I 
117TH CONGRESS 
1ST SESSION H. R. 4359 
To amend the Federal Election Campaign Act of 1971 to require corporations 
to disclose to their shareholders the amounts disbursed for certain polit-
ical activity, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 6, 2021 
Mr. CARTWRIGHT (for himself, Ms. KAPTUR, and Mr. SCHIFF) introduced the 
following bill; which was referred to the Committee on Ways and Means, 
and in addition to the Committee on House Administration, 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 to 
require corporations to disclose to their shareholders the 
amounts disbursed for certain political activity, 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 ‘‘Openness in Political 
Expenditures Now Act’’ or the ‘‘OPEN Act’’. 
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SEC. 
2. 
DISCLOSURE 
BY 
CORPORATIONS 
TO 
SHARE-
HOLDERS OF DISBURSEMENTS FOR POLIT-
ICAL ACTIVITY. 
(a) DISCLOSURE REQUIRED.—Title III of the Fed-
eral Election Campaign Act of 1971 (52 U.S.C. 30101 
et seq.) is amended by adding at the end the following 
new section: 
‘‘SEC. 325. DISCLOSURES BY CORPORATIONS TO SHARE-
HOLDERS OF INFORMATION ON DISBURSE-
MENTS FOR CERTAIN POLITICAL ACTIVITY. 
‘‘(a) INCLUDING INFORMATION IN REGULAR PERI-
ODIC REPORTS.— 
‘‘(1) IN GENERAL.—A corporation which sub-
mits regular, periodic reports to its shareholders 
shall include in each such report, in a clear and con-
spicuous manner, the information described in para-
graph (2) with respect to the disbursements made by 
the corporation for covered political activity during 
the period covered by the report, but only if the 
amount of the disbursement made for such activity 
during the period covered by the report equals or ex-
ceeds the applicable threshold for the activity de-
scribed in paragraph (3). 
‘‘(2) INFORMATION DESCRIBED.—The informa-
tion described in this paragraph is, for each dis-
bursement for covered political activity— 
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‘‘(B) DEADLINE; 
DURATION
OF
POST-
ING.—The corporation shall post the hyperlink 
described in subparagraph (A) not later than 
24 hours after the Commission posts the state-
ment filed by the corporation under paragraph 
(1) on the internet site of the Commission, and 
shall ensure that the hyperlink remains on the 
internet site of the corporation until the expira-
tion of the 1-year period which begins on the 
date of the election with respect to which the 
disbursements included in the statement are 
made. 
‘‘(c) COVERED POLITICAL ACTIVITY DEFINED.—In 
this section, the term ‘covered political activity’ means 
each of the following: 
‘‘(1) An independent expenditure (as defined in 
section 301(17)). 
‘‘(2) An electioneering communication (as de-
fined in section 304(f)(3)). 
‘‘(3) A communication which would be treated 
as an electioneering communication under section 
304(f)(3) if the communication had been a broad-
cast, cable, or satellite communication. 
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‘‘(4) The payment of dues or other amounts to 
a trade association or to a section 501(c)(4) organi-
zation. 
‘‘(d) OTHER DEFINITIONS.—In this section, the fol-
lowing definitions apply: 
‘‘(1) The term ‘corporation’ means any corpora-
tion which is subject to section 316(a). 
‘‘(2) The term ‘section 501(c)(4) organization’ 
means any organization described in paragraph (4) 
of section 501(c) of the Internal Revenue Code of 
1986 and exempt from tax under section 501(a) of 
such Code.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply with respect to reports described 
in section 325(a)(1) of the Federal Election Campaign Act 
of 1971 (as added by subsection (a)) which are filed after 
the expiration of the 90-day period which begins on the 
date of the enactment of this Act. 
SEC. 3. LIMITATION ON ENGAGING IN COVERED POLITICAL 
ACTIVITIES BY SOCIAL WELFARE ORGANIZA-
TIONS. 
(a) IN GENERAL.—Section 501(c)(4) of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following: 
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‘‘(C)(i) Subparagraph (A) shall not apply 
to an entity for a taxable year if the total ex-
penditures of such entity for the taxable year 
for covered political activity exceed the lesser 
of— 
‘‘(I) 10 percent of the total expendi-
tures of such entity for the taxable year, or 
‘‘(II) $10,000,000. 
‘‘(ii) Subparagraph (A) shall not apply to 
an entity for a taxable year unless its governing 
instrument includes provisions the effects of 
which are to prohibit the expenditures of the 
entity for a covered political activity from ex-
ceeding the threshold specified in clause (i). 
‘‘(iii) For purposes of this subparagraph, 
the term ‘covered political activity’ means— 
‘‘(I) any activity described in para-
graphs (1) through (3) of section 325(c) of 
the Federal Election Campaign Act of 
1971, and 
‘‘(II) any payment by the entity to 
any other entity described in this para-
graph or to an organization described in 
paragraph (6) which the payor entity 
knows, or has reason to know, will be used 
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directly or indirectly by the payee entity or 
organization for any activity referred to in 
subclause (I). 
‘‘(iv) Clause (i) shall not apply for a tax-
able year for which the 10-percent threshold 
specified in clause (i)(I) is exceeded by not 
more than a de minimis amount if the Sec-
retary determines that the reason for exceeding 
the threshold was not willful and is due to rea-
sonable cause. 
‘‘(v) The Secretary shall prescribe such 
regulations as may be necessary or appropriate 
to prevent the avoidance of clause (i), including 
regulations relating to a direct or indirect 
transfer of all or part of the assets of an entity 
to an entity controlled (directly or indirectly) by 
the same person or persons who control the 
transferor entity.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 4. SEVERABILITY. 
If any provision of this Act or amendment made by 
this Act, or the application of a provision or amendment 
to any person or circumstance, is held to be unconstitu-
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tional, the remainder of this Act and amendments made 
by this Act, and the application of the provisions and 
amendment to any person or circumstance, shall not be 
affected by the holding. 
Æ 
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