I
103D CONGRESS
1ST SESSION
H. R. 1185
To limit contributions by nonparty multicandidate political committees in
House of Representatives elections, to provide an income tax credit
for contributions to nonincumbent candidates in such elections, and for
other purposes.
IN THE HOUSE OF REPRESENTATIVES
MARCH 3, 1993
Mr. KOPETSKI introduced the following bill; which was referred jointly to the
Committees on House Administration, Ways and Means, and Post Office
and Civil Serivce
A BILL
To limit contributions by nonparty multicandidate political
committees in House of Representatives elections, to pro-
vide 
an 
income 
tax 
credit 
for 
contributions 
to
nonincumbent candidates in such 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. PERCENTAGE LIMITATION ON NONPARTY
MULTICANDIDATE 
POLITICAL 
COMMITTEE
CONTRIBUTIONS ACCEPTED BY HOUSE OF
REPRESENTATIVES CANDIDATES.
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) 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 nonparty multicandidate political committees that, in
the aggregate, exceed 40 percent of the total of contribu-
tions accepted from all sources.’’.
SEC. 2. INCOME TAX CREDIT FOR CONTRIBUTIONS TO
NONINCUMBENT HOUSE OF REPRESENTA-
TIVES CANDIDATES.
(a) IN GENERAL.—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 NONINCUMBENT HOUSE OF
REPRESENTATIVES CANDIDATES.
‘‘(a) GENERAL RULE.—In the case of an individual,
there shall be allowed, subject to the limitations of sub-
section (b), as a credit against the tax imposed by this
chapter for the taxable year, an amount equal to one-half
of all contributions to candidates for the office of Rep-
resentative in, or Delegate or Resident Commissioner to,
the Congress (other than contributions to an incumbent
of any such office), payment of which is made by the tax-
payer within the taxable year.
‘‘(b) LIMITATIONS.—
‘‘(1) MAXIMUM CREDIT.—The credit allowed by
subsection (a) for a taxable year shall not exceed
$50 ($100 in the case of a joint return under section
6013).
‘‘(2) VERIFICATION.—The credit allowed by
subsection (a) shall be allowed, with respect to any
contribution, only if such contribution is verified in
such manner as the Secretary shall prescribe by reg-
ulations.
‘‘(c) DEFINITIONS.—For purposes of this section, the
terms ‘candidate’ and ‘contribution’ have the meanings
given those terms in section 301 of the Federal Election
Campaign Act of 1971.
‘‘(d) CROSS REFERENCE.—
‘‘For disallowance of credits to estates and trusts,
see section 642(a)(2).’’.
(b) TECHNICAL AMENDMENTS.—
(1) Subsection (a) of section 642 of such Code
is amended to read as follows:
‘‘(a) CREDITS AGAINST TAX.—
‘‘(1) FOREIGN TAX CREDIT ALLOWED.—An es-
tate or trust shall be allowed the credit against tax
for taxes imposed by foreign countries and posses-
sions of the United States, to the extent allowed by
section 901, only in respect of so much of the taxes
described in such section as is not properly allocable
under such section to the beneficiaries.
‘‘(2) 
CREDIT
FOR
CONTRIBUTIONS
TO
NONINCUMBENT HOUSE OF REPRESENTATIVES CAN-
DIDATES NOT ALLOWED.—An estate or trust shall
not be allowed the credit against tax for contribu-
tions to nonincumbent House of Representatives
candidates provided by section 24.’’.
(2) 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 relating to sec-
tion 23 the following new item:
‘‘Sec. 24. Contributions to nonincumbent House of Representa-
tives candidates.’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to taxable years beginning after
December 31, 1993.
SEC. 3. NOTIFICATION REQUIREMENTS FOR EXPENDI-
TURES BY CERTAIN POLITICAL COMMITTEES
IN HOUSE OF REPRESENTATIVES ELECTIONS.
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) In addition to any other reporting requirement
provided for by law, each political committee (other than
a political committee of a political party or a political com-
mittee of a candidate for the office of Representative in,
or Delegate or Resident Commissioner to, the Congress)
that makes expenditures with respect to an election for
such office shall—
‘‘(1) not later than one week after the date on
which such committee makes aggregate expenditures
in excess of $50, so notify each candidate in the
election;
‘‘(2) in the case of a committee to which para-
graph (1) applies, simultaneously with submission of
any report of expenditures to the Commission, notify
each candidate in the election of all expenditures in
the reporting period; and
‘‘(3) not later than one week after the date on
which such committee makes any single expenditure
in excess of $50, so notify each candidate in the
election.’’.
SEC. 4. PERCENTAGE LIMITATION ON OUT-OF-STATE CON-
TRIBUTIONS ACCEPTABLE BY HOUSE OF REP-
RESENTATIVES CANDIDATES.
Section 315 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 441a), as amended by section 1 of this
Act, is further amended by adding at the end the following
new subsection:
‘‘(j) 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 individuals who are not residents of the State in-
volved that, in the aggregate, exceed 25 percent of the
total of contributions accepted from all individuals.’’.
SEC. 5. REDUCTION IN THRESHOLD AMOUNT FOR REPORT-
ING OF CERTAIN CONTRIBUTIONS AND EX-
PENDITURES.
Section 304 of the Federal Election Campaign Act
of 1971 (2 U.S.C. 434), as amended by section 3, is fur-
ther amended by striking out ‘‘$200’’ each place it ap-
pears and inserting in lieu thereof ‘‘$50’’.
SEC. 
6. 
REDUCED 
THIRD 
CLASS 
MAIL 
RATE 
FOR
NONINCUMBENTS IN HOUSE OF REPRESENT-
ATIVES ELECTIONS.
(a) IN GENERAL.—Chapter 34 of title 39, United
States Code, is amended by adding at the end the follow-
ing new section:
§ 3407. 
Reduced 
third 
class 
mail 
rate 
for
nonincumbents in House of Representa-
tives elections
‘‘(a)(1) A nonincumbent candidate for the office of
Representative in, or Delegate or Resident Commissioner
to, the Congress shall be entitled to send third class cam-
paign material through the mails at a rate equal to one-
half of the third class bulk mail rate.
‘‘(2) The rate provided for in subsection (a) shall be
available—
‘‘(A) for 3 mailings in the congressional district
involved; and
‘‘(B) only for material mailed to households
with resident registered voters.
‘‘(b) There are authorized to be appropriated such
amounts as may be necessary to reimburse the Postal
Service for the difference between the revenues received
for campaign materials mailed under subsection (a) and
the revenues that the Postal Service would have received
if such materials had been carried at the regular rate.’’.
(b) CLERICAL AMENDMENT.—The table of sections
for chapter 34 of title 39, United States Code, is amended
by adding at the end the following new item:
‘‘3407. Reduced third class mail rate for nonincumbents in House
of Representatives elections.’’.
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