I 118THCONGRESS 1 STSESSION H. R. 1118 To amend the Federal Election Campaign Act of 1971 to provide for addi- tional disclosure requirements for corporations, labor organizations, Super PACs and other entities, and for other purposes. IN THE HOUSE OF REPRESENTATIVES FEBRUARY21, 2023 Mr. C ICILLINE(for himself, Mr. MULLIN, Ms. WASSERMANSCHULTZ, Ms. M CCOLLUM, Mr. NADLER, Mrs. BEATTY, Ms. DEANof Pennsylvania, Mrs. W ATSONCOLEMAN, Mr. DOGGETT, Mr. PAYNE, Ms. BARRAGA´N, Mr. K IMof New Jersey, Mr. MFUME, Mr. COHEN, Mr. TAKANO, Mr. S CHIFF, Mr. JOHNSONof Georgia, Ms. TLAIB, Mr. CARSON, Mr. LARSON of Connecticut, Mr. A UCHINCLOSS, Mr. COSTA, Ms. BROWNLEY, Mr. G OLDENof Maine, Mr. ALLRED, Ms. NORTON, Mr. CARBAJAL, Mr. D AVISof Illinois, Mr. KILMER, Mr. CLEAVER, Ms. ESCOBAR, Mr. DAVID S COTTof Georgia, Mr. SWALWELL, Mr. MOULTON, Ms. STEVENS, Mr. T ONKO, Mr. CASTROof Texas, Mr. GARAMENDI, Mr. BOYLEof Pennsyl- vania, Ms. C ASTORof Florida, Mr. VARGAS, Mr. TORRESof New York, Ms. B ONAMICI, Mr. BLUMENAUER, Mr. VEASEY, Mr. DESAULNIER, Mrs. D INGELL, Mr. BERA, Ms. SA´NCHEZ, Mr. POCAN, Ms. CHU, Ms. STRICK- LAND, Ms. TOKUDA, Mr. LEVIN, Ms. ROSS, Mr. SMITHof Washington, Mr. S TANTON, Mr. QUIGLEY, Ms. SCHRIER, Mr. DELUZIO, Mr. CASAR, Ms. B LUNTROCHESTER, Mr. PHILLIPS, Ms. HOYLEof Oregon, Mrs. T RAHAN, Mr. GOTTHEIMER, Mr. CROW, Mr. LIEU, Mr. HIMES, Ms. T ITUS, Mr. MCGOVERN, Mr. BISHOPof Georgia, Mr. MAGAZINER, Mr. M ORELLE, Ms. PORTER, Mr. EVANS, Mr. SARBANES, Ms. SLOTKIN, Mr. B OWMAN, Mr. RASKIN, Mr. GREENof Texas, Mr. HIGGINSof New York, Mrs. H AYES, Mr. GARCI´Aof Illinois, Mr. CASTEN, Mr. HUFFMAN, Ms. W ILSONof Florida, Ms. DELBENE, Ms. KUSTER, Ms. MENG, Mr. CASE, Ms. M ANNING, Ms. MATSUI, Ms. SALINAS, Mr. COURTNEY, Ms. S TANSBURY, Mr. RUPPERSBERGER, Mr. CARTERof Louisiana, Mr. T HOMPSONof California, Mr. CA´RDENAS, Ms. DEGETTE, Ms. WILLIAMS of Georgia, Mrs. M CBATH, Ms. GARCIAof Texas, Ms. KAPTUR, Mr. T RONE, Mr. GRIJALVA, Mr. GALLEGO, Ms. SCHAKOWSKY, and Ms. J AYAPAL) introduced the following bill; which was referred to the Com- mittee on House Administration, and in addition to the Committees on Ways and Means, and the Judiciary, for a period to be subsequently de- termined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6652 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 2 •HR 1118 IH A BILL To amend the Federal Election Campaign Act of 1971 to provide for additional disclosure requirements for cor- porations, labor organizations, Super PACs and other entities, and for other purposes. Be it enacted by the Senate and House of Representa-1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 3 (a) S HORTTITLE.—This Act may be cited as the 4 ‘‘Democracy Is Strengthened by Casting Light On Spend-5 ing in Elections Act of 2023’’ or the ‘‘DISCLOSE Act 6 of 2023’’. 7 (b) T ABLE OFCONTENTS.—The table of contents of 8 this Act is as follows: 9 Sec. 1. Short title; table of contents. Sec. 2. Findings. TITLE I—CLOSING LOOPHOLES ALLOWING SPENDING BY FOREIGN NATIONALS IN ELECTIONS Sec. 101. Clarification of application of foreign money ban to certain disburse- ments and activities. Sec. 102. Study and report on illicit foreign money in Federal elections. Sec. 103. Prohibition on contributions and donations by foreign nationals in connection with ballot initiatives and referenda. Sec. 104. Disbursements and activities subject to foreign money ban. Sec. 105. Prohibiting establishment of corporation to conceal election contribu- tions and donations by foreign nationals. TITLE II—REPORTING OF CAMPAIGN-RELATED DISBURSEMENTS Sec. 201. Reporting of campaign-related disbursements. Sec. 202. Reporting of Federal judicial nomination disbursements. Sec. 203. Coordination with FinCEN. Sec. 204. Application of foreign money ban to disbursements for campaign-re- lated disbursements consisting of covered transfers. Sec. 205. Sense of Congress regarding implementation. Sec. 206. Effective date. TITLE III—OTHER ADMINISTRATIVE REFORMS VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6211 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 3 •HR 1118 IH Sec. 301. Petition for certiorari. Sec. 302. Judicial review of actions related to campaign finance laws. Sec. 303. Effective date. TITLE IV—STAND BY EVERY AD Sec. 401. Short title. Sec. 402. Stand by every ad. Sec. 403. Disclaimer requirements for communications made through prerecorded telephone calls. Sec. 404. No expansion of persons subject to disclaimer requirements on inter- net communications. Sec. 405. Effective date. TITLE V—SEVERABILITY Sec. 501. Severability. SEC. 2. FINDINGS. 1 Congress finds the following: 2 (1) Campaign finance disclosure is a narrowly 3 tailored and minimally restrictive means to advance 4 substantial government interests, including fostering 5 an informed electorate capable of engaging in self- 6 government and holding their elected officials ac-7 countable, detecting and deterring quid pro quo cor-8 ruption, and identifying information necessary to en-9 force other campaign finance laws, including cam-10 paign contribution limits and the prohibition on for-11 eign money in U.S. campaigns. To further these 12 substantial interests, campaign finance disclosure 13 must be timely and complete, and must disclose the 14 true and original source of money given, transferred, 15 and spent to influence Federal elections. Current law 16 does not meet this objective because corporations 17 and other entities that the Supreme Court has per-18 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 4 •HR 1118 IH mitted to spend money to influence Federal elections 1 are subject to few if any transparency requirements. 2 (2) As the Supreme Court recognized in its per 3 curiam opinion in Buckley v. Valeo, 424 U.S. 1, 4 (1976), ‘‘disclosure requirements certainly in most 5 applications appear to be the least restrictive means 6 of curbing the evils of campaign ignorance and cor-7 ruption that Congress found to exist.’’ Buckley, 424 8 U.S. at 68. In Citizens United v. FEC, the Court re-9 iterated that ‘‘disclosure is a less restrictive alter-10 native to more comprehensive regulations of speech.’’ 11 558 U.S. 310, 369 (2010). 12 (3) No subsequent decision has called these 13 holdings into question, including the Court’s decision 14 in Americans for Prosperity Foundation v. Bonta, 15 141 S. Ct. 2373 (2021). That case did not involve 16 campaign finance disclosure, and the Court did not 17 overturn its longstanding recognition of the substan-18 tial interests furthered by such disclosure. 19 (4) Campaign finance disclosure is also essen-20 tial to enforce the Federal Election Campaign Act’s 21 prohibition on contributions by and solicitations of 22 foreign nationals. See section 319 of the Federal 23 Election Campaign Act of 1971 (52 U.S.C. 30121). 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 5 •HR 1118 IH (5) Congress should close loopholes allowing 1 spending by foreign nationals in domestic elections. 2 For example, in 2021, the Federal Election Commis-3 sion, the independent Federal agency charged with 4 protecting the integrity of the Federal campaign fi-5 nance process, found reason to believe and concil-6 iated a matter where an experienced political con-7 sultant knowingly and willfully violated Federal law 8 by soliciting a contribution from a foreign national 9 by offering to transmit a $2,000,000 contribution to 10 a super PAC through his company and two 11 501(c)(4) organizations, to conceal the origin of the 12 funds. This scheme was only unveiled after appear-13 ing in a The Telegraph UK article and video cap-14 turing the solicitation. See Conciliation Agreement, 15 MURs 7165 & 7196 (Great America PAC, et al.), 16 date June 28, 2021; Factual and Legal Analysis, 17 MURs 7165 & 7196 (Jesse Benton), dated Mar. 2, 18 2021. 19 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 6 •HR 1118 IH TITLE I—CLOSING LOOPHOLES 1 ALLOWING SPENDING BY 2 FOREIGN NATIONALS IN 3 ELECTIONS 4 SEC. 101. CLARIFICATION OF APPLICATION OF FOREIGN 5 MONEY BAN TO CERTAIN DISBURSEMENTS 6 AND ACTIVITIES. 7 Section 319(b) of the Federal Election Campaign Act 8 of 1971 (52 U.S.C. 30121(b)) is amended— 9 (1) by redesignating paragraphs (1) and (2) as 10 subparagraphs (A) and (B), respectively, and by 11 moving such subparagraphs 2 ems to the right; 12 (2) by striking ‘‘As used in this section, the 13 term’’ and inserting the following: ‘‘D EFINITIONS.— 14 For purposes of this section— 15 ‘‘(1) F OREIGN NATIONAL.—The term’’; 16 (3) by moving paragraphs (1) and (2) two ems 17 to the right and redesignating them as subpara-18 graphs (A) and (B), respectively; and 19 (4) by adding at the end the following new 20 paragraph: 21 ‘‘(2) C ONTRIBUTION AND DONATION .—For pur-22 poses of paragraphs (1) and (2) of subsection (a), 23 the term ‘contribution or donation’ includes any dis-24 bursement to a political committee which accepts do-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 7 •HR 1118 IH nations or contributions that do not comply with any 1 of the limitations, prohibitions, and reporting re-2 quirements of this Act (or any disbursement to or on 3 behalf of any account of a political committee which 4 is established for the purpose of accepting such do-5 nations or contributions), or to any other person for 6 the purpose of funding an expenditure, independent 7 expenditure, or electioneering communication (as de-8 fined in section 304(f)(3)).’’. 9 SEC. 102. STUDY AND REPORT ON ILLICIT FOREIGN MONEY 10 IN FEDERAL ELECTIONS. 11 (a) S TUDY.—For each 4-year election cycle (begin-12 ning with the 4-year election cycle ending in 2020), the 13 Comptroller General shall conduct a study on the inci-14 dence of illicit foreign money in all elections for Federal 15 office held during the preceding 4-year election cycle, in-16 cluding what information is known about the presence of 17 such money in elections for Federal office. 18 (b) R EPORT.— 19 (1) I N GENERAL.—Not later than the applicable 20 date with respect to any 4-year election cycle, the 21 Comptroller General shall submit to the appropriate 22 congressional committees a report on the study con-23 ducted under subsection (a). 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 8 •HR 1118 IH (2) MATTERS INCLUDED .—The report sub-1 mitted under paragraph (1) shall include a descrip-2 tion of the extent to which illicit foreign money was 3 used to target particular groups, including rural 4 communities, African-American and other minority 5 communities, and military and veteran communities, 6 based on such targeting information as is available 7 and accessible to the Comptroller General. 8 (3) A PPLICABLE DATE.—For purposes of para-9 graph (1), the term ‘‘applicable date’’ means— 10 (A) in the case of the 4-year election cycle 11 ending in 2020, the date that is 1 year after 12 the date of the enactment of this Act; and 13 (B) in the case of any other 4-year election 14 cycle, the date that is 1 year after the date on 15 which such 4-year election cycle ends. 16 (c) D EFINITIONS.—As used in this section: 17 (1) 4- YEAR ELECTION CYCLE .—The term ‘‘4- 18 year election cycle’’ means the 4-year period ending 19 on the date of the general election for the offices of 20 President and Vice President. 21 (2) I LLICIT FOREIGN MONEY.—The term ‘‘illicit 22 foreign money’’ means any contribution, donation, 23 expenditure, or disbursement by a foreign national 24 (as defined in section 319(b) of the Federal Election 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 9 •HR 1118 IH Campaign Act of 1971 (52 U.S.C. 30121(b))) pro-1 hibited under such section. 2 (3) E LECTION; FEDERAL OFFICE.—The terms 3 ‘‘election’’ and ‘‘Federal office’’ have the meanings 4 given such terms under section 301 of the Federal 5 Election Campaign Act of 1971 (53 U.S.C. 30101). 6 (4) A PPROPRIATE CONGRESSIONAL COMMIT -7 TEES.—The term ‘‘appropriate congressional com-8 mittees’’ means— 9 (A) the Committee on House Administra-10 tion of the House of Representatives; 11 (B) the Committee on Rules and Adminis-12 tration of the Senate; 13 (C) the Committee on the Judiciary of the 14 House of Representatives; and 15 (D) the Committee on the Judiciary of the 16 Senate. 17 (d) S UNSET.—This section shall not apply to any 4- 18 year election cycle beginning after the election for the of-19 fices of President and Vice President in 2032. 20 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 10 •HR 1118 IH SEC. 103. PROHIBITION ON CONTRIBUTIONS AND DONA-1 TIONS BY FOREIGN NATIONALS IN CONNEC-2 TION WITH BALLOT INITIATIVES AND 3 REFERENDA. 4 (a) I NGENERAL.—Section 319(b) of the Federal 5 Election Campaign Act of 1971 (52 U.S.C. 30121(b)), as 6 amended by section 101, is amended by adding at the end 7 the following new paragraphs: 8 ‘‘(3) F EDERAL, STATE, OR LOCAL ELECTION.— 9 The term ‘Federal, State, or local election’ includes 10 a State or local ballot initiative or referendum, but 11 only in the case of— 12 ‘‘(A) a covered foreign national as defined 13 in paragraph (4); or 14 ‘‘(B) a foreign principal described in sec-15 tion 1(b)(2) or 1(b)(3) of the Foreign Agent 16 Registration Act of 1938, as amended (22 17 U.S.C. 611(b)(2) or (b)(3)) or an agent of such 18 a foreign principal under such Act. 19 ‘‘(4) C OVERED FOREIGN NATIONAL .— 20 ‘‘(A) I N GENERAL.—The term ‘covered for-21 eign national’ means— 22 ‘‘(i) a foreign principal (as defined in 23 section 1(b) of the Foreign Agents Reg-24 istration Act of 1938 (22 U.S.C. 611(b))) 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 11 •HR 1118 IH that is a government of a foreign country 1 or a foreign political party; 2 ‘‘(ii) any person who acts as an agent, 3 representative, employee, or servant, or 4 any person who acts in any other capacity 5 at the order, request, or under the direc-6 tion or control, of a foreign principal de-7 scribed in clause (i) or of a person any of 8 whose activities are directly or indirectly 9 supervised, directed, controlled, financed, 10 or subsidized in whole or in major part by 11 a foreign principal described in clause (i); 12 or 13 ‘‘(iii) any person included in the list of 14 specially designated nationals and blocked 15 persons maintained by the Office of For-16 eign Assets Control of the Department of 17 the Treasury pursuant to authorities relat-18 ing to the imposition of sanctions relating 19 to the conduct of a foreign principal de-20 scribed in clause (i). 21 ‘‘(B) C LARIFICATION REGARDING APPLICA -22 TION TO CITIZENS OF THE UNITED STATES .— 23 In the case of a citizen of the United States, 24 clause (ii) of subparagraph (A) applies only to 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 12 •HR 1118 IH the extent that the person involved acts within 1 the scope of that person’s status as the agent 2 of a foreign principal described in clause (i) of 3 subparagraph (A).’’. 4 (b) E FFECTIVEDATE.—The amendment made by 5 this section shall apply with respect to elections held in 6 2024 or any succeeding year. 7 SEC. 104. DISBURSEMENTS AND ACTIVITIES SUBJECT TO 8 FOREIGN MONEY BAN. 9 (a) D ISBURSEMENTS DESCRIBED.—Section 10 319(a)(1) of the Federal Election Campaign Act of 1971 11 (52 U.S.C. 30121(a)(1)) is amended— 12 (1) by striking ‘‘or’’ at the end of subparagraph 13 (B); and 14 (2) by striking subparagraph (C) and inserting 15 the following: 16 ‘‘(C) an expenditure; 17 ‘‘(D) an independent expenditure; 18 ‘‘(E) a disbursement for an electioneering 19 communication (within the meaning of section 20 304(f)(3)); 21 ‘‘(F) a disbursement for a communication 22 which is placed or promoted for a fee on a 23 website, web application, or digital application 24 that refers to a clearly identified candidate for 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 13 •HR 1118 IH election for Federal office and is disseminated 1 within 60 days before a general, special or run-2 off election for the office sought by the can-3 didate or 30 days before a primary or pref-4 erence election, or a convention or caucus of a 5 political party that has authority to nominate a 6 candidate for the office sought by the can-7 didate; 8 ‘‘(G) a disbursement by a covered foreign 9 national (as defined in subsection (b)(4)) for a 10 broadcast, cable or satellite communication, or 11 for a communication which is placed or pro-12 moted for a fee on a website, web application, 13 or digital application, that promotes, supports, 14 attacks or opposes the election of a clearly iden-15 tified candidate for Federal, State, or local of-16 fice (regardless of whether the communication 17 contains express advocacy or the functional 18 equivalent of express advocacy); 19 ‘‘(H) a disbursement for a broadcast, 20 cable, or satellite communication, or for any 21 communication which is placed or promoted for 22 a fee on an online platform (as defined in sub-23 section (b)(5)), that discusses a national legisla-24 tive issue of public importance in a year in 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 14 •HR 1118 IH which a regularly scheduled general election for 1 Federal office is held, but only if the disburse-2 ment is made by a covered foreign national (as 3 defined in subsection (b)(4)); 4 ‘‘(I) a disbursement by a covered foreign 5 national (as defined in subsection (b)(4)) to 6 compensate any person for internet activity that 7 promotes, supports, attacks or opposes the elec-8 tion of a clearly identified candidate for Fed-9 eral, State, or local office (regardless of whether 10 the activity contains express advocacy or the 11 functional equivalent of express advocacy); or 12 ‘‘(J) a disbursement by a covered foreign 13 national (as defined in subsection (b)(4)) for a 14 Federal judicial nomination communication (as 15 defined in section 324(g)(2));’’. 16 (b) D EFINITION OFONLINEPLATFORM.—Section 17 319(b) of such Act (52 U.S.C. 30121(b)), as amended by 18 sections 101 and 103, is amended by adding at the end 19 the following new paragraph: 20 ‘‘(5) O NLINE PLATFORM.— 21 ‘‘(A) I N GENERAL.—For purposes of this 22 section, subject to subparagraph (B), the term 23 ‘online platform’ means any public-facing 24 website, web application, or digital application 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00014 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 15 •HR 1118 IH (including a social network, ad network, or 1 search engine) which— 2 ‘‘(i)(I) sells qualified political adver-3 tisements; and 4 ‘‘(II) has 50,000,000 or more unique 5 monthly United States visitors or users for 6 a majority of months during the preceding 7 12 months; or 8 ‘‘(ii) is a third-party advertising ven-9 dor that has 50,000,000 or more unique 10 monthly United States visitors in the ag-11 gregate on any advertisement space that it 12 has sold or bought for a majority of 13 months during the preceding 12 months, 14 as measured by an independent digital rat-15 ings service accredited by the Media Rat-16 ings Council (or its successor). 17 ‘‘(B) E XEMPTION.—Such term shall not 18 include any online platform that is a distribu-19 tion facility of any broadcasting station or 20 newspaper, magazine, blog, publication, or peri-21 odical. 22 ‘‘(C) T HIRD-PARTY ADVERTISING VENDOR 23 DEFINED.—For purposes of this subsection, the 24 term ‘third-party advertising vendor’ includes, 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 16 •HR 1118 IH but is not limited to, any third-party adver-1 tising vendor network, advertising agency, ad-2 vertiser, or third-party advertisement serving 3 company that buys and sells advertisement 4 space on behalf of unaffiliated third-party 5 websites, search engines, digital applications, or 6 social media sites.’’. 7 (c) E FFECTIVEDATE.—The amendments made by 8 this section shall apply with respect to disbursements 9 made on or after the date of the enactment of this Act. 10 SEC. 105. PROHIBITING ESTABLISHMENT OF CORPORATION 11 TO CONCEAL ELECTION CONTRIBUTIONS 12 AND DONATIONS BY FOREIGN NATIONALS. 13 (a) P ROHIBITION.—Chapter 29 of title 18, United 14 States Code is amended by adding at the end the fol-15 lowing: 16 ‘‘§ 612. Establishment of corporation to conceal elec-17 tion contributions and donations by for-18 eign nationals 19 ‘‘(a) O FFENSE.—It shall be unlawful for an owner, 20 officer, attorney, or incorporation agent of a corporation, 21 company, or other entity to establish or use the corpora-22 tion, company, or other entity with the intent to conceal 23 an activity of a foreign national (as defined in section 319 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00016 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 17 •HR 1118 IH of the Federal Election Campaign Act of 1971 (52 U.S.C. 1 30121)) prohibited under such section 319. 2 ‘‘(b) P ENALTY.—Any person who violates subsection 3 (a) shall be imprisoned for not more than 5 years, fined 4 under this title, or both.’’. 5 (b) T ABLE OFSECTIONS.—The table of sections for 6 chapter 29 of title 18, United States Code is amended by 7 adding at the end the following new item: 8 ‘‘612. Establishment of corporation to conceal election contributions and dona- tions by foreign nationals.’’. TITLE II—REPORTING OF CAM-9 PAIGN-RELATED DISBURSE-10 MENTS 11 SEC. 201. REPORTING OF CAMPAIGN-RELATED DISBURSE-12 MENTS. 13 (a) I NGENERAL.—Section 324 of the Federal Elec-14 tion Campaign Act of 1971 (52 U.S.C. 30126) is amended 15 to read as follows: 16 ‘‘SEC. 324. DISCLOSURE OF CAMPAIGN-RELATED DISBURSE-17 MENTS BY COVERED ORGANIZATIONS. 18 ‘‘(a) D ISCLOSURESTATEMENT.— 19 ‘‘(1) I N GENERAL.—Any covered organization 20 that makes campaign-related disbursements aggre-21 gating more than $10,000 in an election reporting 22 cycle shall, not later than 24 hours after each disclo-23 sure date, file a statement with the Commission 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00017 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 18 •HR 1118 IH made under penalty of perjury that contains the in-1 formation described in paragraph (2)— 2 ‘‘(A) in the case of the first statement filed 3 under this subsection, for the period beginning 4 on the first day of the election reporting cycle 5 (or, if earlier, the period beginning one year be-6 fore the first such disclosure date) and ending 7 on the first such disclosure date; and 8 ‘‘(B) in the case of any subsequent state-9 ment filed under this subsection, for the period 10 beginning on the previous disclosure date and 11 ending on such disclosure date. 12 ‘‘(2) I NFORMATION DESCRIBED .—The informa-13 tion described in this paragraph is as follows: 14 ‘‘(A) The name of the covered organization 15 and the principal place of business of such or-16 ganization and, in the case of a covered organi-17 zation that is a corporation (other than a busi-18 ness concern that is an issuer of a class of secu-19 rities registered under section 12 of the Securi-20 ties Exchange Act of 1934 (15 U.S.C. 78l) or 21 that is required to file reports under section 22 15(d) of that Act (15 U.S.C. 78o(d))) or an en-23 tity described in subsection (e)(2), a list of the 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00018 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 19 •HR 1118 IH beneficial owners (as defined in paragraph 1 (4)(A)) of the entity that— 2 ‘‘(i) identifies each beneficial owner by 3 name and current residential or business 4 street address; and 5 ‘‘(ii) if any beneficial owner exercises 6 control over the entity through another 7 legal entity, such as a corporation, partner-8 ship, limited liability company, or trust, 9 identifies each such other legal entity and 10 each such beneficial owner who will use 11 that other entity to exercise control over 12 the entity. 13 ‘‘(B) The amount of each campaign-related 14 disbursement made by such organization during 15 the period covered by the statement of more 16 than $1,000, and the name and address of the 17 person to whom the disbursement was made. 18 ‘‘(C) In the case of a campaign-related dis-19 bursement that is not a covered transfer, the 20 election to which the campaign-related disburse-21 ment pertains and if the disbursement is made 22 for a public communication, the name of any 23 candidate identified in such communication and 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00019 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 20 •HR 1118 IH if such communication is in support of or in op-1 position to the identified candidate. 2 ‘‘(D) A certification by the chief executive 3 officer or person who is the head of the covered 4 organization that the campaign-related dis-5 bursement is not made in cooperation, consulta-6 tion, or concert with or at the request or sug-7 gestion of a candidate, authorized committee, or 8 agent of a candidate, political party, or agent of 9 a political party. 10 ‘‘(E)(i) If the covered organization makes 11 campaign-related disbursements using exclu-12 sively funds in a campaign-related disbursement 13 segregated fund, for each payment made to the 14 account by a person other than the covered or-15 ganization— 16 ‘‘(I) the name and address of each 17 person who made such payment to the ac-18 count during the period covered by the 19 statement; 20 ‘‘(II) the date and amount of such 21 payment; and 22 ‘‘(III) the aggregate amount of all 23 such payments made by the person during 24 the period beginning on the first day of the 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00020 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 21 •HR 1118 IH election reporting cycle (or, if earlier, the 1 period beginning one year before the dis-2 closure date) and ending on the disclosure 3 date, 4 but only if such payment was made by a person 5 who made payments to the account in an aggre-6 gate amount of $10,000 or more during the pe-7 riod beginning on the first day of the election 8 reporting cycle (or, if earlier, the period begin-9 ning one year before the disclosure date) and 10 ending on the disclosure date. 11 ‘‘(ii) In any calendar year after 2024, sec-12 tion 315(c)(1)(B) shall apply to the amount de-13 scribed in clause (i) in the same manner as 14 such section applies to the limitations estab-15 lished under subsections (a)(1)(A), (a)(1)(B), 16 (a)(3), and (h) of such section, except that for 17 purposes of applying such section to the 18 amounts described in subsection (b), the ‘base 19 period’ shall be calendar year 2024. 20 ‘‘(F)(i) If the covered organization makes 21 campaign-related disbursements using funds 22 other than funds in a campaign-related dis-23 bursement segregated fund, for each payment 24 to the covered organization— 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00021 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 22 •HR 1118 IH ‘‘(I) the name and address of each 1 person who made such payment during the 2 period covered by the statement; 3 ‘‘(II) the date and amount of such 4 payment; and 5 ‘‘(III) the aggregate amount of all 6 such payments made by the person during 7 the period beginning on the first day of the 8 election reporting cycle (or, if earlier, the 9 period beginning one year before the dis-10 closure date) and ending on the disclosure 11 date, 12 but only if such payment was made by a person 13 who made payments to the covered organization 14 in an aggregate amount of $10,000 or more 15 during the period beginning on the first day of 16 the election reporting cycle (or, if earlier, the 17 period beginning one year before the disclosure 18 date) and ending on the disclosure date. 19 ‘‘(ii) In any calendar year after 2024, sec-20 tion 315(c)(1)(B) shall apply to the amount de-21 scribed in clause (i) in the same manner as 22 such section applies to the limitations estab-23 lished under subsections (a)(1)(A), (a)(1)(B), 24 (a)(3), and (h) of such section, except that for 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00022 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 23 •HR 1118 IH purposes of applying such section to the 1 amounts described in subsection (b), the ‘base 2 period’ shall be calendar year 2024. 3 ‘‘(G) Such other information as required in 4 rules established by the Commission to promote 5 the purposes of this section. 6 ‘‘(3) E XCEPTIONS.— 7 ‘‘(A) A MOUNTS RECEIVED IN ORDINARY 8 COURSE OF BUSINESS.—The requirement to in-9 clude in a statement filed under paragraph (1) 10 the information described in paragraph (2) 11 shall not apply to amounts received by the cov-12 ered organization in commercial transactions in 13 the ordinary course of any trade or business 14 conducted by the covered organization or in the 15 form of investments (other than investments by 16 the principal shareholder in a limited liability 17 corporation) in the covered organization. For 18 purposes of this subparagraph, amounts re-19 ceived by a covered organization as remittances 20 from an employee to the employee’s collective 21 bargaining representative shall be treated as 22 amounts received in commercial transactions in 23 the ordinary course of the business conducted 24 by the covered organization. 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00023 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 24 •HR 1118 IH ‘‘(B) DONOR RESTRICTION ON USE OF 1 FUNDS.—The requirement to include in a state-2 ment submitted under paragraph (1) the infor-3 mation described in subparagraph (F) of para-4 graph (2) shall not apply if— 5 ‘‘(i) the person described in such sub-6 paragraph prohibited, in writing, the use of 7 the payment made by such person for cam-8 paign-related disbursements; and 9 ‘‘(ii) the covered organization agreed 10 to follow the prohibition and deposited the 11 payment in an account which is segregated 12 from a campaign-related disbursement seg-13 regated fund and any other account used 14 to make campaign-related disbursements. 15 ‘‘(C) T HREAT OF HARASSMENT OR RE -16 PRISAL.—The requirement to include any infor-17 mation relating to the name or address of any 18 person (other than a candidate) in a statement 19 submitted under paragraph (1) shall not apply 20 if the inclusion of the information would subject 21 the person to serious threats, harassment, or 22 reprisals. 23 ‘‘(4) O THER DEFINITIONS.—For purposes of 24 this section: 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 25 •HR 1118 IH ‘‘(A) BENEFICIAL OWNER DEFINED .— 1 ‘‘(i) I N GENERAL.—Except as pro-2 vided in clause (ii), the term ‘beneficial 3 owner’ means, with respect to any entity, 4 a natural person who, directly or indi-5 rectly— 6 ‘‘(I) exercises substantial control 7 over an entity through ownership, vot-8 ing rights, agreement, or otherwise; or 9 ‘‘(II) has a substantial interest in 10 or receives substantial economic bene-11 fits from the assets of an entity. 12 ‘‘(ii) E XCEPTIONS.—The term ‘bene-13 ficial owner’ shall not include— 14 ‘‘(I) a minor child; 15 ‘‘(II) a person acting as a nomi-16 nee, intermediary, custodian, or agent 17 on behalf of another person; 18 ‘‘(III) a person acting solely as 19 an employee of an entity and whose 20 control over or economic benefits from 21 the entity derives solely from the em-22 ployment status of the person; 23 ‘‘(IV) a person whose only inter-24 est in an entity is through a right of 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00025 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 26 •HR 1118 IH inheritance, unless the person also 1 meets the requirements of clause (i); 2 or 3 ‘‘(V) a creditor of an entity, un-4 less the creditor also meets the re-5 quirements of clause (i). 6 ‘‘(iii) A NTI-ABUSE RULE.—The excep-7 tions under clause (ii) shall not apply if 8 used for the purpose of evading, circum-9 venting, or abusing the provisions of clause 10 (i) or paragraph (2)(A). 11 ‘‘(B) C AMPAIGN-RELATED DISBURSEMENT 12 SEGREGATED FUND .—The term ‘campaign-re-13 lated disbursement segregated fund’ means a 14 segregated bank account consisting of funds 15 that were paid directly to such account by per-16 sons other than the covered organization that 17 controls the account. 18 ‘‘(C) D ISCLOSURE DATE.—The term ‘dis-19 closure date’ means— 20 ‘‘(i) the first date during any election 21 reporting cycle by which a person has 22 made campaign-related disbursements ag-23 gregating more than $10,000; and 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 27 •HR 1118 IH ‘‘(ii) any other date during such elec-1 tion reporting cycle by which a person has 2 made campaign-related disbursements ag-3 gregating more than $10,000 since the 4 most recent disclosure date for such elec-5 tion reporting cycle. 6 ‘‘(D) E LECTION REPORTING CYCLE .—The 7 term ‘election reporting cycle’ means the 2-year 8 period beginning on the date of the most recent 9 general election for Federal office. 10 ‘‘(E) P AYMENT.—The term ‘payment’ in-11 cludes any contribution, donation, transfer, pay-12 ment of dues, or other payment. 13 ‘‘(b) C OORDINATIONWITHOTHERPROVISIONS.— 14 ‘‘(1) O THER REPORTS FILED WITH THE COM -15 MISSION.—Information included in a statement filed 16 under this section may be excluded from statements 17 and reports filed under section 304. 18 ‘‘(2) T REATMENT AS SEPARATE SEGREGATED 19 FUND.—A campaign-related disbursement seg-20 regated fund may be treated as a separate seg-21 regated fund for purposes of section 527(f)(3) of the 22 Internal Revenue Code of 1986. 23 ‘‘(c) F ILING.—Statements required to be filed under 24 subsection (a) shall be subject to the requirements of sec-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00027 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 28 •HR 1118 IH tion 304(d) to the same extent and in the same manner 1 as if such reports had been required under subsection (c) 2 or (g) of section 304. 3 ‘‘(d) C AMPAIGN-RELATED DISBURSEMENT DE-4 FINED.— 5 ‘‘(1) I N GENERAL.—In this section, the term 6 ‘campaign-related disbursement’ means a disburse-7 ment by a covered organization for any of the fol-8 lowing: 9 ‘‘(A) An independent expenditure which ex-10 pressly advocates the election or defeat of a 11 clearly identified candidate for election for Fed-12 eral office, or is the functional equivalent of ex-13 press advocacy because, when taken as a whole, 14 it can be interpreted by a reasonable person 15 only as advocating the election or defeat of a 16 candidate for election for Federal office. 17 ‘‘(B) An applicable public communication. 18 ‘‘(C) An electioneering communication, as 19 defined in section 304(f)(3). 20 ‘‘(D) A covered transfer. 21 ‘‘(2) A PPLICABLE PUBLIC COMMUNICATIONS .— 22 ‘‘(A) I N GENERAL.—The term ‘applicable 23 public communication’ means any public com-24 munication that refers to a clearly identified 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00028 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 29 •HR 1118 IH candidate for election for Federal office and 1 which promotes or supports the election of a 2 candidate for that office, or attacks or opposes 3 the election of a candidate for that office, with-4 out regard to whether the communication ex-5 pressly advocates a vote for or against a can-6 didate for that office. 7 ‘‘(B) E XCEPTION.—Such term shall not in-8 clude any news story, commentary, or editorial 9 distributed through the facilities of any broad-10 casting station or any print, online, or digital 11 newspaper, magazine, publication, or periodical, 12 unless such facilities are owned or controlled by 13 any political party, political committee, or can-14 didate. 15 ‘‘(e) C OVEREDORGANIZATIONDEFINED.—In this 16 section, the term ‘covered organization’ means any of the 17 following: 18 ‘‘(1) A corporation (other than an organization 19 described in section 501(c)(3) of the Internal Rev-20 enue Code of 1986). 21 ‘‘(2) A limited liability corporation that is not 22 otherwise treated as a corporation for purposes of 23 this Act (other than an organization described in 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00029 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 30 •HR 1118 IH section 501(c)(3) of the Internal Revenue Code of 1 1986). 2 ‘‘(3) An organization described in section 3 501(c) of such Code and exempt from taxation 4 under section 501(a) of such Code (other than an 5 organization described in section 501(c)(3) of such 6 Code). 7 ‘‘(4) A labor organization (as defined in section 8 316(b)). 9 ‘‘(5) Any political organization under section 10 527 of the Internal Revenue Code of 1986, other 11 than a political committee under this Act (except as 12 provided in paragraph (6)). 13 ‘‘(6) A political committee with an account that 14 accepts donations or contributions that do not com-15 ply with the contribution limits or source prohibi-16 tions under this Act, but only with respect to such 17 accounts. 18 ‘‘(f) C OVEREDTRANSFERDEFINED.— 19 ‘‘(1) I N GENERAL.—In this section, the term 20 ‘covered transfer’ means any transfer or payment of 21 funds by a covered organization to another person if 22 the covered organization— 23 ‘‘(A) designates, requests, or suggests that 24 the amounts be used for— 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00030 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 31 •HR 1118 IH ‘‘(i) campaign-related disbursements 1 (other than covered transfers); or 2 ‘‘(ii) making a transfer to another 3 person for the purpose of making or pay-4 ing for such campaign-related disburse-5 ments; 6 ‘‘(B) made such transfer or payment in re-7 sponse to a solicitation or other request for a 8 donation or payment for— 9 ‘‘(i) the making of or paying for cam-10 paign-related disbursements (other than 11 covered transfers); or 12 ‘‘(ii) making a transfer to another 13 person for the purpose of making or pay-14 ing for such campaign-related disburse-15 ments; 16 ‘‘(C) engaged in discussions with the re-17 cipient of the transfer or payment regarding— 18 ‘‘(i) the making of or paying for cam-19 paign-related disbursements (other than 20 covered transfers); or 21 ‘‘(ii) donating or transferring any 22 amount of such transfer or payment to an-23 other person for the purpose of making or 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 32 •HR 1118 IH paying for such campaign-related disburse-1 ments; or 2 ‘‘(D) knew or had reason to know that the 3 person receiving the transfer or payment would 4 make campaign-related disbursements in an ag-5 gregate amount of $50,000 or more during the 6 2-year period beginning on the date of the 7 transfer or payment. 8 ‘‘(2) E XCLUSIONS.—The term ‘covered transfer’ 9 does not include any of the following: 10 ‘‘(A) A disbursement made by a covered 11 organization in a commercial transaction in the 12 ordinary course of any trade or business con-13 ducted by the covered organization or in the 14 form of investments made by the covered orga-15 nization. 16 ‘‘(B) A disbursement made by a covered 17 organization if— 18 ‘‘(i) the covered organization prohib-19 ited, in writing, the use of such disburse-20 ment for campaign-related disbursements; 21 and 22 ‘‘(ii) the recipient of the disbursement 23 agreed to follow the prohibition and depos-24 ited the disbursement in an account which 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 33 •HR 1118 IH is segregated from a campaign-related dis-1 bursement segregated fund and any other 2 account used to make campaign-related 3 disbursements. 4 ‘‘(3) S PECIAL RULE REGARDING TRANSFERS 5 AMONG AFFILIATES.— 6 ‘‘(A) S PECIAL RULE.—A transfer of an 7 amount by one covered organization to another 8 covered organization which is treated as a 9 transfer between affiliates under subparagraph 10 (C) shall be considered a covered transfer by 11 the covered organization which transfers the 12 amount only if the aggregate amount trans-13 ferred during the year by such covered organi-14 zation to that same covered organization is 15 equal to or greater than $50,000. 16 ‘‘(B) D ETERMINATION OF AMOUNT OF 17 CERTAIN PAYMENTS AMONG AFFILIATES .—In 18 determining the amount of a transfer between 19 affiliates for purposes of subparagraph (A), to 20 the extent that the transfer consists of funds 21 attributable to dues, fees, or assessments which 22 are paid by individuals on a regular, periodic 23 basis in accordance with a per-individual cal-24 culation which is made on a regular basis, the 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00033 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 34 •HR 1118 IH transfer shall be attributed to the individuals 1 paying the dues, fees, or assessments and shall 2 not be attributed to the covered organization. 3 ‘‘(C) D ESCRIPTION OF TRANSFERS BE -4 TWEEN AFFILIATES .—A transfer of amounts 5 from one covered organization to another cov-6 ered organization shall be treated as a transfer 7 between affiliates if— 8 ‘‘(i) one of the organizations is an af-9 filiate of the other organization; or 10 ‘‘(ii) each of the organizations is an 11 affiliate of the same organization, 12 except that the transfer shall not be treated as 13 a transfer between affiliates if one of the orga-14 nizations is established for the purpose of mak-15 ing campaign-related disbursements. 16 ‘‘(D) D ETERMINATION OF AFFILIATE STA -17 TUS.—For purposes of subparagraph (C), a 18 covered organization is an affiliate of another 19 covered organization if— 20 ‘‘(i) the governing instrument of the 21 organization requires it to be bound by de-22 cisions of the other organization; 23 ‘‘(ii) the governing board of the orga-24 nization includes persons who are specifi-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00034 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 35 •HR 1118 IH cally designated representatives of the 1 other organization or are members of the 2 governing board, officers, or paid executive 3 staff members of the other organization, or 4 whose service on the governing board is 5 contingent upon the approval of the other 6 organization; or 7 ‘‘(iii) the organization is chartered by 8 the other organization. 9 ‘‘(E) C OVERAGE OF TRANSFERS TO AF -10 FILIATED SECTION 501(c)(3) ORGANIZA-11 TIONS.—This paragraph shall apply with re-12 spect to an amount transferred by a covered or-13 ganization to an organization described in para-14 graph (3) of section 501(c) of the Internal Rev-15 enue Code of 1986 and exempt from tax under 16 section 501(a) of such Code in the same man-17 ner as this paragraph applies to an amount 18 transferred by a covered organization to an-19 other covered organization. 20 ‘‘(g) N OEFFECT ONOTHERREPORTINGREQUIRE-21 MENTS.—Except as provided in subsection (b)(1), nothing 22 in this section shall be construed to waive or otherwise 23 affect any other requirement of this Act which relates to 24 the reporting of campaign-related disbursements.’’. 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 36 •HR 1118 IH (b) CONFORMINGAMENDMENT.—Section 304(f)(6) 1 of such Act (52 U.S.C. 30104) is amended by striking 2 ‘‘Any requirement’’ and inserting ‘‘Except as provided in 3 section 324(b), any requirement’’. 4 (c) R EGULATIONS.—Not later than 6 months after 5 the date of the enactment of this Act, the Federal Election 6 Commission shall promulgate regulations relating the ap-7 plication of the exemption under section 324(a)(3)(C) of 8 the Federal Election Campaign Act of 1971 (as added by 9 subsection (a)). Such regulations— 10 (1) shall require that the legal burden of estab-11 lishing eligibility for such exemption is upon the or-12 ganization required to make the report required 13 under section 324(a)(1) of such Act (as added by 14 subsection (a)), and 15 (2) shall be consistent with the principles ap-16 plied in Citizens United v. Federal Election Commis-17 sion, 558 U.S. 310 (2010). 18 SEC. 202. REPORTING OF FEDERAL JUDICIAL NOMINATION 19 DISBURSEMENTS. 20 (a) F INDINGS.—Congress makes the following find-21 ings: 22 (1) A fair and impartial judiciary is critical for 23 our democracy and crucial to maintain the faith of 24 the people of the United States in the justice sys-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00036 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 37 •HR 1118 IH tem. As the Supreme Court held in Caperton v. 1 Massey, ‘‘there is a serious risk of actual bias— 2 based on objective and reasonable perceptions— 3 when a person with a personal stake in a particular 4 case had a significant and disproportionate influence 5 in placing the judge on the case.’’ (Caperton v. A. 6 T. Massey Coal Co., 556 U.S. 868, 884 (2009)). 7 (2) Public trust in government is at a historic 8 low. According to polling, most Americans believe 9 that corporations have too much power and influence 10 in politics and the courts. 11 (3) The prevalence and pervasiveness of dark 12 money drives public concern about corruption in pol-13 itics and the courts. Dark money is funding for or-14 ganizations and political activities that cannot be 15 traced to actual donors. It is made possible by loop-16 holes in our tax laws and regulations, weak oversight 17 by the Internal Revenue Service, and donor-friendly 18 court decisions. 19 (4) Under current law, ‘‘social welfare’’ organi-20 zations and business leagues can use funds to influ-21 ence elections so long as political activity is not their 22 ‘‘primary’’ activity. Super PACs can accept and 23 spend unlimited contributions from any non-foreign 24 source. These groups can spend tens of millions of 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00037 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 38 •HR 1118 IH dollars on political activities. Such dark money 1 groups spent an estimated $1,050,000,000 in the 2 2020 election cycle. 3 (5) Dark money is used to shape judicial deci-4 sion-making. This can take many forms, akin to 5 agency capture: influencing judicial selection by con-6 trolling who gets nominated and funding candidate 7 advertisements; creating public relations campaigns 8 aimed at mobilizing the judiciary around particular 9 issues; and drafting law review articles, amicus 10 briefs, and other products which tell judges how to 11 decide a given case and provide ready-made argu-12 ments for willing judges to adopt. 13 (6) Over the past decade, nonprofit organiza-14 tions that do not disclose their donors have spent 15 hundreds of millions of dollars to influence the nomi-16 nation and confirmation process for Federal judges. 17 One organization alone has spent nearly 18 $40,000,000 on advertisements supporting or oppos-19 ing Supreme Court nominees since 2016. 20 (7) Anonymous money spent on judicial nomi-21 nations is not subject to any disclosure require-22 ments. Federal election laws only regulate contribu-23 tions and expenditures relating to electoral politics; 24 thus, expenditures, contributions, and advocacy ef-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00038 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 39 •HR 1118 IH forts for Federal judgeships are not covered under 1 the Federal Election Campaign Act of 1971. With-2 out more disclosure, the public has no way of know-3 ing whether the people spending money supporting 4 or opposing judicial nominations have business be-5 fore the courts. 6 (8) Congress and the American people have a 7 compelling interest in knowing who is funding these 8 campaigns to select and confirm judges to lifetime 9 appointments on the Federal bench. 10 (b) R EPORTING.—Section 324 of the Federal Elec-11 tion Campaign Act of 1971 (52 U.S.C. 30126), as amend-12 ed by section 201, is amended by redesignating subsection 13 (g) as subsection (h) and by inserting after subsection (f) 14 the following new subsection: 15 ‘‘(g) A PPLICATION TOFEDERALJUDICIALNOMINA-16 TIONS.— 17 ‘‘(1) I N GENERAL.—For purposes of this sec-18 tion— 19 ‘‘(A) a disbursement by a covered organi-20 zation for a Federal judicial nomination com-21 munication shall be treated as a campaign-re-22 lated disbursement; and 23 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00039 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 40 •HR 1118 IH ‘‘(B) in the case of campaign-related dis-1 bursements which are for Federal judicial nomi-2 nation communications— 3 ‘‘(i) the dollar amounts in paragraphs 4 (1) and (2) of subsection (a) shall be ap-5 plied separately with respect to such dis-6 bursements and other campaign-related 7 disbursements; 8 ‘‘(ii) the election reporting cycle shall 9 be the calendar year in which the disburse-10 ment for the Federal judicial nomination 11 communication is made; 12 ‘‘(iii) references to a candidate in sub-13 sections (a)(2)(C), (a)(2)(D), and 14 (a)(3)(C) shall be treated as references to 15 a nominee for a Federal judge or justice; 16 and 17 ‘‘(iv) the reference to an election in 18 subsection (a)(2)(C) shall be treated as a 19 reference to the nomination of such nomi-20 nee. 21 ‘‘(2) F EDERAL JUDICIAL NOMINATION COMMU -22 NICATION.— 23 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00040 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 41 •HR 1118 IH ‘‘(A) IN GENERAL.—The term ‘Federal ju-1 dicial nomination communication’ means any 2 communication— 3 ‘‘(i) that is by means of any broad-4 cast, cable, or satellite, paid internet, or 5 paid digital communication, paid pro-6 motion, newspaper, magazine, outdoor ad-7 vertising facility, mass mailing, telephone 8 bank, telephone messaging effort of more 9 than 500 substantially similar calls or elec-10 tronic messages within a 30-day period, or 11 any other form of general public political 12 advertising; and 13 ‘‘(ii) which promotes, supports, at-14 tacks, or opposes the nomination or Senate 15 confirmation of an individual as a Federal 16 judge or justice. 17 ‘‘(B) E XCEPTION.—Such term shall not in-18 clude any news story, commentary, or editorial 19 distributed through the facilities of any broad-20 casting station or any print, online, or digital 21 newspaper, magazine, publication, or periodical, 22 unless such facilities are owned or controlled by 23 any political party, political committee, or can-24 didate. 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00041 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 42 •HR 1118 IH ‘‘(C) INTENT NOT REQUIRED .—A disburse-1 ment for an item described in subparagraph (A) 2 shall be treated as a disbursement for a Federal 3 judicial nomination communication regardless 4 of the intent of the person making the disburse-5 ment.’’. 6 SEC. 203. COORDINATION WITH FINCEN. 7 (a) I NGENERAL.—The Director of the Financial 8 Crimes Enforcement Network of the Department of the 9 Treasury shall provide the Federal Election Commission 10 with such information as necessary to assist in admin-11 istering and enforcing section 324 of the Federal Election 12 Campaign Act of 1971, as amended by this title. 13 (b) R EPORT.—Not later than 6 months after the date 14 of the enactment of this Act, the Chairman of the Federal 15 Election Commission, in consultation with the Director of 16 the Financial Crimes Enforcement Network of the De-17 partment of the Treasury, shall submit to Congress a re-18 port with recommendations for providing further legisla-19 tive authority to assist in the administration and enforce-20 ment of such section 324. 21 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00042 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 43 •HR 1118 IH SEC. 204. APPLICATION OF FOREIGN MONEY BAN TO DIS-1 BURSEMENTS FOR CAMPAIGN-RELATED DIS-2 BURSEMENTS CONSISTING OF COVERED 3 TRANSFERS. 4 Section 319(b)(2) of the Federal Election Campaign 5 Act of 1971 (52 U.S.C. 30121(a)(1)(A)), as amended by 6 section 101, is amended— 7 (1) by striking ‘‘includes any disbursement’’ 8 and inserting ‘‘includes— 9 ‘‘(A) any disbursement’’; 10 (2) by striking the period at the end and insert-11 ing ‘‘; and’’, and 12 (3) by adding at the end the following new sub-13 paragraph: 14 ‘‘(B) any disbursement, other than a dis-15 bursement described in section 324(a)(3)(A), to 16 another person who made a campaign-related 17 disbursement consisting of a covered transfer 18 (as described in section 324) during the 2-year 19 period ending on the date of the disburse-20 ment.’’. 21 SEC. 205. SENSE OF CONGRESS REGARDING IMPLEMENTA-22 TION. 23 It is the sense of Congress that the Federal Election 24 Commission should simplify the process for filing any dis-25 closure required under the provisions of, and amendments 26 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00043 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 44 •HR 1118 IH made by, this title in order to ensure that such process 1 is as easy and accessible as possible. 2 SEC. 206. EFFECTIVE DATE. 3 The amendments made by this title shall apply with 4 respect to disbursements made on or after January 1, 5 2024, and shall take effect without regard to whether or 6 not the Federal Election Commission has promulgated 7 regulations to carry out such amendments. 8 TITLE III—OTHER 9 ADMINISTRATIVE REFORMS 10 SEC. 301. PETITION FOR CERTIORARI. 11 Section 307(a)(6) of the Federal Election Campaign 12 Act of 1971 (52 U.S.C. 30107(a)(6)) is amended by in-13 serting ‘‘(including a proceeding before the Supreme 14 Court on certiorari)’’ after ‘‘appeal’’. 15 SEC. 302. JUDICIAL REVIEW OF ACTIONS RELATED TO CAM-16 PAIGN FINANCE LAWS. 17 (a) I NGENERAL.—Title IV of the Federal Election 18 Campaign Act of 1971 (52 U.S.C. 30141 et seq.) is 19 amended by inserting after section 406 the following new 20 section: 21 ‘‘SEC. 407. JUDICIAL REVIEW. 22 ‘‘(a) I NGENERAL.—If any action is brought for de-23 claratory or injunctive relief to challenge, whether facially 24 or as-applied, the constitutionality or lawfulness of any 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00044 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 45 •HR 1118 IH provision of this Act, including title V, or of chapter 95 1 or 96 of the Internal Revenue Code of 1986, or is brought 2 to with respect to any action of the Commission under 3 chapter 95 or 96 of the Internal Revenue Code of 1986, 4 the following rules shall apply: 5 ‘‘(1) The action shall be filed in the United 6 States District Court for the District of Columbia 7 and an appeal from the decision of the district court 8 may be taken to the Court of Appeals for the Dis-9 trict of Columbia Circuit. 10 ‘‘(2) In the case of an action relating to declar-11 atory or injunctive relief to challenge the constitu-12 tionality of a provision, the party filing the action 13 shall concurrently deliver a copy of the complaint to 14 the Clerk of the House of Representatives and the 15 Secretary of the Senate. 16 ‘‘(3) It shall be the duty of the United States 17 District Court for the District of Columbia and the 18 Court of Appeals for the District of Columbia Cir-19 cuit to advance on the docket and to expedite to the 20 greatest possible extent the disposition of the action 21 and appeal. 22 ‘‘(b) C LARIFYINGSCOPE OFJURISDICTION.—If an 23 action at the time of its commencement is not subject to 24 subsection (a), but an amendment, counterclaim, cross- 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00045 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 46 •HR 1118 IH claim, affirmative defense, or any other pleading or motion 1 is filed challenging, whether facially or as-applied, the con-2 stitutionality or lawfulness of this Act or of chapter 95 3 or 96 of the Internal Revenue Code of 1986, or is brought 4 to with respect to any action of the Commission under 5 chapter 95 or 96 of the Internal Revenue Code of 1986, 6 the district court shall transfer the action to the District 7 Court for the District of Columbia, and the action shall 8 thereafter be conducted pursuant to subsection (a). 9 ‘‘(c) I NTERVENTION BY MEMBERS OFCONGRESS.— 10 In any action described in subsection (a) relating to de-11 claratory or injunctive relief to challenge the constitu-12 tionality of a provision, any Member of the House of Rep-13 resentatives (including a Delegate or Resident Commis-14 sioner to the Congress) or Senate shall have the right to 15 intervene either in support of or opposition to the position 16 of a party to the case regarding the constitutionality of 17 the provision. To avoid duplication of efforts and reduce 18 the burdens placed on the parties to the action, the court 19 in any such action may make such orders as it considers 20 necessary, including orders to require interveners taking 21 similar positions to file joint papers or to be represented 22 by a single attorney at oral argument. 23 ‘‘(d) C HALLENGE BYMEMBERS OFCONGRESS.—Any 24 Member of Congress may bring an action, subject to the 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00046 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 47 •HR 1118 IH special rules described in subsection (a), for declaratory 1 or injunctive relief to challenge, whether facially or as-ap-2 plied, the constitutionality of any provision of this Act or 3 chapter 95 or 96 of the Internal Revenue Code of 1986.’’. 4 (b) C ONFORMINGAMENDMENTS.— 5 (1) Section 9011 of the Internal Revenue Code 6 of 1986 is amended to read as follows: 7 ‘‘SEC. 9011. JUDICIAL REVIEW. 8 ‘‘For provisions relating to judicial review of certifi-9 cations, determinations, and actions by the Commission 10 under this chapter, see section 407 of the Federal Election 11 Campaign Act of 1971.’’. 12 (2) Section 9041 of the Internal Revenue Code 13 of 1986 is amended to read as follows: 14 ‘‘SEC. 9041. JUDICIAL REVIEW. 15 ‘‘For provisions relating to judicial review of actions 16 by the Commission under this chapter, see section 407 of 17 the Federal Election Campaign Act of 1971.’’. 18 (3) Section 310 of the Federal Election Cam-19 paign Act of 1971 (52 U.S.C. 30110) is repealed. 20 (4) Section 403 of the Bipartisan Campaign 21 Reform Act of 2002 (52 U.S.C. 30110 note) is re-22 pealed. 23 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00047 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 48 •HR 1118 IH SEC. 303. EFFECTIVE DATE. 1 The amendments made by this title shall take effect 2 and apply on the date of the enactment of this Act, with-3 out regard to whether or not the Federal Election Com-4 mission has promulgated regulations to carry out this title 5 and the amendments made by this title. 6 TITLE IV—STAND BY EVERY AD 7 SEC. 401. SHORT TITLE. 8 This title may be cited as the ‘‘Stand By Every Ad 9 Act’’. 10 SEC. 402. STAND BY EVERY AD. 11 (a) E XPANDEDDISCLAIMERREQUIREMENTS FOR 12 C ERTAINCOMMUNICATIONS.—Section 318 of the Federal 13 Election Campaign Act of 1971 (52 U.S.C. 30120) is 14 amended by adding at the end the following new sub-15 section: 16 ‘‘(e) E XPANDEDDISCLAIMERREQUIREMENTS FOR 17 C OMMUNICATIONS NOTAUTHORIZED BYCANDIDATES OR 18 C OMMITTEES.— 19 ‘‘(1) I N GENERAL.—Except as provided in para-20 graph (6), any communication described in para-21 graph (3) of subsection (a) which is transmitted in 22 an audio or video format (including an internet or 23 digital communication), or which is an internet or 24 digital communication transmitted in a text or 25 graphic format, shall include, in addition to the re-26 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00048 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 49 •HR 1118 IH quirements of paragraph (3) of subsection (a), the 1 following: 2 ‘‘(A) The individual disclosure statement 3 described in paragraph (2)(A) (if the person 4 paying for the communication is an individual) 5 or the organizational disclosure statement de-6 scribed in paragraph (2)(B) (if the person pay-7 ing for the communication is not an individual). 8 ‘‘(B) If the communication is transmitted 9 in a video format, or is an internet or digital 10 communication which is transmitted in a text or 11 graphic format, and is paid for in whole or in 12 part with a payment which is treated as a cam-13 paign-related disbursement under section 324— 14 ‘‘(i) the Top Five Funders list (if ap-15 plicable); or 16 ‘‘(ii) in the case of a communication 17 which, as determined on the basis of cri-18 teria established in regulations issued by 19 the Commission, is of such short duration 20 that including the Top Five Funders list in 21 the communication would constitute a 22 hardship to the person paying for the com-23 munication by requiring a disproportionate 24 amount of the content of the communica-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00049 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 50 •HR 1118 IH tion to consist of the Top Five Funders 1 list, the name of a website which contains 2 the Top Five Funders list (if applicable) 3 or, in the case of an internet or digital 4 communication, a hyperlink to such 5 website. 6 ‘‘(C) If the communication is transmitted 7 in an audio format and is paid for in whole or 8 in part with a payment which is treated as a 9 campaign-related disbursement under section 10 324— 11 ‘‘(i) the Top Two Funders list (if ap-12 plicable); or 13 ‘‘(ii) in the case of a communication 14 which, as determined on the basis of cri-15 teria established in regulations issued by 16 the Commission, is of such short duration 17 that including the Top Two Funders list in 18 the communication would constitute a 19 hardship to the person paying for the com-20 munication by requiring a disproportionate 21 amount of the content of the communica-22 tion to consist of the Top Two Funders 23 list, the name of a website which contains 24 the Top Two Funders list (if applicable). 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00050 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 51 •HR 1118 IH ‘‘(2) DISCLOSURE STATEMENTS DESCRIBED .— 1 ‘‘(A) I NDIVIDUAL DISCLOSURE STATE -2 MENTS.—The individual disclosure statement 3 described in this subparagraph is the following: 4 ‘I am llllllll , and I approve this 5 message.’, with the blank filled in with the 6 name of the applicable individual. 7 ‘‘(B) O RGANIZATIONAL DISCLOSURE 8 STATEMENTS.—The organizational disclosure 9 statement described in this subparagraph is the 10 following: ‘I am llllllll , the 11 llllllll of llllllll , and 12 llllllll approves this message.’, 13 with— 14 ‘‘(i) the first blank to be filled in with 15 the name of the applicable individual; 16 ‘‘(ii) the second blank to be filled in 17 with the title of the applicable individual; 18 and 19 ‘‘(iii) the third and fourth blank each 20 to be filled in with the name of the organi-21 zation or other person paying for the com-22 munication. 23 ‘‘(3) M ETHOD OF CONVEYANCE OF STATE -24 MENT.— 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00051 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 52 •HR 1118 IH ‘‘(A) COMMUNICATIONS IN TEXT OR 1 GRAPHIC FORMAT.—In the case of a commu-2 nication to which this subsection applies which 3 is transmitted in a text or graphic format, the 4 disclosure statements required under paragraph 5 (1) shall appear in letters at least as large as 6 the majority of the text in the communication. 7 ‘‘(B) C OMMUNICATIONS TRANSMITTED IN 8 AUDIO FORMAT.—In the case of a communica-9 tion to which this subsection applies which is 10 transmitted in an audio format, the disclosure 11 statements required under paragraph (1) shall 12 be made by audio by the applicable individual 13 in a clear and conspicuous manner. 14 ‘‘(C) C OMMUNICATIONS TRANSMITTED IN 15 VIDEO FORMAT.—In the case of a communica-16 tion to which this subsection applies which is 17 transmitted in a video format, the information 18 required under paragraph (1) shall appear in 19 writing at the end of the communication or in 20 a crawl along the bottom of the communication 21 in a clear and conspicuous manner, with a rea-22 sonable degree of color contrast between the 23 background and the printed statement, for a 24 period of at least 6 seconds. 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00052 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 53 •HR 1118 IH ‘‘(4) APPLICABLE INDIVIDUAL DEFINED .—The 1 term ‘applicable individual’ means, with respect to a 2 communication to which this subsection applies— 3 ‘‘(A) if the communication is paid for by 4 an individual, the individual involved; 5 ‘‘(B) if the communication is paid for by a 6 corporation, the chief executive officer of the 7 corporation (or, if the corporation does not have 8 a chief executive officer, the highest ranking of-9 ficial of the corporation); 10 ‘‘(C) if the communication is paid for by a 11 labor organization, the highest ranking officer 12 of the labor organization; and 13 ‘‘(D) if the communication is paid for by 14 any other person, the highest ranking official of 15 such person. 16 ‘‘(5) T OP FIVE FUNDERS LIST AND TOP TWO 17 FUNDERS LIST DEFINED .— 18 ‘‘(A) T OP FIVE FUNDERS LIST.—The term 19 ‘Top Five Funders list’ means, with respect to 20 a communication which is paid for in whole or 21 in part with a campaign-related disbursement 22 (as defined in section 324), a list of the 5 per-23 sons who, during the 12-month period ending 24 on the date of the disbursement, provided the 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00053 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 54 •HR 1118 IH largest payments of any type in an aggregate 1 amount equal to or exceeding $10,000 to the 2 person who is paying for the communication 3 and the amount of the payments each such per-4 son provided. If 2 or more people provided the 5 fifth largest of such payments, the person pay-6 ing for the communication shall select 1 of 7 those persons to be included on the Top Five 8 Funders list. 9 ‘‘(B) T OP TWO FUNDERS LIST .—The term 10 ‘Top Two Funders list’ means, with respect to 11 a communication which is paid for in whole or 12 in part with a campaign-related disbursement 13 (as defined in section 324), a list of the persons 14 who, during the 12-month period ending on the 15 date of the disbursement, provided the largest 16 and the second largest payments of any type in 17 an aggregate amount equal to or exceeding 18 $10,000 to the person who is paying for the 19 communication and the amount of the pay-20 ments each such person provided. If 2 or more 21 persons provided the second largest of such 22 payments, the person paying for the commu-23 nication shall select 1 of those persons to be in-24 cluded on the Top Two Funders list. 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00054 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 55 •HR 1118 IH ‘‘(C) EXCLUSION OF CERTAIN PAY -1 MENTS.—For purposes of subparagraphs (A) 2 and (B), in determining the amount of pay-3 ments made by a person to a person paying for 4 a communication, there shall be excluded the 5 following: 6 ‘‘(i) Any amounts provided in the or-7 dinary course of any trade or business con-8 ducted by the person paying for the com-9 munication or in the form of investments 10 in the person paying for the communica-11 tion. 12 ‘‘(ii) Any payment which the person 13 prohibited, in writing, from being used for 14 campaign-related disbursements, but only 15 if the person paying for the communication 16 agreed to follow the prohibition and depos-17 ited the payment in an account which is 18 segregated from a campaign-related dis-19 bursement segregated fund (as defined in 20 section 324) and any other account used to 21 make campaign-related disbursements. 22 ‘‘(6) S PECIAL RULES FOR CERTAIN COMMU -23 NICATIONS.— 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00055 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 56 •HR 1118 IH ‘‘(A) EXCEPTION FOR COMMUNICATIONS 1 PAID FOR BY POLITICAL PARTIES AND CERTAIN 2 POLITICAL COMMITTEES .—This subsection does 3 not apply to any communication to which sub-4 section (d)(2) applies. 5 ‘‘(B) T REATMENT OF VIDEO COMMUNICA -6 TIONS LASTING 10 SECONDS OR LESS .—In the 7 case of a communication to which this sub-8 section applies which is transmitted in a video 9 format, or is an internet or digital communica-10 tion which is transmitted in a text or graphic 11 format, the communication shall meet the fol-12 lowing requirements: 13 ‘‘(i) The communication shall include 14 the individual disclosure statement de-15 scribed in paragraph (2)(A) (if the person 16 paying for the communication is an indi-17 vidual) or the organizational disclosure 18 statement described in paragraph (2)(B) 19 (if the person paying for the communica-20 tion is not an individual). 21 ‘‘(ii) The statement described in 22 clause (i) shall appear in writing at the 23 end of the communication, or in a crawl 24 along the bottom of the communication, in 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00056 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 57 •HR 1118 IH a clear and conspicuous manner, with a 1 reasonable degree of color contrast between 2 the background and the printed statement, 3 for a period of at least 4 seconds. 4 ‘‘(iii) The communication shall in-5 clude, in a clear and conspicuous manner, 6 a website address with a landing page 7 which will provide all of the information 8 described in paragraph (1) with respect to 9 the communication. Such address shall ap-10 pear for the full duration of the commu-11 nication. 12 ‘‘(iv) To the extent that the format in 13 which the communication is made permits 14 the use of a hyperlink, the communication 15 shall include a hyperlink to the website ad-16 dress described in clause (iii).’’. 17 (b) A PPLICATION OFEXPANDEDREQUIREMENTS TO 18 P UBLICCOMMUNICATIONS CONSISTING OFCAMPAIGN- 19 R ELATEDDISBURSEMENTS.— 20 (1) I N GENERAL.—Section 318(a) of such Act 21 (52 U.S.C. 30120(a)) is amended by striking ‘‘for 22 the purpose of financing communications expressly 23 advocating the election or defeat of a clearly identi-24 fied candidate’’ and inserting ‘‘for a campaign-re-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00057 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 58 •HR 1118 IH lated disbursement, as defined in section 324, con-1 sisting of a public communication’’. 2 (2) C LARIFICATION OF EXEMPTION FROM IN -3 CLUSION OF CANDIDATE DISCLAIMER STATEMENT IN 4 FEDERAL JUDICIAL NOMINATION COMMUNICA -5 TIONS.—Section 318(a)(3) of such Act (52 U.S.C. 6 30120(a)(3)) is amended by striking ‘‘shall clearly 7 state’’ and inserting ‘‘shall (except in the case of a 8 Federal judicial nomination communication, as de-9 fined in section 324(d)(3)) clearly state’’. 10 (c) E XCEPTION FORCOMMUNICATIONS PAID FOR BY 11 P OLITICALPARTIES ANDCERTAINPOLITICALCOMMIT-12 TEES.—Section 318(d)(2) of such Act (52 U.S.C. 13 30120(d)(2)) is amended— 14 (1) in the heading, by striking ‘‘ OTHERS’’ and 15 inserting ‘‘ CERTAIN POLITICAL COMMITTEES ’’; 16 (2) by striking ‘‘Any communication’’ and in-17 serting ‘‘(A) Any communication’’; 18 (3) by inserting ‘‘which (except to the extent 19 provided in subparagraph (B)) is paid for by a polit-20 ical committee (including a political committee of a 21 political party) and’’ after ‘‘subsection (a)’’; 22 (4) by striking ‘‘or other person’’ each place it 23 appears; and 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00058 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 59 •HR 1118 IH (5) by adding at the end the following new sub-1 paragraph: 2 ‘‘(B)(i) This paragraph does not apply to 3 a communication paid for in whole or in part 4 during a calendar year with a campaign-related 5 disbursement, but only if the covered organiza-6 tion making the campaign-related disbursement 7 made campaign-related disbursements (as de-8 fined in section 324) aggregating more than 9 $10,000 during such calendar year. 10 ‘‘(ii) For purposes of clause (i), in deter-11 mining the amount of campaign-related dis-12 bursements made by a covered organization 13 during a year, there shall be excluded the fol-14 lowing: 15 ‘‘(I) Any amounts received by the cov-16 ered organization in the ordinary course of 17 any trade or business conducted by the 18 covered organization or in the form of in-19 vestments in the covered organization. 20 ‘‘(II) Any amounts received by the 21 covered organization from a person who 22 prohibited, in writing, the organization 23 from using such amounts for campaign-re-24 lated disbursements, but only if the cov-25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00059 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 60 •HR 1118 IH ered organization agreed to follow the pro-1 hibition and deposited the amounts in an 2 account which is segregated from a cam-3 paign-related disbursement segregated 4 fund (as defined in section 324) and any 5 other account used to make campaign-re-6 lated disbursements.’’. 7 (d) M ODIFICATION OFADDITIONALREQUIREMENTS 8 FORCERTAINCOMMUNICATIONS.—Section 318(d) of the 9 Federal Election Campaign Act of 1971 (52 U.S.C. 10 30120(d)) is amended— 11 (1) in paragraph (1)(A)— 12 (A) by striking ‘‘which is transmitted 13 through radio’’ and inserting ‘‘which is in an 14 audio format’’; and 15 (B) by striking ‘‘B Y RADIO’’ in the heading 16 and inserting ‘‘A UDIO FORMAT’’; 17 (2) in paragraph (1)(B)— 18 (A) by striking ‘‘which is transmitted 19 through television’’ and inserting ‘‘which is in 20 video format’’; and 21 (B) by striking ‘‘B Y TELEVISION’’ in the 22 heading and inserting ‘‘V IDEO FORMAT’’; and 23 (3) in paragraph (2)— 24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00060 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 61 •HR 1118 IH (A) by striking ‘‘transmitted through radio 1 or television’’ and inserting ‘‘made in audio or 2 video format’’; and 3 (B) by striking ‘‘through television’’ in the 4 second sentence and inserting ‘‘in video for-5 mat’’. 6 SEC. 403. DISCLAIMER REQUIREMENTS FOR COMMUNICA-7 TIONS MADE THROUGH PRERECORDED TELE-8 PHONE CALLS. 9 (a) A PPLICATION OFREQUIREMENTS.— 10 (1) I N GENERAL.—Section 318(a) of the Fed-11 eral Election Campaign Act of 1971 (52 U.S.C. 12 30120(a)) is amended by striking ‘‘mailing’’ each 13 place it appears and inserting ‘‘mailing, telephone 14 call consisting in substantial part of a prerecorded 15 audio message’’. 16 (2) A PPLICATION TO COMMUNICATIONS SUB -17 JECT TO EXPANDED DISCLAIMER REQUIREMENTS .— 18 Section 318(e)(1) of such Act (52 U.S.C. 19 30120(e)(1)), as added by section 302(a), is amend-20 ed in the matter preceding subparagraph (A) by 21 striking ‘‘which is transmitted in an audio or video 22 format’’ and inserting ‘‘which is transmitted in an 23 audio or video format or which consists of a tele-24 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00061 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 62 •HR 1118 IH phone call consisting in substantial part of a 1 prerecorded audio message’’. 2 (b) T REATMENT ASCOMMUNICATION TRANSMITTED 3 INAUDIOFORMAT.— 4 (1) C OMMUNICATIONS BY CANDIDATES OR AU -5 THORIZED PERSONS .—Section 318(d) of such Act 6 (52 U.S.C. 30120(d)) is amended by adding at the 7 end the following new paragraph: 8 ‘‘(3) P RERECORDED TELEPHONE CALLS .—Any 9 communication described in paragraph (1), (2), or 10 (3) of subsection (a) (other than a communication 11 which is subject to subsection (e)) which is a tele-12 phone call consisting in substantial part of a 13 prerecorded audio message shall include, in addition 14 to the requirements of such paragraph, the audio 15 statement required under subparagraph (A) of para-16 graph (1) or the audio statement required under 17 paragraph (2) (whichever is applicable), except that 18 the statement shall be made at the beginning of the 19 telephone call.’’. 20 (2) C OMMUNICATIONS SUBJECT TO EXPANDED 21 DISCLAIMER REQUIREMENTS .—Section 318(e)(3) of 22 such Act (52 U.S.C. 30120(e)(3)), as added by sec-23 tion 302(a), is amended by adding at the end the 24 following new subparagraph: 25 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00062 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 63 •HR 1118 IH ‘‘(D) PRERECORDED TELEPHONE 1 CALLS.—In the case of a communication to 2 which this subsection applies which is a tele-3 phone call consisting in substantial part of a 4 prerecorded audio message, the communication 5 shall be considered to be transmitted in an 6 audio format.’’. 7 SEC. 404. NO EXPANSION OF PERSONS SUBJECT TO DIS-8 CLAIMER REQUIREMENTS ON INTERNET 9 COMMUNICATIONS. 10 Nothing in this title or the amendments made by this 11 title may be construed to require any person who is not 12 required under section 318 of the Federal Election Cam-13 paign Act of 1971 to include a disclaimer on communica-14 tions made by the person through the internet to include 15 any disclaimer on any such communications. 16 SEC. 405. EFFECTIVE DATE. 17 The amendments made by this title shall apply with 18 respect to communications made on or after January 1, 19 2024, and shall take effect without regard to whether or 20 not the Federal Election Commission has promulgated 21 regulations to carry out such amendments. 22 VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00063 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS 64 •HR 1118 IH TITLE V—SEVERABILITY 1 SEC. 501. SEVERABILITY. 2 If any provision of this Act or amendment made by 3 this Act, or the application of a provision or amendment 4 to any person or circumstance, is held to be unconstitu-5 tional, the remainder of this Act and amendments made 6 by this Act, and the application of the provisions and 7 amendment to any person or circumstance, shall not be 8 affected by the holding. 9 Æ VerDate Sep 11 2014 23:53 Mar 10, 2023 Jkt 039200 PO 00000 Frm 00064 Fmt 6652 Sfmt 6301 E:\BILLS\H1118.IH H1118 kjohnson on DSK79L0C42PROD with BILLS