H.R. 4799

119 HR 4799 IH: Ban Corporate PACs Act
 U.S. House of Representatives
 2025-07-29
 text/xml
 EN
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 I  119th CONGRESS  1st Session  H. R. 4799  IN THE HOUSE OF REPRESENTATIVES   July 29, 2025   Mr. Harder of California  (for himself and  Mr. Golden of Maine ) introduced the following bill; which was referred to the  Committee on House Administration    A BILL
To amend the Federal Election Campaign Act of 1971 to limit the authority of corporations to establish and operate separate segregated funds utilized for political purposes, including the establishment or operation of a political committee, to nonprofit corporations, and for other purposes.
1.
Short title
This Act may be cited as the   Ban Corporate PACs Act  .
2.
Limiting authority of corporations to establish or operate separate segregated funds for political purposes to nonprofit corporations
(a)
Limitation
(1)
In general
Section 316(b)(2)(C) of the Federal Election Campaign Act of 1971 ( 52 U.S.C. 30118(b)(2)(C) ) is amended by striking  a corporation  and inserting  a nonprofit corporation .
(2)
Definition
Section 316(b) of such Act ( 52 U.S.C. 30118(b) ) is amended by adding at the end the following new paragraph:
(8)
For purposes of this section, the term  nonprofit corporation  means a corporation described in  section 501(c)  of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code, other than a corporation which is ineligible to be exempt from taxation under section 501(a) of such Code if it establishes a separate segregated fund under this subsection.
 .
(b)
Permitting solicitation of contributions only from executive and administrative personnel
Section 316(b) of such Act ( 52 U.S.C. 30118(b) ) is amended—
(1)
in paragraph (4)(A)(i), by striking  its stockholders and their families and ;
(2)
in paragraph (4)(B)—
(A)
by striking  a corporation  the first place it appears and inserting  a nonprofit corporation ;
(B)
by striking  any stockholder, executive or administrative personnel,  and inserting  any executive or administrative personnel ; and
(C)
by striking  stockholders, executive or administrative personnel,  and inserting  executive or administrative personnel ;
(3)
in paragraph (4)(D)—
(A)
by striking  stockholders and ;
(B)
by striking  such stockholders or personnel  and inserting  such personnel ; and
(C)
by striking  such stockholders and personnel  and inserting  such personnel ; and
(4)
in paragraph (5), by striking  stockholders and .
(c)
Treatment of government contractors
Section 317(b) of such Act ( 52 U.S.C. 30119(b) ) is amended—
(1)
by striking  any corporation  and inserting  any nonprofit corporation ; and
(2)
by striking  a corporation  and inserting  a nonprofit corporation .
3.
Effective date; transition for existing funds and committees
(a)
Effective date
The amendments made by this Act shall take effect on the date of the enactment of this Act.
(b)
Transition for existing funds and committees
In the case of a separate segregate fund established and operating under section 316(b)(2)(C) of the Federal Election Campaign Act of 1971 ( 52 U.S.C. 30118(b)(2)(C) ) as of the date of the enactment of this Act which is not a fund of a nonprofit corporation as defined in section 316(b)(8) of such Act (as added by section 2(a)(2)), the fund shall terminate and disburse its entire balance not later than 1 year after the date of the enactment of this Act.