I
106TH CONGRESS
1ST SESSION
H. R. 1641
To amend the Federal Election Campaign Act of 1971 to eliminate PAC
contributions to individual House of Representatives candidates, to pro-
vide a tax credit and tax deduction for contributions to such candidates,
to provide for voluntary expenditure limitations in House of Representa-
tives elections, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL 29, 1999
Mr. REGULA introduced the following bill; which was referred to the Com-
mittee on House Administration, and in addition to the Committees on
Ways and Means, and Commerce, for a period to be subsequently deter-
mined by the Speaker, in each case for consideration of such provisions
as fall within the jurisdiction of the committee concerned
A BILL
To amend the Federal Election Campaign Act of 1971 to
eliminate PAC contributions to individual House of Rep-
resentatives candidates, to provide a tax credit and tax
deduction for contributions to such candidates, to provide
for voluntary expenditure limitations in House of Rep-
resentatives elections, 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.
This Act may be cited as the ‘‘Congressional Cam-
paign and Administrative Reform Act of 1999’’.
SEC. 2. BAN ON CONTRIBUTIONS BY MULTICANDIDATE PO-
LITICAL COMMITTEES TO CANDIDATES IN
HOUSE OF REPRESENTATIVES ELECTIONS.
Section 315(a)(2)(A) of the Federal Election Cam-
paign Act of 1971 (2 U.S.C. 441a(a)(2)(A)) is amended
by inserting after ‘‘$5,000’’ the following: ‘‘, except that
in the case of a candidate for the office of Representative
in, or Delegate or Resident Commissioner to, the Con-
gress, and the authorized committees of such a candidate,
a multicandidate political committee may not make any
contribution’’.
SEC. 3. INCOME TAX CREDIT FOR CONTRIBUTIONS TO
HOUSE OF REPRESENTATIVES CAMPAIGNS.
(a) GENERAL RULE.—Subpart A of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of
1986 (relating to nonrefundable personal credits) is
amended by inserting after section 23 the following new
section:
‘‘SEC. 24. CONTRIBUTIONS TO HOUSE OF REPRESENTA-
TIVES CAMPAIGNS.
‘‘(a) GENERAL RULE.—In the case of an individual,
there shall be allowed as a credit against the tax imposed
by this chapter for the taxable year an amount equal to
all House of Representatives campaign contributions made
by the individual.
‘‘(b) LIMITATION
ON AMOUNT
OF CREDIT.—The
credit allowed by subsection (a) for a taxable year shall
not exceed $50 ($100 in the case of a joint return).
‘‘(c) DEFINITIONS.—For purposes of this section—
‘‘(1) HOUSE OF REPRESENTATIVES CAMPAIGN
CONTRIBUTION.—
‘‘(A) IN GENERAL.—The term ‘House of
Representatives campaign contribution’ means
a contribution or gift of money, payment of
which is made during the taxable year, to an in-
dividual who is a candidate for nomination or
election to the office of Representative in, or
Delegate or Resident Commissioner to, the Con-
gress in any primary, general, or special elec-
tion, and which—
‘‘(i) is from a taxpayer (or either
spouse in case of a joint return) who is a
resident of the State in which the election
is held; and
‘‘(ii) is solely for use by the recipient
to further his candidacy for nomination or
election to such office.
‘‘(B) STATE.—The term ‘State’ includes
the District of Columbia, any possession of the
United States, and the Commonwealth of Puer-
to Rico.
‘‘(2) CANDIDATE.—The term ‘candidate’ means
an individual who—
‘‘(A) publicly announces before the close of
the calendar year following the calendar year in
which the contribution or gift is made that he
is a candidate for nomination or election to one
of the offices specified in paragraph (1)(A); and
‘‘(B) meets the qualifications prescribed by
law to hold such office.’’
(b) CLERICAL AMENDMENT.—The table of sections
for subpart A of part IV of subchapter A of chapter 1
of such Code is amended by inserting after the item relat-
ing to section 23 the following new item:
‘‘Sec. 24. Contributions to House of Representatives campaigns.’’
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to contributions paid after Decem-
ber 31, 2000, in taxable years ending after that date.
SEC. 4. INCOME TAX DEDUCTION FOR CONTRIBUTIONS TO
HOUSE OF REPRESENTATIVES CAMPAIGNS.
(a) GENERAL RULE.—Part VII of subchapter B of
chapter 1 of the Internal Revenue Code of 1986 (relating
to additional itemized deductions for individuals) is
amended by inserting after section 217 the following new
section:
‘‘SEC. 218. CONTRIBUTIONS TO HOUSE OF REPRESENTA-
TIVES CAMPAIGNS.
‘‘(a) GENERAL RULE.—In the case of an individual,
there shall be allowed as a deduction any House of Rep-
resentatives campaign contribution which is made by such
individual.
‘‘(b) LIMITATIONS.—
‘‘(1) AMOUNT ALLOWED AS CREDIT.—This sec-
tion shall not apply with respect to any amount
which is allowed as a credit under section 24 (relat-
ing to contributions to House of Representatives
campaigns).
‘‘(2) AMOUNT OF DEDUCTION.—The deduction
allowed by subsection (a) for a taxable year shall not
exceed an aggregate of $250 ($500 in the case of a
joint return).
‘‘(c) DEFINITIONS.—Terms used in this section
which are also used in section 24 (relating to contributions
to House of Representatives campaigns) shall have the re-
spective meanings given such terms by section 24(c).’’
(b) CLERICAL AMENDMENT.—The table of sections
for part VII of subchapter B of chapter 1 of such Code
is amended by inserting after the item relating to section
217 the following new item:
‘‘Sec. 218. Contributions to House of Representatives cam-
paigns.’’
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to contributions paid after Decem-
ber 31, 2000, in taxable years ending after that date.
SEC. 5. VOLUNTARY EXPENDITURE LIMITATIONS AND FREE
BROADCAST 
TIME 
FOR 
HOUSE 
OF 
REP-
RESENTATIVES GENERAL ELECTIONS.
The Federal Election Campaign Act of 1971 (2
U.S.C. 431 et seq.) is amended by adding at the end the
following new title:
‘‘TITLE V—VOLUNTARY EXPENDITURE LIMITA-
TIONS AND FREE BROADCAST TIME FOR
HOUSE OF REPRESENTATIVES GENERAL
ELECTIONS
‘‘DEFINITIONS
‘‘SEC. 501. As used in this title, the term—
‘‘(1) ‘eligible candidate’ means a candidate who
is eligible under section 502 to receive free broadcast
time;
‘‘(2) ‘general election’ means any election which
will directly result in the election of a person to the
office of Representative in, or Delegate or Resident
from which all expenditures of such amounts shall
be made; and
‘‘(4) will furnish campaign records, evidence of
contributions, and other appropriate information to
the Commission.
‘‘(b) SOURCE OF CONTRIBUTIONS.—To be eligible to
receive free broadcast time under section 315(c) of the
Communications Act of 1934 (47 U.S.C. 315(c)), a can-
didate for the office of Representative in, or Delegate or
Resident Commissioner to, the Congress who qualifies for
the general election ballot under State law shall certify to
the Commission that—
‘‘(1) during the period beginning on January 1
of the calendar year preceding the year of a general
election, or in the case of a special election during
the period beginning on the day on which the va-
cancy occurs in the office involved, such candidate
and the authorized committees of such candidate
have received contributions aggregating 10 percent
of the applicable limitation under section 503(b);
‘‘(2) 80 percent of such contributions have
come from individuals residing in such candidate’s
State; and
‘‘(3) at least one other candidate has qualified
for the general election ballot.
the manner provided in section 315(c), except that, for
the purposes of such adjustment, the base period shall be
calendar year 1996.
‘‘REFERENCE TO COMMUNICATIONS ACT OF 1934
‘‘SEC. 504. An eligible candidate shall be entitled to
receive free radio and television broadcast time under sec-
tion 315(c) of the Communications Act of 1934.’’.
SEC. 6. ALLOCATION TO HOUSE OF REPRESENTATIVES
CANDIDATES OF FREE BROADCAST TIME FOR
POLITICAL ADVERTISING.
(a) CONDITION
OF LICENSE RENEWAL.—Section
309(h) of the Communications Act of 1934 (47 U.S.C.
309(h)) is amended by inserting before the period at the
end the following: ‘‘; and (4) every broadcast station li-
cense issued under this Act shall be subject to the free
broadcast time obligations imposed by section 315(c)’’.
(b) FREE TIME OBLIGATIONS.—Section 315 of the
Communications Act of 1934 (47 U.S.C. 315) is
amended—
(1) by redesignating subsections (c) and (d) as
subsections (d) and (e); and
(2) by inserting after subsection (b) the fol-
lowing new subsection:
‘‘(c)(1) Each licensee for a broadcasting station shall
annually make available free broadcast time for political
advertising in accordance with the requirements of this
subsection. The Commission shall not renew the license
of any licensee who substantially fails or refuses to comply
with the requirements of this subsection, but such licensee
shall not be subject to any other sanction or remedy for
such failure or refusal.
‘‘(2) A licensee subject to this subsection shall allot
free broadcast time to each qualified political candidate
in accordance with the following standards:
‘‘(A) Such licensee shall allot an equal amount,
but not less than 1 hour, of free broadcast time each
even-numbered year to each qualified political can-
didate in a statewide or national election. In the case
of a station whose market does not encompass all of
a congressional district, such licensee may apportion
to each qualified candidate from such district a frac-
tion of such 1 hour that is equal to the fraction of
such district’s population that resides within such
market, as determined in accordance with regula-
tions prescribed by the Commission.
‘‘(B) The free broadcast time allotted to any
candidate under subparagraph (A) shall be com-
posed of units of varying lengths of not more than
5 minutes nor less than 30 seconds, as determined
by negotiation between such organization and the li-
censee.
‘‘(C) The broadcast time allotted by any li-
censee shall be allotted so that—
‘‘(i) at least one-half is broadcast during
the hours of 7:00 p.m. to 10:00 p.m.;
‘‘(ii) during any election year, at least two-
thirds is broadcast during the 2 months imme-
diately preceding election day and at least one-
half is broadcast during the 3 weeks imme-
diately preceding election day;
‘‘(iii) each qualified candidate is allotted
free broadcast time that is comparable, by time
of day and day of week, to the time allotted to
other qualified candidates for the same office;
and
‘‘(iv) no broadcaster shall allot more than
2 hours per week of free broadcast time for po-
litical advertising and, if the amount of time re-
quired to be allotted by this paragraph would
exceed 2 hours, the time required to be allotted
each qualified candidate shall be reduced pro-
portionately.
‘‘(D) The broadcast time shall be used solely
for programming consisting of unedited segments in
which the candidate speaks directly to the audience.
‘‘(3) A candidate shall be treated as a qualified polit-
ical candidate for purposes of paragraph (2)(A) if the can-
didate is an eligible candidate for purposes of section 501
of the Federal Election Campaign Act of 1971.
‘‘(4) A licensee allots free broadcast time as required
by this subsection by broadcasting statements without re-
muneration or compensation in any form, whether by pub-
lic or private funds, tax deduction or credit, or otherwise.
‘‘(5) Nothing in this subsection, and no use of free
broadcast time allotted under this subsection, shall be con-
strued to restrict or otherwise affect the purchase of ad-
vertising time under subsection (b) of this section.’’.
SEC. 7. BAN ON SOFT MONEY.
(a) IN GENERAL.—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:
‘‘LIMITATIONS AND REPORTING REQUIREMENTS FOR
AMOUNTS PAID FOR MIXED POLITICAL ACTIVITIES
‘‘SEC. 323. (a) IN GENERAL.—Any payment by the
national committee of a political party or a State com-
mittee of a political party for a mixed political activity—
‘‘(1) shall be subject to limitation and reporting
under this Act as if such payment were an expendi-
ture; and
‘‘(2) may be paid only from an account that is
subject to the requirements of this Act.
‘‘(b) MIXED POLITICAL ACTIVITY DEFINED.—As
used in this section, the term ‘mixed political activity’
means, with respect to a payment by the national com-
mittee of a political party or a State committee of a polit-
ical party, an activity, such as a voter registration pro-
gram, a get-out-the-vote drive, or general political adver-
tising, that is both for the purpose of influencing an elec-
tion for Federal office and for any purpose unrelated to
influencing an election for Federal office.’’.
(b) REPEAL OF BUILDING FUND EXCEPTION TO THE
DEFINITION OF THE TERM ‘‘CONTRIBUTION’’.—Section
301(8)(B) of such Act (2 U.S.C. 431(8)(B)) is amended—
(1) by striking clause (viii); and
(2) by redesignating clauses (ix) through (xiv)
as clauses (viii) through (xiii).
SEC. 8. HOUSE OF REPRESENTATIVES ELECTION LIMITA-
TION ON CONTRIBUTIONS FROM PERSONS
OTHER THAN IN-STATE INDIVIDUAL RESI-
DENTS.
Section 315 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441a) is amended by adding at the end
the following new subsection:
‘‘(i)(1) At least 80 percent of the contributions ac-
cepted by a candidate for the office of Representative in,
or Delegate or Resident Commissioner to, the Congress
with respect to a reporting period for an election shall be
from in-State individual residents.
‘‘(2) As used in this subsection, the term ‘in-State
individual resident’ means an individual who resides in the
State in which the congressional district involved is lo-
cated.
‘‘(3)(A) Any candidate who accepts contributions that
exceed the limitation under this subsection with respect
to the pre-election report period or the post-election report
period shall pay to the Commission, for deposit in the
Treasury, an amount equal to 5 times the amount of the
excess contributions plus a civil penalty in an amount de-
termined by the Commission.
‘‘(B) Any candidate who accepts contributions that
exceed the limitation under this subsection with respect
to a period other than a period referred to in subpara-
graph (A) shall pay to the Commission, for deposit in the
Treasury, an amount equal to 3 times the amount of the
excess contributions.
‘‘(C) Each report under section 304(a)(6) shall in-
clude a certification by the treasurer of the committee that
the contributions reported do not exceed the limitation
under this subsection.’’.
SEC. 9. INCREASED LIMITATION AMOUNT FOR CERTAIN
CONTRIBUTIONS TO POLITICAL COMMITTEES
OF STATE POLITICAL PARTIES.
Section 315(a)(1)(B) of the Federal Election Cam-
paign Act of 1971 (2 U.S.C. 441a(a)(1)(B)) is amended
by inserting after ‘‘national’’ the following: ‘‘or State’’.
SEC. 10. DISCLOSURE OF ELECTION-RELATED ACTIVITY BY
CORPORATIONS, 
LABOR 
ORGANIZATIONS
AND NONPROFIT ORGANIZATIONS.
Section 304 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 434) is amended by adding at the end
the following new subsection:
‘‘(d) Any corporation, labor organization, or non-
profit organization that makes a payment for a commu-
nication or other activity that—
‘‘(1) relates to any election for Federal office;
and
‘‘(2) in the case of a corporation or labor orga-
nization, by reason of subparagraph (A) or (B) of
paragraph (2) of section 316(b), is not a contribu-
tion or expenditure;
shall report such payment to the Commission in the same
manner as a contribution or expenditure, as the case may
be, is reported by a principal campaign committee of a
candidate for the House of Representatives or the Senate
under this section.’’.
SEC. 11. PROHIBITION OF BUNDLING OF CONTRIBUTIONS
TO CANDIDATES BY POLITICAL ACTION COM-
MITTEES AND LOBBYISTS.
Section 316 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441b) is amended by adding at the end
the following new subsection:
‘‘(c) No nonparty multicandidate political committee
or person required to register under the Lobbying Disclo-
sure Act of 1995 may act as an intermediary or conduit
with respect to a contribution to a candidate for Federal
office.’’.
SEC. 12. SEVERABILITY.
If any provision of this Act or any amendment made
by this Act, or the application of any such provision to
any person or circumstance is held invalid, the validity of
any other such provision, and the application of such pro-
vision to other persons and circumstances shall not be af-
fected thereby.
SEC. 13. EFFECTIVE DATE.
Except as may otherwise be specifically provided, this
Act and the amendments made by this Act shall apply
with respect to elections occurring after 2000.
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