I
104TH CONGRESS
2D SESSION
H. R. 3505
To amend the Federal Election Campaign Act of 1971, and for other
purposes.
IN THE HOUSE OF REPRESENTATIVES
MAY 22, 1996
Mr. FARR of California (for himself, Mr. GEPHARDT, Mr. BONIOR, Mr. FAZIO
of California, Ms. DELAURO, Mr. LEWIS of Georgia, Mr. RICHARDSON,
Mrs. KENNELLY, Mr. ABERCROMBIE, Mr. ACKERMAN, Mr. BARCIA, Mr.
BARRETT of Wisconsin, Mr. BECERRA, Mr. BORSKI, Mr. BROWDER, Mr.
BROWN of California, Mr. BROWN of Ohio, Mr. CARDIN, Mr. DELLUMS,
Mr. DURBIN, Mr. ENGEL, Ms. ESHOO, Mr. FATTAH, Mr. FOGLIETTA,
Mr. FRANK of Massachusetts, Ms. FURSE, Mr. GEJDENSON, Mr. GENE
GREEN of Texas, Mr. GIBBONS, Mr. GUTIERREZ, Mr. HALL of Ohio, Ms.
HARMAN, Mr. HASTINGS of Florida, Mr. HINCHEY, Ms. JACKSON-LEE of
Texas, Mr. KENNEDY of Rhode Island, Mr. LAFALCE, Mr. LEVIN, Ms.
LOFGREN, Mrs. LOWEY, Mr. MANTON, Mr. MATSUI, Ms. MCCARTHY, Mr.
MCDERMOTT, Ms. MCKINNEY, Mr. MILLER of California, Mr. MINGE,
Mr. MOAKLEY, Mr. MORAN, Mr. NADLER, Mr. OLVER, Mr. OWENS, Mr.
PALLONE, Ms. PELOSI, Mr. PETERSON of Minnesota, Mr. RAHALL, Ms.
RIVERS, Ms. ROYBAL-ALLARD, Mr. SABO, Mr. SANDERS, Mr. SAWYER,
Mrs. SCHROEDER, Mr. SCHUMER, Mr. SKAGGS, Mr. SPRATT, Mr. STARK,
Mr. STUDDS, Mr. STUPAK, Mrs. THURMAN, Mr. TORRES, Mr. VENTO,
Ms. WATERS, Mr. WAXMAN, Mr. WISE, Ms. WOOLSEY, and Mr. YATES)
introduced the following bill; which was referred to the Committee on
House Oversight, and in addition to the Committees on Ways and Means,
Commerce, Government Reform and Oversight, and Rules, for a period
to be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee
concerned
A BILL
To amend the Federal Election Campaign Act of 1971, 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; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘American Political Reform Act’’.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I—CONGRESSIONAL CAMPAIGN SPENDING LIMITS AND
BENEFITS
Subtitle A—Election Campaign Spending Limits and Benefits
Sec. 101. Spending limits and benefits.
Subtitle B—Limitations on Contributions to House of Representatives
Candidates
Sec. 121. Limitations on political committees.
Sec. 122. Limitations on political committee and large donor contributions that
may be accepted by House of Representatives candidates.
Subtitle C—Related Provisions
Sec. 131. Reporting requirements.
Sec. 132. Registration as eligible House of Representatives candidate.
Sec. 133. Definitions.
Subtitle D—Tax on Excess Political Expenditures of Certain Congressional
Campaign Funds
Sec. 141. Tax treatment of certain campaign funds.
TITLE II—INDEPENDENT EXPENDITURES
Sec. 201. Clarification of definitions relating to independent expenditures.
Sec. 202. Reporting requirements for certain independent expenditures.
TITLE III—CONTRIBUTIONS AND EXPENDITURES BY POLITICAL
PARTY COMMITTEES
Sec. 301. Definitions.
Sec. 302. Contributions to political party committees.
Sec. 303. Increase in the amount that multicandidate political committees may
contribute to national political party committees.
Sec. 304. Merchandising and affinity cards.
Sec. 305. Provisions relating to national, State, and local party committees.
Sec. 306. Restrictions on fundraising by candidates and officeholders.
Sec. 307. Reporting requirements.
TITLE IV—CONTRIBUTIONS
Sec. 401. Restrictions on bundling.
Sec. 402. Contributions by dependents not of voting age.
Sec. 403. Prohibition of acceptance by a candidate of cash contributions from
any one person aggregating more than $100.
Sec. 404. Contributions to candidates from State and local committees of politi-
cal parties to be aggregated.
Sec. 405. Prohibition of false representation to solicit contributions.
Sec. 406. Limited exclusion of advances by campaign workers from the defini-
tion of the term ‘‘contribution’’.
Sec. 407. Amendment to section 316 of the Federal Election Campaign Act of
1971.
Sec. 408. Prohibition of certain election-related activities of foreign nationals.
TITLE V—REPORTING REQUIREMENTS
Sec. 501. Change in certain reporting from a calendar year basis to an election
cycle basis.
Sec. 502. Disclosure of personal and consulting services.
Sec. 503. Political committees other than candidate committees.
Sec. 504. Use of candidates’ names.
Sec. 505. Reporting requirements.
Sec. 506. Simultaneous registration of candidate and candidate’s principal cam-
paign committee.
Sec. 507. Reporting on general campaign activities of persons other than politi-
cal parties.
TITLE VI—BROADCAST RATES AND CAMPAIGN ADVERTISING
Sec. 601. Broadcast rates and campaign advertising.
Sec. 602. Campaign advertising amendments.
Sec. 603. Eligibility for nonprofit third class bulk rates of postage.
TITLE VII—MISCELLANEOUS
Sec. 701. Prohibition of leadership committees.
Sec. 702. Appearance by Federal Election Commission as amici curiae.
Sec. 703. Prohibiting solicitation of contributions by members in hall of the
House of Representatives.
TITLE VIII—EFFECTIVE DATES; AUTHORIZATIONS
Sec. 801. Effective date.
Sec. 802. Severability.
Sec. 803. Expedited review of constitutional issues.
Sec. 804. Regulations.
TITLE I—CONGRESSIONAL CAM-
PAIGN SPENDING LIMITS AND
BENEFITS
Subtitle A—Election Campaign
Spending Limits and Benefits
SEC. 101. SPENDING LIMITS AND BENEFITS.
(a) IN GENERAL.—The Federal Election Campaign
Act of 1971 is amended by adding at the end the following
new title:
‘‘TITLE V—ELECTION SPENDING
LIMITS AND BENEFITS
‘‘TITLE V—ELECTION SPENDING LIMITS AND BENEFITS
‘‘Subtitle A—Election Campaigns for the House of Representatives
‘‘Sec. 501. Expenditure limitations.
‘‘Sec. 502. Personal contribution limitations.
‘‘Sec. 503. Definition.
‘‘Subtitle B—Administrative Provisions
‘‘Sec. 511. Certifications by Commission.
‘‘Sec. 512. Examination and audits; repayments and civil penalties.
‘‘Sec. 513. Judicial review.
‘‘Sec. 514. Reports to Congress; certifications; regulations.
‘‘Sec. 515. Closed captioning requirement for television commercials of eligible
candidates.
‘‘Subtitle C—Congressional Election Campaign Fund
‘‘Sec. 521. Establishment and operation of the Fund.
‘‘Sec. 522. Designation of receipts to the Fund.
‘‘Subtitle A—Election Campaigns
for the House of Representatives
‘‘SEC. 501. EXPENDITURE LIMITATIONS.
‘‘(a) IN GENERAL.—An eligible House of Representa-
tives candidate may not, in an election cycle, make expend-
itures aggregating more than $600,000.
‘‘(b) RUNOFF ELECTION AND SPECIAL ELECTION
AMOUNTS.—
‘‘(1) RUNOFF ELECTION AMOUNT.—If an eligi-
ble House of Representatives candidate is a can-
didate in a runoff election, the candidate may make
additional expenditures aggregating not more than
$200,000 in the election cycle.
‘‘(2) SPECIAL ELECTION AMOUNT.—An eligible
House of Representatives candidate who is a can-
didate in a special election may make expenditures
aggregating not more than $600,000 with respect to
the special election.
‘‘(c) CLOSELY CONTESTED PRIMARY.—If, as deter-
mined by the Commission, an eligible House of Represent-
atives candidate in a contested primary election wins that
primary election by a margin of 20 percentage points or
less, the candidate may make additional expenditures ag-
gregating not more than $200,000 in the election cycle.
‘‘(d) EXCEPTIONS TO LIMITATIONS.—
‘‘(1) NONPARTICIPATING OPPONENT.—The lim-
itations imposed by subsections (a) and (b) do not
apply in the case of an eligible House of Representa-
tives candidate if any other general election can-
didate seeking nomination or election to that of-
fice—
‘‘(A) is not an eligible House of Represent-
atives candidate; and
‘‘(B) makes expenditures in excess of 30
percent of the limitation under subsection (a).
‘‘(2) INDEPENDENT
EXPENDITURES
AGAINST
ELIGIBLE CANDIDATE.—The limitations imposed by
subsections (a) and (b) do not apply in the case of
an eligible House of Representatives candidate if the
total amount of independent expenditures made dur-
ing the election cycle on behalf of candidates oppos-
ing such eligible candidate exceeds $15,000.
‘‘(3) CONTINUED
ELIGIBILITY
FOR
BENE-
FITS.—An eligible House of Representatives can-
didate referred to in paragraph (1) or paragraph (2)
shall continue to be eligible for all benefits under
this title.
‘‘(e) EXEMPTION FOR LEGAL COSTS AND TAXES.—
‘‘(1) IN GENERAL.—Any costs incurred by an
eligible House of Representatives candidate or his or
her authorized committee, or a Federal officeholder,
for qualified legal services, for Federal, State, or
local income taxes on earnings of a candidate’s au-
thorized committees, or to comply with section 512
shall not be considered in the computation of
amounts subject to limitation under this section.
‘‘(2) QUALIFIED LEGAL SERVICES.—For pur-
poses of this subsection, the term ‘qualified legal
services’ means—
‘‘(A) any legal service performed on behalf
of an authorized committee; or
‘‘(B) any legal service performed on behalf
of a candidate or Federal officeholder in con-
nection with his or her duties or activities as a
candidate or Federal officeholder.
‘‘(f) EXEMPTION FOR FUNDRAISING OR ACCOUNTING
COSTS.—Any costs incurred by an eligible House of Rep-
resentatives candidate or his or her authorized committee
in connection with the solicitation of contributions on be-
half of such candidate, or for accounting services to ensure
compliance with this Act, shall not be considered in the
computation of amounts subject to expenditure limitation
under subsection (a) to the extent that the aggregate of
such costs does not exceed 10 percent of the expenditure
limitation under subsection (a).