HR 4694 cont.
`SEC. 506. GRASSROOTS GOOD CITIZENSHIP FUND.
`(a) Creation of Fund- There is established in the Treasury a trust fund to be known as the `Grassroots Good Citizenship Fund', consisting of such amounts as may be credited to such fund as provided in this section.
`(b) District Accounts- There shall be established within the Grassroots Good Citizenship Fund an account for each congressional district. The accounts so established shall be administered by the Commission for the purpose of distributing amounts under this title.
`(c) Payments to Candidates- Subject to subsection (d), the Commission shall pay to each candidate from the Grassroots Good Citizenship Fund the maximum amount calculated for such candidate under section 503 or 504 and any additional amount calculated for the candidate under section 505.
`(d) Insufficient Amounts- If, as determined by the Commission, there are insufficient amounts in the Grassroots Good Citizenship Fund for payments under subsection (c), the Commission may reduce payments to candidates so that each candidate receives a pro rata portion of the amounts that are available.
`(e) Transfers to Fund- There are hereby credited to the Grassroots Good Citizenship Fund amounts equivalent to the amounts designated under section 6097 of the Internal Revenue Code of 1986.
`(f) Expenditures- Amounts in the Grassroots Good Citizenship Fund shall be available for the purpose of providing amounts for expenditure by candidates in House of Representatives general elections in accordance with this title.
`SEC. 507. ADDITIONAL AMOUNTS FROM STATE AND NATIONAL PARTY COMMITTEES.
`(a) Contributions- In addition to amounts made available under section 503 or 504 and the additional amounts made available under section 505, in the case of a candidate in a House of Representatives general election who is the candidate of a political party, the State and national committees of that political party may make contributions to the candidate totaling not more than 5 percent of the maximum expenditure applicable to the candidate (as calculated under section 503 or section 504 and including any additional amount provided under section 505).
`(b) Expenditures- A House of Representatives candidate who is the candidate of a political party may make expenditures of the amounts received under subsection (a).
`SEC. 508. PUBLIC SERVICE ANNOUNCEMENTS.
`(a) In General- Beginning on January 15, and continuing through April 15 of each year, the Commission shall carry out a program, utilizing broadcast announcements and other appropriate means, to inform the public of the existence and purpose of the Grassroots Good Citizenship Fund and the role that individual citizens can play in the election process by voluntarily contributing to the fund. The announcements shall be broadcast during prime time viewing hours in 30-second advertising segments equivalent to 200 gross rating points per network per week. The Commission shall ensure that the maximum number of taxpayers shall be exposed to these announcements. Television networks, as defined by the Federal Communications Commission, shall provide the broadcast time under this section as part of their obligations in the public interest under the Communications Act of 1934. The Federal Election Commission shall encourage broadcast outlets other than the above mentioned television networks including radio to provide similar announcements.
`(b) Gross Rating Point- The term `gross rating point' is a measure of the total gross weight delivered. It is the sum of the ratings for individual programs. Since a household rating period is 1 percent of the coverage base, 200 gross rating points means 2 messages a week per average household.
`SEC. 509. AGGREGATION OF CANDIDATES AND AUTHORIZED COMMITTEES.
`For purposes of applying the restrictions and limitations of this title--
`(1) expenditures made by any authorized committee of a candidate shall be considered to be made by the candidate; and
`(2) contributions made to any authorized committee of a candidate shall be considered to be made to the candidate.
`SEC. 510. DEFINITIONS.
`As used in this title--
`(1) the term `House of Representatives candidate' means a candidate for the office of Representative in, or Delegate or Resident Commissioner to, the Congress;
`(2) the term `median household income' means, with respect to a congressional district, the median household income of that district, as determined by the Commission, using the most current data from the Bureau of the Census;
`(3) the term `major party' means, with respect to a House of Representatives general election--
`(A) a political party whose House of Representatives candidate in the preceding general election received, as the candidate of such party, 25 percent or more of the total number of popular votes received by all candidates for such office in the same precincts in which the general election will be held, or
`(B) a political party whose candidates in all elections for Federal office and all elections for the chief executive of the State involved occurring during the period described in section 503(d)(3) received 25 percent or more of the total number of popular votes received by all candidates in the same precincts in which the general election will be held in all such elections occurring during such period;
`(4) the term `third party' means, with respect to a House of Representatives general election, a political party which is not a major party;
`(5) the term `independent candidate' means, with respect to a House of Representatives general election, a House of Representatives candidate who is not the candidate of a major party or a third party, except that any such candidate who, in the preceding general election, received 25 percent or greater of the total number of popular votes received by all candidates for such office in the same precincts in which the general election will be held, shall be treated for purposes of this title as a major party candidate; and
`(6) the term `House of Representatives general election' means a general election for the office of Representative in, or Delegate or Resident Commissioner to, the Congress.'.
(b) Indexing of Amounts-
(1) IN GENERAL- Section 315(c) of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a(c)) is amended--
(A) in paragraph (1)(B)(i), by striking `or (h)' and inserting `or (h), or by title V,'; and
(B) in paragraph (1)(C), by striking `and (h)' and inserting `and (h), and under title V,'.
(2) BASE YEAR- Section 315(c)(2)(B) of such Act (2 U.S.C. 441a(c)(2)(B)) is amended--
(A) in clause (i), by striking `and' at the end;
(B) in clause (ii), by striking the period at the end and inserting `; and'; and
(C) by adding at the end the following new clause:
`(iii) for purposes of title V, calendar year 2005.'.
TITLE II--AMENDMENTS TO INTERNAL REVENUE CODE OF 1986
SEC. 201. DESIGNATION OF OVERPAYMENTS AND CONTRIBUTIONS FOR GRASSROOTS GOOD CITIZENSHIP FUND.
(a) In General- Subchapter A of chapter 61 of the Internal Revenue Code of 1986 (relating to returns and records) is amended by adding at the end the following:
`PART IX--DESIGNATION OF OVERPAYMENTS AND CONTRIBUTIONS FOR GRASSROOTS GOOD CITIZENSHIP FUND
`Sec. 6097. Designation of overpayments for Grassroots Good Citizenship Fund
`SEC. 6097. DESIGNATION OF OVERPAYMENTS FOR GRASSROOTS GOOD CITIZENSHIP FUND.
`(a) In General- With respect to each taxpayer's return for the taxable year of the tax imposed by chapter 1, such taxpayer may designate that--
`(1) an amount that is not less than $1 of any overpayment of tax for such taxable year, and
`(2) any contribution which the taxpayer includes with such return,
shall be paid over to the Grassroots Good Citizenship Fund under section 506 of the Federal Election Campaign Act of 1971.
`(b) Manner and Time of Designation- A designation under subsection (a) may be made with respect to any taxable year only at the time of filing the return of tax imposed by chapter 1 for such taxable year. Such designation shall be made on the 1st page of the return.
`(c) Overpayments Treated as Refunded- For purposes of this title, any portion of an overpayment of tax designated under subsection (a) shall be treated as being refunded to the taxpayer as of the last date prescribed for filing the return of tax imposed by chapter 1 (determined without regard to extensions) or, if later, the date the return is filed.'.
(b) Clerical Amendment- The table of parts for such subchapter A is amended by adding at the end thereof the following new item:
`Part IX. designation of overpayments and contributions for certain purposes relating to House of Representatives elections'.
(c) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2005.
SEC. 202. INCREASE IN CORPORATE INCOME TAX ON TAXABLE INCOME ABOVE $10,000,000.
(a) In General- Subparagraph (D) of section 11(b)(1) of the Internal Revenue Code of 1986 is amended by striking `35 percent' and inserting `35.1 percent'.
(b) Effective Date- The amendment made by subsection (a) shall apply to taxable years beginning after the date of the enactment of this Act.
(c) Use of Amounts Received- Amounts received by reason of the amendment made by subsection (a) shall be paid over to the Grassroots Good Citizenship Fund under section 506 of the Federal Election Campaign Act of 1971.
TITLE III--INDEPENDENT EXPENDITURES
SEC. 301. BAN ON INDEPENDENT EXPENDITURES IN HOUSE OF REPRESENTATIVES ELECTIONS.
Section 315 of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a) is amended by adding at the end the following new subsection;
`(k) No person may make any independent expenditure with respect to an election for the office of Representative in, or Delegate or Resident Commissioner to, the Congress.'.
SEC. 302. BAN USE OF NONFEDERAL FUNDS FOR CERTAIN DISBURSEMENTS.
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 new section:
`BAN ON USE OF NONFEDERAL FUNDS FOR CERTAIN DISBURSEMENTS
`SEC. 325.
`No person may make any disbursement in connection with a campaign for an election for the office of Representative in, or Delegate or Resident Commissioner to, the Congress, or any disbursement in connection with any public communication made for purposes of supporting, opposing, attacking, promoting, or mentioning a candidate in such an election, unless the funds used for the disbursement are subject to the limitations, prohibitions, and reporting requirements of this Act.'.
TITLE IV--PROVISIONS RELATING TO HOUSE OF REPRESENTATIVES PRIMARY ELECTIONS
SEC. 401. LIMITATION ON EXPENDITURES IN HOUSE OF REPRESENTATIVES ELECTIONS OTHER THAN GENERAL ELECTIONS.
Section 315 of the Federal Election Campaign Act of 1971 (2 U.S.C. 441a), as amended by section 301, is further amended by adding at the end the following new subsection:
`(l)(1) The maximum expenditures for a candidate for the office of Representative in, or Delegate or Resident Commissioner to, the Congress in any election other than a general election may not exceed 1/3 of the maximum applicable to the candidate in a general election under title V.
`(2) For purposes of limitations under this Act, any expenditure by a candidate referred to in paragraph (1), including an expenditure for the preparation, production, or presentation of communications through electronic media or in written form, shall, regardless of when the expenditure is made, be attributed to the appropriate general election, unless such expenditure is made solely for an election other than a general election.'.
TITLE V--CONSIDERATION OF CONSTITUTIONAL AMENDMENT
SEC. 501. EXPEDITED CONSIDERATION OF CONSTITUTIONAL AMENDMENT.
(a) In General- If any provision of this Act or any amendment made by this Act is found unconstitutional by the Supreme Court, the provisions of section 2908 (other than subsection (a)) of the Defense Base Closure and Realignment Act of 1990 shall apply to the consideration of a joint resolution described in section 502 in the same manner as such provisions apply to a joint resolution described in section 2908(a) of such Act.
(b) Special Rules- For purposes of applying subsection (a) with respect to such provisions, the following rules shall apply:
(1) Any reference to the Committee on Armed Services of the House of Representatives shall be deemed a reference to the Committee on the Judiciary of the House of Representatives and any reference to the Committee on Armed Services of the Senate shall be deemed a reference to the Committee on the Judiciary of the Senate.
(2) Any reference to the date on which the President transmits a report shall be deemed a reference to the date on which the Supreme Court finds a provision of this Act or an amendment made by this Act unconstitutional.
SEC. 502. CONSTITUTIONAL AMENDMENT DESCRIBED.
For purposes of section 501, a joint resolution described in this section is a joint resolution proposing the following text as an amendment to the Constitution of the United States:
`Article --
`SECTION 1. Congress may provide for reasonable restrictions on contributions, expenditures, and other disbursements in campaigns for election for Federal office as necessary to protect the integrity of the electoral process.
`SECTION 2. Congress shall have power to enforce this article by appropriate legislation. No legislation enacted to enforce this article shall apply with respect to any election held after the last day of the year of the fourth Presidential election held after the date of the enactment of the legislation, unless the period in which such legislation is in effect is extended by an Act of Congress which is signed into law by the President.'.
TITLE VI--GENERAL EFFECTIVE DATE; SUNSET
SEC. 601. GENERAL EFFECTIVE DATE; SUNSET.
This Act and the amendments made by this Act--
(1) except as otherwise specifically provided, shall take effect January 1, 2007; and
(2) shall remain in effect until December 31, 2020.
