Title: Democracy Dollars Act
Policy area: Government Operations and Politics

Summary:
Democracy Dollars Act
This bill establishes the Democracy Fund Commission to operate a Democracy Dollars Program under which individuals eligible to vote may direct payments to (1) candidates for federal office who meet specified donor thresholds, or (2) eligible political committees.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7306 Introduced in House (IH)]

<DOC>






115th CONGRESS
  2d Session
                                H. R. 7306

  To establish the Democracy Dollars Program under which citizens may 
 direct the making of payments to candidates in elections for Federal 
 office and to political committees supporting campaigns for election 
              for Federal office, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           December 13, 2018

  Mr. Khanna introduced the following bill; which was referred to the 
Committee on House Administration, and in addition to the Committee on 
   Ways and Means, 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 concerned

_______________________________________________________________________

                                 A BILL


 
  To establish the Democracy Dollars Program under which citizens may 
 direct the making of payments to candidates in elections for Federal 
 office and to political committees supporting campaigns for election 
              for Federal office, and for other purposes.

    Be it enacted by the Senate and House of Representatives 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 ``Democracy Dollars 
Act''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
                   TITLE I--DEMOCRACY DOLLARS PROGRAM

 Subtitle A--Availability of Democracy Dollars to Qualified Candidates

Sec. 101. Establishment of Democracy Dollars Program.
Sec. 102. Eligibility of individuals to participate in Program.
Sec. 103. Eligibility of candidates and authorized committees to 
                            receive payments; use of payments.
Sec. 104. Democracy Dollars Exploratory Fund.
Sec. 105. Eligibility of other political committees to receive 
                            payments; use of payments.
Sec. 106. Reports on disbursements of funds received under Program.
               Subtitle B--Payments of Democracy Dollars

Sec. 111. Amount available for eligible individuals to direct for 
                            payments.
Sec. 112. Payments to candidates and committees from available amounts.
Sec. 113. Limitations on amount of payments to candidates and 
                            committees.
Sec. 114. Protecting privacy of eligible individuals.
Sec. 115. Remitting unexpended payments.
               Subtitle C--Public Outreach and Education

Sec. 121. Public outreach and education program.
Sec. 122. Requiring materials to be provided in minority languages.
Sec. 123. Authorization of appropriations.
                  TITLE II--DEMOCRACY FUND COMMISSION

Sec. 201. Establishment.
Sec. 202. Membership.
Sec. 203. Staff.
Sec. 204. Functions.
Sec. 205. State responsibility for implementation of Program.
Sec. 206. Administration of program in case of States without approved 
                            implementation plans in effect.
                   TITLE III--DEMOCRACY DOLLARS FUND

Sec. 301. Democracy Dollars Fund.
Sec. 302. Termination of Presidential Election Campaign Fund; transfer 
                            of balance to Democracy Dollars Fund.
                   TITLE IV--MISCELLANEOUS PROVISIONS

Sec. 401. Violations and penalties.
Sec. 402. Democracy Dollar Administrator defined.
Sec. 403. Other definitions.
                         TITLE V--SEVERABILITY

Sec. 501. Severability.

                   TITLE I--DEMOCRACY DOLLARS PROGRAM

 Subtitle A--Availability of Democracy Dollars to Qualified Candidates

SEC. 101. ESTABLISHMENT OF DEMOCRACY DOLLARS PROGRAM.

    In accordance with this Act, the Democracy Fund Commission (as 
established under title II) shall establish and operate a program to be 
known as the ``Democracy Dollars Program'', under which eligible 
individuals may direct that amounts in the Democracy Dollars Fund (as 
established under title III) be used to make payments to eligible 
candidates for election for Federal office (including the authorized 
committees of such candidates) or eligible political committees, in 
accordance with subtitle B.

SEC. 102. ELIGIBILITY OF INDIVIDUALS TO PARTICIPATE IN PROGRAM.

    (a) Eligibility of Registered Voters.--An individual is eligible to 
participate in the Democracy Dollars Program with respect to an 
election for Federal office if the individual is registered to vote in 
any election for Federal office during the year in which the election 
will be held, as determined on the basis of the most recent version of 
the computerized statewide voter registration list maintained under 
section 303 of the Help America Vote Act of 2002 (52 U.S.C. 21083) by 
the State in which the individual resides.
    (b) Special Rule for Residents of States Without Voter 
Registration.--In the case of an individual who is a resident of a 
State in which there is no voter registration requirement for any voter 
in the State with respect to an election for Federal office, an 
individual is eligible to participate in the Program with respect to an 
election for Federal office if the individual is eligible to vote in 
any election for Federal office in that State.

SEC. 103. ELIGIBILITY OF CANDIDATES AND AUTHORIZED COMMITTEES TO 
              RECEIVE PAYMENTS; USE OF PAYMENTS.

    (a) Eligibility.--A candidate (including the authorized committees 
of the candidate) is eligible to receive payments under the Democracy 
Dollars Program if--
            (1) the candidate and each authorized committee of the 
        candidate registers with the Democracy Fund Commission to 
        participate in the Program;
            (2) each such committee certifies to such Commission that 
        it has established a Democracy Dollars Exploratory Fund in 
        accordance with section 104;
            (3) except as provided in subsection (d), each such 
        committee certifies to such Commission that, in accordance with 
        section 104, the aggregate amount of qualified contributions 
        that it has accepted, or that it will accept, to such Democracy 
        Dollars Exploratory Fund is equal to the applicable threshold 
        under such section;
            (4) each such committee certifies to such Commission that 
        it will maintain a separate account for payments received under 
        the Program; and
            (5) each such committee certifies to such Commission that 
        it will meet the applicable requirements of this title, 
        including the requirements of subsection (c) (relating to 
        restrictions on the source of the contributions the candidate 
        and committees may accept and the expenditures the candidate 
        and committees may make).
    (b) Exclusive Use of Democracy Dollars Payments for Authorized 
Campaign Expenditures.--
            (1) Authorized campaign expenditures of candidate.--
                    (A) In general.--Except as provided in paragraph 
                (2), a candidate (including an authorized committee of 
                the candidate) may use a payment received under the 
                Program only for otherwise authorized expenditures in 
                connection with the campaign for Federal office of the 
                candidate, and may not convert the payment to personal 
                use.
                    (B) Application of rules applicable to 
                contributions to candidates under federal election 
                campaign act of 1971.--For purposes of this paragraph, 
                section 313 of the Federal Election Campaign Act of 
                1971 (52 U.S.C. 30114) shall apply to the use of a 
                payment under the Program in the same manner as such 
                section applies to the use of a contribution or 
                donation described in such section.
            (2) Contributions to other candidates.--A candidate 
        (including an authorized committee of a candidate) may use a 
        payment received under the Program to make a contribution to 
        the authorized committee of another candidate, except that the 
        aggregate amount of contributions made to such a committee 
        using such payments with respect to an election may not exceed 
        the limit on the amount of contributions which may be made to 
        such a committee with respect to the election under section 
        315(a) of the Federal Election Campaign Act of 1971 (52 U.S.C. 
        30116(a)).
    (c) Democracy Dollars Payments as Exclusive Source of Contributions 
and Expenditures.--A candidate (including an authorized committee of 
the candidate) receiving a payment under the Democracy Dollars Program 
with respect to an election may not accept any contributions or make 
any expenditures in connection with any election occurring during the 
election cycle for the office involved other than the following:
            (1) Payments made under the Democracy Dollars Program.
            (2) Amounts accepted and deposited in the candidate's 
        Democracy Dollars Exploratory Fund under section 104, so long 
        as such amounts do not exceed the applicable threshold for the 
        candidate under such section.
            (3) Personal funds (including personal funds of the 
        candidate or any immediate family member of the candidate) in 
        an amount that does not exceed an aggregate amount of $50,000 
        for all such elections.
    (d) Permitting Certification by Candidates and Committees Accepting 
Excess Contributions to Democracy Dollars Exploratory Fund.--A 
candidate (including an authorized committee of the candidate) which 
has accepted an aggregate amount of qualified contributions to a 
Democracy Dollars Exploratory Fund under section 104 which is greater 
than the applicable threshold under such section shall be considered to 
meet the requirements of paragraph (3) of subsection (a) if, not later 
than 5 business days after the date on which the aggregate amount of 
qualified contributions deposited into such Fund was first equal to 
such applicable threshold, the candidate provides the Democracy Fund 
Commission with--
            (1) a statement of the amount of contributions in such 
        Fund; and
            (2) a certification that the candidate or committee 
        returned all contributions accepted after such date to the 
        persons who made such contributions.

SEC. 104. DEMOCRACY DOLLARS EXPLORATORY FUND.

    (a) Requiring Establishment and Minimum Balance as Condition of 
Eligibility.--As a condition of eligibility to receive payments under 
the Democracy Dollars Program, a candidate (including the authorized 
committees of a candidate) shall--
            (1) establish a separate account to be known as the 
        ``Democracy Dollars Exploratory Fund'';
            (2) accept a qualified contribution (as described in 
        subsection (b)) from a number of individuals equal to or 
        greater than the applicable donor threshold described in 
        subsection (c); and
            (3) deposit into Democracy Dollars Exploratory Fund an 
        aggregate amount of qualified contributions accepted by the 
        candidate or the committee which is equal to the applicable 
        dollar threshold described in subsection (d).
    (b) Qualified Contribution Described.--In this section, a 
``qualified contribution'' means a contribution to a candidate or an 
authorized committee of a candidate which does not consist of any 
personal funds of the candidate and which is made by an individual who 
is not a member of the immediate family of the candidate, except that 
such term does not include a contribution made to the candidate or 
committee by another candidate (or an authorized committee of such a 
candidate) using a payment received under the Program, as described in 
section 103(b).
    (c) Applicable Donor Threshold Described.--In this section, the 
``applicable donor threshold'' with respect to a candidate or 
authorized committee is--
            (1) 125 individuals, in the case of a candidate for a House 
        election;
            (2) 250 individuals, in the case of a candidate for 
        election for the office of Senator; or
            (3) 500 individuals, in the case of a candidate for 
        election for the office of President or Vice President.
    (d) Applicable Threshold Described.--In this section, the 
``applicable dollar threshold'' with respect to a candidate or 
authorized committee is--
            (1) $50,000, in the case of a candidate for a House 
        election;
            (2) $500,000, in the case of a candidate for election for 
        the office of Senator; or
            (3) $1,000,000, in the case of a candidate for election for 
        the office of President or Vice President.

SEC. 105. ELIGIBILITY OF OTHER POLITICAL COMMITTEES TO RECEIVE 
              PAYMENTS; USE OF PAYMENTS.

    (a) Eligibility.--A political committee which is not an authorized 
committee of a candidate is eligible to receive payments under the 
Democracy Dollars Program if--
            (1) the committee registers with the Democracy Fund 
        Commission to participate in the Program; and
            (2) the committee certifies that it will maintain a 
        separate account for payments received under the Program.
    (b) Exclusive Use of Democracy Dollars Payments for Contributions 
to Candidates and Other Authorized Campaign Expenditures.--
            (1) In general.--A political committee which is not an 
        authorized committee of a candidate may use a payment received 
        under the Democracy Dollars Program only to make a contribution 
        to the authorized committee of a candidate, except that a 
        political committee of a political party may also use a payment 
        received under the Program for otherwise authorized 
        expenditures in connection with the campaigns for Federal 
        office of candidates who are members of the political party, so 
        long as the payment is not converted to personal use. For 
        purposes of this paragraph, section 313 of the Federal Election 
        Campaign Act of 1971 (52 U.S.C. 30114) shall apply to the use 
        of a payment under the Program in the same manner as such 
        section applies to the use of a contribution or donation 
        described in such section.
            (2) Limit on amount of contribution.--The aggregate amount 
        of contributions made by a committee under this section to the 
        authorized committee of a candidate using payments received 
        under the Democracy Dollars Program with respect to an election 
        may not exceed the limit on the amount of contributions which 
        may be made to such an authorized committee with respect to the 
        election under section 315(a) of the Federal Election Campaign 
        Act of 1971 (52 U.S.C. 30116(a)).

SEC. 106. REPORTS ON DISBURSEMENTS OF FUNDS RECEIVED UNDER PROGRAM.

    (a) Requiring Committees To File Reports.--Each authorized 
committee of a candidate or other political committee which receives 
payments under the Democracy Dollars Program shall file reports with 
the Democracy Fund Commission listing the name and address of each 
person who has received any disbursement from the separate account 
maintained by the committee for payments received under the Program 
(and, if applicable, from the Democracy Dollars Exploratory Fund 
established pursuant to section 104) in an aggregate amount or value in 
excess of $200 during the period covered by the report, together with 
the date and amount of any such disbursement.
    (b) Timing of Reports; Period of Coverage.--A committee shall file 
a report required under this section with respect to an election at the 
same time as the committee files a report required under section 304(a) 
of the Federal Election Campaign Act of 1971 (52 U.S.C. 30104) with 
respect to that election, and each report filed under this section 
shall be complete as of the same period applicable to the report the 
committee files at that time under section 304(a) of such Act.
    (c) Electronic Filing; Public Availability.--
            (1) Mandatory electronic filing.--In accordance with 
        regulations promulgated by the Democracy Fund Commission, a 
        committee shall file each report required under this section in 
        electronic form accessible by computers.
            (2) Public availability.--The Commission shall make a 
        report filed under this section available for inspection by the 
        public in the offices of the Commission and accessible to the 
        public on the internet not later than 24 hours after the 
        Commission receives the report.
            (3) Methods for verification.--In promulgating regulations 
        under this subsection, the Commission shall provide methods 
        (other than requiring a signature on the document being filed) 
        for verifying reports filed under this section. Any document 
        verified under any of the methods shall be treated for all 
        purposes (including penalties for perjury) in the same manner 
        as a document verified by signature.

               Subtitle B--Payments of Democracy Dollars

SEC. 111. AMOUNT AVAILABLE FOR ELIGIBLE INDIVIDUALS TO DIRECT FOR 
              PAYMENTS.

    (a) In General.--Effective on the first day of each odd-numbered 
year (beginning with 2019), an eligible individual may direct the 
Democracy Dollar Administrator to make payments with respect to 
elections for Federal office held in the following year (or, in the 
case of special elections, an election held in either such odd-numbered 
year or the following year) in an aggregate amount equal to the sum of 
the following:
            (1) A House election share of--
                    (A) for 2019, $10; or
                    (B) for 2021 and each subsequent odd-numbered year, 
                the amount established under this paragraph for the 
                previous odd-numbered year increased by the adjustment 
                percentage for House elections (as described in 
                paragraph (1) of subsection (b)) for the year.
            (2) If a regularly scheduled election for the office of 
        Senator will be held during the following year in the State in 
        which the individual resides, a Senate election share of--
                    (A) for 2019, $15; or
                    (B) for 2021 and each subsequent odd-numbered year, 
                the amount established under this paragraph for the 
                previous odd-numbered year increased by the adjustment 
                percentage for Senate elections (as described in 
                paragraph (2) of subsection (b)) for the year.
            (3) If an election for the office of President and Vice 
        President will be held during the following year, a 
        presidential election share of--
                    (A) for 2019, $25; or
                    (B) for 2023 and each fourth year thereafter, the 
                amount established under this paragraph for the 
                previous odd-numbered year increased by the adjustment 
                percentage for presidential elections (as described in 
                paragraph (3) of subsection (b)) for the year.
    (b) Adjustment Percentages Described.--
            (1) House elections.--The adjustment percentage for House 
        elections for an odd-numbered year is the greater of 100 
        percent or the percentage (if any) by which--
                    (A) the aggregate amount of contributions made to 
                authorized committees of candidates for House elections 
                in the previous year from sources other than payments 
                under the Democracy Dollars Program; exceeded
                    (B) the aggregate of amount of contributions made 
                to such authorized committees for such elections that 
                consisted of payments under the Program, including 
                payments made to such authorized committees by other 
                political committees using payments under the Program 
                (as described in section 105(b)).
            (2) Senate elections.--The adjustment percentage for Senate 
        elections for an odd-numbered year is the greater of 100 
        percent or the percentage (if any) by which--
                    (A) the aggregate amount of contributions made to 
                authorized committees of candidates for elections for 
                the office of Senator in the previous year from sources 
                other than payments under the Democracy Dollars 
                Program; exceeded
                    (B) the aggregate of amount of contributions made 
                to such authorized committees for such elections that 
                consisted of payments under the Program, including 
                payments made to such authorized committees by other 
                political committees using payments under the Program 
                (as described in section 105(b)).
            (3) Presidential elections.--The adjustment percentage for 
        presidential elections for a year is the greater of 100 percent 
        or the percentage (if any) by which--
                    (A) the aggregate amount of contributions made to 
                authorized committees of candidates for the most recent 
                election for the office of President from sources other 
                than payments under the Democracy Dollars Program; 
                exceeded
                    (B) the aggregate amount of contributions made to 
                such authorized committees for such election that 
                consisted of payments under the Program, including 
                payments made to such authorized committees by other 
                political committees using payments under the Program 
                (as described in section 105(b)).
    (c) Treatment of Special Elections.--
            (1) House elections.--If an eligible individual is a 
        resident of a congressional district in which a special House 
        election will be held, the House election share amount set 
        forth under paragraph (1) of subsection (a) for the individual 
        shall be increased by $10.
            (2) Senate elections.--If an eligible individual is a 
        resident of a State in which a special election will be held 
        for the office of Senator, the Senate election share amount set 
        forth under paragraph (2) for the individual shall be increased 
        by $15.
    (d) No Carry-Over of Amounts.--On the last day of each even-
numbered year, the amount available under this section with respect to 
an eligible individual shall be reduced to $0, and no further payments 
may be made under this Act with respect to elections held in such year.
    (e) Indexing of Amounts.--In any calendar year after 2019, section 
315(c)(1)(B) of the Federal Election Campaign Act of 1971 (52 U.S.C. 
30116(c)(1)(B)) shall apply to each amount described in this section in 
the same manner as such section applies to the limitations established 
under subsections (a)(1)(A), (a)(1)(B), (a)(3), and (h) of such 
section, except that for purposes of applying such section to the 
amounts described in this section, the ``base period'' shall be 2019.
    (f) Prohibiting Paying Individuals To Direct Payments to Candidates 
and Committees.--It shall be unlawful--
            (1) for any person to provide money or anything of value to 
        an eligible individual, or to make an express promise to 
        provide money or anything of value to an eligible individual, 
        in exchange for the eligible individual directing the Democracy 
        Dollar Administrator to make payments to a candidate or 
        committee under the Democracy Dollars Program; or
            (2) for an eligible individual to solicit money or anything 
        of value from another person in exchange for the eligible 
        individual directing the Democracy Dollar Administrator to make 
        payments to a candidate or committee under the Democracy 
        Dollars Program.

SEC. 112. PAYMENTS TO CANDIDATES AND COMMITTEES FROM AVAILABLE AMOUNTS.

    (a) Requests by Eligible Individuals.--An eligible individual may 
submit to the Democracy Dollar Administrator a request to make a 
payment from the amount available to the eligible individual under 
section 111 to an eligible candidate or political committee identified 
by the eligible individual, in such amount as the eligible individual 
may specify.
    (b) Payments by Democracy Dollar Administrator.--Upon the 
expiration of the 5-day period which begins on the date the eligible 
individual submits a request under subsection (a), the Democracy Dollar 
Administrator shall make a payment to the eligible candidate or 
political committee identified by the individual in the request, in the 
amount specified in the request, unless during such 5-day period, the 
individual notifies the Administrator that the individual cancels the 
request.
    (c) Statement of Balance of Amounts Remaining.--After making a 
payment to an eligible candidate or political committee at the 
direction of an individual, the Democracy Dollar Administrator shall 
transmit to the individual (as promptly as the Administrator determines 
to be feasible, in accordance with regulations promulgated by the 
Commission) a statement of the amount remaining for the individual to 
use for payments under the Democracy Dollars Program during the year.

SEC. 113. LIMITATIONS ON AMOUNT OF PAYMENTS TO CANDIDATES AND 
              COMMITTEES.

    (a) Limitations Based on Type of Election.--The total amount of 
payments made at the direction of an eligible individual to candidates 
and the authorized committees of candidates may not exceed--
            (1) in the case of candidates for House elections, the 
        House election share amount set forth under paragraph (1) of 
        section 111(a);
            (2) in the case of candidates for election for the office 
        of Senator, the Senate election share amount set forth under 
        paragraph (2) of section 111(a); and
            (3) in the case of candidates for election for the office 
        of President, the presidential election share amount set forth 
        under paragraph (3) of section 111(a).
    (b) Special Rule for Certain Presidential Elections.--In the case 
of elections for the office of President held in a year in which the 
incumbent is a candidate--
            (1) the total amount of payments made at the direction of 
        an eligible individual to candidates and the authorized 
        committees of candidates in primary elections for such office 
        may not exceed 40 percent of the presidential election share 
        amount set forth under paragraph (3) of section 111(a); and
            (2) the total amount of payments made at the direction of 
        an eligible individual to candidates and the authorized 
        committees of candidates in the general election for such 
        office may not exceed 60 percent of the presidential election 
        share amount set forth under paragraph (3) of section 111(a).

SEC. 114. PROTECTING PRIVACY OF ELIGIBLE INDIVIDUALS.

    (a) No Treatment of Payments as Contributions Made by Individuals 
to Candidates or Committees.--A payment made to a candidate or 
committee under the Democracy Dollars Program at the direction of an 
eligible individual, as described in this subtitle, shall not be 
treated as a contribution made to the candidate or committee by the 
eligible individual for purposes of the Federal Election Campaign Act 
of 1971 (52 U.S.C. 30101 et seq.).
    (b) Ensuring Anonymity of Individuals Directing Payments to 
Candidates and Committees.--In making payments to candidates and 
political committees under this section at the request of an eligible 
individual, the Democracy Dollar Administrator shall take all 
practicable steps to ensure that no information relating to the 
identity of the individual who requests that the payment be made to the 
candidate or committee is disclosed or otherwise made known to the 
candidate or the committee, including through the use of blind trusts 
or similar devices.

SEC. 115. REMITTING UNEXPENDED PAYMENTS.

    (a) Remittance Required.--Not later than the date that is 10 days 
after the date on which a candidate withdraws from an election or no 
longer qualifies to be on the ballot for an election, any authorized 
committee of the candidate to which payments were made under the 
Program shall remit to the Democracy Dollars Fund under section 301 any 
amounts in the separate account established by the committee for 
payments received under the Program (as described in section 103(a)(3)) 
which remain unexpended as of such date.
    (b) Reallocation to Amounts Available for Payments at Direction of 
Eligible Individuals.--To the greatest extent practicable, the 
Democracy Dollar Administrator shall increase the amounts available 
under this subtitle for an eligible individual to make payments under 
the Democracy Dollars Program to take into account the remittance of 
unspent amounts under this section by an authorized committee that were 
attributable to payments made at the request of the eligible 
individual, and shall allocate such increase--
            (1) to the House election share set forth for the 
        individual under paragraph (1) of section 111(a), in the case 
        of an authorized committee of a candidate for a House election;
            (2) to the Senate election share set forth for the 
        individual under paragraph (2) of section 111(a), in the case 
        of an authorized committee of a candidate for election to the 
        office of Senator; and
            (3) to the presidential election share set forth for the 
        individual under paragraph (3) of section 111(a), in the case 
        of an authorized committee of a candidate for election to the 
        office of President or Vice President.

               Subtitle C--Public Outreach and Education

SEC. 121. PUBLIC OUTREACH AND EDUCATION PROGRAM.

    (a) Program Required.--As part of carrying out the Democracy Dollar 
Program, the Democracy Dollar Administrator, in consultation with the 
Democracy Fund Commission and such other persons as the Administrator 
determines to be appropriate, shall develop and carry out a State-based 
public outreach and education campaign to increase public awareness 
regarding the ability of eligible individuals to direct that payments 
to be made to candidates and committees under the Program.
    (b) Grants Authorized.--In carrying out the public outreach and 
education program under this subtitle, the Democracy Dollar 
Administration may make grants to local election officials and 
nonprofit organizations (including organizations described in section 
504(c) of the Internal Revenue Code of 1986) to carry out appropriate 
outreach and education activities, under such terms and conditions as 
the Administrator considers appropriate.
    (c) Website.--In carrying out the public outreach and education 
program under this subtitle, the Democracy Dollar Administrator, in 
consultation with the Democracy Fund Commission and such other persons 
as the Administrator determines to be appropriate, shall develop, 
establish, and update as necessary, a single State-sponsored public 
website through which the public may obtain, in an easy to understand 
and user-friendly format, information about the Democracy Dollar 
Program, including the ability of eligible individuals to direct 
payments to be made to candidates and committees under the Program.
    (d) Social Media.--The Democracy Dollar Administrator may use 
publicly available social media platforms to supplement the public 
outreach and education program under this subtitle and to support the 
operation of the pubic website developed and established under 
subsection (c).

SEC. 122. REQUIRING MATERIALS TO BE PROVIDED IN MINORITY LANGUAGES.

    As part of carrying out the Democracy Dollar Program, the Democracy 
Dollar Administrator shall ensure that forms, materials, and 
information relating to the Program are provided in the applicable 
language of language minority groups, as defined in section 203 of the 
Voting Rights Act of 1965 (52 U.S.C. 10503).

SEC. 123. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this subtitle 
such sums as may be necessary for each of the fiscal years 2019 through 
2023.

                  TITLE II--DEMOCRACY FUND COMMISSION

SEC. 201. ESTABLISHMENT.

    There is hereby established the Democracy Fund Commission (in this 
Act referred to as the ``Commission''), which shall be responsible for 
administering the Democracy Dollars Program under this Act.

SEC. 202. MEMBERSHIP.

    (a) Appointment.--
            (1) In general.--The Commission shall be composed of 5 
        members appointed by the President with the advice and consent 
        of the Senate.
            (2) Qualifications.--An individual is eligible to serve as 
        a Member of the Commission if the individual is a retired judge 
        of the United States.
            (3) Restrictions on outside employment.--A member of the 
        Commission may not engage in any other business, vocation, or 
        employment. Any individual who is engaging in any other 
        business, vocation, or employment at the time of the 
        individual's appointment to the Commission shall terminate or 
        liquidate such activity no later than 90 days after such 
        appointment.
            (4) Vacancies; no effect on authority of remaining 
        members.--A vacancy in the membership of the Commission shall 
        be filled in the same manner as the original appointment, and 
        shall have no effect on the authority of the remaining members 
        of the Commission to carry out their duties under this Act.
    (b) Term of Service.--
            (1) Single 10-year term.--Except as provided in paragraphs 
        (2) and (3), a member of the Commission shall serve for a term 
        of 10 years, and may not be reappointed to an additional term, 
        except that an individual may serve after the expiration of 
        that individual's term until a successor has begun serving as a 
        member of the Commission.
            (2) Staggering of initial terms.--Of the members first 
        appointed to the Commission--
                    (A) one (as designated at the time of appointment) 
                shall serve for a term of 2 years;
                    (B) one (as designated at the time of appointment) 
                shall serve for a term of 4 years;
                    (C) one (as designated at the time of appointment) 
                shall serve for a term of 6 years; and
                    (D) one (as designated at the time of appointment) 
                shall serve for a term of 8 years.
            (3) Permitting individuals serving initial staggered term 
        to be reappointed to a full term.--An individual who is one of 
        the members first appointed to the Commission to serve for an 
        initial term of 2 years under subparagraph (A) of paragraph (2) 
        or to serve for an initial term of 4 years under subparagraph 
        (B) of paragraph (2) may be appointed subsequently to serve a 
        term of 10 years under paragraph (1).
            (4) Vacancy.--An individual appointed to fill a vacancy 
        occurring in the membership of the Commission before the 
        expiration of the term for which the individual's predecessor 
        was appointed shall serve only for the remainder of that term.
    (c) Compensation.--Each member of the Commission shall receive 
compensation at a rate equivalent to the most recent rate of 
compensation applicable to the individual as a judge of the United 
States.
    (d) Process in Event of Deadlock.--If a vote by the members of the 
Commission on any matter results in a tie, the vote of the longest-
serving member (or, in the case of members first appointed to serve for 
initial terms under paragraph (2) of subsection (b), the vote of the 
member appointed for the longest term) shall prevail.
    (e) Conforming Amendment to Executive Schedule Level IV 
Positions.--Section 5315 of title 5, United States Code, is amended by 
adding at the end the following:
            ``Member, Democracy Fund Commission.''.

SEC. 203. STAFF.

    (a) Authority To Appoint Staff.--The Commission may appoint and fix 
the pay of such personnel as the Commission considers appropriate.
    (b) Applicability of Certain Civil Service Laws.--The personnel of 
the Commission may be appointed without regard to the provisions of 
title 5, United States Code, governing appointments in the competitive 
service, and may be paid without regard to the provisions of chapter 51 
and subchapter III of chapter 53 of that title relating to 
classification and General Schedule pay rates, except that an 
individual so appointed may not receive pay in excess of the annual 
rate of basic pay in effect for grade GS-15 of the General Schedule.
    (c) Experts and Consultants.--The Commission may procure temporary 
and intermittent services to the same extent as is authorized by 
section 3109(b) of title 5, United States Code, but at rates for 
individuals not to exceed the daily equivalent of the annual rate of 
basic pay in effect for grade GS-15 of the General Schedule (5 U.S.C. 
5332).
    (d) Staff of Federal Agencies.--Upon request of the Commission, the 
head of any Federal department or agency may detail, on a reimbursable 
basis, any of the personnel of that department or agency to the 
Commission to assist it in carrying out its duties.

SEC. 204. FUNCTIONS.

    The Commission shall administer the Democracy Dollars Program under 
this Act. In administering the Program, the Commission shall carry out 
the following:
            (1) The Commission shall promulgate regulations to carry 
        out the Democracy Dollars Program, including regulations 
        applicable to State implementation plans under section 205, and 
        shall review the regulations not less frequently than every 4 
        years.
            (2) The Commission shall solicit and review applications 
        from States for the approval of State implementation plans 
        under section 205(b).
            (3) In the case of States whose implementation plans are 
        approved under section 205(b), the Commission shall monitor and 
        audit the performance of such States in carrying out such 
        plans.
            (4) In accordance with section 206, the Commission carry 
        out the Democracy Dollars Program with respect to States that 
        do not have an approved implementation plan in effect.
            (5) The Commission shall carry out such other activities as 
        the Commission considers appropriate to administer the 
        Democracy Dollars Program.

SEC. 205. STATE RESPONSIBILITY FOR IMPLEMENTATION OF PROGRAM.

    (a) Responsibility for Administration of Program.--Except as 
provided in section 206, each State shall administer the Democracy 
Dollars Program with respect to individuals who are residents of the 
State, in accordance with a State implementation plan approved by the 
Commission under subsection (b).
    (b) Approval of State Implementation Plans.--
            (1) Approval by commission.--Each State shall submit its 
        plan for administering the Democracy Dollars Program to the 
        Commission, who shall approve the plan if the Commission finds 
        that the plan meets each of the following conditions:
                    (A) The plan includes such provisions and 
                safeguards as are necessary to ensure the effective 
                administration of the Program in the State in a 
                nonpartisan and competent manner.
                    (B) If the plan permits the use of private 
                financial intermediaries to assist in the processing of 
                requests made by eligible individuals to make payments 
                to candidates and political committees under subtitle B 
                of title I--
                            (i) to the greatest extent feasible, the 
                        State uses a competitive bidding process to 
                        select such intermediaries for participation in 
                        the implementation of the plan; and
                            (ii) the plan requires these intermediaries 
                        to meet the requirements of section 114(b) 
                        (relating to ensuring the anonymity of such 
                        individuals) and to take actions to deter fraud 
                        and abuse.
                    (C) The plan is overseen by a certified authority 
                designated by the State.
                    (D) The plan meets such other requirements as the 
                Commission may by regulation require.
            (2) Period for which approved plan is in effect.--If the 
        Commission approves a State plan under this subsection, the 
        plan shall be in effect for a 4-year period, and the Commission 
        may extend the plan for additional 4-year periods at the 
        request of the State if the Commission finds that the plan 
        continues to meet the conditions set forth in paragraph (1).
    (c) Payment of Costs of Implementation.--
            (1) Authorization to receive payments.--A State whose 
        implementation plan under this subtitle is approved and in 
        effect with respect to a year may receive payments from the 
        Commission to cover the costs of carrying out the plan during 
        the year, in the form of advance payments in accordance with 
        paragraph (2) or reimbursement in accordance with paragraph 
        (3), at the option of the State.
            (2) Eligibility to receive advance payments.--A State is 
        eligible to receive advance payments under this subsection with 
        respect to a year if the State submits to the Commission, at 
        such time and in such form as the Commission may require, an 
        application containing--
                    (A) a statement of the reasonable and necessary 
                costs the State expects to incur in carrying out its 
                implementation plan under this subtitle during the 
                year; and
                    (B) such other information and assurances as the 
                Commission may require.
            (3) Eligibility to receive reimbursement.--A State is 
        eligible to receive reimbursement under this subsection for the 
        reasonable and necessary costs the State incurred in carrying 
        out its implementation plan during a year if the State submits 
        to the Commission, at such time and in such form as the 
        Commission may require, an application containing--
                    (A) a statement of the reasonable and necessary 
                costs the State incurred in carrying out its 
                implementation plan during the year; and
                    (B) such other information and assurances as the 
                Commission may require.
            (4) Authorization of appropriations.--There are authorized 
        to be appropriated such sums as are necessary for payments 
        under this subsection.
    (d) Revocation of Approval; Recapture of Advance Payments.--If the 
Commission determines that the implementation plan of a State whose 
implementation plan under this subtitle is approved is no longer in 
compliance with the applicable requirements for such a plan, or if the 
Commission determines that the State is administering the plan in a 
biased or incompetent manner--
            (1) the Commission shall revoke the approval of the plan; 
        and
            (2) the State shall repay the Commission for any advance 
        payments made under subsection (c) with respect to any period 
        during which the plan was not in compliance with such 
        requirements or was administered in a biased or incompetent 
        manner.

SEC. 206. ADMINISTRATION OF PROGRAM IN CASE OF STATES WITHOUT APPROVED 
              IMPLEMENTATION PLANS IN EFFECT.

    (a) Administration by Commission Authorized.--If a State does not 
have an approved State implementation plan in effect with respect to a 
year under section 205, the Commission shall administer the Democracy 
Dollars Program during the year with respect to individuals who are 
residents of the State, in accordance with a Federal implementation 
plan for the State that meets the requirements of subsection (b).
    (b) Availability of Federal Receivership in Case of Revocation on 
Grounds of Bias or Incompetence.--
            (1) Receivership.--If a State does not have an approved 
        State implementation plan in effect because, in accordance with 
        subsection (d) of section 205, the Commission revoked its 
        approval of a State implementation plan on the grounds that the 
        State administered the plan in a biased or incompetent manner, 
        the Commission may file an action to appoint a receiver to 
        administer the Democracy Dollars Program in the State.
            (2) Procedures for consideration of request for 
        receivership.--In any action brought by the Commission to 
        appoint a receiver under this subsection, the following rules 
        shall apply:
                    (A) The action shall be filed in the appropriate 
                district court of the United States and shall be heard 
                by a 3-judge court convened pursuant to section 2284 of 
                title 28, United States Code.
                    (B) A final decision in the action shall be 
                reviewable only by appeal directly to the Supreme Court 
                of the United States. Such appeal shall be taken by the 
                filing of a notice of appeal within 10 days, and the 
                filing of a jurisdictional statement within 30 days, of 
                the entry of the final decision.
                    (C) It shall be the duty of the appropriate 
                district court of the United States and the Supreme 
                Court of the United States to advance on the docket and 
                to expedite to the greatest extent possible the 
                disposition of the action and the appeal.
    (c) Federal Implementation Plan Described.--A Federal 
implementation plan for a State meets the requirements of this 
subsection if--
            (1) the plan meets the conditions described in paragraphs 
        (1) and (2) of section 205(b) which would apply to a State 
        implementation plan of the State under such section;
            (2) to the extent that the Commission requests information 
        and assistance from the State in order to carry out the plan, 
        the plan provides for a method by which the Commission may 
        reimburse the State for the costs incurred in providing such 
        information and assistance; and
            (3) the plan meets such other requirements as the 
        Commission may require.

                   TITLE III--DEMOCRACY DOLLARS FUND

SEC. 301. DEMOCRACY DOLLARS FUND.

    (a) Establishment.--There is established in the Treasury of the 
United States a fund to be known as the ``Democracy Dollars Fund'' 
(hereafter referred to as the ``Fund'').
    (b) Uses of Fund.--Amounts in the Fund shall be used--
            (1) for payments to candidates and political committees 
        under subtitle B of title I;
            (2) for advance payments and reimbursements to States under 
        section 205;
            (3) for payments to States as described in paragraph (2) of 
        section 206(b); and
            (4) for the administration of the Democracy Dollars Program 
        by the Democracy Fund Commission.
    (c) Contents of Fund.--The Fund shall consist of--
            (1) amounts appropriated or transferred to the Fund under 
        law, including amounts transferred under section 9006(d)(2) of 
        the Internal Revenue Code of 1986;
            (2) repayments made by States under paragraph (2) of 
        section 205(d);
            (3) unspent payments under the Program which are remitted 
        under section 115;
            (4) civil penalties assessed under section 401; and
            (5) interest earned on balances of the Fund.
    (d) Authority To Make Payments at Request of State or Democracy 
Fund Commission.--With respect to a payment made under the Program at 
the direction of an eligible individual pursuant to section 112, the 
Secretary of the Treasury shall make such payment from the Fund upon 
the request of the Democracy Dollar Administrator for the individual 
involved.

SEC. 302. TERMINATION OF PRESIDENTIAL ELECTION CAMPAIGN FUND; TRANSFER 
              OF BALANCE TO DEMOCRACY DOLLARS FUND.

    (a) Termination of Designation of Income Tax Payments.--Section 
6096 of the Internal Revenue Code of 1986 is amended by adding at the 
end the following new subsection:
    ``(d) Termination.--This section shall not apply to taxable years 
beginning after December 31, 2016.''.
    (b) Termination of Fund and Account.--
            (1) Termination of presidential election campaign fund.--
                    (A) In general.--Chapter 95 of subtitle H of such 
                Code is amended by adding at the end the following new 
                section:

``SEC. 9014. TERMINATION.

    ``The provisions of this chapter shall not apply with respect to 
any presidential election (or any presidential nominating convention) 
after the date of the enactment of this section, or to any candidate in 
such an election.''.
                    (B) Transfer of remaining funds.--Section 9006 of 
                such Code is amended by adding at the end the following 
                new subsection:
    ``(d) Transfer of Funds Remaining After Termination.--Of the 
amounts in the fund as of the date of the enactment of this 
subsection--
            ``(1) the Secretary shall transfer $63,002,400 to the 10-
        Year Pediatric Research Initiative Fund described in section 
        9008(i)(2), to be available as described in such section; and
            ``(2) the Secretary shall transfer the remainder to the 
        Democracy Dollars Fund under title III of the Democracy Dollars 
        Act.''.
            (2) Termination of account.--Chapter 96 of subtitle H of 
        such Code is amended by adding at the end the following new 
        section:

``SEC. 9043. TERMINATION.

    ``The provisions of this chapter shall not apply to any candidate 
with respect to any presidential election after the date of the 
enactment of this section.''.
    (c) Clerical Amendments.--
            (1) The table of sections for chapter 95 of subtitle H of 
        such Code is amended by adding at the end the following new 
        item:

``Sec. 9014. Termination.''.
            (2) The table of sections for chapter 96 of subtitle H of 
        such Code is amended by adding at the end the following new 
        item:

``Sec. 9043. Termination.''.

                   TITLE IV--MISCELLANEOUS PROVISIONS

SEC. 401. VIOLATIONS AND PENALTIES.

    (a) Improper Use of Democracy Dollars Payments.--If the Democracy 
Dollar Administrator determines that any payment made under this Act to 
a candidate or committee was not used as provided for in this Act, the 
Administrator shall so notify the candidate or committee, and may 
impose a civil penalty on the candidate or committee in an amount equal 
to 500 percent of the amount of the payment that was used improperly.
    (b) Improper Use of Outside Funds by Candidates and Authorized 
Committees Receiving Democracy Dollar Payments.--If the Democracy 
Dollar Administrator determines that a candidate, including an 
authorized committee of the candidate, receiving a payment under this 
Act with respect to an election used amounts in connection with an 
election occurring in the election cycle involved in violation of 
section 103(c), the Administrator shall so notify the candidate or 
committee, and may impose a civil penalty on the candidate or committee 
in an amount equal to 200 percent of the amounts used by the candidate 
or committee in violation of section 103(c) in connection with the 
election.
    (c) Criminal Penalties.--
            (1) Imposition of penalty.--Any person who knowingly and 
        willfully commits a violation of this Act which involves the 
        making, receiving, or reporting of any amounts--
                    (A) aggregating $25,000 or more during a calendar 
                year shall be fined under title 18, United States Code, 
                or imprisoned for not more than 5 years, or both; or
                    (B) aggregating $2,000 or more (but less than 
                $25,000) during a calendar year shall be fined under 
                title 18, United States Code, or imprisoned for not 
                more than 1 year, or both.
            (2) Referral to attorney general.--If the Democracy Dollar 
        Administrator determines that there is probable cause to 
        believe that a knowing and willful violation of this Act has 
        occurred, the Administrator may refer such apparent violation 
        to the Attorney General.

SEC. 402. DEMOCRACY DOLLAR ADMINISTRATOR DEFINED.

    In this Act, the ``Democracy Dollar Administrator'' with respect to 
an eligible individual is--
            (1) in the case of an individual who is a resident of a 
        State with a State implementation plan approved by the 
        Democracy Fund Commission under section 205(b), the official of 
        the State who is designated to administer the Democracy Dollars 
        Program in the State under such plan; or
            (2) in the case of an individual who is not a resident of a 
        State described in paragraph (1), the Democracy Fund Commission 
        under section 206.

SEC. 403. OTHER DEFINITIONS.

    In this Act--
            (1) each of the terms ``candidate'', ``election'', 
        ``authorized committee'', and ``political committee'' has the 
        meaning given such term in the Federal Election Campaign Act of 
        1971 (52 U.S.C. 30101 et seq.);
            (2) the term ``election cycle'' means, with respect to an 
        office, the period beginning on the day after the date of the 
        most recent regularly scheduled general election for such 
        office and ending on the date of the next regularly scheduled 
        general election for such office;
            (3) the term ``House election'' means an election for the 
        office of Representative in, or Delegate or Resident 
        Commissioner to, the Congress; and
            (4) the term ``State'' means each of the several States, 
        the District of Columbia, the Commonwealth of Puerto Rico, 
        American Samoa, Guam, the United States Virgin Islands, and the 
        Commonwealth of the Northern Mariana Islands.

                         TITLE V--SEVERABILITY

SEC. 501. SEVERABILITY.

    If any provision of this Act or any amendment made by this Act, or 
the application of a provision of this Act or an amendment made by this 
Act to any person or circumstance, is held to be unconstitutional, the 
remainder of this Act, and the application of the provisions to any 
person or circumstance, shall not be affected by the holding.
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