1) in paragraph (1)—
(A) by striking the second and third sen-
tences;
(B) by inserting ‘‘(A)’’ before ‘‘At the begin-
ning’’; and
(C) by adding at the end the following:
‘‘(B) Except as provided in subparagraph (C), in any
calendar year after 2002—
‘‘(i) a limitation established by subsections (a),
(b), (d), or (h) shall be increased by the percent dif-
ference determined under subparagraph (A);
‘‘(ii) each amount so increased shall remain in
effect for the calendar year; and
‘‘(iii) if any amount after adjustment under
clause (i) is not a multiple of $100, such amount
shall be rounded to the nearest multiple of $100.
‘‘(C) In the case of limitations under subsections (a)
and (h), increases shall only be made in odd-numbered
years and such increases shall remain in effect for the 2-
year period beginning on the first day following the date
of the last general election in the year preceding the year
in which the amount is increased and ending on the date
of the next general election.’’; and
(2) in paragraph (2)(B), by striking ‘‘means the
calendar year 1974’’ and inserting ‘‘means—
‘‘(i) for purposes of subsections (b) and (d),
calendar year 1974; and
‘‘(ii) for purposes of subsections (a) and (h),
calendar year 2001’’.
TITLE 
III—DISCLOSURE 
OF
ELECTION-RELATED COMMU-
NICATIONS
SEC. 301. DISCLOSURE OF INFORMATION ON COMMUNICA-
TIONS BROADCAST PRIOR TO ELECTION.
Section 304 of the Federal Election Campaign Act of
1971 (2 U.S.C. 434), as amended by section 502(a) of the
Department of Transportation and Related Agencies Act,
2001 (as enacted into law by reference under section 101(a)
of Public Law 106–346), is amended by adding at the end
the following new subsection:
‘‘(e) DISCLOSURE OF INFORMATION ON CERTAIN COM-
MUNICATIONS BROADCAST PRIOR TO ELECTIONS.—
‘‘(1) IN GENERAL.—Any person who makes a
disbursement for a communication described in para-
graph (3) shall, not later than 24 hours after making
the disbursement, file with the Commission a state-
ment containing the information required under
paragraph (2).
‘‘(2) CONTENTS
OF
STATEMENT.—Each state-
ment required to be filed under this subsection shall
be made under penalty of perjury and shall contain
the following information:
‘‘(A) The identification of the person mak-
ing the disbursement, of any individual or entity
sharing or exercising direction or control over
the activities of such person, and of the custodian
of the books and accounts of the person making
the disbursement.
‘‘(B) The principal place of business and
phone number of the person making the disburse-
ment, if not an individual.
‘‘(C) The amount of the disbursement.
‘‘(D) The clearly identified candidate or
candidates to which the communication pertains
and the names (if known) of the candidates iden-
tified or to be identified in the communication.
‘‘(E) The text of the communication in-
volved.
‘‘(3) COMMUNICATIONS DESCRIBED.—
‘‘(A) IN GENERAL.—A communication de-
scribed 
in 
this 
paragraph 
is 
any
communication—
‘‘(i) which is disseminated to the pub-
lic by means of any broadcast, cable, or sat-
ellite communication during the 120-day
period ending on the date of a Federal elec-
tion; and
‘‘(ii) which mentions a clearly identi-
fied candidate for such election (by name,
image, or likeness).
‘‘(B) EXCEPTION.—A communication is not
described in this paragraph if—
‘‘(i) the communication appears in a
news story, commentary, or editorial dis-
tributed through the facilities of any broad-
casting station, unless such facilities are
owned or controlled by any political party,
political committee, or candidate; or
‘‘(ii) the communication constitutes an
expenditure under this Act.
‘‘(4) COORDINATION
WITH
OTHER
REQUIRE-
MENTS.—Any requirement to file a statement under
this subsection shall be in addition to any other re-
porting requirement under this Act.
‘‘(5) CLARIFICATION
OF
TREATMENT
OF
VEN-
DORS.—A person shall not be considered to have made
a disbursement for a communication under this sub-
section if the person made the disbursement solely as
a vendor acting pursuant to a contractual agreement
with the person responsible for sponsoring the commu-
nication.’’.
SEC. 302. DISCLOSURE OF INFORMATION ON TARGETED
MASS COMMUNICATIONS.
Section 304 of the Federal Election Campaign Act of
1971 (2 U.S.C. 434), as amended by section 301, is further
amended by adding at the end the following new subsection:
‘‘(f) DISCLOSURE
OF INFORMATION
ON TARGETED
MASS COMMUNICATIONS.—
‘‘(1) IN GENERAL.—Any person who makes a
disbursement for targeted mass communications in an
aggregate amount in excess of $50,000 during any
calendar year shall, within 24 hours of each disclo-
sure date, file with the Commission a statement con-
taining the information described in paragraph (2).
‘‘(2) CONTENTS
OF
STATEMENT.—Each state-
ment required to be filed under this subsection shall
be made under penalty of perjury and shall contain
the following information:
‘‘(A) The identification of the person mak-
ing the disbursement, of any individual or entity
sharing or exercising direction or control over
the activities of such person, and of the custodian
of the books and accounts of the person making
the disbursement.
‘‘(B) The principal place of business and
phone number of the person making the disburse-
ment, if not an individual.
‘‘(C) The amount of each such disbursement
of more than $200 made by the person during
the period covered by the statement and the iden-
tification of the person to whom the disbursement
was made.
‘‘(D) The clearly identified candidate or
candidates to which the communication pertains
and the names (if known) of the candidates iden-
tified or to be identified in the communication.
‘‘(E) The text of the communication in-
volved.
‘‘(3) TARGETED
MASS
COMMUNICATION
DE-
FINED.—
‘‘(A) IN GENERAL.—In this subsection, the
term ‘targeted mass communication’ means any
communication—
‘‘(i) which is disseminated during the
120-day period ending on the date of a Fed-
eral election;
‘‘(ii) which refers to or depicts a clear-
ly identified candidate for such election (by
name, image, or likeness); and
‘‘(iii) which is targeted to the relevant
electorate.
‘‘(B) TARGETING
TO
RELEVANT
ELEC-
TORATE.—
‘‘(i) BROADCAST
COMMUNICATIONS.—
For purposes of this paragraph, a commu-
nication disseminated to the public by
means of any broadcast, cable, or satellite
communication which refers to or depicts a
clearly identified candidate for Federal of-
fice is ‘targeted to the relevant electorate’ if
the communication is disseminated by a
broadcaster whose audience includes—
‘‘(I) a substantial number of resi-
dents of the district the candidate seeks
to represent (as determined in accord-
ance with regulations of the Commis-
sion), in the case of a candidate for
Representative in, or Delegate or Resi-
dent Commissioner to, the Congress; or
‘‘(II) a substantial number of
residents of the State the candidate
seeks to represent (as determined in ac-
cordance with regulations of the Com-
mission), in the case of a candidate for
Senator.
‘‘(ii) OTHER
COMMUNICATIONS.—For
purposes of this paragraph, a communica-
tion which is not described in clause (i)
which refers to or depicts a clearly identi-
fied candidate for Federal office is ‘targeted
to the relevant electorate’ if—
‘‘(I) more than 10 percent of the
total number of intended recipients of
the communication are members of the
electorate involved with respect to such
Federal office; or
‘‘(II) more than 10 percent of the
total number of members of the elec-
torate involved with respect to such
Federal office receive the communica-
tion.
‘‘(C) 
EXCEPTIONS.—The 
term 
‘targeted
mass communication’ does not include—
‘‘(i) a communication appearing in a
news story, commentary, or editorial dis-
tributed through the facilities of any broad-
casting station, newspaper, magazine, or
other periodical publication, unless such fa-
cilities are owned or controlled by any po-
litical party, political committee, or can-
didate;
‘‘(ii) a communication made by any
membership organization (including a labor
organization) or corporation solely to its
members, stockholders, or executive or ad-
ministrative personnel, if such membership
organization or corporation is not orga-
nized primarily for the purpose of influ-
encing the nomination for election, or elec-
tion, of any individual to Federal office; or
‘‘(iii) a communication which con-
stitutes an expenditure under this Act.
‘‘(4) DISCLOSURE DATE.—For purposes of this
subsection, the term ‘disclosure date’ means—
‘‘(A) the first date during any calendar
year by which a person has made disbursements
for targeted mass communications aggregating
in excess of $50,000; and
‘‘(B) any other date during such calendar
year by which a person has made disbursements
for targeted mass communications aggregating
in excess of $50,000 since the most recent disclo-
sure date for such calendar year.
‘‘(5) COORDINATION
WITH
OTHER
REQUIRE-
MENTS.—Any requirement to report under this sub-
section shall be in addition to any other reporting re-
quirement under this Act.
‘‘(6) CLARIFICATION
OF
TREATMENT
OF
VEN-
DORS.—A person shall not be considered to have made
a disbursement for a communication under this sub-
section if the person made the disbursement solely as
a vendor acting pursuant to a contractual agreement
with the person responsible for sponsoring the commu-
nication.’’.
TITLE IV—EFFECTIVE DATE
SEC. 401. EFFECTIVE DATE.
The amendments made by this Act shall apply with
respect to elections occurring after December 2002.
Union Calendar No. 74
107TH CONGRESS
1ST SESSION
H. R. 2360
[Report No. 107–132]
A BILL
To amend the Federal Election Campaign Act of
1971 to restrict the use of non-Federal funds by
national political parties, to revise the limitations
on the amount of certain contributions which
may be made under such Act, to promote the
availability of information on communications
made with respect to campaigns for Federal elec-
tions, and for other purposes.
JULY 10, 2001
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union,
and ordered to be printed