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Senate and House of Representatives Proposed Legislation on Campaign Finance Reform

[S. 27 Bipartisan Campaign Reform Act of 2001; H. Res. 188; H.R. 2356 Bipartisan Campaign Reform Act of 2001]



Monday, January 22, 2001

By Mr. McCAIN (for himself, Mr. Feingold, Mr. Cochran, Mr. Levin, Mr. Thompson, Mr. Lieberman, Ms. Collins, Mr. Schumer, Ms. Snowe, Mr. Wellstone, Mr. Jeffords, Mr. Reed, Mr. Durbin, Mr. Wyden, Mr. Kohl, Mrs. Boxer, Mr. Harkin, Ms. Stabenow, and Ms. Cantwell): S. 27. A bill to amend the Federal Election Campaign Act of 1971 to provide bipartisan campaign reform; to the Committee on Rules and Administration.

campaign reform legislation

Mr. McCain: Mr. President, today we confront yet again a very serious challenge to our political system, as dangerous in its debasing effect on our democracy as war and depression have been in the past. And it will take the best efforts of every public-spirited American to defeat it. We must overcome the cynicism that is growing rampant in our society. We must pass campaign reform legislation.

That is why first I want to thank our cosponsors for being here today. They are proof that momentum is on our side and that we will pass campaign reform legislation and finally follow the American people's will. Action on this issue is long overdue and I am hopeful that this year will present us with our best opportunity yet to achieve passage of meaningful campaign reform.

Our legislation is simple, bi-partisan, and achieves three primary objectives that will go far to reform our electoral system.

The bill: Bans soft money for usage in federal elections; Requires increased disclosure of electioneering communications by so-called independent organizations in a constitutional and clear manner (the Snowe-Jeffords language); and Codifies the Supreme Court's Beck decision, a court decision effectively ignored by the previous Clinton Administration and now, under this Act, a decision which would be strictly enforced.

After one of the closest elections in our nation's history, there's one thing the American people are unanimous about--they want their government back. We can to that by ridding politics of large, unregulated contributions that give special interests a seat at the table while average Americans are stuck in the back of the room. The Senate needs to act early on campaign finance reform so we can achieve meaningful reform and restore the public's faith in their government.

This is not a perfect bill. It does not attempt to solve all the evils that plague our campaign system. But we will not let perfect be the enemy of progress. We expect amendments to be offered to this legislation and we fully expect that many of those amendments will be constructive and add to our efforts. We look forward to that kind of positive debate.

Second, whatever bill passes, it must treat our corporate and union constituencies alike. We must resist any measures that skew this bill in favor of any one group. The soft money ban in this bill affects both corporations and unions.

And for my Republican friends, I want to emphasize again, if this bill passes, the $100,000-plus union soft money checks to the Democratic Party will no longer exist. According to the Washington Post, the "biggest donor of soft money in the (last) campaign was the American Federal of State, County, and Municipal Employees (which) gave the Democratic National Committee $1.27 million in last October and early November. AFSCME's soft money total for the election cycle was $6.3 million." Passage of this bill will end this practice once and for all.

The key to our success now lies with a fair and open debate on this subject. In the past, we have been denied any constructive debate on this matter. I am hopeful that Senators Lott and Daschle and the co- sponsors of the bill can construct a fair unanimous consent agreement that will allow the Senate to take up and consider numerous amendments, work its will, and craft legislation that can and will be signed into law by the President. That is now our singular goal. And I am confident it can be achieved.

Mr. President, I hope we can soon take up and pass this crucial legislation.

Mr. FEINGOLD: Mr. President, I am very pleased to once again introduce a campaign reform bill with my friend and colleague, the Senator from Arizona. This year we have an important new cosponsor, the senior Senator from Mississippi, Senator Thad Cochran, so this bill will be known as the McCain-Feingold-Cochran campaign reform bill.

This is the fourth Congress in which Senator McCain and I have introduced a bill. We have made progress each year, and now we are closer than ever to finishing the job for the American people. The time for campaign finance reform to pass the Congress and become law has now come Mr. President. And Senator McCain and I are going to dedicate ourselves to this issue like never before to make it happen.

The bill we are introducing today is broader than S. 1593, the bill we took to the floor in October 1999, but narrower than S. 26, the McCain-Feingold bill that was introduced in the beginning of the last Congress. Our bill this year consists of a soft money ban, the Snowe- Jeffords language on issue ads, the Beck provision on union dues, and a few other provisions that will provide credibility to this reform bill as it's passed into law. Very significant in my mind is a clear prohibition on political fundraising in federal office buildings. This is a strong base bill for reform, but we are ready and willing to entertain the suggestions and proposals of all 98 other Senators. Each of us in this body is an expert on this issue, and I know that many of my colleagues have innovative ideas on how to improve our election laws. Any amendment that adds to this bill in a positive way and and doesn't undercut its basic principles will be given every consideration.

One provision on which we will not compromise is the ban on soft money. The bill here is as tough and comprehensive as possible, leaving no room for the soft money abuses we have seen in the last decade. Obviously, loopholes will develop over time, but I am satisfied that this bill closes the soft money system down and anticipates at least some of the clever schemes that might be developed to avoid the ban. In the last election cycle, we saw over $500 million in soft money raised by the political parties. This system is a scandal that we must eliminate now.

The bill includes the Snowe-Jeffords language on issue ads. This provision will have a major impact on labor union ads, but it is fair and balanced between unions and corporations. It will have minimal impact on established advocacy groups like National Right to Life and the Sierra Club because they have a significant small donor base, but it will prevent corporations and unions from laundering money through such groups. It allows groups to continue to run these ads as long as they use only individual money and disclose the large donors to the effort. The provision covers only phony issue ads on radio and TV, not direct mail, phone banks, or newspapers, or the Internet, but we are open to working with all sides to work out a fair and balanced way to broaden its coverage if that is what the Senate wants to do.

Similarly, we are open to proposals that will require additional disclosure of election related spending by unions, corporations, and advocacy groups. But they must treat all players in this system evenly and fairly.

That brings me to the issue that has received a lot of attention in recent weeks, so called "paycheck protection." In the past, this has been a poison pill to reform, but with the changes in the Senate, we clearly have the votes to defeat the extreme and one-sided "paycheck protection proposals that have been offered in the past. We will hold the President and those working with him to the standard that he himself has enunciated any proposal has to be fair and balanced. Our bill is currently fair and balanced. It treats unions and corporations equally. The paycheck protection proposals we have seen in the past are not fair and balanced. They attack only one player in the election system labor unions.

Mr. President, I look forward to a real debate early this year, not only on our bill but on amendments that my colleagues want to offer. I am happy to meet with any Senator who wants to discuss a reform proposal. If we all work together, this process can yield a campaign reform bill that we will be proud of, and we can start out this new Congress by cleaning up our elections and ridding our system of the corrupting of soft money.

Mr. McCAIN: Mr. President, Senator Feingold and I and others--a bipartisan group of Senators and friends from the House, Congressman Shays and Congressman Meehan--just had a press conference announcing our intentions. I don't intend to make a statement, except to express my deep and sincere appreciation for my partner, Senator Feingold, who someday will be written about in another book called profiles in courage for his willingness to stand up to the special interests at a time when his own candidacy was at risk if he did not do so.

I thank Senator Feingold, and I look forward to continuing to work together on this issue. I believe we see a light at the end of the tunnel, which is an old phrase from the Vietnam war, uttered by one of our civilian leaders during that war. I remind Senator Feingold that when told of that, a soldier in the field said, "Yes, the light at the end of the tunnel is a train." We hope that is not the case in this particular scenario.

The PRESIDING OFFICER: The Senator from Wisconsin is recognized.

Mr. FEINGOLD: Mr. President, I thank the Senator from Arizona for his kind remarks. I am happy to be back with him on this effort. As John McCain has said many times, we know that every Member of the Senate is an expert on this issue. Every Member has ideas about how we should reform the campaign finance system. What we want out of this is an opportunity for an open amending process so the Senate as a whole can fashion a bill to send to the President.

Mr. McCAIN: I ask unanimous consent that the bill be left open for further cosponsors throughout the day.

The PRESIDING OFFICER: Without objection, it is so ordered.

The Senator from Wisconsin has the floor.

Mr. FEINGOLD: I yield the floor.

The PRESIDING OFFICER: The Senator from Mississippi is recognized.

Mr. COCHRAN: Mr. President, I am pleased to join my friends from Arizona and from Wisconsin in introducing the McCain-Feingold-Cochran bill today. They have worked very hard and very effectively to bring the attention of not only the Senate but the American people to bear on this issue and this important need for reform. I am convinced that we are well advised to take this legislation up at an early date in this session of the Congress.

The impressions of the last election are fresh on everybody's mind. One that sticks with me very strongly is that candidates were overwhelmed in this process by the expenditures of soft money by groups buying ads, some attacking candidates, supporting others, without the American public knowing who these groups were, what their goals and intentions were, where the money was coming from, or how it was being spent. That has to be corrected, and it ought to be corrected.

The purpose of the campaign finance laws was to let the American people know from where the money was coming, how it was being used, how much money was being raised by the candidates and spent by the candidates. We have now lost the right to know because of the loopholes that have been developed and perfected by those who are involving themselves in the election process.

I am not against freedom of speech. We want everybody to be able to have their say, but we have a right to know how much they are spending and from where the money is coming. I think that is a fundamental part of this legislation, and I hope the Senate will take it up and pass it in the near future.

Ms. COLLINS: Mr. President, I rise in support of the McCain-Feingold bipartisan campaign finance reform bill of 2001. I am very proud to be an original cosponsor of this legislation which goes a long way towards reforming our campaign system.

I have long supported campaign finance reform. When I ran for the Senate from Maine in 1996 I promised my constituents that I would be a strong advocate for campaign finance reform. That pledge led to my decision to cosponsor the campaign finance reform that was introduced in 1997 by Senators McCain and Feingold.

Unfortunately, comprehensive campaign finance reform efforts have been thwarted in the past two Congresses. This time, though, we have reason for optimism due to new and renewed support.

The Bipartisan Campaign Reform Act of 2001 takes a number of important steps towards fixing a broken system. First and foremost, the bill closes the most glaring loophole in our campaign finance laws by banning the unlimited, unregulated contributions known as "soft money." "Soft money" has made the current law's restrictions and contributions from individuals, corporations, and unions essentially meaningless. Second, the bill requires disclosure by the sponsors of certain issue ads that corporations and labor unions run in the period leading up to an election. Third, the bill codifies the Supreme Court's decision in Communication Workers of America v. Beck to ensure that nonunion members are not obligated to subsidize the political activities of labor unions. And finally, the bill makes it clear that foreign nationals may not contribute any funds--hard or soft--to federal, state, or local elections.

My home State of Maine has a deep commitment to preserving the integrity of the electoral system and ensuring that all Mainers have an equal political voice. Mainers have backed their commitment to an open political process in both word and deed. In many regions of Maine, town meetings in which all citizens are invited to debate issues and make decisions are still prevalent. This is unvarnished, direct democracy. Maine's tradition of town meetings and equal participation rejects the notion that wealth dictates political discourse. Maine citizens feel strongly about reforming our federal campaign laws, as do I.

The problem with soft money was painfully evident during the 1997 hearings by the Senate Committee on Governmental Affairs, chaired by my good friend, Senator Thompson. During those investigations, we heard from one individual who gave $325,000 to the Democratic National Committee in order to secure a picture with the President of the United States. We also heard from the infamous Roger Tamraz who testified that the $300,000 he spend to gain access to the White House was not enough and that, next time, he would spend $600,000. And we heard of individuals, such as Chinese cigarette magnate Ted Sioeng, who orchestrated nearly $600,000 in political contributions during the 1996 election cycle. Sioeng, we later discovered, was a self-described agent of the Chinese government.

Soft money donations soared in the 2000 presidential election cycle, nearly doubling from $262 million in 1996 to $488 million in 2000. At the same time, regulated, hard money donations increased a little more than 10-percent. Soft money, then, is the crest of the wave that has swamped our campaign finance system and shaken public confidence in our government. I applaud the bipartisan efforts of Senators McCain and Feingold and pledge my continued support to see this legislation become law this year.

Mr. JEFFORDS: Mr. President, I rise today as a proud cosponsor of the Bipartisan Campaign Reform Act of 2001 to discuss my thoughts and hopes on the actions the Senate will hopefully be taking in the coming months on this important issue.

First, let me thank the sponsors of the legislation, Senators McCain and Feingold, for their tireless perseverance to enact campaign finance reform. Without their hard work and vast knowledge, we would not be at this important point. The time has come to schedule a full and open debate on this important issue. I look forward to hearing and debating the many ideas of my colleagues and believe the Senate should strive to show why we are considered the greatest deliberative body in the world by fully debating this important topic.

Mr. President, I was first elected to Congress following the Watergate scandal, right around the time Congress last enacted comprehensive reform of our campaign finance system. I have watched with growing dismay during my over twenty-five years in Congress as the number of troubling examples of problems in our current campaign finance system have increased. These problems have led to a perception by the public that a disconnect exists between themselves and the people that they have elected. I believe that this perception is a pivotal factor behind the disturbingly low voter turnouts that have plagued national elections.

While some may point to surveys that list campaign finance reform as a low priority for the electorate, I believe that the public actually strongly supports Congress debating and enacting comprehensive reform. It is important to reverse the trend of shrinking voter turnout by re- establishing the connection between the public and us, their elected representatives, by passing comprehensive campaign finance reform.

It is time to restore the public's confidence in our political system. It is time to increase disclosure requirements and ban soft money. It is time to work together to pass meaningful campaign finance reform.

As I said earlier, I look forward to a full and open debate on the issue of campaign finance reform including the amendments that will be offered. At the end of this debate, the Senate should be able to pass comprehensive campaign finance reform. That to me is the most important aspect of any bill the Senate may pass, it must be comprehensive. If we fail to address the problems facing our campaign finance system with a comprehensive balanced package we will ultimately fail in our mission of reforming the system. Closing one loophole, without addressing the others in a systematic way, will not do enough to correct the current deficiencies, and may in fact create new and unintended consequences.

Mr. President, we have all seen first-hand the problems with the current state of the law as it relates to sham issue advertisements. I have focused much time and effort on developing a legislative solution on this topic with my colleague Senator Olympia Snowe, and was pleased that this solution was adopted by the Senate during the 1998 debate on campaign finance reform. I was also proud to cosponsor the comprehensive campaign finance bill Senators McCain and Feingold introduced last Congress that included this legislative solution.

I feel strongly that the legislation the Senate must ultimately vote on include some kind of changes to the current law concerning sham issue advertisements. I feel that we have crafted a reasonable, constitutional approach to this problem and am extremely pleased that this legislative solution is again included in the bill we introduce today.

That does not mean, though, that we will stop working with our colleagues to craft additional, and perhaps different, ideas to address the problems with the current law on sham issue advertisements. My ultimate goal is to create a comprehensive campaign finance bill that will garner the support of at least 60 Senators, and hopefully more.

Mr. President, I look forward to a full and open debate on this important issue, and pledge to continue working with my colleagues to enact comprehensive campaign finance reform into law this year.

107th CONGRESS
  1st Session
                                 S. 27

     To amend the Federal Election Campaign Act of 1971 to provide 
                      bipartisan campaign reform.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 22, 2001

  Mr. McCain (for himself, Mr. Feingold, Mr. Cochran, Mr. Levin, Mr. 
   Thompson, Mr. Lieberman, Ms. Collins, Mr. Schumer, Ms. Snowe, Mr. 
  Wellstone, Mr. Jeffords, Mr. Reed, Mr. Durbin, Mr. Wyden, Mr. Kohl, 
  Mrs. Boxer, Mr. Harkin, and Ms. Stabenow) 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 provide 
                      bipartisan campaign reform.

    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 ``Bipartisan 
Campaign Reform Act of 2001''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
            TITLE I--REDUCTION OF SPECIAL INTEREST INFLUENCE

Sec. 101. Soft money of political parties.
Sec. 102. Increased contribution limits for State committees of 
                            political parties and aggregate 
                            contribution limit for individuals.
Sec. 103. Reporting requirements.
             TITLE II--NON-CANDIDATE CAMPAIGN EXPENDITURES

               Subtitle A--Electioneering Communications

Sec. 201. Disclosure of electioneering communications.
Sec. 202. Coordinated communications as contributions.
Sec. 203. Prohibition of corporate and labor disbursements for 
                            electioneering communications.
          Subtitle B--Independent and Coordinated Expenditures

Sec. 211. Definition of independent expenditure.
Sec. 212. Reporting requirements for certain independent expenditures.
Sec. 213. Independent versus coordinated expenditures by party.
Sec. 214. Coordination with candidates.
                        TITLE III--MISCELLANEOUS

Sec. 301. Use of contributed amounts for certain purposes.
Sec. 302. Prohibition of fundraising on Federal property.
Sec. 303. Strengthening foreign money ban.
Sec. 304. Codification of Beck decision.
       TITLE IV--SEVERABILITY; CONSTITUTIONALITY; EFFECTIVE DATE

Sec. 401. Severability.
Sec. 402. Effective date.

            TITLE I--REDUCTION OF SPECIAL INTEREST INFLUENCE

SEC. 101. SOFT MONEY OF POLITICAL PARTIES.

    (a) In General.--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:

``SEC. 323. SOFT MONEY OF POLITICAL PARTIES.

    ``(a) National Committees.--
            ``(1) In general.--A national committee of a political 
        party (including a national congressional campaign committee of 
        a political party) may not solicit, receive, or direct to 
        another person a contribution, donation, or transfer of funds 
        or any other thing of value, or spend any funds, that are not 
        subject to the limitations, prohibitions, and reporting 
        requirements of this Act.
            ``(2) Applicability.-- The prohibition established by 
        paragraph (1) applies to any such national committee, any 
        officer or agent of such a national committee, and any entity 
        that is directly or indirectly established, financed, 
        maintained, or controlled by such a national committee.
    ``(b) State, District, and Local Committees.--An amount that is 
expended or disbursed for Federal election activity by a State, 
district, or local committee of a political party (including an entity 
that is directly or indirectly established, financed, maintained, or 
controlled by a State, district, or local committee of a political 
party and an officer or agent acting on behalf of such committee or 
entity), or by an entity directly or indirectly established, financed, 
maintained, or controlled by or acting on behalf of 1 or more 
candidates for State or local office, or individuals holding State or 
local office, shall be made from funds subject to the limitations, 
prohibitions, and reporting requirements of this Act. Nothing in this 
subsection shall prevent a principal campaign committee of a candidate 
for State or local office from raising and spending funds permitted 
under applicable State law other than for a Federal election activity 
that refers to another clearly identified candidate for election to 
Federal office.
    ``(c) Fundraising Costs.--An amount spent by a person described in 
subsection (a) or (b) to raise funds that are used, in whole or in 
part, to pay the costs of a Federal election activity shall be made 
from funds subject to the limitations, prohibitions, and reporting 
requirements of this Act.
    ``(d) Tax-Exempt Organizations.--A national, State, district, or 
local committee of a political party (including a national 
congressional campaign committee of a political party), an entity that 
is directly or indirectly established, financed, maintained, or 
controlled by any such national, State, district, or local committee or 
its agent, and an officer or agent acting on behalf of any such party 
committee or entity, shall not solicit any funds for, or make or direct 
any donations to--
            (1) an organization that is described in section 501(c) of 
        the Internal Revenue Code of 1986 and exempt from taxation 
under section 501(a) of such Code (or has submitted an application for 
determination of tax exempt status under such section); or
            (2) an organization described in section 527 of such Code 
        (other than a political committee).
    ``(e) Candidates.--
            ``(1) In general.--A candidate, individual holding Federal 
        office, agent of a candidate or an individual holding Federal 
        office, or an entity directly or indirectly established, 
        financed, maintained or controlled by or acting on behalf of 1 
        or more candidates or individuals holding Federal office, shall 
        not--
                    ``(A) solicit, receive, direct, transfer, or spend 
                funds in connection with an election for Federal 
                office, including funds for any Federal election 
                activity, unless the funds are subject to the 
                limitations, prohibitions, and reporting requirements 
                of this Act; or
                    ``(B) solicit, receive, direct, transfer, or spend 
                funds in connection with any election other than an 
                election for Federal office or disburse funds in 
                connection with such an election unless the funds--
                            ``(i) are not in excess of the amounts 
                        permitted with respect to contributions to 
                        candidates and political committees under 
                        paragraphs (1) and (2) of section 315(a); and
                            ``(ii) are not from sources prohibited by 
                        this Act from making contributions in 
                        connection with an election for Federal office.
            ``(2) State law.--Paragraph (1) does not apply to the 
        solicitation, receipt, or spending of funds by an individual 
who is a candidate for a State or local office in connection with such 
election for State or local office if the solicitation, receipt, or 
spending of funds is permitted under State law for any activity other 
than for a Federal election activity that refers to another clearly 
identified candidate for election to Federal office.
            ``(3) Fundraising events.--Notwithstanding paragraph (1), a 
        candidate or an individual holding Federal office may attend, 
        speak, or be a featured guest at a fundraising event for a 
        State, district, or local committee of a political party.''.
    (b) Definitions.--Section 301 of the Federal Election Campaign Act 
of 1971 (2 U.S.C. 431) is amended by adding at the end thereof the 
following:
            ``(20) Federal election activity.--
                    ``(A) In general.--The term `Federal election 
                activity' means--
                            ``(i) voter registration activity during 
                        the period that begins on the date that is 120 
                        days before the date a regularly scheduled 
                        Federal election is held and ends on the date 
                        of the election;
                            ``(ii) voter identification, get-out-the-
                        vote activity, or generic campaign activity 
                        conducted in connection with an election in 
                        which a candidate for Federal office appears on 
                        the ballot (regardless of whether a candidate 
                        for State or local office also appears on the 
                        ballot);
                            ``(iii) a public communication that refers 
                        to a clearly identified candidate for Federal 
                        office (regardless of whether a candidate for 
                        State or local office is also mentioned or 
                        identified) and that promotes or supports a 
                        candidate for that office, or attacks or 
                        opposes a candidate for that office (regardless 
                        of whether the communication expressly 
                        advocates a vote for or against a candidate); 
                        and
                            ``(iv) services provided during any month 
                        by an employee of a State, district, or local 
                        committee of a political party who spends more 
                        than 25 percent of that individual's 
                        compensated time during that month on 
                        activities in connection with a Federal 
                        election.
                    ``(B) Excluded activity.--The term `Federal 
                election activity' does not include an amount expended 
                or disbursed by a State, district, or local committee 
                of a political party for--
                            ``(i) a public communication that refers 
                        solely to a clearly identified candidate for 
                        State or local office, if the communication is 
                        not a Federal election activity described in 
                        subparagraph (A)(i) or (ii);
                            ``(ii) a contribution to a candidate for 
                        State or local office, provided the 
                        contribution is not designated or used to pay 
                        for a Federal election activity described in 
                        subparagraph (A);
                            ``(iii) the costs of a State, district, or 
                        local political convention;
                            ``(iv) the costs of grassroots campaign 
                        materials, including buttons, bumper stickers, 
                        and yard signs, that name or depict only a 
                        candidate for State or local office; and
                            ``(v) the cost of constructing or 
                        purchasing an office facility or equipment for 
                        a State, district, or local committee.
            ``(21) Generic campaign activity.--The term `generic 
        campaign activity' means an activity that promotes a political 
        party and does not promote a candidate or non-Federal 
        candidate.
            ``(22) Public communication.--The term `public 
        communication' means a communication by means of any broadcast, 
        cable, or satellite communication, newspaper, magazine, outdoor 
        advertising facility, mass mailing, or telephone bank to the 
        general public, or any other form of general public political 
        advertising.
            ``(23) Mass mailing.--The term `mass mailing' means a 
        mailing of more than 500 pieces of mail matter of an identical 
        or substantially similar nature within any 30-day period.
            ``(24) Telephone bank.--The term `telephone bank' means 
        more than 500 telephone calls within any 30-day period of an 
        identical or substantially similar nature.''.

SEC. 102. INCREASED CONTRIBUTION LIMITS FOR STATE COMMITTEES OF 
              POLITICAL PARTIES AND AGGREGATE CONTRIBUTION LIMIT FOR 
              INDIVIDUALS.

    (a) Contribution Limit for State Committees of Political Parties.--
Section 315(a)(1) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)(1)) is amended--
            (1) in subparagraph (B), by striking ``or'' at the end;
            (2) in subparagraph (C)--
                    (A) by inserting ``(other than a committee 
                described in subparagraph (D))'' after ``committee''; 
                and
                    (B) by striking the period at the end and inserting 
                ``; or''; and
            (3) by adding at the end the following:
            ``(D) to a political committee established and maintained 
        by a State committee of a political party in any calendar year 
        which, in the aggregate, exceed $10,000.''.
    (b) Aggregate Contribution Limit for Individual.--Section 315(a)(3) 
of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(a)(3)) is 
amended by striking ``$25,000'' and inserting ``$30,000''.

SEC. 103. REPORTING REQUIREMENTS.

    (a) 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:
    ``(d) Political Committees.--
            ``(1) National and congressional political committees.--The 
        national committee of a political party, any national 
        congressional campaign committee of a political party, and any 
        subordinate committee of either, shall report all receipts and 
        disbursements during the reporting period.
            ``(2) Other political committees to which section 323 
        applies.--In addition to any other reporting requirements 
        applicable under this Act, a political committee (not described 
        in paragraph (1)) to which section 323(b)(1) applies shall 
        report all receipts and disbursements made for activities 
        described in section 301(20)(A).
            ``(3) Itemization.--If a political committee has receipts 
        or disbursements to which this subsection applies from any 
        person aggregating in excess of $200 for any calendar year, the 
        political committee shall separately itemize its reporting for 
        such person in the same manner as required in paragraphs 
        (3)(A), (5), and (6) of subsection (b).
            ``(4) Reporting periods.--Reports required to be filed 
        under this subsection shall be filed for the same time periods 
        required for political committees under subsection (a).''.
    (b) Building Fund Exception to the Definition of Contribution.--
Section 301(8)(B) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 431(8)(B)) is amended--
            (1) by striking clause (viii); and
            (2) by redesignating clauses (ix) through (xiv) as clauses 
        (viii) through (xiii), respectively.

             TITLE II--NON-CANDIDATE CAMPAIGN EXPENDITURES

               Subtitle A--Electioneering Communications

SEC. 201. DISCLOSURE OF ELECTIONEERING COMMUNICATIONS.

    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 subsection:
    ``(d) Additional Statements on Electioneering Communications.--
            ``(1) Statement required.--Every person who makes a 
        disbursement for electioneering communications in an aggregate 
        amount in excess of $10,000 during any calendar year shall, 
        within 24 hours of each disclosure date, file with the 
        Commission a statement containing the information described in 
        paragraph (2).
            ``(2) Contents of statement.--Each statement required to be 
        filed under this subsection shall be made under penalty of 
        perjury and shall contain the following information:
                    ``(A) The identification of the person making the 
                disbursement, of any entity sharing or exercising 
                direction or control over the activities of such 
                person, and of the custodian of the books and accounts 
                of the person making the disbursement.
                    ``(B) The principal place of business of the person 
                making the disbursement, if not an individual.
                    ``(C) The amount of each disbursement of more than 
                $200 during the period covered by the statement and the 
                identification of the person to whom the disbursement 
                was made.
                    ``(D) The elections to which the electioneering 
                communications pertain and the names (if known) of the 
                candidates identified or to be identified.
                    ``(E) If the disbursements were paid out of a 
                segregated bank account which consists of funds 
                contributed soley by individuals directly to this 
                account for electioneering communications, the names 
                and addresses of all contributors who contributed an 
                aggregate amount of $1,000 or more to that account 
                during the period beginning on the first day of the 
                preceding calendar year and ending on the disclosure 
                date. Nothing in this section is to be construed as a 
                prohibition on the use of funds in such a segregated 
                account for a purpose other than electioneering 
                communications.
                    ``(F) If the disbursements were paid out of funds 
                not described in subparagraph (E), the names and 
                addresses of all contributors who contributed an 
                aggregate amount of $1,000 or more to the organization 
                during the period beginning on the first day of the 
                preceding calendar year and ending on the disclosure 
                date.
            ``(3) Electioneering communication.--For purposes of this 
        subsection--
                    ``(A) In general.--The term `electioneering 
                communication' means any broadcast, cable, or satellite 
                communication which--
                            ``(i) refers to a clearly identified 
                        candidate for Federal office;
                            ``(ii) is made within--
                                    ``(I) 60 days before a general, 
                                special, or runoff election for such 
                                Federal office; or
                                    ``(II) 30 days before a primary or 
                                preference election, or a convention or 
                                caucus of a political party that has 
                                authority to nominate a candidate, for 
                                such Federal office; and
                            ``(iii) is made to an audience that 
                        includes members of the electorate for such 
                        election, convention, or caucus.
                    ``(B) Exceptions.--The term `electioneering 
                communication' does not include--
                            ``(i) a communication appearing in a news 
                        story, commentary, or editorial distributed 
                        through the facilities of any broadcasting 
                        station, unless such facilities are owned or 
                        controlled by any political party, political 
                        committee, or candidate; or
                            ``(ii) a communication which constitutes an 
                        expenditure or an independent expenditure under 
                        this Act.
            ``(4) Disclosure date.--For purposes of this subsection, 
        the term `disclosure date' means--
                    ``(A) the first date during any calendar year by 
                which a person has made disbursements for 
                electioneering communications aggregating in excess of 
                $10,000; and
                    ``(B) any other date during such calendar year by 
                which a person has made disbursements for 
                electioneering communications aggregating in excess of 
                $10,000 since the most recent disclosure date for such 
                calendar year.
            ``(5) Contracts to disburse.--For purposes of this 
        subsection, a person shall be treated as having made a 
        disbursement if the person has executed a contract to make the 
        disbursement.
            ``(6) Coordination with other requirements.--Any 
        requirement to report under this subsection shall be in 
addition to any other reporting requirement under this Act.''.

SEC. 202. COORDINATED COMMUNICATIONS AS CONTRIBUTIONS.

    Section 315(a)(7) of the Federal Election Campaign Act of 1971 (2 
U.S.C. 441a(a)(7)) is amended --
            (1) by redesignating subparagraph (C) as subparagraph (D); 
        and
            (2) by inserting after subparagraph (B) the following:
                    ``(C) if--
                            ``(i) any person makes, or contracts to 
                        make, any disbursement for any electioneering 
                        communication (within the meaning of section 
                        304(d)(3)); and
                            ``(ii) such disbursement is coordinated 
                        with a candidate or an authorized committee of 
                        such candidate, a Federal, State, or local 
                        political party or committee thereof, or an 
                        agent or official of any such candidate, party, 
                        or committee;
                        such disbursement or contracting shall be 
                        treated as a contribution to the candidate 
                        supported by the electioneering communication 
                        and as an expenditure by that candidate; and''.

SEC. 203. PROHIBITION OF CORPORATE AND LABOR DISBURSEMENTS FOR 
              ELECTIONEERING COMMUNICATIONS.

    (a) In General.--Section 316(b)(2) of the Federal Election Campaign 
Act of 1971 (2 U.S.C. 441b(b)(2)) is amended by inserting ``or for any 
applicable electioneering communication'' before ``, but shall not 
include''.
    (b) Applicable Electioneering Communication.--Section 316 of such 
Act is amended by adding at the end the following:
    ``(c) Rules Relating to Electioneering Communications.--
            ``(1) Applicable electioneering communication.--For 
        purposes of this section, the term `applicable electioneering 
        communication' means an electioneering communication (within 
        the meaning of section 304(d)(3)) which is made by any entity 
        described in subsection (a) of this section or by any other 
        person using funds donated by an entity described in subsection 
        (a) of this section.
            ``(2) Exception.--Notwithstanding paragraph (1), the term 
        `applicable electioneering communication' does not include a 
        communication by an organization described in section 501(c)(4) 
        of the Internal Revenue Code of 1986 or a political 
        organization (as defined in section 527(e)(1) of such Code) 
        made under section 304(d)(2) (E) or (F) of this Act if the 
        communication is paid for exclusively by funds provided 
        directly by individuals. For purposes of the preceding 
        sentence, the term `provided directly by individuals' does not 
        include funds the source of which is an entity described in 
        subsection (a) of this section.
            ``(3) Special operating rules.--For purposes of paragraph 
        (1), the following rules shall apply:
                    ``(A) An electioneering communication shall be 
                treated as made by an entity described in subsection 
                (a) if--
                            ``(i) an entity described in subsection (a) 
                        directly or indirectly disburses any amount for 
                        any of the costs of the communication; or
                            ``(ii) any amount is disbursed for the 
                        communication by a corporation or labor 
                        organization or a State or local political 
                        party or committee thereof that receives 
                        anything of value from an entity described in 
subsection (a), except that this clause shall not apply to any 
communication the costs of which are defrayed entirely out of a 
segregated account to which only individuals can contribute, as 
described in section 304(d)(2)(E).
                    ``(B) A section 501(c)(4) organization that derives 
                amounts from business activities or receives funds from 
                any entity described in subsection (a) shall be 
                considered to have paid for any communication out of 
                such amounts unless such organization paid for the 
                communication out of a segregated account to which only 
                individuals can contribute, as described in section 
                304(d)(2)(E).
            ``(4) Definitions and rules.--For purposes of this 
        subsection--
                    ``(A) the term `section 501(c)(4) organization' 
                means--
                            ``(i) an organization described in section 
                        501(c)(4) of the Internal Revenue Code of 1986 
                        and exempt from taxation under section 501(a) 
                        of such Code; or
                            ``(ii) an organization which has submitted 
                        an application to the Internal Revenue Service 
                        for determination of its status as an 
                        organization described in clause (i); and
                    ``(B) a person shall be treated as having made a 
                disbursement if the person has executed a contract to 
                make the disbursement.
            ``(5) Coordination with internal revenue code.--Nothing in 
        this subsection shall be construed to authorize an organization 
        exempt from taxation under section 501(a) of the Internal 
        Revenue Code of 1986 from carrying out any activity which is 
        prohibited under such Code.''.

          Subtitle B--Independent and Coordinated Expenditures

SEC. 211. DEFINITION OF INDEPENDENT EXPENDITURE.

    Section 301 of the Federal Election Campaign Act (2 U.S.C. 431) is 
amended by striking paragraph (17) and inserting the following:
            ``(17) Independent expenditure.--The term `independent 
        expenditure' means an expenditure by a person--
                    ``(A) expressly advocating the election or defeat 
                of a clearly identified candidate; and
                    ``(B) that is not a coordinated activity with such 
                candidate or such candidate's agent or a person who has 
                engaged in coordinated activity with such candidate or 
                such candidate's agent.''.

SEC. 212. REPORTING REQUIREMENTS FOR CERTAIN INDEPENDENT EXPENDITURES.

    Section 304 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
434) (as amended by section 201) is amended--
            (1) in subsection (c)(2), by striking the undesignated 
        matter after subparagraph (C); and
            (2) by adding at the end the following:
    ``(e) Time for Reporting Certain Expenditures.--
            ``(1) Expenditures aggregating $1,000.--
                    ``(A) Initial report.--A person (including a 
                political committee) that makes or contracts to make 
                independent expenditures aggregating $1,000 or more 
                after the 20th day, but more than 24 hours, before the 
                date of an election shall file a report describing the 
                expenditures within 24 hours after that amount of 
                independent expenditures has been made.
                    ``(B) Additional reports.--After a person files a 
                report under subparagraph (A), the person shall file an 
                additional report within 24 hours after each time the 
                person makes or contracts to make independent 
                expenditures aggregating an additional $1,000 with 
                respect to the same election as that to which the 
                initial report relates.
            ``(2) Expenditures aggregating $10,000.--
                    ``(A) Initial report.--A person (including a 
                political committee) that makes or contracts to make 
                independent expenditures aggregating $10,000 or more at 
                any time up to and including the 20th day before the 
                date of an election shall file a report describing the 
                expenditures within 48 hours after that amount of 
                independent expenditures has been made.
                    ``(B) Additional reports.--After a person files a 
                report under subparagraph (A), the person shall file an 
                additional report within 48 hours after each time the 
                person makes or contracts to make independent 
                expenditures aggregating an additional $10,000 with 
                respect to the same election as that to which the 
                initial report relates.
            ``(3) Place of filing; contents.--A report under this 
        subsection--
                    ``(A) shall be filed with the Commission; and
                    ``(B) shall contain the information required by 
                subsection (b)(6)(B)(iii), including the name of each 
                candidate whom an expenditure is intended to support or 
                oppose.''.

SEC. 213. INDEPENDENT VERSUS COORDINATED EXPENDITURES BY PARTY.

    Section 315(d) of the Federal Election Campaign Act (2 U.S.C. 
441a(d)) is amended--
            (1) in paragraph (1), by striking ``and (3)'' and inserting 
        ``, (3), and (4)''; and
            (2) by adding at the end the following:
            ``(4) Independent versus coordinated expenditures by 
        party.--
                    ``(A) In general.--On or after the date on which a 
                political party nominates a candidate, a committee of 
                the political party shall not make both expenditures 
                under this subsection and independent expenditures (as 
                defined in section 301(17)) with respect to the 
                candidate during the election cycle.
                    ``(B) Certification.--Before making a coordinated 
                expenditure under this subsection with respect to a 
                candidate, a committee of a political party shall file 
                with the Commission a certification, signed by the 
                treasurer of the committee, that the committee, on or 
                after the date described in subparagraph (A), has not 
                and shall not make any independent expenditure with 
                respect to the candidate during the same election 
                cycle.
                    ``(C) Application.--For purposes of this paragraph, 
                all political committees established and maintained by 
                a national political party (including all congressional 
                campaign committees) and all political committees 
                established and maintained by a State political party 
                (including any subordinate committee of a State 
                committee) shall be considered to be a single political 
                committee.
                    ``(D) Transfers.--A committee of a political party 
                that submits a certification under subparagraph (B) 
                with respect to a candidate shall not, during an 
                election cycle, transfer any funds to, assign authority 
                to make coordinated expenditures under this subsection 
                to, or receive a transfer of funds from, a committee of 
                the political party that has made or intends to make an 
                independent expenditure with respect to the 
                candidate.''.

SEC. 214. COORDINATION WITH CANDIDATES.

    (a) Definition of Coordination With Candidates.--
            (1) Section 301(8).--Section 301(8) of the Federal Election 
        Campaign Act of 1971 (2 U.S.C. 431(8)) is amended--
                    (A) in subparagraph (A)--
                            (i) by striking ``or'' at the end of clause 
                        (i);
                            (ii) by striking the period at the end of 
                        clause (ii) and inserting ``; or''; and
                            (iii) by adding at the end the following:
                            ``(iii) coordinated activity (as defined in 
                        subparagraph (C)).''; and
                    (B) by adding at the end the following:
                    ``(C) `Coordinated activity' means anything of 
                value provided by a person in connection with a Federal 
                candidate's election who is or previously has been 
                within the same election cycle acting in coordination 
                with that candidate, or an agent of that candidate on 
                any campaign activity in connection with a Federal 
                election in which such candidate seeks nomination or 
                election to Federal office (regardless of whether the 
                value being provided is in the form of a communication 
                that expressly advocates a vote for or against a 
                candidate) and includes any of the following:
                            ``(i) A payment made by a person in 
                        cooperation, consultation, or concert with, at 
                        the request or suggestion of, or pursuant to 
                        any general or particular understanding with a 
                        candidate, the candidate's authorized 
                        committee, the political party of the 
                        candidate, or an agent acting on behalf of a 
                        candidate, authorized committee, or the 
                        political party of the candidate.
                            ``(ii) A payment made by a person for the 
                        production, dissemination, distribution, or 
                        republication, in whole or in part, of any 
                        broadcast or any written, graphic, or other 
                        form of campaign material prepared by a 
                        candidate, a candidate's authorized committee, 
                        or an agent of a candidate or authorized 
                        committee (not including a communication 
                        described in paragraph (9)(B)(i) or a 
                        communication that expressly advocates the 
candidate's defeat), except materials published on a candidate's 
website and republished at a cost of less than $1,000.
                            ``(iii) A payment made by a person if, in 
                        the same election cycle in which the payment is 
                        made, the person making the payment--
                                    ``(I) is serving or previously has 
                                served as--
                                            ``(a) an employee;
                                            ``(b) a fundraiser; or
                                            ``(c) an agent of the 
                                        candidate or the candidate's 
                                        authorized committee in an 
                                        executive or policymaking 
                                        capacity; or
                                    ``(II) has previously participated 
                                in discussions (other than on an 
                                incidental basis) that have been--
                                            ``(a) with the candidate, 
                                        an agent of the candidate or 
                                        the candidate's authorized 
                                        committee, or with a political 
                                        party that is coordinating with 
                                        the candidate; and
                                            ``(b) about the candidate's 
                                        campaign strategy and tactics, 
                                        including a discussion about 
                                        advertising, message, 
                                        allocation of resources, 
                                        fundraising, or campaign 
                                        operations.
                            ``(iv) A payment made by a person if, in 
                        the same election cycle, the person making the 
                        payment retains the professional services of 
                        any person who has provided those services in 
                        the same election cycle to a candidate 
                        (including services provided through a 
                        political committee of the candidate's 
                        political party) in connection with the 
                        candidate's pursuit of nomination for election, 
                        or election, to Federal office, including 
                        services relating to the candidate's decision 
                        to seek Federal office, and the person retained 
                        is retained to work on activities relating to 
                        that candidate's campaign.
                    ``(D) For purposes of subparagraph (C), the term 
                `professional services' means polling, media advice, 
                fundraising, campaign research, political advice, or 
                direct mail services (except for mailhouse services) in 
                support of a candidate's pursuit of nomination for 
                election, or election, to Federal office.
                    ``(E) For purposes of subparagraph (C), all 
                political committees established and maintained by a 
                national political party (including all congressional 
                campaign committees) and all political committees 
                established and maintained by a State political party 
                (including any subordinate committee of a State 
                committee) shall be considered to be a single political 
                committee.
                    ``(F) Coordination by a political party.--When a 
                political party committee makes any expenditure that 
                refers to a clearly identified candidate of that party, 
                or to the opponent of a candidate of that party, in 
                connection with a Federal election, regardless of 
                whether the communication expressly advocates a vote 
                for or against the candidate, the expenditure is deemed 
                to be made in coordination with the candidate of that 
                party, unless the party certifies under penalty of 
                perjury that there has been no coordination by the 
                party.''.
            (2) Section 315(a)(7).--Section 315(a)(7) (2 U.S.C. 
        441a(a)(7)) is amended by striking subparagraph (B) and 
        inserting the following:
                    ``(B) a coordinated activity, as described in 
                section 301(8)(C), shall be considered to be a 
                contribution to the candidate and an expenditure by the 
                candidate.''.
    (b) Meaning of Contribution or Expenditure for the Purposes of 
Section 316.--Section 316(b)(2) of the Federal Election Campaign Act of 
1971 (2 U.S.C. 441b(b)(2)) is amended by striking ``shall include'' and 
inserting ``includes a contribution or expenditure, as those terms are 
defined in section 301, and also includes''.

                        TITLE III--MISCELLANEOUS

SEC. 301. USE OF CONTRIBUTED AMOUNTS FOR CERTAIN PURPOSES.

    Title III of the Federal Election Campaign Act of 1971 (2 U.S.C. 
431 et seq.) is amended by striking section 313 and inserting the 
following:

``SEC. 313. USE OF CONTRIBUTED AMOUNTS FOR CERTAIN PURPOSES.

    ``(a) Permitted Uses.--A contribution accepted by a candidate, and 
any other amount received by an individual as support for activities of 
the individual as a holder of Federal office, may be used by the 
candidate or individual--
            ``(1) for expenditures in connection with the campaign for 
        Federal office of the candidate or individual;
            ``(2) for ordinary and necessary expenses incurred in 
        connection with duties of the individual as a holder of Federal 
        office;
            ``(3) for contributions to an organization described in 
        section 170(c) of the Internal Revenue Code of 1986; or
            ``(4) for transfers to a national, State, or local 
        committee of a political party.
    ``(b) Prohibited Use.--
            ``(1) In general.--A contribution or amount described in 
        subsection (a) shall not be converted by any person to personal 
        use.
            ``(2) Conversion.--For the purposes of paragraph (1), a 
        contribution or amount shall be considered to be converted to 
        personal use if the contribution or amount is used to fulfill 
        any commitment, obligation, or expense of a person that would 
        exist irrespective of the candidate's election campaign or 
        individual's duties as a holder of Federal office, including--
                    ``(A) a home mortgage, rent, or utility payment;
                    ``(B) a clothing purchase;
                    ``(C) a noncampaign-related automobile expense;
                    ``(D) a country club membership;
                    ``(E) a vacation or other noncampaign-related trip;
                    ``(F) a household food item;
                    ``(G) a tuition payment;
                    ``(H) admission to a sporting event, concert, 
                theater, or other form of entertainment not associated 
                with an election campaign; and
                    ``(I) dues, fees, and other payments to a health 
                club or recreational facility.''.

SEC. 302. PROHIBITION OF FUNDRAISING ON FEDERAL PROPERTY.

    Section 607 of title 18, United States Code, is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) Prohibition.--
            ``(1) In general.--It shall be unlawful for any person to 
        solicit or receive a donation of money or other thing of value 
        in connection with a Federal, State, or local election from a 
        person who is located in a room or building occupied in the 
        discharge of official duties by an officer or employee of the 
        United States. It shall be unlawful for an individual who is an 
        officer or employee of the Federal Government, including 
the President, Vice President, and Members of Congress, to solicit a 
donation of money or other thing of value in connection with a Federal, 
State, or local election, while in any room or building occupied in the 
discharge of official duties by an officer or employee of the United 
States, from any person.
            ``(2) Penalty.--A person who violates this section shall be 
        fined not more than $5,000, imprisoned more than 3 years, or 
        both.''; and
            (2) in subsection (b), by inserting ``or Executive Office 
        of the President'' after ``Congress'' .

SEC. 303. STRENGTHENING FOREIGN MONEY BAN.

    Section 319 of the Federal Election Campaign Act of 1971 (2 U.S.C. 
441e) is amended--
            (1) by striking the heading and inserting the following: 
        ``contributions and donations by foreign nationals''; and
            (2) by striking subsection (a) and inserting the following:
    ``(a) Prohibition.--It shall be unlawful for--
            ``(1) a foreign national, directly or indirectly, to make--
                    ``(A) a donation of money or other thing of value, 
                or to make an express or implied promise to make a 
                donation, in connection with a Federal, State, or local 
                election; or
                    ``(B) a contribution or donation to a committee of 
                a political party; or
            ``(2) for a person to solicit, accept, or receive such 
        contribution or donation from a foreign national.''.

SEC. 304. CODIFICATION OF BECK DECISION.

    Section 8 of the National Labor Relations Act (29 U.S.C. 158) is 
amended by adding at the end the following:
    ``(h) Nonunion Member Payments to Labor Organization.--
            ``(1) In general.--It shall be an unfair labor practice for 
        any labor organization which receives a payment from an 
        employee pursuant to an agreement that requires employees who 
        are not members of the organization to make payments to such 
        organization in lieu of organization dues or fees not to 
        establish and implement the objection procedure described in 
        paragraph (2).
            ``(2) Objection procedure.--The objection procedure 
        required under paragraph (1) shall meet the following 
        requirements:
                    ``(A) The labor organization shall annually provide 
                to employees who are covered by such agreement but are 
                not members of the organization--
                            ``(i) reasonable personal notice of the 
                        objection procedure, the employees eligible to 
                        invoke the procedure, and the time, place, and 
                        manner for filing an objection; and
                            ``(ii) reasonable opportunity to file an 
                        objection to paying for organization 
                        expenditures supporting political activities 
                        unrelated to collective bargaining, including 
                        but not limited to the opportunity to file such 
                        objection by mail.
                    ``(B) If an employee who is not a member of the 
                labor organization files an objection under the 
                procedure in subparagraph (A), such organization 
                shall--
                            ``(i) reduce the payments in lieu of 
                        organization dues or fees by such employee by 
                        an amount which reasonably reflects the ratio 
                        that the organization's expenditures supporting 
                        political activities unrelated to collective 
                        bargaining bears to such organization's total 
                        expenditures; and
                            ``(ii) provide such employee with a 
                        reasonable explanation of the organization's 
                        calculation of such reduction, including 
                        calculating the amount of organization 
                        expenditures supporting political activities 
                        unrelated to collective bargaining.
            ``(3) Definition.--In this subsection, the term 
        `expenditures supporting political activities unrelated to 
        collective bargaining' means expenditures in connection with a 
        Federal, State, or local election or in connection with efforts 
        to influence legislation unrelated to collective bargaining.''.

                 TITLE IV--SEVERABILITY; EFFECTIVE DATE

SEC. 401. 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 unconstitutional, 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.

SEC. 402. EFFECTIVE DATE.

    This Act and the amendments made by this Act shall take effect 30 
days after the date of its enactment.
                                 



BIPARTISAN CAMPAIGN FINANCE REFORM ACT OF 1999

______

speech of

HON. ROBERT A. BORSKI

of pennsylvania

in the house of representatives

Tuesday, September 14, 1999

The House in Committee of the Whole House on the State of the Union had under consideration the bill (H.R. 417) to amend the Federal Election Campaign Act of 1971 to reform the financing of campaigns for elections for Federal office, and for other purposes:

Mr. BORSKI: Mr. Chairman, I rise in strong support of the Shays-Meehan Campaign Finance Reform Act and urge my colleagues to vote against all "poison pill" amendments that will be offered today. I am proud to cosponsor this bipartisan legislation, which represents the best, real opportunity to reform our broken campaign finance system.

The issue of campaign finance reform cuts to the essence of democracy. Our unique American political system will not survive without the participation of the average American citizen. Unfortunately, more and more Americans are dropping out--with each election, fewer Americans are voting. They are doing so because they no longer believe that their vote matters. As they see more and more money pouring into campaigns, they believe that their voice is being drowned out by wealthy special interests.

Despite the cynicism of the American public, Congress has failed to enact significant campaign finance reform legislation since 1974. In that year, in the wake of the Watergate Scandal, Congress imposed tough spending limits on direct, "hard money" contributions to candidates. Unfortunately, no one at that time forsaw how two loopholes in the law would lead to a gross corruption of our political system.

The first loophole is "soft" money--the unregulated and unlimited contributions to the political parties from corporations, labor unions, or wealthy individuals. "Soft" money allows wealthy special interests to skirt around "hard" money limits and dump unlimited sums of money into a campaign.

During the 1996 election cycle, approximately 30 percent of all large federal contributions came in the form of soft money to political parties. Both parties raised soft money at a 75 percent higher rate than four years ago. For the 2000 elections, it is estimated that soft money spending will exceed $500 million--more than double the total for the 1996 elections.

Soft money is used to finance the second loophole in campaign finance law: sham issue advertisements. This loophole allows special interests to spend huge sums of money on campaign ads advocating either the defeat or election of a candidate. As long as these ads do not use the magic words "vote for" or "vote against" they are deemed "issue advocacy" under current law and therefore not subject to campaign spending limits or disclosure requirements.

During the 1996 elections, the television and radio airwaves were flooded with these sham issue ads--many of which were negative attack ads. Americans who see or here these ads have no idea who pays for them because no disclosure is required. They drown out the voice of the average American citizen, and even sometimes of the candidates themselves. Without reform, we can certain expect a huge increase in these sham issue ads.

The Shays-Meehan bill begins to restore public confidence in our electoral system by closing these two egregious loopholes. The bill bans all contributions of soft money to federal campaigns. Specifically, it bans national party committees from soliciting, receiving, directing or spending soft money. The bill also prohibits state and local parties from spending soft money on federal election activity.

In an effort to ban campaign advertisements that masquerade is "issue advocacy," Shays-Meehan tightens the definition of "express advocacy" communications. Under the bill, any ad that is clearly designed to influence an election is deemed "express advocacy" and must therefore abide by federal contribution and expenditure limits and disclosure requirements. Shays-Meehan includes well crafted language that specifically exempts legitimate voter guides from the definition of "express advocacy."

The Shays-Meehan bill would not prevent public organizations from running advertisements, but it would ensure that ads clearly designed to influence an election are regulated under federal law. We have laws clearly designed to regulate and disclose campaign donations and expenditures, and no one should be allowed to evade them. Shays-Meehan would ensure that everyone involved in influencing elections plays by the same rules.

Opponents have argued that the Shays-Meehan bill undermines the First Amendment right of free speech. However, the Supreme Court has ruled that Congress has a broad ability to protect the political process from corruption and the appearance of corruption. It has upheld as constitutional the ability to limit contributions by individuals and political committees to candidates. The Supreme Court has also clearly permitted Congress to distinguish between issue advocacy on the one hand, and electioneering or "express advocacy" on the other.

The Meehan-Shays proposal will not cure our campaign finance system of all its evils--and I certainly support more far reaching restrictions on campaign contributions and expenditures. However, the bill will take a modest but significant first step toward restoring integrity in our political system. It will limit the influence of wealthy special interests and help to restore the voice of average American citizens in our political process. In short, enactment of this legislation is essential to the survival of American democracy.



Thursday, June 28, 2001

By Mr. SHAYS (for himself and Mr. Meehan): H.R. 2356. A bill to amend the Federal Election Campaign Act of 1971 to provide bipartisan campaign reform; to the Committee on House Administration, and in addition to the Committees on Energy and Commerce, and the Judiciary, 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.

PROVIDING FOR CONSIDERATION OF H.R. 2356, BIPARTISAN CAMPAIGN REFORM ACT OF 2001

Thursday, July 12, 2001

Mr. REYNOLDS: Mr. Speaker, by direction of the Committee on Rules, I call up House Resolution 188 and ask for its immediate consideration. The Clerk read the resolution, as follows:

H. Res. 188

Resolved, That at any time after the adoption of this resolution 
the Speaker may, pursuant to clause 2(b) of rule XVIII, declare 
the House resolved into the Committee of the Whole House 
on the state of the Union for consideration of the bill (H.R. 2356) 
to amend the Federal Election Campaign Act of 1971 to provide 
bipartisan campaign reform. The first reading of the bill shall 
be dispensed with. All points of order against consideration 
of the bill are waived. General debate shall be confined to 
the bill and shall not exceed one hour equally divided and 
controlled by the chairman and ranking minority member 
of the Committee on House Administration. After general 
debate the bill shall be considered for amendment under 
the five-minute rule. The bill shall be considered as read. 
No amendment to the bill shall be in order except those 
printed in the report of the Committee on Rules 
accompanying this resolution. Each amendment may 
be offered only in the order printed in the report, may 
be offered only by a Member designated in the report, 
shall be considered as read, shall be debatable for the 
time specified in the report equally divided and 
controlled by the proponent and an opponent, shall 
not be subject to amendment, and shall not be subject 
to a demand for division of the question in the House 
or in the Committee of the Whole. All points of order 
against the amendments printed in the report are waived. 
At the conclusion of consideration of the bill for 
amendment the Committee shall rise and report the 
bill to the House with such amendments as may have 
been adopted. The previous question shall be considered 
as ordered on the bill and amendments thereto to final 
passage without intervening motion except one motion 
to recommit with or without instructions. Sec. 2. After 
passage of H.R. 2356, it shall be in order to consider in 
the House S. 27. All points of order against the Senate 
bill and against its consideration are waived. It shall be 
in order to move to strike all after the enacting clause of 
the Senate bill and to insert in lieu thereof the provisions 
of H.R. 2356 as passed by the House. All points of order 
against that motion are waived. If the motion is adopted 
and the Senate bill, as amended, is passed, then it shall be 
in order to move that the House insist on its amendment 
to S. 27 and request a conference with the Senate thereon.

The SPEAKER pro tempore (Mr. LaTourette): The gentleman from New York (Mr. Reynolds) is recognized for 1 hour.

Mr. REYNOLDS: Mr. Speaker, for the purpose of debate only, I yield the customary 30 minutes to the gentleman from Texas (Mr. Frost), the ranking member of the Committee on Rules, pending which I yield myself such time as I may consume. During consideration of this resolution, all time yielded is for the purpose of debate only.

Mr. Speaker, House Resolution 188 is a fair, structured rule that provides for the consideration of H.R. 2356, the Bipartisan Campaign Reform Act of 2001. I would like to point out that this is not an unorthodox rule; rather, this rule is what is known as "regular order."

The rule provides for 1 hour of general debate to be equally divided between the chairman and the ranking minority member of the Committee on House Administration. The rule makes in order 20 amendments that were printed in the report accompanying the resolution. In addition to the full consideration of these amendments, the rule makes in order two substitutes, one offered by the gentleman from California (Mr. Doolittle), which is debatable for 30 minutes, and the other offered by the gentleman from Ohio (Mr. Ney) and the gentleman from Maryland (Mr. Wynn), which is debatable for 60 minutes.

The rule waives all points of order against consideration of the bill, as well as all points of order against the amendments.

After passage of H.R. 2356, the rule provides that it shall be in order to consider in the House Senate 27. It waives all points of order against the Senate bill and against its consideration.

The rule makes in order a motion to strike all after the enacting clause of the Senate bill and insert in lieu thereof provisions of H.R. 2356 as passed by the House. Furthermore, the rule waives all points of order against the motion to strike and insert. Additionally, the rule provides that if the motion to strike and insert is adopted and the Senate bill, as amended, is passed, it shall be in order to move that the House insist on its amendment and request a conference with the Senate thereon.

Finally, the rule provides one motion to recommit, with or without instructions.

Mr. Speaker, before we begin what is certain to be a very passionate debate, I would first like to commend the gentleman from Illinois (Mr. Hastert), the Speaker of the House, on his efforts to bring this issue before us today. The Speaker pledged a fair, open, and timely debate on this measure and, as has been the hallmark of his leadership, today has made good on that commitment. I would also like to acknowledge the great strides that have been made to ensure that this rule be made as fair as possible and to ensure a healthy debate on this important issue. As this rule was developed, the committee honored numerous requests from the gentleman from Connecticut to ensure a proper and complete debate. In short, we are here today because the Speaker has facilitated a fair and open process.

Additionally, I would like to commend the gentleman from Ohio (Mr. Ney), the chairman of the Committee on House Administration, for his fair bipartisan handling of this matter. The willingness of both the gentleman from Ohio (Mr. Ney) and the gentleman from Illinois (Mr. Hastert) to accommodate all parties involved by supporting alternative measures and open debate is a true testament to their leadership on this measure. I thank both the gentlemen.

Mr. Speaker, I have had the unique opportunity to hear testimony on this issue from all sides, both as a member of the Committee on House Administration and as a member of the Committee on Rules. I have witnessed firsthand the process that has brought us to this day, and I stand here before my colleagues proud of both the process and the rule.

Mr. Speaker, when we peel back the layers of debate on the issue before us today, when we remove the emotion and the hyperbole, when we separate the rhetoric from the reality, there is a fundamental question before this Congress today: how far will this Congress go in restricting the rights of the American people, whether individually or collectively, to participate in their political process? It is ironic that as this Congress and this country have achieved so much economically and socially by breaking down government regulation and intrusion, there are those who would have us impose excessive restrictions and undue burdens on the most basic of all human rights: the right of free speech. That we can improve our current campaign finance system is something upon which we can all agree, but to do so by destroying the very fabric of this Nation's political system is not an improvement, nor is it reform.

There are a number of important issues that we face in our shared desire to improve and reform campaign finance in these United States. Most important, we must ensure that we encourage rather than stifle citizen involvement in their political process.

The freedom to express one's views in the form of political speech is one of the inherent rights that this Nation was founded upon. Government restrictions which would limit that speech strike at the very core of our rights and liberties as Americans.

We should recognize, too, the freedom of political parties to encourage voter enrollment and participation. A vibrant party system has been and must continue to promote the free flow of ideas and debate that have shaped this Nation over the past 225 years.

By definition, Webster's dictionary says that "reform" means "to make or become better." What we do today must ensure that our campaign finance system does become better, and it can only become better if we recognize that curbing expensive campaigns should not come at the expense of political liberties. That is why I urge support of this rule and the support of the Ney-Wynn bill.

While neither the Shays-Meehan nor the Ney-Wynn bill bans so-called "soft money," Ney-Wynn at least ensures that such expenditures are used for party activities such as voter registration, getting out the vote, overhead, and fund-raising expenses. Such a provision will ensure that candidates cannot circumvent set limits, while ensuring a continued vibrant party system. Ney-Wynn also contains broader reporting requirements. People have a right to know who is supporting candidates for political office, and under the Ney-Wynn bill they will have that information quickly and completely. Further, Ney-Wynn does more to restrict the influences of special interest groups.

Political parties will be restricted from fund-raising and spending soft money while special interests would still be allowed to spend funds in virtually unlimited amounts, increasing, rather than curtailing, their influence over the electoral process.

Mr. Speaker, there is a solid reason why the Ney-Wynn bill has enjoyed a growing bipartisan support over these past few weeks. That is because it is better, more responsible legislation that, as Webster defines, reforms our campaign finance system by making it better.

Mr. Speaker, let me once again remind my colleagues that our business here today is being conducted under regular order. This fair, standard rule is before this body because of the tireless efforts of both the gentleman from Illinois (Speaker Hastert) and the gentleman from Ohio (Chairman Ney).

Let us proceed with open debate on both the bill and its amendment. I urge my colleagues to support this rule.

Mr. Speaker, I reserve the balance of my time.

Mr. FROST: Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, the Republican leadership has brought us a rule that is the height of cynical political maneuvering, and the rule itself is, quite frankly, one of the most stupid proposals I have seen in my 23 years in this institution.

I want to look at the cynical maneuvering, first. We all know that the Republican leadership wants to defeat Shays-Meehan. There are, of course, Democrats who have some reservations about Shays-Meehan also, but these Democrats also believe in fundamental fairness, and that Shays-Meehan should have a clean, legitimate shot on the floor.

The Republican leadership has written a rule that everyone knows may well lose. If we assume that this rule is about cynicism, then what the Republican leadership has done is to present a rule to the House that they know will fail, and then they will refuse to reconvene the Committee on Rules to draft another rule.

They will refuse to schedule campaign finance reform for debate and simply explain it away by saying campaign finance reform is dead because the House refused to pass a rule to bring it up. This is, of course, the equivalent of killing your parents and then throwing yourself on the mercy of the court because you are an orphan.

Why do I say that this rule is likely to lose? Experience. It is a repeat of a rule that the then Democratic leadership fashioned in 1981 during the debate on the first Reagan budget. In 1981, the Democratic leadership refused to give the Republican alternative, the now infamous Gramm-Latta substitute, a straight up-or-down vote. Rather, the Democratic leadership broke Gramm-Latta into pieces, requiring a series of votes on its provisions, thinking that that was the way to kill it. Well, surprise, that rule was rejected by the House. Let me repeat, the House rejected that rule as fundamentally unfair to the minority. Now, 20 years later, the Republican leadership has constructed a rule that divides Shays-Meehan into 13 separate amendments.

Sound familiar? Maybe not, because no one in the current Republican leadership was in Congress in 1981. But I find it hard to believe they and their staff can be totally ignorant of history, and that they all have to know that there is a very good chance this rule will be defeated.

Mr. Speaker, one might have to conclude that this is a cynical way to go about achieving their real objective, which is, of course, to kill Shays-Meehan.

Let us look at how incredibly dumb this rule is. It seems to have been written in such a way as to help the strategic objective of killing Shays-Meehan. I would suggest the way this rule is written that it might have the exact opposite effect.

There are a number of Members on both sides of the aisle who have legitimate and sincere concerns about Shays-Meehan. In the event this rule actually passes, the heavy-handed and cynical maneuvering on the part of the Republican leadership may well drive some of the opponents of Shays-Meehan right into the Shays-Meehan camp.

If that is the case, then the Republican leadership will have orchestrated their own defeat, the proverbial snatching of defeat from the jaws of victory.

There are legitimate issues involved in a discussion of the merits of the two main alternatives, Shays-Meehan and Ney-Wynn. I, for one, am concerned that the absolute prohibition in Shays-Meehan on the right of Members of Congress to raise non-Federal funds for State and local political parties to conduct voter registration and get-out-the-vote activities will weaken the political process and neuter Members of Congress. Members will not be able to play a meaningful role in voter turnout efforts in their home districts, and will become largely irrelevant to their own political parties.

The Ney-Wynn bill does not contain this provision, and it is important for Members to think very carefully about this issue if we get to the point where we might actually vote on the legislation.

However, because of this incredibly dumb rule and the cynical maneuvering on the part of the Republican leadership, we may never get to that point. On the other hand, if this rule is, by some chance, passed, the debate on this issue will be in such a highly charged atmosphere that it may well be impossible to have a rational discussion on the fundamental issues involved. This will be a sad day for the democratic process in this institution and in this country.

Mr. Speaker, this rule should be defeated. The Republican leadership needs to be shamed into bringing back a new rule that is fair to the House, fair to the proponents of both bills, and fair to the American people.

Mr. Speaker, I reserve the balance of my time.

Mr. REYNOLDS: Mr. Speaker, I yield 2 minutes to the gentleman from Texas (Mr. Sessions).

Mr. SESSIONS: Mr. Speaker, I thank the gentleman for yielding time to me.

Mr. Speaker, I have not been in Congress for 22 years, like the gentleman from Texas, but I do know the difference between right and wrong. I think the gentleman from Texas (Mr. Frost) knows the difference between right and wrong.

What we recognize about this rule is that this is an honest up-or- down vote. Yesterday in the Committee on Rules the gentleman from Connecticut (Mr. Shays) asked for his bill, and got what he asked for. He received it. That was his bill. We did not gut the bill. We are not putting any amendments against the bill. He gets his bill exactly the way that he said in the Committee on Rules he wanted it. He gets all 12 or 13 amendments.

Where I come from in Texas, you vote for what you are for and you vote against what you do not like. The fact of the matter is that this is an honest attempt to give our colleague, who is a Republican, the gentleman from Connecticut (Mr. Shays), exactly what he asked for in the Committee on Rules.

We are not hiding anything. We are not making it more difficult. We are simply giving him exactly what he wanted. I have lots of legislation on which I would love to have the same opportunity that we are extending to our colleague.

The fact of the matter is that in the Committee on Rules, it was the Democrats who sit on the Committee on Rules that did the beating up of the gentleman from Connecticut (Mr. Shays), that did the beating up of Shays-Meehan. They said that it had virtually no reason to be on the floor of the House of Representatives. It has no reason to take the time that we are spending on it.

The Republican leadership, not only the gentleman from Illinois (Speaker Hastert) and the gentlemen from Texas, Mr. Armey and Mr. DeLay, but also our committee chairman, the gentleman from California (Mr. Dreier), have taken the time to schedule this vote to give the gentleman from Connecticut (Mr. Shays) exactly what he asked for yesterday, and to make sure we have a full debate. I think it is not only fair and honest, but it is the right thing to do for our colleagues.

Mr. FROST: Mr. Speaker, I yield 3 minutes to the gentleman from Maryland (Mr. Hoyer).

Mr. HOYER: Mr. Speaker, I thank my colleague for yielding time to me.

I am the ranking member of the Committee on House Administration. As such, I participated in the markup of these two pieces of legislation, the Shays-Meehan legislation, which has in the past had 252 votes each time it was offered for passage on the floor of this House, and the Ney-Wynn bill, which is a new bill.

Mr. Speaker, I beg to differ with my friend, the gentleman from Texas (Mr. Sessions). At the markup, which was held on June 28, it was my understanding, and I believe the understanding of the gentleman from Connecticut (Mr. Shays) and the gentleman from Massachusetts (Mr. Meehan), that the gentleman from Ohio (Mr. Ney), the gentleman from Connecticut (Mr. Shays), and the gentleman from Massachusetts (Mr. Meehan) would have the opportunity, between June 28 and yesterday, to perfect their legislation, to present that perfected legislation to the Committee on Rules, and to have those pieces of legislation presented to the floor for consideration with such further amendments as others might have.

Mr. Speaker, I believe that was our understanding. I tell my friend, the gentleman from Texas, as a result, I did not offer any amendment. The gentleman from Ohio (Mr. Ney) nor any other Member offered any amendments. Why? Because it was the understanding of all 10 of us, in my opinion, that the bills would be perfected in the 10 days between June 28 and July 8 or 9 or 10.

That was not done. What the gentleman suggests is a fair process is to divide up into 14 different sections the perfections of the gentleman from Connecticut (Mr. Shays) and the gentleman from Massachusetts (Mr. Meehan) sought, and therefore try to fight each one of those 14 different times.

I frankly think that is not fair. Why is it not fair? Because, as the gentleman from Texas, the ranking member of the Committee on Rules, has put forward, it is a rule which does not comport with what the gentleman from Connecticut (Mr. Shays) and the gentleman from Massachusetts (Mr. Meehan) want to offer as their base bill.

Mr. Speaker, on the substance of this, the American public in my opinion is very concerned about the amount of money in politics. Rightly or wrongly, and I cast aspersions on no one in this House, rightly or wrongly, the American public believes that the gargantuan amounts of money that flow into Washington, into State Capitals, into local county seats as political contributions, hard or soft money, and that is a somewhat esoteric distinction that the public does not make, but it is an important one, because one is limited and one is not, they believe this is an important issue. They want to see it considered on its merits, not by procedural dissection, which is essentially what has occurred here.

Mr. REYNOLDS: Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, there seems to be a little bit of blurry history or rewriting history. I certainly was not here in 1981, as my colleague, the gentleman from Texas (Mr. Sessions) was not, either. But as I recall, there was a minority substitute to a majority bill that the rule affected that the leadership lost, and the minority had a victorious day. In those days, the Republicans were the minority.

But when we look at today, I have been here today in both the Committee on House Administration and on the Committee on Rules. It was my understanding that on Wednesday evening, at the insistence of the sponsor of Shays-Meehan that we hold a markup before the July district work period, that was scheduled for Thursday before we left.

On Wednesday at 8 p.m. it was agreed upon by both the gentleman from Ohio (Mr. Ney), who had to produce his bill, and the gentleman from Connecticut (Mr. Shays) that he would produce his bill, and at 8 o'clock we would have the bill so the House, the entire House, 435 Members, would have the opportunity to learn what was in both bills.

That was because the Shays-Meehan bill that I knew as a State legislator watching the debate of this great body is now so much different than it was back then.

I am a fan of the 1957 T-Bird. It changed so much in the sixties, when I owned a sixties T-Bird, and in the seventies, in the eighties, and in the nineties, so the T-Bird today that is made reference to no longer looks like the 1957 Thunderbird. So you would have to be clarifying exactly what year of Thunderbirds you were referring to if you were an admirer.

In Shays-Meehan, this bill before us today is nothing like the Shays- Meehan bill that was constructed years ago and has been debated in this House in previous years. It is substantially different.

On the Committee on Rules, I have the opportunity to see managers' technical amendments on a frequent occasion. This bill, when we look at what happened with the Committee on Rules, we granted every single request, 12, of the Shays-Meehan bill. Whether they were technical or they were absolute critical changes that were made in the bill that would not be classified a manager's amendment, we gave it to the Shays- Meehan request.

Just as the Speaker said today, this week, we will have the debate on Shays-Meehan and any other amendments on campaign finance reform. It is here today. So the bill introduced by the gentleman from Connecticut (Mr. Shays) and the gentleman from Massachusetts (Mr. Meehan) reported by the Committee on House Administration will be debated in its entirety. As a matter of fact, they filed after the deadline, 4\1/2\ hours late, these 12 amendments, which were actually put in the rule so they could be debated today in its entirety.

However, when we begin to look at special privileges for any Members, that becomes a political concept of what the Committee on Rules is, in fairness. The gentleman from Connecticut (Mr. Shays) is not the manager of the campaign finance bill, it is the gentleman from Ohio (Mr. Ney), the Chair of the Committee on House Administration.

The en bloc amendment has been inaccurately referred to as the manager's amendment. The fact is that the gentleman from Ohio (Chairman Ney) is the manager of this legislation, so the amendment requested by the gentleman from Connecticut (Mr. Shays) and the gentleman from Massachusetts (Mr. Meehan) is not a manager's amendment.

Anyway, whether one is a freshman, a sophomore, as I, or a junior member of the Committee on Rules on the majority side, as its most senior Members know, an en bloc amendment has been inaccurately referred to as a manager's amendment in this legislation, and that an amendment en bloc is a clustering of individual amendments.

Mr. Speaker, each and every amendment requested by Shays-Meehan is in this rule, to be debated openly and fairly in this House.

Mr. Speaker, I yield 2 minutes to the gentlewoman from Ohio (Ms. Pryce), from the Committee on Rules.

Ms. PRYCE of Ohio: Mr. Speaker, I thank the gentleman for yielding time to me.

Mr. Speaker, the work of the Committee on Rules is never done. We work hard and we work late into the evening trying to fine-tune some of the most controversial issues that this House ever faces.

And, indeed, that is exactly what we did last night.

My friend, the gentleman from Connecticut (Mr. Shays), came to our committee and he made his presentation; and he was passionate, as he always is, because he believes in this. And to a large extent, I do as well. This has been his cause, and he has fought it very well.

So I am very surprised today by all the fanfare over this manager's amendment, because the gentleman from Connecticut (Mr. Shays) did not even mention this manager's amendment in his presentation to the Committee on Rules until I brought it up. At that time he said, oh yes, and he explained it briefly, and left us on the committee with the distinct impression that as long as his provisions were included in some way, it was okay to divide it up. Indeed, his words were: "There are about 1, 2, 3, 4, 5, 6, 11, 12, 12 changes, one or two are technical, some are substantive, but this is an amendment that gets our bill in a form that we are most comfortable defending. And so, obviously, we like it. Some people have said you might like to divide them up into pieces; however, you decide."

He told the Committee on Rules, you decide. And so we did. We felt that to divide this up and allow examination of these substantive changes was the right and fair thing to do. So for all of us who have worked so hard to get this bill here today, for everyone who has done so much, no matter where you stand on it, do not kill this rule. Today is the day. Have we not waited long enough?

There is nothing unfair about this rule. And if it is defeated, I hope that this country understands who defeated it.

Mr. FROST: Mr. Speaker, I yield 1 minute to the gentleman from Florida (Mr. Hastings), a member of the committee.

Mr. HASTINGS of Florida: Mr. Speaker, I thank the gentleman for yielding me this time. It will be very clear that it will be the Republican majority that defeats the rule, if it does go down.

Mr. Speaker, I rise today to oppose this silly rule. This rule provides the American people with a limited opportunity to debate this important issue. It is a rule that was written by the Republican leadership that fears the will of the American people to have an open and honest debate on campaign finance reform.

If we are to maintain this institution's reputation as a representative body, then it is imperative that the American people have an opportunity to freely debate this issue here on the floor of the House. It appears the gentleman from New York (Mr. Reynolds) does not understand that when this bill is chopped up like it is, it will not have an up or a down vote, which I assure my colleagues, he is not in favor of.

Mr. Speaker, I have another problem with today's debate. I want to know why we are even talking about campaign finance reform before we are talking about election reform. I would think that after last year's travesty of an election, in which it was discovered that thousands of Americans nationwide had their right to vote stripped from them, Congress would have acted by now.

Mr. REYNOLDS: Mr. Speaker, I yield 2 minutes to the gentleman from Florida (Mr. Keller).

Mr. KELLER: Mr. Speaker, I thank the gentleman for yielding me this time, and I rise today in support of the rule as well as in strong support of the need for a paycheck protection provision to the campaign finance reform bill, and I will tell my colleagues why.

Banning soft money to the parties does not take the money out of politics, it only takes the money out of the parties. For example, currently a union such as the AFL-CIO can give $1 million to the Democratic party. The Democratic party will then turn around and run attack ads against Republicans like me that say, "Call Rick Keller and ask him why he is a bad guy." Well, if we ban the soft money to the party, we will still see the exact same TV attack ad on the air. The only difference will be the little disclaimer at the bottom of the screen which will now say, "Paid for by AFL-CIO," as opposed to, "Paid for by the Democratic party."

Any attempts to ban these ads 60 days before an election is blatantly unconstitutional. That is why to be fair and balanced we must also couple the ban on soft money with a paycheck protection requirement that requires unions to get the written consent of their workers if they intend to use part of their union dues for political activities. This is critical because fully 40 percent of the union members nationwide are Republicans, yet nearly all of their $100 million per election year is spent by unions on behalf of liberal Democrats. This is blatantly unfair and one-sided.

But I ask my colleagues not to take my word for it. Listen to what Thomas Jefferson, our third President and the author of the Declaration of Independence, had to say about this matter. In 1779, Thomas Jefferson wrote: "To compel a man to furnish contributions of money for the propagation of opinions which he disbelieves and abhors is sinful and tyrannical." Yet the American worker is forced to do just that.

Finally, President Bush has repeatedly said that paycheck protection is an important component to any campaign finance reform bill. We should give the President a fair and balanced campaign finance reform bill that he can sign into law.

I support the rule.

Mr. FROST: Mr. Speaker, I yield 1 minute to the gentlewoman from Connecticut (Ms. DeLauro).

Ms. DeLAURO: Mr. Speaker, today we have a historic opportunity to enact meaningful campaign finance reform. The Senate completed its work and passed a bill. The bipartisan Shays-Meehan measure has been twice passed by this House in previous Congresses.

We are on the threshold of bringing real reform to a system that is out of control and overrun by big-monied interest. Yet here we are debating the merits of a procedural rule that can only be characterized as guaranteed to fail. It does not allow the Shays-Meehan bill to be considered as a coherent whole. It is disingenuous and unfair.

This rule allows for 22 amendments designed to eviscerate the Shays- Meehan legislation; designed to kill the bill. Until we can get a clean up or down vote, we might as well tack up a "for sale" sign on all of our office doors.

We need to question the overall strategy behind this rule. If Shays- Meehan does not get defeated on the floor, then the opponents have paved the way for it to die in conference with the Senate.

I urge my colleagues to support genuine reform; that they not be afraid of real action. Restore integrity to our political process, restore America's faith in its political process. Defeat this rule. Support a clean vote on campaign finance reform.

Mr. REYNOLDS: Mr. Speaker, I yield myself such time as I may consume. I have the unofficial comments made by my colleague, the gentleman from Connecticut (Mr. Shays), last night in the Committee on Rules, which I would like to just share with the House as we look at the rule, the debate of the rule, with the balance of the time we have left.

The gentleman from Connecticut (Mr. Shays) said: "I just want people to have a fair and open debate on this process. Even if it disadvantage us if we have 200 amendments to go after our bill, I have always believed that the debate is healthy. I have always taken the position that we could be the substitute or the base bill, as long as ultimately you amend whatever is the base bill.

"Obviously, if you take up the Ney bill and he takes us down, we lost. And then you amend the Ney bill. If we survive, then we amend our bill. I have always taken that basic view.

"A vote for the Ney bill is a vote against our bill. And if he is the base bill and we replace him, then we amend our bill. I have always made that assumption.

"This manager's amendment, as I referred to it, I reluctantly call it the manager's amendment, it sounds ostentatious. I am not sure I feel like a manager. But this is an amendment that gets our bill in a form that we are most comfortable defending. And so obviously we like it. Some people have said you might like to divide them up into pieces; however, you decide."

Mr. Speaker, I reserve the balance of my time.

Mr. FROST: Mr. Speaker, I yield 3 minutes to the gentleman from Massachusetts (Mr. Meehan).

Mr. MEEHAN: Mr. Speaker, what we are talking about is not really about technicalities, though there is a manager's amendment that we should have been able to offer and, in fact, we will be able to offer, because this rule is going down if we do not get an up or down vote on campaign finance reform.

But what this really is about are technicalities designed to kill a bill to end this soft money abuse. The United States Senate, in a historic vote, voted for a bill we have been working to preconference with Members of the other body. We have negotiated over a period of time and had a final product at 12 o'clock midnight on Tuesday. The Committee on Rules did not meet until Wednesday, sometime around 3 o'clock. We should have had the opportunity to present to the committee and have an up or down vote on the bill that we agreed to. But technicalities were being used to try to defeat campaign finance reform.

There is a strong feel across America these unlimited amounts of money have to be curtailed. We cannot get a patient's bill of rights passed in this body because of the influence of soft money. We cannot get Medicare prescription drug coverage for seniors because $15.7 million in soft money are gumming up the works. It becomes difficult to get legislation passed to protect our environment when continually soft money has played a role in killing that legislation.

So my colleagues can talk all the technicalities that they want. The fact of the matter is, my colleagues will either give us an en bloc amendment or we will defeat the rule. Because the American people want a vote on Shays-Meehan, and they want that bill to be similar enough to the bill passed in the other body so that we can avoid a conference committee, where legislation to reform our campaign finance laws have historically died, where the Patient's Bill of Rights died, where reasonable gun safety measures to protect America's children have died.

We want to avoid that conference committee. So we have preconferenced this bill in an effort to build on the progress that was made in the other body, in an effort to work with Members in a bipartisan way in this body, Republican Members who are willing to take on this issue in a leadership role and a bulk of the Democrat party, to see to it we end this abuse of the soft money system. It is inexcusable to continue to fund political campaigns through unlimited amounts of money.

I believe tonight, as soon as my colleagues acquiesce on this rule, we will be ready to begin that historic debate.

Mr. REYNOLDS: Mr. Speaker, I yield myself such time as I may consume to comment that I am glad my colleague, the gentleman from Massachusetts (Mr. Meehan), addressed the group in the House today, because he was not at the Committee on Rules to present his case before us as we deliberated over the rule.

Mr. Speaker, I yield such time as he may consume to the gentleman from Texas (Mr. Armey), the majority leader.

Mr. ARMEY: Mr. Speaker, I thank the gentleman for yielding me this time.

Mr. Speaker, this has been a very difficult couple of days. I have been working with the gentleman from Connecticut (Mr. Shays) on this matter for some time. Some time ago the gentleman from Connecticut, speaking on behalf of himself and his cosponsors, came to me and requested that they be given a fair shake on this, that they get a chance to have their bill heard and have it heard in a timely fashion. We have worked on that. Today is the time that the gentleman from Connecticut and others have agreed to.

The gentleman from Connecticut came to me and said, I do not want anybody stacking the rule against me, I want to make sure it is a fair competition between my bill, which over 2 weeks ago he informed me was written. In fact, the gentleman came to me and exercised his frustration and impatience that the bill that the committee would put up was not yet written when his was already written and ready to go, and would I protect his bill so that he could have a straight up and down bill, as his bill was, and was written and was ready to go at least 2 weeks ago. We assured him that that would happen.

He subsequently came back and said I want my bill as a base bill, not the committee mark. I do not want the conventional thing here, which is to put the committee's mark on as the base bill and have mine as a substitute. I want mine as the base bill, and let the committee's be a substitute. We agreed. We wanted to be fair. We gave him that special consideration. So his bill is the base bill.

And, now, in the last few days, he has come before us and he said I want to amend my bill, and I have a demand that I have my amendment in the way I would like it. And he said, I have 14 different things I would like to do with this bill; 14 different amendments to this bill. Six of the 14 are provisions to strike all together provisions in his bill that was ready to go 2 weeks ago. Six provisions to strike.

Now, what does he want to strike? What are those provisions? I think we ought to talk about it. Three of those were to clarify provisions that he had in his bill, that was ready to go 2 weeks ago. Let us go with it. But now we need time, in this 11th hour, to clarify. What are those three clarifications? What do they mean?

I think we ought to know about that. Here is one, for example. What does this mean? It says he has one amendment that would increase the aggregate limit on individual contributions to $95,000 per cycle, including not more than $37,500 per cycle to candidates, and reserving $20,000 per cycle for the national party committees.

Is that soft money, or is that hard money? What individuals are we talking about? I think we ought to talk about that amendment.

Our complaint is that I do not get these 14 amendments. Incidentally, I might mention, Mr. Speaker, 145 amendments were submitted to the Committee on Rules. The Committee on Rules accepted 20 amendments. Fourteen of the 20 amendments that were accepted were amendments of the gentleman from Connecticut (Mr. Shays). Here is a fellow who has gotten his bill that just 2 weeks ago was ready to go as the base bill, and now he needs 14 amendments to his own bill.

When was the last time we saw anybody in this House come to the House with their bill and need 14 amendments to their own bill, 14 separate amendments to their bill? Also, if I do not get them, I am not being treated fair.

I am a little concerned about that concept of fairness. Fourteen of the 20 were given to the author of the bill himself, to amend his own bill, that just 2 weeks ago was ready to go, 14 substantive amendments.

What we have is a person who got the bill on the floor when he wanted it on the floor, got the bill that he wrote that was ready to go as the base bill ahead of consideration of the committee's bill, who has been given the opportunity to have 14 out of the 20 amendments made available to amend his own bill on the floor, who is now complaining that we are not being fair with this Committee on Rules.

What more could the Rules Commi