Title: Zeroing Out Money for Buying Influence after Elections (ZOMBIE) Act
Policy area: Government Operations and Politics

Summary:
Zeroing Out Money for Buying Influence after Elections (ZOMBIE) Act
This bill establishes certain requirements for disbursing unused funds after a federal election. The bill also requires former candidates serving as registered lobbyists or foreign agents to comply with disbursement requirements.
Specifically, the bill requires each authorized committee or leadership political action committee (PAC) of a candidate to disburse all unused funds within a specified time period beginning after an election or before the candidate registers as a lobbyist or foreign agent, unless the candidate files to run for office again before the disbursement period begins.
A committee or PAC disbursing unspent funds shall first pay any obligations incurred. If funds are left over, the committee or PAC may only disburse the remaining funds for the following purposes: (1) returning funds to donors; and (2) making contributions to nonprofit organizations. The bill generally prohibits disbursements to relatives of the candidate or certain nonprofit organizations related to the candidate.
A former candidate must, in order to register as a lobbyist or foreign agent, comply with the disbursement requirements outlined by this bill.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 3165 Introduced in Senate (IS)]

<DOC>






117th CONGRESS
  1st Session
                                S. 3165

  To amend the Federal Election Campaign Act of 1971 to require each 
   authorized committee or leadership PAC of a former candidate for 
 election for Federal office to disburse all of the remaining funds of 
    the committee or PAC after the election, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 4, 2021

Mr. Bennet (for himself and Ms. Warren) introduced the following bill; 
    which was read twice and referred to the Committee on Rules and 
                             Administration

_______________________________________________________________________

                                 A BILL


 
  To amend the Federal Election Campaign Act of 1971 to require each 
   authorized committee or leadership PAC of a former candidate for 
 election for Federal office to disburse all of the remaining funds of 
    the committee or PAC after the election, 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.

    This Act may be cited as the ``Zeroing Out Money for Buying 
Influence after Elections (ZOMBIE) Act''.

SEC. 2. REQUIRING AUTHORIZED COMMITTEES OF CANDIDATES TO DISBURSE 
              UNEXPENDED FUNDS.

    (a) Requiring Disbursement.--Title III of the Federal Election 
Campaign Act of 1971 (52 U.S.C. 30101 et seq.) is amended by inserting 
after section 303 the following new section:

``SEC. 303A. DISBURSEMENT OF REMAINING UNEXPENDED FUNDS.

    ``(a) Requiring Disbursement.--
            ``(1) In general.--Each authorized committee or leadership 
        PAC of a candidate shall, in accordance with subsection (b), 
        disburse all funds of the authorized committee or leadership 
        PAC before the earliest of--
                    ``(A) the last day of the applicable disbursement 
                period;
                    ``(B) the date on which the candidate first makes a 
                lobbying contact or is employed or retained to make a 
                lobbying contact that would require registration under 
                section 4 of the Lobbying Disclosure Act of 1995 (2 
                U.S.C. 1603); or
                    ``(C) the date on which the candidate becomes an 
                agent of a foreign principal that would require 
                registration under section 2 of the Foreign Agents 
                Registration Act of 1938, as amended (22 U.S.C. 612).
            ``(2) Exception for candidates in next election.--Paragraph 
        (1) does not apply to the authorized committee or leadership 
        PAC of a candidate who, prior to the first day of the 
        applicable disbursement period, provides the appropriate State 
        election official with the information and fees (if any) 
        required under State law for the individual to qualify as a 
        candidate for the next election for the office sought by the 
        candidate or the next election for another Federal office.
            ``(3) Applicable disbursement period.--In this subsection, 
        the `applicable disbursement period' is, with respect to a 
        candidate seeking election for an office, the 6-month period 
        which begins on the day after the latest date on which an 
        individual may provide the appropriate State election official 
        with the information and fees (if any) required under State law 
        for the individual to qualify as a candidate for the next 
        election for such office. In the case of a candidate for 
        Senate, the office sought shall be the Senate office in the 
        class that ends with the term of the office for which such 
        candidate is seeking.
    ``(b) Rules for Disbursement of Funds.--Any funds to which 
subsection (a) applies that are disbursed on or after the first day of 
the applicable disbursement period shall be disbursed as follows:
            ``(1) Payment of obligations.--An authorized committee or 
        leadership PAC shall first pay obligations incurred in 
        connection with the operation of the committee.
            ``(2) Other permitted disbursements.--Notwithstanding 
        section 313(a), if, after disbursing all of the funds necessary 
        to pay obligations under paragraph (1), funds of a committee or 
        PAC remain unexpended, the committee or PAC may only disburse 
        such remaining funds for the following purposes:
                    ``(A) To return to any person a contribution the 
                person made to the committee or PAC.
                    ``(B) Except as provided in paragraph (3)(A), to 
                make a contribution to an organization described in 
                section 170(c) of the Internal Revenue Code of 1986.
            ``(3) Prohibitions.--In disbursing funds pursuant to the 
        requirements of this section, an authorized committee or 
        leadership PAC may not disburse funds during the applicable 
        disbursement period to any of the following:
                    ``(A) Any organization described in section 170(c) 
                (other than an organization described in paragraph (1) 
                thereof) if--
                            ``(i) the organization was established by 
                        the candidate;
                            ``(ii) the organization bears the 
                        candidate's name; or
                            ``(iii) the candidate or a relative of the 
                        candidate--
                                    ``(I) is employed by such 
                                organization;
                                    ``(II) is an officer of such 
                                organization; or
                                    ``(III) performs services (whether 
                                paid or unpaid) on behalf of such 
                                organization.
                    ``(B) Any relative of the candidate unless the 
                funds are disbursed to pay an obligation of the 
                committee as described in paragraph (1) which is 
                reported by the committee or PAC as a disbursement 
                under section 304(b)(5) or which would be so reported 
                if the amount of the disbursement were in excess of 
                $200.
    ``(c) Definitions.--In this section:
            ``(1) Leadership pac.--The term `leadership PAC' has the 
        meaning given such term in section 304(i)(8)(B).
            ``(2) Relative.--The term `relative' means, with respect to 
        a candidate, an individual who is related to the candidate as 
        father, mother, son, daughter, brother, sister, uncle, aunt, 
        first cousin, nephew, niece, husband, wife, father-in-law, 
        mother-in-law, son-in-law, daughter-in-law, brother-in-law, 
        sister-in-law, stepfather, stepmother, stepson, stepdaughter, 
        stepbrother, stepsister, half brother, or half sister.''.
    (b) Conforming Amendment Relating to Permitted Uses of 
Contributions.--Section 313(a) of such Act (52 U.S.C. 30114(a)) is 
amended by striking ``A contribution'' and inserting ``Subject to 
section 303A, a contribution''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to the regularly scheduled general election for 
Federal office held in November 2022 and each succeeding election for 
Federal office.

SEC. 3. REQUIRING FORMER CANDIDATES SERVING AS REGISTERED LOBBYISTS TO 
              CERTIFY COMPLIANCE WITH DISBURSEMENT REQUIREMENTS.

    (a) Certification of Compliance.--Section 4(b) of the Lobbying 
Disclosure Act of 1995 (2 U.S.C. 1603(b)) is amended--
            (1) in paragraph (6), by striking ``and'' at the end;
            (2) in paragraph (7), by striking the period at the end and 
        inserting ``; and''; and
            (3) by inserting after paragraph (7) the following:
            ``(8) in the case of an individual who was a candidate for 
        election for Federal office, a certification (under penalty of 
        perjury) that each authorized committee and leadership PAC (as 
        defined in section 304(i)(8)(B) of the Federal Election 
        Campaign Act of 1971) of the individual is in compliance with 
        section 303A of the Federal Election Campaign Act of 1971 
        (relating to the disbursement of funds of the committee or 
        leadership PAC which remain unexpended after the date of the 
        election).''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to registration statements filed under section 4(a) 
of the Lobbying Disclosure Act on or after the date of the regularly 
scheduled general election for Federal office held in November 2022.

SEC. 4. REQUIRING FORMER CANDIDATES SERVING AS FOREIGN AGENTS TO 
              CERTIFY COMPLIANCE WITH DISBURSEMENT REQUIREMENTS.

    (a) Certification of Compliance.--Section 2(a) of the Foreign 
Agents Registration Act of 1938, as amended (22 U.S.C. 612(a)) is 
amended by adding at the end the following:
            ``(12) In the case of an individual who was a candidate for 
        election for Federal office, a certification (under penalty of 
        perjury) that each authorized committee and leadership PAC (as 
        defined in section 304(i)(8)(B) of the Federal Election 
        Campaign Act of 1971) of the individual is in compliance with 
        section 303A of the Federal Election Campaign Act of 1971 
        (relating to the disbursement of funds of the committee or 
        leadership PAC which remain unexpended after the date of the 
        election).''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to registration statements filed under section 2 of 
the Foreign Agents Registration Act of 1938, as amended on or after the 
date of the regularly scheduled general election for Federal office 
held in November 2022.
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