I
105TH CONGRESS
1ST SESSION
H. R. 1777
To amend the Federal Election Campaign Act of 1971 to reform the financing
of Federal elections, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JUNE 4, 1997
Mr. MEEHAN (for himself, Mr. SHAYS, Mr. WAMP, Mr. MORAN of Virginia,
Mrs. ROUKEMA, Mr. MCHALE, Mr. HORN, Mr. BARRETT of Wisconsin,
Mr. CASTLE, Mr. MINGE, Mr. LEACH, Mr. BILBRAY, Mr. CAMPBELL, Mr.
DUNCAN, Mrs. MORELLA, Mr. GREENWOOD, Mr. FRANKS of New Jersey,
and Mr. METCALF) introduced the following bill; which was referred to
the Committee on House Oversight, and in addition to the Committees
on Commerce, and Government Reform and Oversight, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee con-
cerned
A BILL
To amend the Federal Election Campaign Act of 1971 to
reform the financing of Federal 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 ‘‘Campaign Independ-
ence Restoration Act—Part II’’.
SEC. 2. TABLE OF CONTENTS.
The table of contents of this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I—HOUSE OF REPRESENTATIVES ELECTION SPENDING
LIMITS AND BENEFITS
Sec. 101. House of Representatives election spending limits and benefits.
‘‘TITLE V—SPENDING LIMITS AND BENEFITS FOR HOUSE OF
REPRESENTATIVES ELECTION CAMPAIGNS
‘‘Sec. 501. Candidates eligible to receive benefits.
‘‘Sec. 502. Limitation on expenditures.
‘‘Sec. 503. Benefits eligible candidates entitled to receive.
‘‘Sec. 504. Certification by Commission.
‘‘Sec. 505. Repayments; additional civil penalties.’’
Sec. 102. Broadcast rates and preemption.
Sec. 103. Reduced postage rates.
Sec. 104. Contribution limit for eligible House of Representatives candidates.
Sec. 105. Reporting requirements.
TITLE II—REDUCTION OF SPECIAL INTEREST INFLUENCE
Subtitle A—Limitations on Political Action Committees and Large
Contributions of Individuals
Sec. 201. Limitations on activities of political action committees in Federal
elections.
Sec. 202. Aggregate limit on large contributions.
Subtitle B—Contributions
Sec. 211. Contributions through intermediaries and conduits.
Subtitle C—Additional Prohibitions on Contributions
Sec. 221. Prohibition of contributions by noncitizens and other individuals not
qualified to vote.
Subtitle D—Coordinated and Independent Expenditures
Sec. 231. Clarification of definitions relating to independent expenditures.
Sec. 232. Treatment of coordinated expenditures as contributions.
Sec. 233. Treatment of certain party expenditures and communications contain-
ing express advocacy as expenditures.
Sec. 234. Reporting requirements for certain independent expenditures.
TITLE III—MISCELLANEOUS PROVISIONS
Sec. 301. Severability.
Sec. 302. Expedited review of constitutional issues.
Sec. 303. Effective date.
Sec. 304. Regulations.
TITLE I—HOUSE OF REPRESENT-
ATIVES ELECTION SPENDING
LIMITS AND BENEFITS
SEC. 101. HOUSE OF REPRESENTATIVES ELECTION SPEND-
ING LIMITS AND BENEFITS.
The Federal Election Campaign Act of 1971 is
amended by adding at the end the following new title:
‘‘TITLE 
V—SPENDING 
LIMITS
AND BENEFITS FOR HOUSE
OF REPRESENTATIVES ELEC-
TION CAMPAIGNS
‘‘SEC. 501. CANDIDATES ELIGIBLE TO RECEIVE BENEFITS.
‘‘(a) IN GENERAL.—For purposes of this title, a can-
didate is an eligible House of Representatives candidate
if the Commission has certified, pursuant to section 504,
that the candidate—
‘‘(1) meets the election cycle filing requirements
of subsection (b); and
‘‘(2) meets the threshold contribution require-
ments of subsection (c).
‘‘(b) FILING REQUIREMENTS.—
‘‘(1) IN GENERAL.—The requirements of this
subsection are met if the candidate files with the
Commission under penalty of perjury a declaration
that—
‘‘(A) the candidate and the candidate’s au-
thorized committees—
‘‘(i) will not exceed the expenditure
limits under section 502(a), (b), and (c),
‘‘(ii) will not accept contributions in
excess of the election cycle expenditure
limit, reduced by any amounts transferred
to this election cycle from a preceding elec-
tion cycle,
‘‘(iii) will not, in the event of a runoff
election, accept contributions in excess of
the runoff expenditure limit, reduced by
any amounts transferred to this election
cycle from a preceding election cycle,
‘‘(iv) will not accept any contributions
in violation of section 315, and
‘‘(v) will comply with the requirement
that, by the end of the election cycle, not
less than 60 percent of the total dollar
amount of all contributions from individ-
uals to the candidate or the candidate’s
authorized committees (including any ex-
penditures, contributions, or loans made by
the candidate) shall come from individuals
legally residing in the candidate’s State;
and
‘‘(B) the candidate intends to make use of
the benefits provided under section 503.
‘‘(2) DEADLINE FOR FILING DECLARATION.—
The declaration under paragraph (1) shall be filed
the date the candidate files as a candidate for the
primary election. In the case of a candidate who is
not eligible to participate in a primary election but
qualifies for the general election ballot under State
law, the declaration under paragraph (1) shall be
filed not later than the date the candidate qualifies
for the general election ballot under State law.’’.
‘‘(3) NOTIFICATION.—A candidate who—
‘‘(A) files a declaration pursuant to sub-
section (b)(1) of this Act; and
‘‘(B) subsequently acts in a manner incon-
sistent with any of the limitations or require-
ments of the declaration filed under subsection
(b)(1) shall file a notification regarding such
acts with the Commission not later than 24
hours after the first such act inconsistent with
any of the limitations or requirements and shall
at the same time notify all other candidates for
the same office by sending a copy of the notifi-
cation filed with the Commission by certified
mail, return receipt requested.
‘‘(c) THRESHOLD CONTRIBUTION REQUIREMENTS.—
‘‘(1) IN GENERAL.—The requirements of this
subsection are met if the candidate and the can-
didate’s authorized committees have received allow-
able contributions during the applicable period in an
amount equal to 10 percent of the election cycle ex-
penditure limit under section 502(b), and file with
the Commission under penalty of perjury a state-
ment with supporting materials demonstrating that
this requirement has been met.
‘‘(2) DEFINITIONS.—For purposes of this sec-
tion—
‘‘(A) the term ‘allowable contributions’
means contributions that are made as gifts of
money by an individual pursuant to a written
instrument identifying such individual as the
contributor, except that—
‘‘(i) such term shall not include con-
tributions from individuals residing outside
the candidate’s State to the extent such
contributions exceed 40 percent of the
amount set forth in paragraph (1),
‘‘(ii) no more than $200 of any con-
tribution from an individual shall be taken
into account; and
‘‘(iii) such term shall not include any
contribution of an intermediary or conduit
within the meaning of section 301(a)(8);
and
‘‘(B) the term ‘applicable period’ means—
‘‘(i) the period beginning on January
1 of the calendar year preceding the cal-
endar year of the general election involved
and ending on the date of the general elec-
tion; or
‘‘(ii) in the case of a special election
for the office of Representative in, or Dele-
gate or Resident Commissioner to, the
Congress, the period beginning on the date
the vacancy in such office occurs and end-
ing on the date of the general election.
‘‘SEC. 502. LIMITATION ON EXPENDITURES.
‘‘(a) LIMITATION ON USE OF PERSONAL FUNDS.—
‘‘(1) IN GENERAL.—The aggregate amount of
expenditures that may be made during an election
cycle by an eligible House of Representatives can-
didate or such candidate’s authorized committees
from the sources described in paragraph (2) shall
not exceed 10 percent of the election cycle expendi-
ture limit under subsection (b).
‘‘(2) SOURCES.—A source is described in this
subsection if it is—
‘‘(A) personal funds of the candidate and
members of the candidate’s immediate family;
or
‘‘(B) personal loans incurred by the can-
didate and members of the candidate’s imme-
diate family.
‘‘(b) ELECTION CYCLE EXPENDITURE LIMIT.—
‘‘(1) IN GENERAL.—Except as otherwise pro-
vided in this title, the aggregate amount of expendi-
tures for an election cycle by an eligible House of
Representatives candidate and the candidate’s au-
thorized committees shall not exceed $600,000.
‘‘(2) INDEXING.—The amount under paragraph
(1) shall be increased as of the beginning of each
calendar year based on the increase in the price
index determined under section 315(c), except that
the base period shall be calendar year 1997.
‘‘(c) RUNOFF EXPENDITURE LIMITS.—The aggre-
gate amount of expenditures for a runoff election by an
eligible House of Representatives candidate and the can-
didate’s authorized committees shall not exceed 20 percent
of the election cycle expenditure limit under subsection
(b).
‘‘(d) PAYMENT
OF TAXES.—The limitation under
subsection (b) shall not apply to any expenditure for Fed-
eral, State, or local taxes with respect to earnings on con-
tributions raised.
‘‘(e) CONTESTED PRIMARY.—If, as determined by the
Commission, an eligible House of Representatives can-
didate in a contested primary wins that primary election
by a margin of 10 percent or less, the limitation contained
in subsection (b)(1) shall be increased by 30 percent for
such candidate, and such candidate shall be entitled to
raise additional contributions not to exceed this amount.
‘‘(f) COMPLYING CANDIDATES RUNNING AGAINST
NONCOMPLYING CANDIDATES.—
‘‘(1) If in the case of an election with more
than one candidate where any candidate either—
‘‘(A) fails to be certified as an eligible can-
didate by the Commission and has expended
personal funds in excess of 10 percent of the
election cycle limits contained in subsection (b)
or has received contributions or expended per-
sonal funds which in the aggregate exceed 70
percent of the election cycle limits contained in
subsection (b), or
‘‘(B) violates the limitations on expendi-
tures of this Act, any eligible House of Rep-
resentatives candidate in that election shall be
permitted to raise additional contributions up to
an amount equal to 50 percent of the election
cycle limit contained in subsection (b).
‘‘(2) If the candidate who has failed to be cer-
tified as an eligible candidate or who has violated
the limitations on expenditures of this Act has re-
ceived contributions or expended personal funds
which, in the aggregate, exceed 120 percent of the
election cycle limits contained in this section, any eli-
gible House of Representatives candidate in that
election shall be permitted to raise additional con-
tributions up to an amount equal to 100 percent of
the election cycle limit contained in subsection (b).
‘‘(3) In the event a noncomplying candidate as
defined in subparagraphs (A) or (B) of paragraph
(1) spends an amount equal to 105 percent of the
election cycle limit contained in subsection (b), the
election cycle limit contained in subsection (b) for an
eligible House of Representatives candidate in such
election shall be increased by 50 percent. In the
event a noncomplying candidate spends an amount
equal to 155 percent of the election cycle limit con-
tained in subsection (b), the election cycle limit in
subsection (b) for an eligible House of Representa-
tives candidate in such election shall be increased by
100 percent.
‘‘(g) RESPONDING
TO
INDEPENDENT
EXPENDI-
TURES.—In the event an eligible House of Representatives
candidate is notified pursuant to section 304(c)(4) by the
Commission that independent expenditures totaling in the
aggregate $25,000 or more have been made in the same
election in favor of another candidate or against such eligi-
ble candidate, such eligible candidate shall be permitted
to spend an amount equal to the amount of such independ-
ent expenditures, without such expenditures being subject
to such eligible candidates’s election cycle expenditure
limit in subsection (b), as may be modified by subsection
(c), (e), or (f).
‘‘SEC. 503. BENEFITS ELIGIBLE CANDIDATES ENTITLED TO
RECEIVE.
‘‘For any election in which an eligible House of Rep-
resentatives candidate has at least one opponent who has
qualified for the ballot and who has raised in contributions
or expended in personal funds an amount equal to 10 per-
cent of the election cycle limit in section 502(b), such eligi-
ble candidate shall be entitled to receive—
‘‘(1) the broadcast media rates provided under
section 315(b) of the Communications Act of 1934;
and
‘‘(2) the reduced postage rates provided in sec-
tion 3626(e) of title 39, United States Code.
‘‘SEC. 504. CERTIFICATION BY COMMISSION.
‘‘(a) IN GENERAL.—The Commission shall determine
whether a candidate has met the requirements of this title
and, based upon that determination, shall issue a certifi-
cation stating whether or not such candidate is eligible to
receive benefits under this title.
‘‘(b) CERTIFICATION.—
‘‘(1) ISSUANCE OF CERTIFICATION.—Upon re-
ceipt of the declaration required under section
501(b) and the statement required under section
501(c), and such other information as the Commis-
sion may by regulation require, the Commission
shall determine if such candidate meets the eligi-
bility requirements in section 501 and, if so, shall
certify the candidate’s eligibility for the benefits re-
ferred to in section 503.
‘‘(2) REVOCATION.—The Commission shall re-
voke such certification if, based on relevant informa-
tion submitted in such form and manner as the
Commission may require or based on relevant infor-
mation that otherwise comes to its attention, it de-
termines a candidate—
‘‘(A) violates any of the expenditure limits
under this title by making an aggregate amount
of expenditures that exceeds such limits by 5
percent or more;
‘‘(B) uses a benefit made available to the
candidate under this title in a manner not pro-
vided for under this title; or
‘‘(C) fails to continue to meet the require-
ments of this title.
‘‘(3) TERMINATION OF BENEFITS.—A candidate
whose certification has been revoked under para-
graph (2) shall be ineligible for any further benefits
under this title for the duration of the election cycle.
‘‘(c) DETERMINATION BY COMMISSION.—All deter-
minations (including certifications under this section)
made by the Commission under this title shall be final,
except to the extent that they are subject to examination
and audit by the Commission under section 505 and sub-
ject to judicial review.
‘‘SEC. 505. REPAYMENTS; ADDITIONAL CIVIL PENALTIES.
‘‘(a) REQUIRING REPAYMENT.—If the Commission
revokes the certification of a candidate as an eligible
House of Representatives candidate, the Commission shall
so notify the candidate and the candidate shall pay to the
provider of such benefits received an amount equal to the
difference between the amount the candidate paid for such
benefits and the amount the candidate would have paid
for such benefits if the candidate were not an eligible can-
didate under this title.
‘‘(b) CIVIL PENALTIES.—
‘‘(1) LOW
AMOUNT
OF
EXCESS
EXPENDI-
TURES.—Any eligible House of Representatives can-
didate who makes expenditures that exceed a limita-
tion under this title by 2.5 percent or less shall pay
to the Commission an amount equal to the amount
of the excess expenditures.
‘‘(2) MEDIUM AMOUNT OF EXCESS EXPENDI-
TURES.—Any eligible House of Representatives can-
didate who makes expenditures that exceed a limita-
tion under this title by more than 2.5 percent and
less than 5 percent shall pay to the Commission an
amount equal to 3 times the amount of the excess
expenditures.
‘‘(3) LARGE
AMOUNT
OF
EXCESS
EXPENDI-
TURES.—Any eligible House of Representatives can-
didate who makes expenditures that exceed a limita-
tion under this title by 5 percent or more shall pay
to the Commission an amount equal to 3 times the
amount of the excess expenditures plus a civil pen-
alty to be imposed pursuant to the procedures of
section 309.’’.
SEC. 102. BROADCAST RATES AND PREEMPTION.
(a) BROADCAST RATES.—Section 315(b) of the Com-
munications Act of 1934 (47 U.S.C. 315(b)) is amended—
(1) by striking ‘‘(b) The charges’’ and inserting
‘‘(b)(1) The charges’’;
(2) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively;
(3) in paragraph (1)(A), as redesignated—
(A) by striking ‘‘forty-five’’ and inserting
‘‘30’’; and
(B) by striking ‘‘lowest unit charge of the
station for the same class and amount of time
for the same period’’ and inserting ‘‘lowest
charge of the station for the same amount of
time for the same period on the same date’’;
and
(4) by adding at the end the following new
paragraph:
‘‘(2) In the case of an eligible House of Representa-
tives candidate (as described in section 501(a) of the Fed-
eral Election Campaign Act of 1971), the charges for the
use of a television or radio broadcasting station during
the 30-day period and 60-day period referred to in para-
graph (1)(A) shall not exceed 50 percent of the lowest
charge described in paragraph (1)(A).’’.
(b) PREEMPTION; ACCESS.—Section 315 of such Act
(47 U.S.C. 315) is amended—
(1) by redesignating subsections (c) and (d) as
subsections (d) and (e), respectively; and
(2) by inserting immediately after subsection
(b) the following subsection:
‘‘(c)(1) Except as provided in paragraph (2), a li-
censee shall not preempt the use, during any period speci-
fied in subsection (b)(1)(A), of a broadcasting station by
an eligible House of Representatives candidate who has
purchased and paid for such use pursuant to subsection
(b)(2).
‘‘(2) If a program to be broadcast by a broadcasting
station is preempted because of circumstances beyond the
control of the broadcasting station, any candidate adver-
tising spot scheduled to be broadcast during that program
may also be preempted.’’.
(c) REVOCATION OF LICENSE FOR FAILURE TO PER-
MIT ACCESS.—Section 312(a)(7) of the Communications
Act of 1934 (47 U.S.C. 312(a)(7)) is amended—
(1) by inserting ‘‘or cable system’’ after ‘‘broad-
casting station’’; and
(2) by striking ‘‘his candidacy’’ and inserting
‘‘the candidacy of such person, under the same
terms, conditions, and business practices as apply to
its most favored advertiser’’.
(d) JURISDICTION OVER TAKINGS CHALLENGE TO
BROADCAST RATES.—The United States Court of Federal
Claims shall have exclusive jurisdiction over any action
challenging the constitutionality of the broadcast media
rates required to be offered to political candidates under
section 503(1) of the Federal Election Campaign Act of
1971 and section 315(b) of the Communications Act of
1934. Money damages shall be the sole and exclusive rem-
edy in such cases, and only individuals or entities suffering
actual financial injury shall have standing to maintain
such an action.
(e) CONDITION OF RENEWAL OR NEW LICENSE.—
Section 307 of the Communications Act of 1934 (47
U.S.C. 307) is amended by adding the following: ‘‘The
continuation of an existing license, the renewal of an ex-
piring license, and the issuance of a new license shall be
expressly conditioned on the agreement by the licensee to
abide by the provisions of section 503(1) of the Federal
Election Campaign Act of 1971 and section 315(b) of this
Act. The Commission shall take such action as it deems
appropriate to assure compliance with this requirement.’’.
(f) REGULATIONS.—The Federal Communications
Commission, in consultation with the Federal Election
Commission, shall issue regulations to modify the require-
ments of section 315 of the Communications Act of 1934
(as amended by subsection (a)) in any cases where a li-
censee establishes that such requirements would impose
significant economic hardship.
(g) EFFECTIVE DATE.—The amendments made by
this section shall apply to the general elections occurring
after the expiration of the 60-day period which begins on
the date of the enactment of this Act (and the election
cycles relating thereto).
SEC. 103. REDUCED POSTAGE RATES.
(a) IN GENERAL.—Section 3626(e) of title 39, Unit-
ed States Code, is amended—
(1) by redesignating paragraph (2) as para-
graph (3);
(2) in paragraph (3) (as so redesignated)—
(A) in subparagraph (A)—
(i) by striking ‘‘and the National’’ and
inserting ‘‘the National’’; and
(ii) by inserting before the semicolon
the following: ‘‘, and, subject to paragraph
(2), the principal campaign committee of
an eligible House of Representatives can-
didate;’’;
(B) in subparagraph (B), by striking
‘‘and’’ after the semicolon;
(C) in subparagraph (C), by striking the
period and inserting a semicolon; and
(D) by adding after subparagraph (C) the
following new subparagraphs:
‘‘(D) the term ‘principal campaign committee’
has the meaning given such term in section 301 of
the Federal Election Campaign Act of 1971;
‘‘(E) the term ‘eligible House of Representa-
tives candidate’ has the meaning given such term in
section 501(a) of the Federal Election Campaign
Act of 1971; and
‘‘(F) the term ‘voting age population’ has the
meaning given such term in section 315(e) of the
Federal Election Campaign Act of 1971.’’; and
(3) by adding after paragraph (1) the following
new paragraph:
‘‘(2) In the case of mail sent by the principal cam-
paign committee of an eligible House of Representatives
candidate, paragraph (1) shall not apply, with respect to
any election, except—
‘‘(A) if the mail is sent to an individual in the
voting age population of the congressional district
involved; and
‘‘(B) with respect to any individual under sub-
paragraph (A), to the extent of not to exceed 3
pieces of mail.’’.
SEC. 104. CONTRIBUTION LIMIT FOR ELIGIBLE HOUSE OF
REPRESENTATIVES CANDIDATES.
Section 315(a)(1) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 441a(a)(1)) is amended—
(1) by inserting ‘‘except as provided in subpara-
graph (B),’’ before ‘‘to’’ in subparagraph (A);
(2) by redesignating subparagraphs (B) and
(C) as subparagraphs (C) and (D), respectively; and
(3) by inserting immediately after subpara-
graph (A) the following new subparagraph:
‘‘(B) to any eligible House of Representa-
tives candidate under title V and the authorized
political committees of such candidate with re-
spect to any general election for the office of
Representative in, or Delegate or Resident
Commissioner to, the Congress, which, in the
aggregate, exceed $2,000, if——
‘‘(i) any other candidate in the elec-
tion is a candidate who is not an eligible
House of Representatives candidate under
title V and for whom one of the following
applies:
‘‘(I) The candidate expends per-
sonal funds in excess of 25 percent of
the applicable expenditure limit with
respect to the election under section
502.
‘‘(II) The sum of the aggregate
amount of the contributions the can-
didate has received and the amount of
personal funds the candidate has ex-
pended exceeds 50 percent of the ap-
plicable expenditure limit with respect
to the election under section 502; or
‘‘(ii) any other candidate in the elec-
tion is an eligible House of Representatives
candidate under title V who expends more
than the applicable expenditure limit with
respect to the election under section 502.’’.
SEC. 105. REPORTING REQUIREMENTS.
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 subsections:
‘‘(d)(1) The principal campaign committee of any
candidate for election as Representative in, or Delegate
or Resident Commissioner to, the Congress shall report
to the Commission if the amount of personal funds ex-
pended by the candidate with respect to a general election
exceeds the limitation described in section 502(a) and if
the amount of personal funds expended by the candidate
with respect to a general election cycle exceeds 25 percent
of the applicable expenditure limit with respect to the elec-
tion under section 502.
‘‘(2) Any report under paragraph (1) shall be submit-
ted within 48 hours of the date on which the amount of
personal funds expended exceeds the amount requiring the
submission of the report (or, if such date occurs after the
20th day, but more than 24 hours before the election in-
volved, within 24 hours of such date).
‘‘(3) Within 48 hours of receiving any report under
this subsection with respect to a candidate in a general
election (or within 24 hours in the case of a report re-
quired to be submitted to the Commission within 24
hours), the Commission shall notify each candidate in the
election who is an eligible House of Representatives can-
didate under title V of the report.
‘‘(4) In this subsection, the term ‘personal funds’
means personal funds of a candidate, the funds of the can-
didate’s immediate family, and personal loans incurred by
the candidate and the candidate’s immediate family.
‘‘(e)(1) Except as provided in paragraph (4), the
principal campaign committee of any candidate for elec-
tion as Representative in, or Delegate or Resident Com-
missioner to, the Congress shall report to the Commission
if the sum of the aggregate amount of the contributions
the candidate has received and the amount of personal
funds the candidate has expended with respect to a gen-
eral election exceeds 50 percent of the applicable expendi-
ture limit with respect to the election under section 502,
if such sum exceeds 70 percent of such limit, and if such
sum exceeds 120 percent of such limit.
‘‘(2) Any report under paragraph (1) shall be submit-
ted within 48 hours of the date on which the sum of the
candidate’s contributions and personal funds expended ex-
ceeds the amount requiring the submission of the report
(or, if such date occurs after the 20th day, but more than
24 hours before the election involved, within 24 hours of
such date).
‘‘(3) Within 48 hours of receiving any report under
this subsection with respect to a candidate in a general
election (or within 24 hours in the case of a report re-
quired to be submitted to the Commission within 24
hours), the Commission shall notify each candidate in the
election who is an eligible House of Representatives can-
didate under title V of the report.
‘‘(4) Paragraph (1) shall not apply to the principal
campaign committee of any candidate who is an eligible
House of Representatives candidate under title V.
‘‘(5) In this subsection, the term ‘personal funds’
means personal funds of a candidate, the funds of the can-
didate’s immediate family, and personal loans incurred by
the candidate and the candidate’s immediate family.
‘‘(f)(1) The principal campaign committee of any can-
didate for election as Representative in, or Delegate or
Resident Commissioner to, the Congress shall report to
the Commission if the aggregate amount of funds ex-
pended by the candidate with respect to a general election
exceeds 105 percent of the applicable expenditure limit
with respect to the election under section 502 and if such
amount exceeds 155 percent of such limit.
‘‘(2) Any report under paragraph (1) shall be submit-
ted within 48 hours of the date on which the amount of
funds expended exceeds the amount requiring the submis-
sion of the report (or, if such date occurs after the 20th
day, but more than 24 hours before the election involved,
within 24 hours of such date).
‘‘(3) Within 48 hours of receiving any report under
this subsection with respect to a candidate in a general
election (or within 24 hours in the case of a report re-
quired to be submitted to the Commission within 24
hours), the Commission shall notify each candidate in the
election who is an eligible House of Representatives can-
didate under title V of the report.’’.
TITLE II—REDUCTION OF
SPECIAL INTEREST INFLUENCE
Subtitle A—Limitations on Political
Action Committees and Large
Contributions of Individuals
SEC. 201. LIMITATIONS ON ACTIVITIES OF POLITICAL AC-
TION COMMITTEES IN FEDERAL ELECTIONS.
(a) MODIFICATION OF LIMITS ON CONTRIBUTIONS
BY POLITICAL ACTION COMMITTEES.—
(1) IN GENERAL.—Section 315(a)(2)(A) of such
Act (2 U.S.C. 441a(a)(2)(A)) is amended to read as
follows:
‘‘(A) to any candidate and the candidate’s au-
thorized political committees with respect to any
election for Federal office—
‘‘(i) in the case of a candidate for election
for the office of Representative to, or Delegate
or Resident Commissioner in, the Congress, to
the extent that the acceptance of the contribu-
tion will result in the aggregate amount of con-
tributions received by the candidate and the
committees to exceed 25 percent of the applica-
ble limit on expenditures with respect to the
election cycle involved under section 502, with-
out regard to whether or not the candidate is
an eligible House of Representatives candidate
under title V; or
‘‘(ii) which, in the aggregate, exceed the
maximum amount which an individual may con-
tribute to the candidate and the candidate’s au-
thorized political committees with respect to the
election under paragraph (1)(A);’’.
(2) RETURN OF CERTAIN EXCESS CONTRIBU-
TIONS.—Section 315(f) of such Act (2 U.S.C.
441a(f)) is amended—
(A) 
by 
striking 
‘‘(f)’’ 
and 
inserting
‘‘(f)(1)’’; and
(B) by adding at the end the following new
paragraph:
‘‘(2) A candidate (or authorized committees of such
candidate) who receives a contribution from a multican-
didate political committee in excess of the amount allowed
under subsection (a)(2)(A)(i) shall return the amount of
such excess contribution to the contributor.’’.
(b) PROHIBITION OF LEADERSHIP COMMITTEES.—
Section 302(e) of the Federal Election Campaign Act of
1971 (2 U.S.C. 432(e)) is amended—
(1) by amending paragraph (3) to read as fol-
lows:
‘‘(3) No political committee that supports or has sup-
ported more than one candidate may be designated as an
authorized committee, except that—
‘‘(A) a candidate for the office of President
nominated by a political party may designate the na-
tional committee of such political party as the can-
didate’s principal campaign committee, but only if
that national committee maintains separate books of
account with respect to its functions as a principal
campaign committee; and
‘‘(B) a candidate may designate a political com-
mittee established solely for the purpose of joint
fundraising by such candidates as an authorized
committee.’’; and
(2) by adding at the end the following new
paragraph:
‘‘(6)(A) A candidate for Federal office or any individ-
ual holding Federal office may not directly or indirectly
establish, finance, maintain, or control any Federal or
non-Federal political committee other than a principal
campaign committee of the candidate, authorized commit-
tee, party committee, or other political committee des-
ignated in accordance with paragraph (3). A candidate for
more than one Federal office may designate a separate
principal campaign committee for each Federal office.
This paragraph shall not preclude a Federal officeholder
who is a candidate for State or local office from establish-
ing, financing, maintaining, or controlling a political com-
mittee for election of the individual to such State or local
office.
‘‘(B) For one year after the effective date of this
paragraph, any political committee established before such
date but which is prohibited under subparagraph (A) may
continue to make contributions. At the end of that period
such political committee shall disburse all funds by one
or more of the following means:
‘‘(i) Making contributions to an entity qualified
under section 501(c)(3) of the Internal Revenue
Code of 1986 that is not established, maintained, fi-
nanced, or controlled directly or indirectly by any
candidate for Federal office or any individual hold-
ing Federal office.
‘‘(ii) Making a contribution to the treasury of
the United States.
‘‘(iii) Making contributions to the national,
State, or local committees of a political party.
‘‘(iv) Making contributions not to exceed
$1,000 to candidates for elective office.’’.
SEC. 202. AGGREGATE LIMIT ON LARGE CONTRIBUTIONS.
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:
‘‘AGGREGATE LIMIT ON LARGE CONTRIBUTIONS FOR
HOUSE CANDIDATES
‘‘SEC. 323. (a) IN GENERAL.—It shall be unlawful
for a candidate for election for the office of Representative
in, or Delegate or Resident Commissioner to, the Congress
(or the authorized committees of such candidate) to accept
any contribution from an individual in excess of $250 to
the extent that the acceptance of such contribution will
cause the aggregate amount of contributions from individ-
uals in excess of $250 received by the candidate and the
candidate’s authorized committees to exceed an amount
equal to 25 percent of the applicable election cycle spend-
ing limit with respect to the election under section 502,
without regard to whether or not the candidate is an eligi-
ble House of Representatives candidate under title V.
‘‘(b) EXCEPTION FOR CERTAIN CANDIDATES.—The
restrictions of subsection (a) shall not apply to any can-
didate with respect to whom section 315(a)(1)(B) (as
added by section 104 of the Campaign Independence Res-
toration Act Part II) applies.’’.
Subtitle B—Contributions
SEC. 211. CONTRIBUTIONS THROUGH INTERMEDIARIES
AND CONDUITS.
Section 315(a)(8) of the Federal Election Campaign
Act of 1971 (2 U.S.C. 441a(a)(8)) is amended to read
as follows:
‘‘(8)(A) For purposes of the limitations imposed by
this section, all contributions made by a person, either di-
rectly or indirectly, on behalf of a particular candidate,
including contributions which are in any way earmarked
or otherwise directed through an intermediary or conduit
to such candidate, shall be treated as contributions from
such person to such candidate. The intermediary or con-
duit shall report the original source and the intended re-
cipient of such contribution to the Commission and to the
intended recipient.
‘‘(B) Contributions that a bundler delivers to can-
didate or the candidate’s authorized committee shall be
treated as contributions from the bundler to the candidate
as well as from the original contributor.
‘‘(C) For purposes of this paragraph, the following
definitions shall apply:
‘‘(i) A ‘bundler’ means any of the following
intermediaries or conduits which delivers contribu-
tions from others (except as provided in subpara-
graph (D)):
‘‘(I) A political committee (other than the
authorized campaign committee of the can-
didate receiving the funds).
‘‘(II) Any officer, employee or agent of a
political committee.
‘‘(III) A corporation, labor union, or part-
nership.
‘‘(IV) Any officer, employee, or agent of a
corporation, labor union or partnership, but
only if acting on behalf of such entity.
‘‘(V) A person whose activities are required
to be reported under the Lobbying Disclosure
Act of 1995 or a person whose activities are re-
quired to be reported pursuant to any successor
Federal law which requires reporting on the ac-
tivities of person who is a lobbyist or foreign
agent.
‘‘(ii) ‘Acting on behalf of such entity’ means—
‘‘(I) soliciting one or more contributions in
the name of such entity;
‘‘(II) soliciting one or more contributions
using other than incidental resources of such
entity, and
‘‘(III) soliciting one or more contributions
by directing a significant portion of the solicita-
tions to other officers, employees, agents, or
members of such entity.
‘‘(iii) ‘Deliver’ means any method used by a
bundler to transmit contributions to a candidate
which communicates to the candidate (or to the per-
son who receives the contributions on behalf of the
candidate) that the bundler had solicited or collected
the contributions for the candidate, including (but
not limited to)—
‘‘(I) personal delivery;
‘‘(II) United States mail or other similar
services;
‘‘(III) messenger service, or
‘‘(IV) collection of the contributions at an
event or reception.
‘‘(D) For purposes of this paragraph, the following
shall not be considered a ‘bundler’:
‘‘(i) A candidate or Federal office holder who
conducts fundraising efforts for the benefit of an-
other candidate.
‘‘(ii) An individual who, using the individual’s
personal resources and acting in the individual’s own
name, solicits, collects, or conveys contributions to a
candidate or his agent, other than any individual de-
scribed in subparagraph (C)(i)(II) or (C)(i)(V).’’.
Subtitle C—Additional Prohibitions
on Contributions
SEC. 221. PROHIBITION OF CONTRIBUTIONS BY NONCITI-
ZENS AND OTHER INDIVIDUALS NOT QUALI-
FIED TO VOTE.
(a) PROHIBITION.—Section 319 of the Federal Elec-
tion Campaign Act of 1971 (2 U.S.C. 441e) is amended—
(1) in the heading, by adding ‘‘AND INDIVID-
UALS NOT QUALIFIED TO REGISTER TO
VOTE’’ at the end; and
(2) in subsection (a)—
(A) by striking ‘‘(a)’’ and inserting
‘‘(a)(1)’’; and
(B) by adding at the end the following new
paragraph:
‘‘(2) It shall be unlawful for an individual who
is not qualified to register to vote in a Federal elec-
tion to make a contribution, or to promise expressly
or impliedly to make a contribution, in connection
with a Federal election, or for any person to solicit,
accept, or receive a contribution in connection with
a Federal election from an individual who is not
qualified to register to vote in a Federal election.’’.
(b) INCLUSION
IN
DEFINITION
OF
IDENTIFICA-
TION.—Section 301(13) of such Act (2 U.S.C. 431(13))
is amended—
(1) in subparagraph (A), by striking ‘‘em-
ployer;’’ and inserting ‘‘employer, together with an
affirmation that the individual is an individual who
is not prohibited by section 319 from making a con-
tribution’’ after ‘‘employer’’; and
(2) in subparagraph (B) by inserting ‘‘and an
affirmation that the person is a person that is not
prohibited by section 319 from making a contribu-
tion’’ after ‘‘such person’’.
Subtitle D—Coordinated and
Independent Expenditures
SEC. 231. CLARIFICATION OF DEFINITIONS RELATING TO
INDEPENDENT EXPENDITURES.
(a) DEFINITION
OF
‘‘INDEPENDENT
EXPENDI-
TURE’’.—Section 301(17) of the Federal Election Cam-
paign Act of 1971 (2 U.S.C. 431(17)) is amended to read
as follows:
‘‘(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 consultation with, or with-
out coordination with a candidate or a candidate’s
authorized committee or agent (within the meaning
of section 301(8)(A)(iii).
‘‘(B) The term ‘independent expenditure’ does not in-
clude an expenditure or payment made in coordination
with a candidate (within the meaning of section
301(8)(A)(iii)).’’.
(b) DEFINITION OF ‘‘EXPRESS ADVOCACY’’.—Section
301 of such Act (2 U.S.C. 431) is amended by adding
at the end the following:
‘‘(20)(A) Subject to subparagraph (B), the term ‘ex-
press advocacy’ includes—
‘‘(i) a communication that conveys a message
that advocates the election or defeat of a clearly
identified candidate for Federal office by using an
expression such as ‘vote for’, ‘elect’, ‘support’, ‘vote
against’, ‘defeat’, ‘reject’, ‘(name of candidate) for
Congress’, ‘vote pro-life’, or ‘vote pro-choice’, accom-
panied by a listing or picture of a clearly identified
candidate described as ‘pro-life’ or ‘pro-choice’, ‘re-
ject the incumbent’, or a similar expression;
‘‘(ii) a communication that is made through a
broadcast medium, newspaper, magazine, billboard,
direct mail, or similar type of general public commu-
nication or political advertising that refers to a
clearly identified candidate, that a reasonable person
would understand as advocating the election or de-
feat of the candidate, and that is made within 30
days before the date of a primary election (and is
targeted to the State in which the primary is occur-
ring), or 60 days before a general election; or
‘‘(iii) a communication that is made through a
broadcast medium, newspaper, magazine, billboard,
direct mail, or similar type of general public commu-
nication or political advertising that refers to a
clearly identified candidate, that a reasonable person
would understand as advocating the election or de-
feat of a candidate, that is made before the date
that is 30 days before the date of a primary election,
or 60 days before the date of a general election, and
that is made for the purpose of advocating the elec-
tion or defeat of the candidate, as shown by one or
more factors such as a statement or action by the