Sec. 4. House of Representatives election limitation on contributions from
sources other than in-State sources.
Sec. 5. House of Representatives election limitation on use of personal loans by
candidates.
Sec. 6. Voluntary spending limits.
Sec. 7. Provisions relating to independent expenditures.
Sec. 8. Reporting requirements for certain independent expenditures.
Sec. 9. Official mass mailing allowance.
Sec. 10. Provisions relating to Members’ official mail allowance.
Sec. 11. Limitation on contributions and expenditures by labor organizations.
Sec. 12. Campaign advertising amendments.
SEC. 3. EQUALIZATION OF MULTICANDIDATE POLITICAL
COMMITTEE 
CANDIDATE 
CONTRIBUTION
LIMITATION WITH LIMITATION APPLICABLE
TO OTHER PERSONS.
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 striking out ‘‘$5,000’’ and inserting in lieu thereof
‘‘$1,000 in the case of a nonparty multicandidate political
committee and $5,000 in the case of a multicandidate po-
litical committee of a political party’’.
SEC. 4. HOUSE OF REPRESENTATIVES ELECTION LIMITA-
TION ON CONTRIBUTIONS FROM SOURCES
OTHER THAN IN-STATE SOURCES.
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) A candidate for the office of Representative
in, or Delegate or Resident Commissioner to, the Congress
may not, with respect to an election, accept contributions
from sources other than in-State sources totaling the same
as, or in excess of, the total of contributions accepted from
in-State sources.
‘‘(2) As used in this subsection, the term ‘in-State
sources’ means an individual, multicandidate political
committee, or party political committee from the State in
which the congressional district involved is located.’’.
SEC. 5. HOUSE OF REPRESENTATIVES ELECTION LIMITA-
TION ON USE OF PERSONAL LOANS BY CAN-
DIDATES.
Section 315 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441a), as amended by section 4, is fur-
ther amended by adding at the end the following new sub-
section:
‘‘(j) A candidate for the office of Representative in,
or Delegate or Resident Commissioner to, the Congress
may not make loans to his campaign with respect to an
election in a total amount that exceeds the amount equal
to 25 percent of all expenditures by the candidate in the
election.’’.
SEC. 6. VOLUNTARY SPENDING LIMITS.
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 sections:
‘‘VOLUNTARY SPENDING LIMITS
‘‘SEC. 323. (a)(1) Notwithstanding any other provi-
sion of this Act, each State shall, to the extent permitted
by State law, have authority to impose voluntary campaign
spending limits with respect to elections for Federal office.
‘‘(2) Each State may, to the extent permitted by
State law, limit campaign spending by allowing any can-
didate to voluntarily agree to limit his campaign expendi-
tures and those of his immediate family on his behalf by
filing an affidavit with the Secretary of State or the State
official with primary jurisdiction over elections.
‘‘(3) Each State may, to the extent permitted by
State law, require the affidavit to state that the candidate
knows the voluntary expenditure limitations as set out by
State law and that he is voluntarily agreeing to limit his
expenditures and those made on his behalf by his commit-
tee or committees, his party, and his behalf by immediate
family to the amount set by State law. The affidavit may
further state that the candidate does not condone and
shall not solicit any independent expenditures made on be-
half of his candidacy. The affidavit shall be sworn and
subscribed to by the candidate and notarized.
‘‘(4) Each State may, to the extent permitted by
State law, require that affidavits in compliance with this
section be filed within 3 days after the date on which a
candidate files his declaration of candidacy or his declara-
tion of intent, or is declared a write-in winner of a primary
election.
‘‘(b) Each State may, to the extent permitted by
State law, set total expenditures by a candidate who volun-
tarily agrees to limit campaign expenditures as follows:
‘‘(1) For the office of Senator, $500,000 in a
primary election, and $500,000 in a general election.
‘‘(2) For the office of Representative in, or Del-
egate or Resident Commissioner to, the Congress,
$250,000 in a primary election, and $250,000 in a
general election.
‘‘(c) If the expenditure limits prescribed in subsection
(b) are not considered appropriate, each State may, to the
extent permitted by State law, increase or decrease total
expenditures by a candidate who voluntarily agrees to
limit campaign expenditures as it deems appropriate.
‘‘(d)(1) Each State may, to the extent permitted by
State law, establish a State advisory commission on cam-
paign finance to monitor the application of campaign fi-
nance statutes.
‘‘(2) After the State has set the voluntary expendi-
ture limits, the Commission may study inflationary, mar-
ket, and other trends which may necessitate changes in
State campaign finance law. The Commission may submit
a report to the Governor and to the State assembly in No-
vember of each odd-numbered year preceding a State gen-
eral election.
‘‘(3) Membership of the Commission shall be deter-
mined by State law, except the Governor shall appoint the
chairman and the membership shall be equally divided
among Republican and Democrat appointments and the
membership shall be equally divided among Federal and
State appointments.
‘‘(e) Each State may, to the extent permitted by
State law, waive or refund filing fees for any candidate
who has filed an affidavit stating that the candidate agrees
to limit campaign expenditures set by State law.
‘‘(f) Each State may, to the extent permitted by State
law, print on election ballots, next to or beneath the name
of the candidate, whether or not the candidate has agreed
to voluntarily limit campaign expenditures set by State
law. The passage printed on the ballot may read: ‘This
candidate has refused to voluntarily limit campaign spend-
ing pursuant to State law.’
‘‘(g)(1) Each State may, to the extent permitted by
State law, impose penalties on any candidate who volun-
tarily agrees to limit campaign expenditures as provided
by State law and who exceeds the total political expendi-
ture limitations as provided by State law in running for
any Federal office in either a primary or general election,
or both.
‘‘(2) Each State may, to the extent permitted by
State law, impose a fine schedule which is based on the
percentage by which the candidate exceeds permitted cam-
paign expenditures, so that the candidate shall pay a per-
centage of the excess campaign expenditures as follows:
‘‘(A) Candidates for the office of Senator:
‘‘(i) Under $1,000—1 percent.
‘‘(ii) $1,000–$5,000—10 percent.
‘‘(iii) $5,000–$10,000—25 percent.
‘‘(iv) $10,000–$50,000—50 percent.
‘‘(v) Over $50,000—100 percent.
‘‘(B) Candidates for the office of Representative
in, or Delegate or Resident Commissioner to, the
Congress:
‘‘(i) Under $1,000—1 percent.
‘‘(ii) $1,000–$5,000—10 percent.
‘‘(iii) $5,000–$10,000—25 percent.
‘‘(iv) $10,000–$25,000—50 percent.
‘‘(v) Over $25,000—100 percent.
‘‘(3) Each State may, to the extent permitted by
State law, allow the Secretary of State or the State official
with primary jurisdiction over elections to waive fines if
the candidate’s opponent did not agree to limit spending.
‘‘(4) Each State may, to the extent permitted by
State law, require the Commission to include in its annual
report to the Governor and State assembly recommenda-
tions with respect to the fine schedule.
‘‘(5) Each State may, to the extent permitted by
State law, require any fine assessed under the provisions
of this section to be deposited into the State general fund.
‘‘(h) Each State may, to the extent permitted by
State law, require the Secretary of State or the State offi-
cial with primary jurisdiction over elections to give or send
by mail a copy of State campaign statutes and regulations
to each person whose name will be printed on a primary
or general election ballot within 5 days of the close of the
filing period.
‘‘EFFECT OF MORE RESTRICTIVE STATE LAWS
‘‘SEC. 324. Notwithstanding any other provision of
this Act, each State shall, to the extent permitted by State
law, have the authority to impose stricter limits on cam-
paign contributions as well as other requirements with re-
spect to Federal elections, if such limitations and require-
ments are more restrictive than the limitations and re-
quirements of this Act.’’.
SEC. 7. PROVISIONS RELATING TO INDEPENDENT EXPEND-
ITURES.
(a) 
INDEPENDENT
EXPENDITURE
DEFINITION
AMENDMENT.—Section 301 of the Federal Election Cam-
paign Act of 1971 (2 U.S.C. 431) is amended by striking
out paragraphs (17) and (18) and inserting in lieu thereof
the following:
‘‘(17)(A) The term ‘independent expenditure’ means
an expenditure that—
‘‘(i) contains express advocacy; and
‘‘(ii) is made without the participation or co-
operation of, or without the consultation of, a can-
didate or a candidate’s representative.
‘‘(B) The following shall not be considered an inde-
pendent expenditure:
‘‘(i) An expenditure made by—
‘‘(I) an authorized committee of a can-
didate for Federal office, or
‘‘(II) a political committee of a political
party.
‘‘(ii) An expenditure if there is any arrange-
ment, coordination, or direction with respect to the
expenditure between the candidate or the candidate’s
agent and the person making the expenditure.
‘‘(iii) An expenditure if, in the same election
cycle, the person making the expenditure is or has
been—
‘‘(I) authorized to raise or expend funds on
behalf of the candidate or the candidate’s au-
thorized committees; or
‘‘(II) serving as a member, employee, or
agent of the candidate’s authorized committees
in an executive or policymaking position.
‘‘(iv) An expenditure if the person making the
expenditure has advised or counseled the candidate
or the candidate’s agents at any time on the can-
didate’s plans, projects, or needs relating to the can-
didate’s pursuit of nomination for election, or elec-
tion, to Federal office, in the same election cycle, in-
cluding any advice relating to the candidate’s deci-
sion to seek Federal office.
‘‘(v) An expenditure if the person making the
expenditure retains the professional services of any
individual or other person also providing services in
the same election cycle to the candidate in connec-
tion with the candidate’s pursuit of nomination for
election, or election, to Federal office, including any
services relating to the candidate’s decision to seek
Federal office. For purposes of this clause, the term
‘professional services’ shall include any services
(other than legal and accounting services solely for
purposes of ensuring compliance with any Federal
law) in support of any candidate’s or candidates’
pursuit of nomination for election, or election, to
Federal office.
For purposes of this subparagraph, the person making the
expenditure shall include any officer, director, employee,
or agent of such person.
‘‘(18)(A) The term ‘express advocacy’ means, when
a communication is taken as a whole and with limited ref-
erence to external events, an expression of support for or
opposition to a specific candidate, to a specific group of
candidates, or to candidates of a particular political party.
‘‘(B) The term ‘expression of support for or opposi-
tion to’ includes a suggestion to take action with respect
to an election, such as to vote for or against, make con-
tributions to, or participate in campaign activity, or to re-
frain from taking action.’’.
(b) CONTRIBUTION DEFINITION AMENDMENT.—Sec-
tion 301(8)(A) of the Federal Election Campaign Act of
1971 (2 U.S.C. 431(8)(A)) is amended—
(1) in clause (i), by striking out ‘‘or’’ after the
semicolon at the end;
(2) in clause (ii), by striking out the period at
the end and inserting in lieu thereof ‘‘; or’’; and
(3) by adding at the end the following new
clause:
‘‘(iii) any payment or other transaction referred
to in paragraph (17)(A)(i) that is not an independ-
ent expenditure under paragraph (17).’’.
SEC. 8. REPORTING REQUIREMENTS FOR CERTAIN INDE-
PENDENT EXPENDITURES.
Section 304(c) of the Federal Election Campaign Act
of 1971 (2 U.S.C. 434(c)) is amended—
(1) in paragraph (2), by striking the undesig-
nated matter after subparagraph (C);
(2) by redesignating paragraph (3) as para-
graph (7); and
(3) by inserting after paragraph (2), as amend-
ed by paragraph (1), the following new paragraphs:
‘‘(3)(A) Any person (including a political com-
mittee) making independent expenditures as defined
in section 301(17) and (18) with respect to a can-
didate in an election aggregating $1,000 or more
made after the 20th day, but more than 24 hours,
before the election shall file a report within 24 hours
after such independent expenditures are made. An
additional report shall be filed each time independ-
ent expenditures aggregating $1,000 are made with
respect to the same candidate after the latest report
filed under this subparagraph.
‘‘(B) Any person (including a political commit-
tee) making independent expenditures with respect
to a candidate in an election aggregating $10,000 or
more made at any time up to and including the 20th
day before the election shall file a report within 48
hours after such independent expenditures are made.
An additional report shall be filed each time inde-
pendent expenditures aggregating $10,000 are made
with respect to the same candidate after the latest
report filed under this paragraph.
‘‘(C) A report under subparagraph (A) or (B)
shall be filed with the Commission and shall identify
each candidate whom the expenditure is actually in-
tended to support or to oppose. Not later than 2
business days after the Commission receives a re-
port, the Commission shall transmit a copy of the
report to each candidate seeking nomination or elec-
tion to that office.
‘‘(D) For purposes of this section, an independ-
ent expenditure shall be considered to have been
made upon the making of any payment or the taking
of any action to incur an obligation for payment.
‘‘(4) The Commission may, upon a request of a
candidate or on its own initiative, make its own de-
termination that a person, including a political com-
make the expenditures provided for in section
502(g).
‘‘(6)(A) A person who reserves broadcast time
the payment for which would constitute an inde-
pendent expenditure within the meaning of section
301(17) of this Act (2 U.S.C. 431(17), shall at the
time of the reservation—
‘‘(i) inform the broadcast licensee that pay-
ment for the broadcast time will constitute an
independent expenditure;
‘‘(ii) inform the broadcast licensee of the
names of all candidates for the office to which
the proposed broadcast relates and state wheth-
er the message to be broadcast is intended to
be made in support of or in opposition to each
such candidate; and
‘‘(iii) provide the broadcast licensee a copy
of the report described in paragraph (3).
‘‘(B) For purposes of this paragraph, the term
‘broadcast’ includes any cablecast.
‘‘(C) A licensee who is informed as described in
subparagraph (A) shall—
‘‘(i) notify each such candidate described
in subparagraph (A)(ii) of the proposed making
of the independent expenditure; and
‘‘(ii) allow any such candidate (other than
a candidate for whose benefit the independent
expenditure is made) to purchase the same
amount of broadcast time immediately after the
broadcast time paid for by the independent ex-
penditure, at the cost specified in section
315(b) of the Communications Act of 1934.’’.
SEC. 9. OFFICIAL MASS MAILING ALLOWANCE.
Section 311(f) of the Legislative Branch Appropria-
tions Act, 1991 (2 U.S.C. 59e(f)) is amended to read as
follows:
‘‘(f)(1) There is established in the House of Rep-
resentatives an Official Mass Mailing Allowance for Mem-
bers of the House of Representatives.
‘‘(2) The Official Mass Mailing Allowance of a Mem-
ber of the House of Representatives—
‘‘(A) shall be available only for postage for any
mass mailing sent by such Member as franked mail;
‘‘(B) shall be the sole source of funding for any
such postage; and
‘‘(C) shall be available, in a session of Congress
(subject to paragraph (5)(A)(ii)), in an amount not
to exceed the total amount allocated to the Official
Mail Allowance of such Member in such session.
‘‘(3) No amount may be transferred to or from the
Official Mass Mailing Allowance of a Member of the
House of Representatives (including as described in the
parenthetical matter in subsection (a)(2)(A)), except as
provided in subsection (e)(3)(B).
‘‘(4) For purposes of subsection (b), the Official Mass
Mailing Allowance of (and any mass mailing sent by) a
Member of the House of Representatives shall be treated
separately from the Official Mail Allowance of (and any
other official mail sent by) such Member.
‘‘(5)(A) Otherwise applicable provisions of law relat-
ing to mass mailings sent by a Member of (or Member-
elect to) the House of Representatives shall continue to
govern such mass mailings—
‘‘(i) except that—
‘‘(I) for purposes of carrying out those
other provisions of law, the term ‘mass mailing’
shall have the meaning given it under para-
graph (8); and
‘‘(II) a mass mailing may not be sent by
a Member of (or a Member-elect to) the House
of Representatives if it would be postmarked
during the period beginning on the date on
which the Member of (or Member-elect to) the
House of Representatives becomes a candidate
under State law and ending on the date of the
election, subject to subparagraph (B); and
‘‘(ii) except as otherwise provided in this sub-
section.
‘‘(B) Nothing in subclause (II) of subparagraph
(A)(i) shall be considered to preclude the mailing of any
mail matter—
‘‘(i) sent after the Tuesday next after the 1st
Monday in November of such year, and any mass
mailing described in section 3210(a)(6)(B) of title
39, United States Code; or
‘‘(ii) which relates to an emergency or disaster
declared by the President, if—
‘‘(I) the mailing is sent within 60 days
after the emergency or disaster is declared;
‘‘(II) the recipients of the mailing are lo-
cated in a congressional district any portion of
which is within (or adjacent to) an area in-
cluded in the President’s declaration;
‘‘(III) the mailing complies with clauses
(iii) and (iv) of paragraph (8)(C);
‘‘(IV) the mailing complies with clauses (i)
and (ii)(II) of section 3210(a)(6)(A) of title 39,
United States Code; and
‘‘(V) the mailing relates solely to the emer-
gency or disaster.
‘‘(6) A Member of the House of Representatives
shall—
‘‘(A) before making any mass mailing, submit a
sample of the mail matter involved to the House
Commission on Congressional Mailing Standards for
an advisory opinion as to whether such proposed
mailing is in compliance with applicable provisions of
law, rule, or regulation;
‘‘(B) before making any mailing of substantially
identical mail which totals 250 pieces or less (but
more than 50) in the same session, and which in
every other respect meets the definition of a mass
mailing (determined disregarding the exclusion
under subclause (II) of paragraph (8)(A)(i)), submit
a sample of the mail matter involved to such Com-
mission; and
‘‘(C) before making any mailing of substantially
identical mail, in the nature of a town meeting no-
tice, which totals more than 50 pieces in the same
session, and which in every other respect (aside from
such nature and number) meets the definition of a
mass mailing, submit a sample of the mail matter
involved to such Commission.
‘‘(7)(A) The regulations prescribed in connection with
subsection (a)(3) shall be amended to require, in addition
to the information otherwise required to be included in the
quarterly report referred to therein, a statement of—
‘‘(i) costs charged against the Official Mass
Mailing Allowance of each Member; and
‘‘(ii) the number of pieces of mail in any mass
mailing sent by a Member.
‘‘(B)(i) The House Commission on Congressional
Mailing Standards shall by regulation establish procedures
under which there shall be made available to the public
for review and copying any matter submitted to the Com-
mission under paragraph (6). Any copying under the pre-
ceding sentence shall be at the expense of the person who
requests the copying.
‘‘(ii) Under the regulations, mail matter shall be
made available within 2 weeks after the date on which it
is requested in accordance with applicable procedures.
‘‘(8) For the purpose of this subsection—
‘‘(A) the term ‘mass mailing’ means, with re-
spect to a session of Congress, any mailing of news-
letters or other pieces of mail with substantially
identical content (whether such mail is deposited sin-
gly or in bulk, or at the same time or different
times), totaling more than 250 pieces in that ses-
sion, except that such term does not include—
‘‘(i)(I) any mailing of matter in direct re-
sponse to a communication from a person to
whom the matter is mailed; or
‘‘(II) a single follow-up to any such direct
response, if it is made before the end of the
Congress in which the direct response was
made, it occurs within 6 weeks after any signifi-
cant congressional action (as defined by the
House Commission on Congressional Mailing
Standards) on the subject matter involved, and
it complies with any requirements which would
be applicable to it under clause (i) or (ii)(II) of
section 3210(a)(6)(A) of title 39, United States
Code, if it were a mass mailing;
‘‘(ii) any mailing from a Member of Con-
gress to other Members of Congress, or to Fed-
eral, State, or local government officials;
‘‘(iii) any mailing of a news release to the
communications media; or
‘‘(iv) any mailing described in clause (iv)
or (v) of section 6(b)(1)(B) of the Legislative
Branch Appropriations Act, 1995 (39 U.S.C.
3210 note), subject to the same restriction as
specified in such clause (iv) with respect to a
Member of the Senate;
‘‘(B) the term ‘franked mail’ has the meaning
given such term by section 3201(4) of title 39,
United States Code; and
‘‘(C) the term ‘town meeting notice’ means (in-
cluding for purposes of subparagraph (A)(iv)) any
mailing which—
‘‘(i) relates solely to a notice of the time
and place at which a Member of the House of
Representatives or 1 or more members of the
Member’s staff will be available to meet con-
stituents regarding legislative issues or prob-
lems with Federal programs;
‘‘(ii) appears on a mailing 51⁄2″ x 8″ or
smaller;
‘‘(iii) includes not more than 3 references
to the Member (excluding any reference appear-
ing as the frank, consisting of the signature
and name at the end of the mailing, or other-
wise specified in regulations of the House Com-
mission on Congressional Mailing Standards);
and
‘‘(iv) does not include any picture, sketch,
or other likeness of the Member.’’.
SEC. 10. PROVISIONS RELATING TO MEMBERS’ OFFICIAL
MAIL ALLOWANCE.
(a) REDUCTION IN MAXIMUM ALLOCATION.—Section
311(e)(2)(B)(i) of the Legislative Branch Appropriations
Act, 1991 (2 U.S.C. 59e(e)(2)(B)(i)) is amended by strik-
ing ‘‘3’’ and inserting ‘‘0.5’’.
(b) LIMITATION ON TRANSFERS.—Paragraph (3) of
section 311(e) of such Act is amended to read as follows:
‘‘(3)(A) Except as provided in subparagraph (B), no
amount may be transferred to or from the Official Mail
Allowance of a Member of the House of Representatives.
‘‘(B) A Member of the House of Representatives may
transfer amounts from the Official Mass Mailing Allow-
ance of the Member to the Official Mail Allowance of the
Member.’’.
SEC. 11. LIMITATION ON CONTRIBUTIONS AND EXPENDI-
TURES BY LABOR ORGANIZATIONS.
(a) CONTRIBUTIONS
TO ALL POLITICAL COMMIT-
TEES INCLUDED.—Paragraph (2) of section 316(b) of the
Federal Election Campaign Act of 1971 (2 U.S.C.
441b(b)(2)) is amended by inserting ‘‘political commit-
tee,’’ after ‘‘campaign committee,’’.
(b) APPLICABILITY OF REQUIREMENTS TO LABOR
ORGANIZATIONS.—Section 316(b) of the Federal Election
Campaign Act of 1971 (2 U.S.C. 441b(b)) is amended by
adding at the end the following new paragraph:
‘‘(8)(A) Subparagraphs (A), (B), and (C) of para-
graph (2) shall not apply to a labor organization unless
the organization meets the requirements of subparagraphs
(B), (C), and (D).
‘‘(B) The requirements of this subparagraph are met
only if the labor organization provides, at least once annu-
ally, to all employees within the labor organization’s bar-
gaining unit or units (and to new employees within 30
days after commencement of their employment) written
notification presented in a manner to inform any such em-
ployee—
‘‘(i) that an employee cannot be obligated to
pay, through union dues or any other mandatory
payment to a labor organization, for the political ac-
tivities of the labor organization, including, but not
limited to, the maintenance and operation of, or so-
licitation of contributions to, a political committee,
political communications to members, and voter reg-
istration and get-out-the-vote campaigns;
‘‘(ii) that no employee may be required actually
to join any labor organization, but if a collective bar-
gaining agreement covering an employee purports to
require membership or payment of dues or other
fees to a labor organization as a condition of em-
ployment, the employee may elect instead to pay an
agency fee to the labor organization;
‘‘(iii) that the amount of the agency fee shall be
limited to the employee’s pro rata share of the cost
of the labor organization’s exclusive representation
services to the employee’s collective bargaining unit,
including collective bargaining, contract administra-
tion, and grievance adjustment;
‘‘(iv) that an employee who elects to be a full
member of the labor organization and pay member-
ship dues is entitled to a reduction of those dues by
the employee’s pro rata share of the total spending
by the labor organization for political activities;
‘‘(v) that the cost of the labor organization’s ex-
clusive representation services, and the amount of
spending by such organization for political activities,
shall be computed on the basis of such cost and
spending for the immediately preceding fiscal year of
such organization; and
‘‘(vi) of the amount of the labor organization’s
full membership dues, initiation fees, and assess-
ments for the current year; the amount of the re-
duced membership dues, subtracting the employee’s
pro rata share of the organization’s spending for po-
litical activities, for the current year; and the
amount of the agency fee for the current year.
‘‘(C) The requirements of this subparagraph are met
only if the labor organization provides all represented em-
ployees an annual examination by an independent certified
public accountant of financial statements supplied by such
organization which attests that the expenditures which the
union claimed it made for certain expenses were actually
made for those expenses. Such examination shall be con-
ducted in accordance with generally accepted auditing
standards.
‘‘(D) The requirements of this subparagraph are met
only if the labor organization—
‘‘(i) maintains procedures to promptly deter-
mine the costs that may properly be charged to
agency fee payors as costs of exclusive representa-
tion, and explains such procedures in the written no-
tification required under subparagraph (B); and
‘‘(ii) if any person challenges the costs which
may be properly charged as costs of exclusive rep-
resentation—
‘‘(I) provides a mutually selected impartial
decisionmaker to hear and decide such chal-
lenge pursuant to rules of discovery and evi-
dence and subject to de novo review by the Na-
tional Labor Relations Board or an applicable
court; and
‘‘(II) places in escrow amounts reasonably
in dispute pending the outcome of the chal-
lenge.
‘‘(E)(i) A labor organization that does not satisfy the
requirements of subparagraphs (B), (C), and (D) shall fi-
nance any expenditures specified in subparagraphs (A),
(B), or (C) of paragraph (2) only with funds legally col-
lected under this Act for its separate segregated fund.
‘‘(ii) For purposes of this paragraph, subparagraph
(A) of paragraph (2) shall apply only with respect to com-
munications expressly advocating the election or defeat of
any clearly identified candidate for elective public office.’’.
(c) EFFECTIVE DATE.—The amendments made by
subsections (a) and (b) shall apply to contributions and
expenditures made after the date of the enactment of this
Act.
SEC. 12. CAMPAIGN ADVERTISING AMENDMENTS.
Section 318 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441d) is amended—
(1) in subsection (a)—
(A) in the matter preceding paragraph
(1)—
(i) by striking ‘‘Whenever’’ and insert-
ing ‘‘Whenever a political committee makes
a disbursement for the purpose of financ-
ing any communication through any broad-
casting station, newspaper, magazine, out-
door advertising facility, mailing, phone
bank or any other type of general public
political advertising, or whenever’’;
(ii) by striking ‘‘an expenditure’’ and
inserting ‘‘a disbursement’’; and
(iii) by striking ‘‘direct’’; and
(B) in paragraph (3), by inserting ‘‘and
permanent street address’’ after ‘‘name’’; and
(2) by adding at the end the following new sub-
sections:
‘‘(c) Any printed communication described in sub-
section (a) shall be—
‘‘(1) of sufficient type size to be clearly read-
able by the recipient of the communication;
‘‘(2) contained in a printed box set apart from
the other contents of the communication; and
‘‘(3) consist of a reasonable degree of color con-
trast between the background and the printed state-
ment.
‘‘(d)(1) Any broadcast or cablecast communication
described in subsection (a)(1) or subsection (a)(2) shall
include, in addition to the requirements of those sub-
sections, an audio statement by the candidate that identi-
fies the candidate and states that the candidate is respon-
sible for the content of the advertisement.
‘‘(2) If a broadcast or cablecast communication de-
scribed in paragraph (1) is broadcast or cablecast by
means of television, the communication shall include, in
addition to the audio statement under paragraph (1), a
written statement which—
‘‘(A) appears at the end of the communication
in a clearly readable manner with a reasonable de-
gree of color contrast between the background and
the printed statement, for a period of at least 4 sec-
onds; and
‘‘(B) is accompanied by a clearly identifiable
photographic or similar image of the candidate.
‘‘(e) Any broadcast or cablecast communication de-
scribed in subsection (a)(3) shall include, in addition to
the requirements of those subsections, in a clearly spoken
manner, the following statement: ‘
is
responsible for the content of this advertisement.’ (with
the blank to be filled in with the name of the political
committee or other person paying for the communication
and the name of any connected organization of the payor).
If broadcast or cablecast by means of television, the state-
ment shall also appear in a clearly readable manner with
a reasonable degree of color contrast between the back-
ground and the printed statement, for a period of at least
4 seconds.’’.
Æ