IB 
Union Calendar No. 36 
117TH CONGRESS 
1ST SESSION H. R. 1087 
[Report No. 117–53] 
To amend the Securities Exchange Act of 1934 to require reporting of 
certain expenditures for political activities, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 18, 2021 
Mr. FOSTER (for himself, Ms. SCHAKOWSKY, Mr. PHILLIPS, Mr. DEFAZIO, 
Ms. NORTON, Ms. VELA´ZQUEZ, Mr. RASKIN, Mr. CROW, Mr. WELCH, Mr. 
CARBAJAL, and Ms. MENG) introduced the following bill; which was re-
ferred to the Committee on Financial Services 
JUNE 8, 2021 
Additional sponsor: Mr. GARCI´A of Illinois 
JUNE 8, 2021 
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 February 18, 2021] 
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A BILL 
To amend the Securities Exchange Act of 1934 to require 
reporting of certain expenditures for political activities, 
and for other purposes. 
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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 ‘‘Shareholder Political 
Transparency Act of 2021’’. 
SEC. 2. FINDINGS. 
Congress finds that— 
(1) corporations make significant political con-
tributions and expenditures that directly or indirectly 
influence the election of candidates and support or 
oppose political causes; 
(2) decisions to use corporate funds for political 
contributions and expenditures are usually made by 
corporate boards and executives, rather than share-
holders; 
(3) corporations, acting through boards and ex-
ecutives, are obligated to conduct business for the best 
interests of their owners, the shareholders; 
(4) historically, shareholders have not had a way 
to know, or to influence, the political activities of cor-
porations they own; 
(5) shareholders and the public have a right to 
know how corporate managers are spending company 
funds to make political contributions and expendi-
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tures benefitting candidates, political parties, and po-
litical causes; and 
(6) corporations should be accountable to share-
holders in making political contributions or expendi-
tures affecting Federal governance and public policy. 
SEC. 3. REPORTING REQUIREMENTS. 
Section 13 of the Securities Exchange Act of 1934 (15 
U.S.C. 78m) is amended by adding at the end the following: 
‘‘(s) REPORTING REQUIREMENTS RELATING TO CER-
TAIN POLITICAL EXPENDITURES.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) EXPENDITURE FOR POLITICAL ACTIVI-
TIES.—The term ‘expenditure for political activi-
ties’— 
‘‘(i) means— 
‘‘(I) an independent expenditure 
(as defined in section 301(17) of the 
Federal Election Campaign Act of 
1971 (52 U.S.C. 30101(17))); 
‘‘(II) an electioneering commu-
nication 
(as 
defined 
in 
section 
304(f)(3) of that Act (52 U.S.C. 
30104(f)(3))) and any other public 
communication (as defined in section 
301(22) 
of 
that 
Act 
(52 
U.S.C. 
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30101(22))) that would be an election-
eering communication if it were a 
broadcast, cable, or satellite commu-
nication; or 
‘‘(III) dues or other payments to 
trade associations or organizations de-
scribed in section 501(c) of the Internal 
Revenue Code of 1986 and exempt from 
tax under section 501(a) of that Code 
that are, or could reasonably be antici-
pated to be, used or transferred to an-
other association or organization for 
the purposes described in subclause (I) 
or (II); and 
‘‘(ii) does not include— 
‘‘(I) 
direct 
lobbying 
efforts 
through registered lobbyists employed 
or hired by the issuer; 
‘‘(II) 
communications 
by 
an 
issuer to its shareholders and executive 
or administrative personnel and their 
families; or 
‘‘(III) the establishment and ad-
ministration of contributions to a sep-
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arate segregated fund to be utilized for 
political purposes by a corporation. 
‘‘(B) ISSUER.—The term ‘issuer’ does not 
include an investment company registered under 
section 8 of the Investment Company Act of 1940 
(15 U.S.C. 80a–8). 
‘‘(2) QUARTERLY REPORTS.— 
‘‘(A) REPORTS REQUIRED.—Not later than 
180 days after the date of enactment of this sub-
section, the Commission shall amend the report-
ing rules under this section to require each issuer 
with a class of equity securities registered under 
section 12 of this title to submit to the Commis-
sion and the shareholders of the issuer a quar-
terly report containing— 
‘‘(i) a description of any expenditure 
for political activities made during the pre-
ceding quarter; 
‘‘(ii) the date of each expenditure for 
political activities; 
‘‘(iii) the amount of each expenditure 
for political activities; 
‘‘(iv) if the expenditure for political ac-
tivities was made in support of or in oppo-
sition to a candidate, the name of the can-
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