The State of Campaign Finance Policy: Recent Developments and Issues for Congress
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The State of Campaign Finance Policy:
Recent Developments and Issues for Congress
Updated July 29, 2025
Congressional Research Service
https://crsreports.congress.gov
R41542
SUMMARY
The State of Campaign Finance Policy:
Recent Developments and Issues for Congress
R41542
July 29, 2025
R. Sam Garrett
Specialist in American
Major changes have occurred in campaign finance policy since 2002, when Congress
National Government
substantially amended campaign finance law via the Bipartisan Campaign Reform Act (BCRA).
BCRA stands as the most recent major amendment to campaign finance law. The Supreme
Court’s 2010 ruling in Citizens United and a related lower-court decision, SpeechNow.org v.
FEC, arguably represented the most fundamental changes to campaign finance law in decades.
Citizens United lifted a previous ban on corporate (and union) independent expenditures
advocating election or defeat of candidates. SpeechNow permitted unlimited contributions supporting such expenditures and
facilitated the advent of super PACs. Although campaign finance policy remains the subject of intense debate and public
interest, there have been few recent major legislative or regulatory changes since BCRA and Citizens United.
In recent Congresses, both major parties have proposed campaign finance bills, but no major amendments have become law.
Most legislative activity has emphasized alternative omnibus elections bills that have included campaign finance provisions.
No major changes in campaign finance law were enacted during the 118th Congress. One enacted law, P.L. 118-26, extended
authority for the Federal Election Commission’s (FEC’s) Administrative Fine Program until 2033. Although most campaign
finance legislation proposes to amend the Federal Election Campaign Act (FECA), provisions in recent appropriations laws
also have addressed campaign finance issues, such as various reporting requirements or prohibitions.
Recent Congresses also organized much of their legislative work on elections around omnibus bills spanning multiple policy
issues, some of which included campaign finance provisions. In particular, during the 118th Congress, some House Members
emphasized the American Confidence in Elections (ACE) Act (H.R. 4563). The Committee on House Administration ordered
the ACE Act reported after a series of hearings; the House also considered some provisions from the ACE Act as stand-alone
legislation. Other Members concentrated their efforts on alternative proposals, such as the Freedom to Vote Act (H.R. 11; S.
1).
More generally post-Citizens United, debate over disclosure has been a recurring theme in Congress and beyond. Legislation
to require additional information about the flow of money among various donors—the DISCLOSE Act—passed the House
during the 111th Congress and was reintroduced during subsequent Congresses. Congress also has considered alternatives that
include some elements of DISCLOSE and proposals that would require additional disclosure from certain groups regulated
primarily under Section 501(c) of the Internal Revenue Code (tax law). Omnibus elections bills that passed the House in the
117th Congress (H.R. 1) and the 116th Congress (H.R. 1) also contained DISLCOSE provisions. The debate over whether or
how additional disclosure is needed has also extended to the FEC—and congressional oversight of the agency—and the
courts.
Also post-Citizens United, statutory and judicial changes eased some contribution limits and affected the presidential public
financing program. Most consequentially, the Supreme Court invalidated aggregate contribution limits in April 2014
(McCutcheon v. FEC). Also in 2014, Congress and President Obama terminated public funding for presidential nominating
conventions (P.L. 113-94). Congress responded to these events by including language in the FY2015 omnibus appropriations
law (P.L. 113-235) that increased limits for some contributions to political party committees, including for conventions. More
recently, in May 2022 (Federal Election Commission v. Ted Cruz for Senate), the Court invalidated a FECA limit on the
amount of post-election campaign contributions that could be used to repay loans from the candidate to the campaign. During
the 118th Congress, a provision in consolidated appropriations law P.L. 118-47 transferred $320 million from the Presidential
Election Campaign Fund (PECF) to the U.S. Secret Service for 2024 election-cycle protection.
This report considers these and other developments in campaign finance policy and comments on areas of potential conflict
and consensus. This report emphasizes issues that have been most prominent in recent Congresses. It also discusses major
elements of campaign finance policy. This report will be updated occasionally to reflect major developments.
Congressional Research Service
The State of Campaign Finance Policy: Recent Developments and Issues for Congress
Contents
Introduction ..................................................................................................................................... 1
Development of Modern Campaign Finance Law .......................................................................... 2
Policy Background .................................................................................................................... 2
The Federal Election Campaign Act (FECA) ........................................................................... 3
The Bipartisan Campaign Reform Act (BCRA) and Beyond ................................................... 4
Major Issues: What Has Changed Post-Citizens United and What Has Not ............................. 5
What Has Changed ............................................................................................................. 5
What Has Not Changed ...................................................................................................... 9
Potential Policy Considerations and Emerging Issues for Congress ............................................. 12
Recent Legislative Activity ..................................................................................................... 12
119th Congress ................................................................................................................... 13
118th Congress ................................................................................................................... 14
117th Congress ................................................................................................................... 16
Foreign Money and Foreign Interference in U.S. Elections.................................................... 17
Foreign Money .................................................................................................................. 17
Foreign Interference and Campaign Operations ............................................................... 18
FEC Activity on Funding for Certain Candidate Security and Child Care Expenses ............. 20
Regulation and Enforcement by the FEC or Through Other Areas of Policy and Law .......... 21
Politically Active Tax-Exempt Organizations and Internal Revenue Service
Disclosure Issues .................................................................................................................. 23
Selected Recent Litigation About Donor Disclosure in Independent Spending ............... 24
Federal Communications Commission Rules on Political Advertising Disclosure ................ 25
Revisiting Disclosure Requirements ....................................................................................... 26
Disclosure and Disclaimers in Online and Digital Communications ................................ 26
Revisiting Limits on Contributions or Coordinated Party Expenditures................................. 27
Revisiting Coordination Requirements ................................................................................... 28
Conclusion ..................................................................................................................................... 28
Tables
Table 1. Major Federal Contribution Limits, 2025-2026 ...............................................................11
Contacts
Author Information........................................................................................................................ 29
Congressional Research Service
The State of Campaign Finance Policy: Recent Developments and Issues for Congress
Introduction
Federal law has regulated money in elections for more than a century.1 Concerns about limiting
the potential for corruption and informing voters have been at the heart of that law and related
regulations and judicial decisions. Restrictions on private money in campaigns, particularly large
contributions, have been a common theme throughout the history of federal campaign finance
law. The roles of corporations, unions, interest groups, and private funding from individuals have
attracted consistent regulatory attention. Congress has also required that certain information about
campaigns’ financial transactions be made public. Collectively, three principles embodied in this
regulatory tradition—limits on sources of funds, limits on contributions, and disclosure of
information about these funds—constitute ongoing themes in federal campaign finance policy.
Throughout most of the 20th century, campaign finance policy was marked by broad legislation
enacted sporadically. Major legislative action on campaign finance issues remains rare. Since the
1990s, however, momentum on federal campaign finance policy, including regulatory and judicial
action, has arguably increased. Congress last enacted major campaign finance legislation in 2002.
The Bipartisan Campaign Reform Act (BCRA) largely banned unregulated soft money2 in federal
elections and restricted funding sources for pre-election broadcast advertising known as
electioneering communications (ECs). As BCRA was implemented, regulatory developments at
the Federal Election Commission (FEC), and some court cases, stirred controversy and renewed
popular and congressional attention to campaign finance issues. Since BCRA, Congress has also
continued to explore legislative options and has made comparatively minor amendments to the
nation’s campaign finance law. The most substantial recent statutory changes occurred in 2014,
when Congress eliminated public financing for presidential nominating conventions and
increased limits for some contributions to political parties.
Some of the most notable campaign finance developments beyond Congress have occurred at the
Supreme Court. The 2010 Citizens United ruling spurred substantial legislative action during the
1 The 1907 Tillman Act (34 Stat. 864), which prohibited federal contributions from nationally chartered banks and
corporations, is generally regarded as the first major federal campaign finance law. Congress extended those
restrictions to unions temporarily in 1943 and, permanently, in 1947, with the Smith-Connolly (57 Stat. 163; 57 Stat.
167) and Taft-Hartley Acts (61 Stat. 136; 61 Stat. 159) respectively. The 1925 Federal Corrupt Practices Act (43 Stat.
1070) was arguably the first federal statute combining multiple campaign finance provisions, particularly disclosure
requirements first enacted in 1910 and 1911 (36 Stat. 822 and 37 Stat. 25). An 1867 statute barred requiring political
contributions from naval yard workers (14 Stat. 489 (March 2, 1867)). This appears to be the first federal law
concerning campaign finance. The Pendleton Act (22 Stat. 403), which created the civil service system is also
sometimes cited as an early campaign finance measure because it banned receiving a public office in exchange for a
political contributions (see 22 Stat. 404). For additional historical discussion of the evolution of campaign finance law
and policy, see Anthony Corrado et al., The New Campaign Finance Sourcebook (Brookings Institution Press, 2005),
pp. 7-47. See also, for example, Kurt Hohenstein, Coining Corruption: The Making of the American Campaign
Finance System (Northern Illinois University Press, 2007), Robert E. Mutch, Campaigns, Congress, and Courts: The
Making of Federal Campaign Finance Law (Praeger, 1988), Robert E. Mutch, Buying the Vote: A History of Campaign
Finance Reform (Oxford University Press, 2014), Raymond J. La Raja, Small Change: Money, Political Parties, and
Campaign Finance Reform (University of Michigan Press, 2008), pp. 43-80, and Money and Politic$, ed. Paula Baker
(The Pennsylvania State University Press, 2002). On the federal role in campaigns versus elections, see CRS Report
R45302, Federal Role in U.S. Campaigns and Elections: An Overview, by R. Sam Garrett.
2 Soft money is a term of art referring to funds generally believed to influence federal elections but not regulated under
federal election law. Soft money stands in contrast to hard money. The latter is a term of art referring to funds that are
generally subject to regulation under federal election law, such as restrictions on funding sources and contribution
amounts. These terms are not defined in federal election law. For an overview, see, for example, David B. Magleby,
“Outside Money in the 2002 Congressional Elections,” in The Last Hurrah? Soft Money and Issue Advocacy in the
2002 Congressional Elections, ed. David B. Magleby and J. Quin Monson (Brookings Institution Press, 2004), pp. 1013.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
111th Congress and continued interest during subsequent Congresses.3 In another 2010 decision,
SpeechNow.org v. Federal Election Commission, the U.S. Court of Appeals for the District of
Columbia held that contributions to political action committees (PACs) that make only
independent expenditures (IEs) cannot be limited—a development that led to formation of “super
PACs.” Both decisions continue to shape campaign finance policy debates and options. As noted
later in this report, rulings in 2014 (McCutcheon) and 2022 (Ted Cruz for Senate) addressed
narrower regulatory topics but nonetheless continue to affect policy options.
This report is intended to provide an accessible overview of major policy issues facing Congress.
Citations to other CRS products, which provide additional information, appear where relevant.4
The report discusses selected litigation to demonstrate how those events have changed the
campaign finance landscape and affected the policy issues that may confront Congress, but it is
not a constitutional or legal analysis. As in the past, this version of the report contains both
additions of new material and deletions of old material compared with previous versions.5 This
update emphasizes those topics that appear to be most relevant for Congress, while also providing
historical background that is broadly applicable. The report emphasizes campaign finance issues
that are contained in statutory or regulatory provisions, or proposals that have been the focus of
substantial legislative activity.6 This report will be updated occasionally as events warrant.
Development of Modern Campaign Finance Law
Policy Background
Dozens or hundreds of campaign finance bills have been introduced in each Congress since the
1970s. Nonetheless, major changes in campaign finance law have been rare. A generation passed
between the Federal Election Campaign Act (FECA) and BCRA, the two most prominent
campaign finance statutes of the past 50 years. Federal courts and the FEC played active roles in
interpreting and implementing both statutes and others. Over time and in all facets of the policy
process, anti-corruption themes have been consistently evident. Specifically, federal campaign
finance law seeks to limit corruption or apparent corruption in the lawmaking process that might
result from monetary contributions. Campaign finance law also seeks to inform voters about
sources and amounts of contributions. In general, Congress has attempted to limit potential
corruption and increase voter information through two major policy approaches:
•
•
limiting sources and amounts of financial contributions, and
requiring disclosure about contributions and expenditures.
Another hallmark of the nation’s campaign finance policy concerns spending restrictions.
Congress has occasionally placed restrictions on the amount candidates can spend, as it did
initially through FECA. Today, candidates and political committees can generally spend unlimited
3 For additional discussion of activity during the 111th Congress, see CRS Report R41054, Campaign Finance Policy
After Citizens United v. Federal Election Commission: Issues and Options for Congress, by R. Sam Garrett; and CRS
Report R41264, The DISCLOSE Act: Overview and Analysis, by R. Sam Garrett, L. Paige Whitaker, and Erika K.
Lunder.
4 As explained in the text, this report does not address constitutional or legal issues except to provide policy context.
For additional discussion, see, in particular, CRS Report R46521, Political Campaign Contributions and Congress: A
Legal Primer, by L. Paige Whitaker; and CRS Report R45320, Campaign Finance Law: An Analysis of Key Issues,
Recent Developments, and Constitutional Considerations for Legislation, by L. Paige Whitaker.
5 Congressional requesters may contact the author for additional information.
6 Unless otherwise noted, the report does not discuss executive orders.
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amounts on their campaigns, as long as those funds are not coordinated with other parties or
candidates.7
The Federal Election Campaign Act (FECA)
Modern campaign finance law was largely shaped in the 1970s, particularly through FECA.8 First
enacted in 1971 and substantially amended in 1974, 1976, and 1979, FECA remains the
foundation of the nation’s campaign finance law.9 As originally enacted, FECA subsumed
previous campaign finance statutes, such as the 1925 Corrupt Practices Act, which, by the 1970s,
were largely regarded as ineffective, antiquated, or both.10 The 1971 FECA principally mandated
reporting requirements similar to those in place today, such as quarterly disclosure of a political
committee’s receipts and expenditures. Subsequent amendments to FECA played a major role in
shaping campaign finance policy as it is understood today. In brief
•
•
•
•
Among other requirements, the 1974 amendments, enacted in response to the
Watergate scandal, placed contribution and spending limits on campaigns. The
1974 amendments also established the FEC.
After the 1974 amendments were enacted, the first in a series of prominent legal
challenges (most of which are beyond the scope of this report) came before the
Supreme Court.11 In its landmark Buckley v. Valeo (1976) ruling, the Court
declared mandatory spending limits unconstitutional (except for publicly
financed presidential candidates) and invalidated the original appointment
structure for the FEC.
Congress responded to Buckley through the 1976 FECA amendments, which
reconstituted the FEC, established new contribution limits, and addressed various
PAC and presidential public financing issues.
The 1979 amendments simplified reporting requirements for some political
committees and individuals.
To summarize, the 1970s were devoted primarily to establishing and testing limits on
contributions and expenditures, creating a disclosure regime, and constructing the FEC to
administer the nation’s campaign finance laws.
Despite minor amendments, FECA remained essentially uninterrupted for the next 20 years.
Although there were relatively narrow legislative changes to FECA and other statutes, such as the
7 Political committees include candidate committees, party committees, and PACs. See 52 U.S.C. §30101 (previously
codified at 2 U.S.C. §431(4), as explained later in this report).
8 FECA is 52 U.S.C. §30101 et seq. (previously codified at 2 U.S.C. §431 et seq.). Congress first addressed modern
campaign finance issues in the 1970s through the 1971 Revenue Act, which established the presidential public
financing program. The 1970s are primarily remembered, however, for enactment of and amendments to FECA. See
CRS Report RL34534, Public Financing of Presidential Campaigns: Overview and Analysis, by R. Sam Garrett.
9 On the 1971 FECA, see P.L. 92-225. On the 1974, 1976, and 1979 amendments, see P.L. 93-443, P.L. 94-283, and
P.L. 96-187 respectively.
10 The Corrupt Practices Act, which FECA generally supersedes, is 43 Stat. 1070.
11 For additional discussion, see CRS Report R43719, Campaign Finance: Constitutionality of Limits on Contributions
and Expenditures, by L. Paige Whitaker.
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1986 repeal12 of tax credits for political contributions, much of the debate during the 1980s and
early 1990s focused on the role of interest groups, especially PACs.13
The Bipartisan Campaign Reform Act (BCRA) and Beyond
By the 1990s, attention began to shift to perceived loopholes in FECA. Two issues—soft money
and issue advocacy (issue advertising)—were especially prominent. Soft money is a term of art
referring to funds generally perceived to influence elections but not regulated by campaign
finance law. At the federal level before BCRA, soft money came principally in the form of large
contributions from otherwise prohibited sources, and went to party committees for “partybuilding” activities that indirectly supported elections. Similarly, issue advocacy traditionally fell
outside FECA regulation because these advertisements praised or criticized a federal candidate—
often by urging voters to contact the candidate—but did not explicitly call for election or defeat
of the candidate (which would be express advocacy).
In response to these and other concerns, BCRA specified several reforms.14 Among other
provisions, the act banned national parties, federal candidates, and officeholders from raising soft
money in federal elections; increased most contribution limits; and placed additional restrictions
on pre-election issue advocacy. Specifically, the act’s electioneering communications provision
prohibited corporations and unions from using their treasury funds to air broadcast ads referring
to clearly identified federal candidates within 60 days of a general election or 30 days of a
primary election or caucus.15
After Congress enacted BCRA, momentum on federal campaign finance policy issues arguably
shifted to the FEC and the courts. Implementing and interpreting BCRA were especially
prominent issues. Noteworthy post-BCRA events include the following:
•
•
•
The Supreme Court upheld most of BCRA’s provisions in a 2003 facial challenge
(McConnell v. Federal Election Commission).16
Over time, the Court held aspects of BCRA unconstitutional as applied to
specific circumstances. These included a 2008 ruling related to additional
fundraising permitted for congressional candidates facing self-financed
opponents (the “Millionaire’s Amendment,” Davis v. Federal Election
Commission) and a 2007 ruling on the electioneering communication provision’s
restrictions on advertising by a 501(c)(4) advocacy organization (Wisconsin Right
to Life v. Federal Election Commission).17
Since 2002, the FEC has undertaken several rulemakings related to BCRA and
other topics. Complicated subject matter, protracted debate among
12 See P.L. 99-514 §112. Congress repealed a tax deduction for political contributions in 1978. See P.L. 95-600 §113.
13 See, for example, Robert E. Mutch, Campaigns, Congress, and Courts: The Making of Federal Campaign Finance
Law (Praeger, 1988); and Risky Business? PAC Decisionmaking in Congressional Elections, ed. Robert Biersack,
Clyde S. Wilcox, and Paul S. Herrnson (M.E. Sharpe, 1994).
14 BCRA is P.L. 107-155; 116 Stat. 81. BCRA amended FECA, which appears at 52 U.S.C. §30101 et seq. (previously
codified at 2 U.S.C. §431 et seq.) BCRA is also known as McCain-Feingold.
15 On the definition of electioneering communications, see 52 U.S.C. §30104 (previously codified at 2 U.S.C. §434
(f)(3)).
16 For additional discussion, see CRS Report R43719, Campaign Finance: Constitutionality of Limits on Contributions
and Expenditures, by L. Paige Whitaker.
17 For additional discussion, see CRS Report R43719, Campaign Finance: Constitutionality of Limits on Contributions
and Expenditures, by L. Paige Whitaker; and CRS Report RL34324, Campaign Finance: Legislative Developments
and Policy Issues in the 110th Congress, by R. Sam Garrett.
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•
commissioners, and litigation have made some rulemakings lengthy and
controversial.18
Congress enacted some additional amendments to campaign finance law since
BCRA. The 2007 Honest Leadership and Open Government Act (HLOGA)
placed new disclosure requirements on lobbyists’ campaign contributions (certain
bundled contributions) and restricted campaign travel aboard private aircraft.19 In
2014, as discussed below, Congress raised some limits for contributions to
political parties.
Major Issues: What Has Changed Post-Citizens United and
What Has Not
The following discussion highlights those topics that appear to be enduring and significant in the
current policy environment. The discussion begins with changes directly affected by Citizens
United because those developments most fundamentally altered the campaign finance landscape.
What Has Changed
Unlimited Corporate and Union Spending on Independent Expenditures and
Electioneering Communications
In January 2010, the Supreme Court issued a 5-4 decision in Citizens United v. Federal Election
Commission.20 In brief, the opinion invalidated FECA’s prohibitions on corporate and union
treasury funding of independent expenditures and electioneering communications. As a
consequence of Citizens United, corporations and unions are free to use their treasury funds to air
political advertisements and make related purchases explicitly calling for election or defeat of
federal or state candidates (independent expenditures) or advertisements that refer to those
candidates during pre-election periods, but do not necessarily explicitly call for their election or
defeat (electioneering communications).21 Previously, such advertising would generally have had
to be financed through voluntary contributions raised by PACs affiliated with unions or
corporations.
DISCLOSE Act Consideration Following Citizens United
Since Citizens United, the House and Senate have considered various legislation designed to
increase public availability of information (disclosure) about corporate and union spending.
Particularly in the immediate aftermath of the decision, during the 111th Congress, most
18 For example, rulemakings on various BCRA provisions resulted in a series of at least three lawsuits covering six
years. These are the Shays and Meehan v. Federal Election Commission cases.
19 For additional discussion, see CRS Report R40091, Campaign Finance: Potential Legislative and Policy Issues for
the 111th Congress, by R. Sam Garrett. HLOGA is primarily an ethics and lobbying statute. For additional discussion,
see, for example, CRS Report R40245, Lobbying Registration and Disclosure: Before and After the Enactment of the
Honest Leadership and Open Government Act of 2007, by Jacob R. Straus.
20 130 S.Ct. 876 (2010). For additional discussion, see, for example, CRS Report R45320, Campaign Finance Law: An
Analysis of Key Issues, Recent Developments, and Constitutional Considerations for Legislation, by L. Paige Whitaker.
21 Independent expenditures explicitly call for election or defeat of political candidates (known as express advocacy),
may occur at any time, and are usually (but not always) broadcast advertisements. They must also be uncoordinated
with the campaign in question. On the definition of independent expenditures, see 52 U.S.C. §30101 (previously
codified at 2 U.S.C. 431 §17). As noted previously, electioneering communications refer to clearly identified
candidates during pre-election periods but do not contain express advocacy.
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congressional attention responding to the ruling focused on the DISCLOSE Act (H.R. 5175; S.
3295; S. 3628). The DISCLOSE Act has been the most consistent focus of generally
proregulatory legislative activity on disclosure issues since Citizens United.
The House of Representatives passed H.R. 5175, with amendments, on June 24, 2010, by a 219206 vote. By a 57-41 vote, the Senate declined to invoke cloture on companion bill S. 3628 on
July 27, 2010.22 A second cloture vote failed (59-39) on September 23, 2010.23 No additional
action on the bill occurred during the 111th Congress. The DISCLOSE Act text has remained a
focal point of legislative activity in subsequent Congresses for those who support additional
reporting requirements.
This period during the 111th Congress marked the most substantial legislative progress that the
DISCLOSE Act made initially, and the bill has never become law. Versions of the bill were
introduced in both chambers in subsequent Congresses. In the 112th Congress, the Senate debated
a motion to proceed to the measure in July 2012 but declined (by a 53-45 vote) to invoke cloture.
In the 113th Congress, the Senate Rules and Administration Committee held a hearing on a
version of the bill, S. 2516. The 114th and 115th Congresses considered the DISCLOSE Act again,
but no substantial legislative activity occurred. DISCLOSE Act text was included in H.R. 1,
Division B, Subtitle B, which the House passed in March 2019. Stand-alone versions of
DISCLOSE (H.R. 2977 and S. 1147) did not advance in the 116th Congress. In the 117th
Congress, a version of DISCLOSE was included in H.R. 1. The House passed the bill (220-210)
in March 2021. The Senate did not invoke cloture on the motion to proceed to a Senate
companion bill (S. 2093; see also S. 1). Versions of the DISCLOSE Act were introduced in the
118th Congress, either as components of other bills or as stand-alone measures; none advanced
beyond committee referral.24
Unlimited Contributions to Independent-Expenditure-Only Political Action
Committees (Super PACs)
On March 26, 2010, the U.S. Court of Appeals for the District of Columbia held in
SpeechNow.org v. Federal Election Commission25 that contributions to PACs that make only
independent expenditures—but not contributions—could not be constitutionally limited. As a
result, these entities, commonly called super PACs, may accept previously prohibited amounts
and sources of funds, including large corporate, union, or individual contributions used to
advocate for election or defeat of federal candidates. Existing reporting requirements for PACs
apply to super PACs, meaning that contributions and expenditures must be disclosed to the FEC.
Unlimited Contributions to Certain Nonconnected Political Action Committees
(PACs)
As the ramifications of Citizens United and SpeechNow continued to unfold, other forms of
unlimited fundraising were also permitted. In October 2011, the FEC announced that, in response
to an agreement reached in a case brought after SpeechNow (Carey v. FEC),26 the agency would
22 “DISCLOSE Act—Motion to Proceed,” Senate vote 220, Congressional Record, daily edition, vol. 156 (July 27,
2010), p. S6285.
23 “DISCLOSE Act—Motion to Proceed—Resumed,” Senate vote 240, Congressional Record, daily edition, vol. 156
(September 23, 2010), p. S7388.
24
See, in the 118th Congress, H.R. 11; H.R. 1118; S. 1; S. 512; and S. 2344.
25 599 F.3d 686 (D.C. Cir. 2010).
26 Civ. No. 11-259-RMC (D.D.C. 2011).
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permit nonconnected PACs—those that are unaffiliated with corporations or unions—to accept
unlimited contributions for use in independent expenditures. The agency directed PACs choosing
to do so to keep the independent expenditure contributions in a separate bank account from the
one used to make contributions to federal candidates.27 As such, nonconnected PACs that want to
raise unlimited sums for independent expenditures may create a separate bank account and meet
additional reporting obligations rather than forming a separate super PAC. Super PACs have,
nonetheless, continued to be an important force in American politics because only some
traditional PACs qualify for the Carey exemption to fundraising limits.28 PACs that utilize both
the super PAC and traditional PAC approach simultaneously have come to be known as Carey
PACs or hybrid PACs.29
FEC Rules Implementing Parts of Citizens United
Implementing Citizens United and SpeechNow fell to the FEC. The commission issued advisory
opinions (AOs) within a few months of the rulings recognizing corporate independent
expenditures and super PACs. Afterward, some corporations, unions, and other organizations
began making previously prohibited expenditures or raising previously prohibited funds for
electioneering communications or independent expenditures.30
Despite progress on post-Citizens United AOs, agreement on final rules took years. A December
2011 Notice of Proposed Rulemaking (NRPM) posing questions about what form post-Citizens
United rules should take31 remained open until late 2014, reflecting an apparent stalemate over
the scope of the agency’s Citizens United response. In October 2014, the commission approved
rules essentially to remove portions of existing regulations that Citizens United had invalidated,
such as spending prohibitions on corporate and union treasury funds.32 The 2014 rules did not
require additional disclosure surrounding independent spending, which some commenters had
urged, but which others argued was beyond the agency’s purview.33 Other rules discussed
throughout this report have referenced Citizens United, but the commission has not approved
comprehensive rules to implement the decision, just as Congress has not enacted substantial
legislation to do so.
27 Federal Election Commission, “FEC Statement on Carey v. FEC: Reporting Guidance for Political Committees that
Maintain a Non-Contribution Account,” press release, October 5, 2011, http://www.fec.gov/press/Press2011/
20111006postcarey.shtml.
28 In particular, the exemption only applies to nonconnected PACs (i.e., those that exist independently as PACs and are
not affiliated with a parent organization, such as an interest group or labor union).
29 See generally, for example, Diana Dwyer and Robin Kolodny, The Fundamentals of Campaign Finance in the U.S.:
Why we Have the System we Have (University of Michigan Press, 2024), pp. 171-172.
30 Perhaps most notably, the FEC issued AOs 2010-09 (Club for Growth) and 2010-11 (Commonsense Ten),
recognizing corporate independent expenditures and super PACs. For additional discussion, see CRS Report R42042,
Super PACs in Federal Elections: Overview and Issues for Congress, by R. Sam Garrett. AOs provide an opportunity
to pose questions about how the commission interprets the applicability of FECA or FEC regulations to a specific
situation (e.g., a planned campaign expenditure). AOs apply only to the requester and within specific circumstances,
but can provide general guidance for those in similar situations. See 52 U.S.C. §30108 (previously codified at 2 U.S.C.
§437f).
31 Federal Election Commission, “Independent Expenditures and Electioneering Communications by Corporations and
Labor Organizations,” 248 Federal Register 80803, December 27, 2011.
32 Federal Election Commission, “Independent Expenditures and Electioneering Communications by Corporations and
Labor Organizations,” 79 Federal Register 62797, October 21, 2014.
33 Some Senators filed comments calling for additional donor disclosure. See Letter from Sen. Jeanne Shaheen et al. to
Commissioner Caroline Hunter, Chair, FEC, February 21, 2012. The document may be obtained from the FEC
rulemaking comments search function at http://sers.fec.gov/fosers/.
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Aggregate Caps on Individual Campaign Contributions
On April 2, 2014, the Supreme Court invalidated aggregate contribution limits in McCutcheon v.
FEC. “Base” limits capping the amounts that donors may give to individual candidates still
apply.34 For 2013-2014—pre-McCutcheon—individual contributions could total no more than
$123,200. Of that amount, $48,600 could go to candidates, with the remaining $74,600 to parties
and PACs. Following McCutcheon, individuals may contribute to as many candidates as they
wish provided that they adhere to the base contribution limits (e.g., $3,500 per candidate, per
election for the 2026 election cycle).
Higher Contribution Limits and Special Accounts for Political Party
Committees
For the first time since enacting BCRA in 2002, Congress raised the statutory limit on some
campaign contributions in December 2014. Specifically, the FY2015 omnibus appropriations law,
P.L. 113-235, increased contribution limits to national political party committees.35 Most
prominently, these party committees include the Democratic National Committee (DNC),
Democratic Congressional Campaign Committee (DCCC), Democratic Senatorial Campaign
Committee (DSCC), Republican National Committee (RNC), National Republican Congressional
Committee (NRCC), and the National Republican Senatorial Committee (NRSC). The FY2015
law also permits these committees to establish special accounts, each with separate contribution
limits, to support party conventions,36 facilities, and recounts or other legal matters.
Under inflation adjustments announced in January 2025, individuals could contribute $1,063,200
to national party committees annually in 2025-2026.37 Political action committees (PACs) may
also make larger contributions to parties. For multicandidate PACs—the most common type of
PAC—contributions to a national party increased from $45,000 to at least $360,000 annually.
Unlike limits for individual contributions, those for PACs are not adjusted for inflation.38
Some Public Financing Issues
Two notable public financing changes have occurred since 2010, although neither is directly
related to Citizens United. Most relevant for federal campaign finance policy, P.L. 113-94,
enacted in April 2014, terminated public financing for presidential nominating conventions.39 The
2016 conventions were the first since 1972 funded entirely with private money.40
34 For additional policy discussion, as well as citations to other CRS products that cover legal issues, see CRS Report
R43334, Campaign Contribution Limits: Selected Questions About McCutcheon and Policy Issues for Congress, by R.
Sam Garrett.
35 See P.L. 113-235; 128 Stat. 2130; and, especially, 128 Stat. 2772.
36 As noted elsewhere in this report, only the “headquarters” committees (e.g., the DNC or RNC) could collect
additional funds for conventions.
37 CRS calculated this figure from individual-account adjustments that appear in Federal Election Commission, “Price
Index Adjustments for Contribution and Expenditure Limitations and Lobbyist Bundling Disclosure Threshold,” 90
Federal Register 8526, January 30, 2025; see especially p. 8528.
38 For historical discussion of the provisions’ enactment, see CRS Report R43825, Increased Campaign Contribution
Limits in the FY2015 Omnibus Appropriations Law: Frequently Asked Questions, by R. Sam Garrett.
39 128 Stat. 1085.
40 See CRS Report R43976, Funding of Presidential Nominating Conventions: An Overview, by R. Sam Garrett and
Shawn Reese; CRS Report RL34630, Federal Funding of Presidential Nominating Conventions: Overview and Policy
Options, by R. Sam Garrett and Shawn Reese; and CRS Report R41604, Proposals to Eliminate Public Financing of
(continued...)
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
The second major development occurred in 2011 and primarily affects state-level candidates but
also has implications for federal policy options. On June 27, 2011, the Supreme Court issued a 54 opinion in the consolidated case Arizona Free Enterprise Club’s Freedom Club PAC et al. v.
Bennett and McComish v. Bennett.41 The decision invalidated portions of Arizona’s public
financing program for state-level candidates.42 The majority opinion, authored by Chief Justice
Roberts, held that the state’s use of matching funds (also called trigger funds, rescue funds, or
escape hatch funds) unconstitutionally burdened privately financed candidates’ free speech and
did not meet a compelling state interest. The decision has been most relevant for state-level public
financing programs, as a similar matching fund system does not operate at the federal level.
However, the decision also appears to preclude rescue funds in future federal proposals to
restructure the existing presidential public financing program or create a congressional public
financing program.
The presidential public financing program remains in operation, but has not been substantially
utilized since the 2012 election cycle.43 In the 118th Congress, a provision in consolidated
appropriations law P.L. 118-47 transferred $320 million from the Presidential Election Campaign
Fund (PECF), the repository for public financing checkoff designations, to the U.S. Secret
Service for 2024 election-cycle protection duties.
What Has Not Changed
Federal Ban on Corporate and Union Treasury Contributions
Corporations and unions are still banned from making contributions in federal elections.44 PACs
affiliated with, but legally separate from, those corporations and unions may contribute to
candidates, parties, and other PACs. As noted elsewhere in this report, corporations and unions
may use their treasury funds to make electioneering communications, independent expenditures,
or both, but this spending is not considered a contribution under FECA.45
Federal Ban on Soft Money Contributions to Political Parties
The prohibition on using soft money in federal elections remains in effect. This includes
prohibiting the pre-BCRA practice of large, generally unregulated contributions to national party
committees for generic “party building” activities.
As noted elsewhere in this report, in December 2014, Congress enacted legislation, which
President Obama signed (P.L. 113-235), permitting far larger contributions to political parties
than had been permitted previously.46 These funds are not soft money, in that they are subject to
contribution limits and other FECA requirements (e.g., disclosure). Nonetheless, some might
Presidential Campaigns, by R. Sam Garrett. On appropriated security funding, which is separate from campaign
finance policy, see also CRS In Focus IF11555, Presidential Candidate and Nominating Convention Security, by
Shawn Reese.
41 131 S.Ct. 2806 (2011). The slip opinion is available at http://www.supremecourt.gov/opinions/10pdf/10-238.pdf.
42 For additional discussion of state-level public financing, see the “State Experiences with Public Financing” section of
CRS Report RL33814, Public Financing of Congressional Campaigns: Overview and Analysis, by R. Sam Garrett.
43 For historical discussion, see CRS Report R41604, Proposals to Eliminate Public Financing of Presidential
Campaigns, by R. Sam Garrett.
44 52 U.S.C. §30118 (previously codified at 2 U.S.C. §441b).
45 On the definition of contribution, see, in particular, 52 U.S.C. §30101 and 52 U.S.C. §30118 (previously codified at
2 U.S.C. §431(8)(A) and 2 U.S.C. §441(b)(b)(2)).
46 For the codified text, see 52 U.S.C. §30116(a)(9).
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
contend that the spirit of these contributions resembles soft money. Others contend that the
increased limits allow parties to compete with newly empowered groups, such as super PACs,
that are not subject to contribution limits.
Some Contribution Limits Remain Intact
Base limits on contributions to campaigns, parties, and PACs generally remain in effect. Despite
Citizens United’s implications for independent expenditures and electioneering communications,
the ruling did not affect the prohibition on corporate and union treasury contributions in federal
campaigns. As noted above, SpeechNow permitted unlimited contributions to independentexpenditure-only PACs (super PACs). The FEC has not issued rules regarding super PACs per se.
In July 2011 the commission issued an advisory opinion stating that federal candidates (including
officeholders) and party officials could solicit funds for super PACs, but that those solicitations
were subject to the limits established in FECA and discussed below. Also as noted elsewhere in
this report, the FEC announced in October 2011, per an agreement reached in Carey v. FEC, that
nonconnected PACs would be permitted to raise unlimited amounts for independent expenditures
if those funds are kept in a separate bank account.
Although major contribution limits remain in place, as noted above, some party contribution
limits have increased. More consequentially, post-McCutcheon aggregate contribution limits no
longer apply. Therefore, although individuals are, for example, still prohibited from contributing
more than $3,500 per candidate, per election during the 2026 cycle, the total amount of such
giving is no longer capped.47 Table 1 below and the table notes provide additional information, as
do other CRS products.48
47 Statutory inflation adjustments as administered by the FEC, based on Department of Labor data, did not increase the
individual contribution limit, which was $2,700 per candidate, per election during 2016-2018 as well. The inflation
adjustments are codified at 52 U.S.C. §30116(c).
48 For additional discussion, see CRS Report R43334, Campaign Contribution Limits: Selected Questions About
McCutcheon and Policy Issues for Congress, by R. Sam Garrett; and CRS Report R43719, Campaign Finance:
Constitutionality of Limits on Contributions and Expenditures, by L. Paige Whitaker.
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Table 1. Major Federal Contribution Limits, 2025-2026
(See table notes below for additional information)
Recipient
Contributor
Principal
Campaign
Committee
Multicandidate
Committee (most
PACs, including
leadership PACs)
National Party
Committee
(DSCC; NRCC, etc.)
State, District,
Local Party
Committee
Individual
$3,500 per election*
$5,000 per year
$44,300 per yeara
Additional $132,900 limit
for each special party
accounta,b
$10,000 per year
(combined limit)
Principal
Campaign
Committee
$2,000 per election
$5,000 per year
Unlimited transfers to
party committees
Unlimited
transfers to
party
committees
Multicandidate
Committee (most
PACs, including
leadership PACs)c
$5,000 per election
$5,000 per year
$15,000 per year
Additional $45,000 limit
for each special party
accountb
$5,000 per year
(combined limit)
State, District,
Local Party
Committee
$5,000 per election
(combined limit)
$5,000 per year
(combined limit)
Unlimited transfers to
party committees
Unlimited
transfers to
party
committees
National Party
Committee
$5,000 per election
$5,000 per year
Unlimited transfers to
party committees
Unlimited
transfers to
party
committees
Source: CRS adaptation from FEC, “Contribution Limits for 2025-2026 Federal Elections,” https://www.fec.gov/
help-candidates-and-committees/candidate-taking-receipts/contribution-limits/. See also Federal Election
Commission, “Price Index Adjustments for Contribution and Expenditure Limitations and Lobbyist Bundling
Disclosure Threshold,” 90 Federal Register 8526, January 30, 2025.
Notes: The table assumes that leadership PACs would qualify for multicandidate status. The original source,
noted above, includes additional information and addresses nonmulticandidate PACs (which are relatively rare).
The national party committee and the national party Senate committee (e.g., the DNC and DSCC or RNC and
NRSC) share a combined 2025-2026 per-candidate limit of $62,000 per six-year cycle. This limit is adjusted
biennially for inflation.
a. These limits are adjusted biennially for inflation.
b. As noted elsewhere in this report, national party committees may accept these contributions for separate
accounts for (1) presidential nominating conventions (headquarters committees (e.g., DNC; RNC) only); (2)
recounts and other legal compliance activities; and (3) party buildings. For additional historical discussion,
see CRS Report R43825, Increased Campaign Contribution Limits in the FY2015 Omnibus Appropriations Law:
Frequently Asked Questions, by R. Sam Garrett.
c. Multicandidate committees are those that have been registered with the FEC for at least six months; have
received federal contributions from more than 50 people; and (except for state parties) have made
contributions to at least five federal candidates. See 11 C.F.R. §100.5(e)(3). In practice, most PACs attain
this status automatically over time.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
Reporting Requirements
Other recent developments notwithstanding, disclosure requirements enacted in FECA and BCRA
remain intact.49 In general, political committees must regularly50 file reports with the FEC
providing information about
•
•
•
receipts and expenditures, particularly those exceeding an aggregate of $200;
the identity of those making contributions of more than $200, or receiving more
than $200, in campaign expenditures per election cycle; and
the purpose of expenses.
Those making independent expenditures or electioneering communications, such as party
committees and PACs, have additional reporting obligations. Among other requirements:
•
•
•
Independent expenditures aggregating at least $10,000 must be reported to the
FEC within 48 hours; 24-hour reports for independent expenditures of at least
$1,000 must be made during periods immediately preceding elections.51
The existing disclosure requirements concerning electioneering communications
mandate 24-hour reporting of communications aggregating at least $10,000.52
Donor information must be included for those who designated at least $200
toward the independent expenditure, or $1,000 for electioneering
communications.53
If 501(c) or 52754 organizations make independent expenditures or electioneering
communications, those activities would be reported to the FEC.
Potential Policy Considerations and Emerging
Issues for Congress
Recent Legislative Activity
As discussed above, recent Congresses generally have not made substantial amendments to
federal campaign finance law. Since the 115th Congress, Congress has considered recurring
proposals related to disclosure; foreign interference and funds in U.S. elections; contribution
49 This excludes requirements that were subsequently invalidated, such as reporting associated with the now-defunct
Millionaire’s Amendment (which required additional reporting for self-funding above certain levels and for receipt of
contributions in response to such funding).
50 Reporting typically occurs quarterly. Pre- and post-election reports must also be filed. Noncandidate committees may
also file monthly reports. See, for example, 52 U.S.C. §30104 (previously codified at 2 U.S.C. §434) and the FEC’s
Campaign Guide series for additional discussion of reporting requirements.
51 See, for example, 52 U.S.C. §30104 (previously codified at 2 U.S.C. §434(g)).
52 52 U.S.C. §30104 (previously codified at 2 U.S.C. §434(f)).
53 Higher thresholds apply if the expenditures are made from a designated account. For additional summary
information, see Table 1 in CRS Report R41264, The DISCLOSE Act: Overview and Analysis, by R. Sam Garrett, L.
Paige Whitaker, and Erika K. Lunder. Donor information is reported in regularly filed financial reports rather than in
independent expenditure reports.
54 As the term is commonly used, 527 refers to groups registered with the Internal Revenue Service (IRS) as political
organizations that seemingly intend to influence federal elections. By contrast, political committees (which include
candidate committees, party committees, and political action committees) are regulated by the FEC and federal election
law. There is a debate regarding which 527s are required to register with the FEC as political committees.
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limits or spending restrictions; and public financing of presidential campaigns. The Committee on
House Administration and Senate Rules and Administration Committee are the primary
committees of jurisdiction on campaign finance policy issues.
119th Congress
As of this writing, the 119th Congress has not enacted legislation substantially addressing
campaign finance policy. Other potentially notable developments for Congress include the
following:
•
•
•
As discussed in another CRS product, as of April 30, 2025, the FEC lost its
policymaking quorum after President Trump dismissed one commissioner and
two others voluntarily departed the agency.55 As of this writing, three
commissioners remain in office. FECA prohibits the FEC from taking major
enforcement or policymaking actions without agreeing votes from at least four
commissioners. In the interim, the agency remains open for business and
campaign finance law and regulation remain in effect. The Senate could consider
nominations if they occurred in the future.
In April and May 2025, House committees released staff reports on an
investigation into fundraising platform ActBlue, and on the state of the FEC on
the occasion of the agency’s 50th anniversary.56
At least two executive orders (E.O.s) that President Trump issued in early 2025
could be relevant for congressional consideration of campaign finance
legislation, oversight, or both. Both executive orders are subject to ongoing
litigation that is beyond the scope of this report. In addition, executive orders do
not alter the statutory provisions discussed elsewhere in this report. As such, the
executive orders’ ultimate significance for campaign finance policy remains to be
seen.
• First, on February 18, 2025, President Trump issued an E.O. placing various
requirements on many federal agencies, specifically including the FEC.57
Among other provisions, the E.O. requires agencies to submit “significant
regulatory actions” to the Office of Information and Regulatory Affairs
(OIRA) for review, and declares that the President or the Attorney General
“shall provide authoritative interpretations of law for the executive branch,”
including covered agencies.58 The ranking members of the Committee on
55 See CRS Report R45160, Federal Election Commission: Membership and Policymaking Quorum, In Brief, by R.
Sam Garrett.
56 See U.S. Congress, Committees on House Administration, the Judiciary, and Oversight and Government Reform,
Fraud on ActBlue: How the Democrats’ Top Fundraising Platform Opens the Door for Illegal Election Contributions,
interim staff report, April 2, 2025, https://judiciary.house.gov/sites/evo-subsites/republicans-judiciary.house.gov/files/
2025-04/04.02.25_FRAUD_ON_ACTBLUE_HOW_THE_DEMOCRATS_TOP_FUNDRAISING_PLATFORM_
OPENS_THE_DOOR_FOR_ILLEGAL_ELECTION_CONTRIBUTIONS_w_appendix.pdf; and U.S. Congress,
Committee on House Administration, Ranking Member Joseph D. Morelle, Staff Report on the Federal Election
Commission at 50: The Deregulators are Winning, minority staff report, May 2025, https://democrats-cha.house.gov/
sites/evo-subsites/democrats-cha.house.gov/files/evo-media-document/Report-The-Deregulators-Are-Winning.pdf.
57 See Executive Order 14215, “Ensuring Accountability for All Agencies,” 90 Federal Register 10447, February 24,
2025. On inclusion of the FEC, see p. 10448.
58 See Executive Order 14215, “Ensuring Accountability for All Agencies,” pp. 10448-10449. For additional discussion
of OIRA, which is generally beyond the scope of this report, see CRS Report R48546, The Office of Information and
Regulatory Affairs (OIRA): Overview and Major Responsibilities, coordinated by Meghan M. Stuessy and Taylor N.
Riccard.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
•
House Administration and Senate Committee on Rules and Administration
wrote to members of the FEC to “oppose [FEC] action in response to this EO
and have great concerns that there is no clear way for the FEC to reach
decisions on these matters given its bipartisan and independent structure.”59
Second, on March 25, 2025, President Trump issued an executive order that
primarily concerns election administration and voting issues that are beyond
the scope of this report.60 The E.O. also directs the Attorney General, in
consultation with the Secretary of the Treasury, to prioritize enforcement of
the FECA prohibition on contributions from or expenditures by foreign
nationals.61
In addition, on June 30, 2025, the Supreme Court agreed to hear a First Amendment challenge to
the coordinated party expenditure limits during its term beginning in October 2025.62 Brief
additional discussion of coordinated party expenditures appears in the “Revisiting Limits on
Contributions or Coordinated Party Expenditures” section of this report.
118th Congress
The 118th Congress did not enact major statutory changes affecting campaign finance policy, but
the House and Senate consistently considered campaign finance matters.
•
•
•
•
P.L. 118-26 extended authority for the FEC’s Administrative Fine Program until
2033. Authority for the program previously expired in 2023.63
A provision in consolidated appropriations law P.L. 118-47 transferred $320
million from the Presidential Election Campaign Fund (PECF), the repository for
public financing checkoff designations, to the U.S. Secret Service for 2024
election-cycle protection duties. Another provision in the bill also prohibited
certain campaign finance disclosure as a condition of the government-contracting
process.64
On December 16, 2024, the House passed, by voice vote, H.R. 9488 (Steil), the
Secure Handling of Internet Electronic Donations (SHIELD) Act. The legislation
would have prohibited political committees from accepting internet credit-card
contributions without obtaining card verification value (CVV) numbers, or from
accepting contributions via gift cards.
On July 13, 2023, after several hearings, the Committee on House Administration
ordered reported H.R. 4563 (Steil), the American Confidence in Elections (ACE)
59 Letter from Hon. Alex Padilla and Hon. Joseph D. Morelle, Ranking Members, Senate Committee on Rules and
Administration and Committee on House Administration, to James E. “Trey” Trainor III, Shana M. Broussard, Allen
Dickerson, and Dara Lindenbaum, Commissioners, Federal Election Commission, February 26, 2025,
https://www.padilla.senate.gov/wp-content/uploads/02.26.25_Padilla-Morelle-FEC-Independent-Agency-EO.pdf.
60 Executive Order 14248, “Preserving and Protecting the Integrity of American Elections,” 90 Federal Register 14005,
March 25, 2025. See also H.R. 2499, which proposes to codify the E.O.
61 See Executive Order 14248, “Preserving and Protecting the Integrity of American Elections,” p. 14009. On the
FECA foreign-national prohibition, see 52 U.S.C. §30121.
62 See Supreme Court of the United States, Order List, June 30, 2025, https://www.supremecourt.gov/orders/
courtorders/063025zor_7647.pdf. The case is NRSC et al. v. FEC et al.
63 For additional discussion, see CRS Insight IN12198, Federal Election Commission Administrative Fine Program, by
R. Sam Garrett.
64 See Title V, §546(e), and Title §VII, 735, respectively.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
•
•
•
•
•
•
Act.65 Title III of the ACE Act included several provisions related to campaign
finance and to certain tax-exempt organizations. The bill generally proposed
deregulation, modernization, or clarification of current provisions in FECA or
parts of the Internal Revenue Code (IRC).
On August 14, 2023, the House Ways and Means Committee majority released a
“request for information” seeking public input about, among other topics,
whether the Internal Revenue Service (IRS) should update its guidance on what
constitutes campaign intervention by organizations operating under Sections
501(c)(3) and 501(c)(4) of the IRC. The request also posed questions concerning
relationships between super PACs and tax-exempt organizations.66 Recent
appropriations laws have prohibited the Department of the Treasury (which
houses the IRS) from spending appropriated funds to issue rules or guidance
concerning 501(c)(4) tax-exempt status.67 The “Politically Active Tax-Exempt
Organizations and Internal Revenue Service Disclosure Issues” section of this
report contains additional discussion of potentially related topics.
On September 20, 2023, the Committee on House Administration held an
oversight hearing on the Federal Election Commission.
On September 27, 2023, the Senate Rules and Administration Committee held a
hearing on artificial intelligence and elections.
On April 17, 2024, the Senate Committee on the Judiciary, Subcommittee on
Privacy, Technology, and the Law held a hearing on artificial intelligence and
election “deepfakes.”
On December 18, 2024, the Committee on House Administration held a hearing
entitled “American Confidence in Elections: Prohibiting Foreign Interference.”
Some hearings held during the 118th Congress that were devoted primarily to
other topics also included discussion of campaign finance policy and related
issues.68
65 For additional discussion, see CRS In Focus IF12451, H.R. 4563, the American Confidence in Elections (ACE) Act,
coordinated by Karen L. Shanton; and CRS In Focus IF12453, H.R. 4563, the American Confidence in Elections Act
(ACE Act): Legal Background, by L. Paige Whitaker.
66 Letter from Rep. Jason Smith, Chairman, Committee on Ways and Means, and Rep. David Schweikert, Chairman,
Subcommittee on Oversight, Committee on Ways and Means, Request for Information: Understanding and Examining
the Political Activities of Tax-Exempt Organizations under Section 501 of the Internal Revenue Code, August 14, 2023,
https://waysandmeans.house.gov/wp-content/uploads/2023/08/RFI-on-501c3-and-c4-Activities-FINAL.pdf. For
additional discussion, see, for example, Samantha Handler, “GOP Concerns About Tax-Exempt Groups May Prompt
Probes, Guidance,” Bloomberg, September 6, 2023.
67 See, for example, §123 of the Department of the Treasury administrative provisions in the FY2023 Consolidated
Appropriations Act, P.L. 117-328, 136 Stat. 4659-4660.
68 See, for example, U.S. Congress, Senate Committee on the Budget, Dollars and Degrees: Investigating Fossil Fuel
Dark Money’s Systemic Threats to Climate and the Federal Budget, 118th Cong., 1st sess., June 21, 2023. As of this
writing, the hearing has not been published. See https://www.budget.senate.gov/hearings/dollars-and-degreesinvestigating-fossil-fuel-dark-moneys-systemic-threats-to-climate-and-the-federal-budget.
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117th Congress
No major campaign finance law amendments were enacted during the 117th Congress.69 The
House passed three bills that contained several provisions related to campaign finance, election
administration, and voting issues.
•
•
•
H.R. 1 (Sarbanes), the For the People Act, proposed major changes that, among
other provisions, would have affected disclosure and disclaimer requirements; the
FECA foreign national provision; foreign interference in U.S. campaigns and
elections; and public financing for federal campaigns.70 The House passed the bill
(220-210) in March 2021. The Senate did not invoke cloture on the motion to
proceed to a Senate companion bill (S. 2093; see also S. 1).
H.R. 5314 (Schiff), the Protecting Our Democracy Act, primarily addressed noncampaign finance topics. It also contained provisions concerning the FECA
foreign national provision and foreign interference in U.S. campaigns and
elections. The House passed the bill (220-208) in December 2021.
H.R. 5746 (Beyer) served as a legislative vehicle for the Freedom to Vote: John
R. Lewis Act. The legislation primarily contained election administration and
voting provisions. It also included some provisions related to campaign finance
disclosure; the FECA foreign national provision; and foreign interference in U.S.
campaigns and elections. The House passed the bill (220-203) on January 13,
2022, and sent it to the Senate in the form of an amendment between the houses
on an unrelated bill, H.R. 5746.71 On January 19, 2022, the Senate did not agree
to a cloture motion on the text.
Also during the 117th Congress, the Senate did not invoke cloture on motions to proceed to other
legislation containing disclosure and foreign-national provisions. These included the Freedom to
Vote Act, S. 2747 (Klobuchar), and the DISCLOSE Act, S. 4822 (Whitehouse).
In addition, the FY2023 Consolidated Appropriations Act (P.L. 117-328) endorsed committee
report language directing the Government Accountability Office (GAO) to update a report on
public financing of political campaigns, with attention to state-level developments during the past
five election cycles.72 The law’s general provisions also contain language relevant for campaign
finance policy. Section 735 prohibits reporting certain political contributions or expenditures as a
condition of the government contracting process. The law also prohibits certain IRS activity on
69 For a brief summary of legislative activity related to campaign finance, elections, and voting issues during the 117th
Congress, see CRS In Focus IF12291, Elections and Voting: Policy and Legal Issues for the 118th Congress, by R.
Sam Garrett and L. Paige Whitaker.
70 For an overview, see CRS In Focus IF11097, H.R. 1 and S. 1: Overview and Related CRS Products, coordinated by
R. Sam Garrett. A CRS congressional distribution memorandum, Major Provisions in S. 1 and H.R. 1, the For the
People Act of 2021, coordinated by R. Sam Garrett and Sarah J. Eckman, is available to congressional readers upon
request.
71 The Freedom to Vote: John R. Lewis Act combined elements of other election administration and voting legislation,
including parts of H.R. 1 and H.R. 4, the John R. Lewis Voting Rights Advancement Act (Sewell).
72 H.Rept. 117-393, p. 67. The 2010 GAO report is U.S. Government Accountability Office, Campaign Finance
Reform: Experiences of Two States That Offered Full Public Funding for Political Candidates, 10-390, May 28, 2010,
https://www.gao.gov/products/gao-10-390. For the subsequent report, see U.S. Government Accountability Office,
Campaign Finance: Observations on Public Financing Programs in Selected States and Localities, 25-106650,
December 19, 2024, https://www.gao.gov/products/gao-25-106650.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
501(c)(4) rules, and prohibits the Securities and Exchange Commission (SEC) from issuing rules
regarding disclosure of corporate trade association dues or political activity.73
Finally, also during the 117th Congress, in May 2022, the U.S. Supreme Court issued an opinion
concerning campaign finance. As another CRS product discusses, in Federal Election
Commission (FEC) v. Ted Cruz for Senate, the Court “invalidated a [FECA] provision …
establishing a $250,000 limit on the amount of post-election campaign contributions that may be
used to repay candidates for personal loans made to their campaign committees pre-election.”74
Previous versions of this report contain discussion of congressional activities during other
Congresses.75
Foreign Money and Foreign Interference in U.S. Elections
Two issues related to foreign interference in U.S. campaigns may be particularly relevant for
campaign finance policy. First, and the focus of more policy attention historically, is prohibiting
foreign money that could impermissibly influence U.S. campaigns. Second, and a more recent
development, is the connection between foreign interference and campaign security. This section
provides brief additional discussion of both.
Since the 2016 election cycle, some congressional hearings and proposed legislation have
continued to address foreign funds. As noted in the “118th Congress” and “119th Congress”
sections of this report, as of this writing, some congressional hearings, an interim staff report, and
an executive order have continued to address foreign money.76 Subsequent activity is possible. As
of this writing, Congress has not made any recent changes in federal campaign finance law
regarding contributions from foreign nationals.
Foreign Money
The possibility of foreign money affecting U.S. campaigns emerged as a component of some
congressional hearings and agency activity beginning in the 2016 election cycle. FECA prohibits
foreign nationals from making contributions, or giving other things of value, or making
expenditures, in U.S. federal, state, or local elections.77 Some Members of Congress and Federal
Election Commissioners have raised questions about whether prohibited foreign funds could have
influenced recent elections, whether additional legislative or regulatory safeguards are necessary
73 See §123 of the Department of the Treasury administrative provisions, and §633 of general provisions, in the
FY2023 Consolidated Appropriations Act, P.L. 117-328, 136 Stat. 4659-4660, 4703.
74 For additional discussion, see CRS Legal Sidebar LSB10796, Supreme Court Invalidates Cap on Repayment of
Candidate Loans Under the First Amendment: Considerations for Congress, by L. Paige Whitaker.
75 Congressional requesters may contact the author of this report for additional information.
76 In addition, in April 2025, President Trump directed the Attorney General, in consultation with the Secretary of the
Treasury, “to investigate allegations regarding the unlawful use of online fundraising platforms to make ‘straw’ or
‘dummy’ contributions or foreign contributions to political candidates and committees” and to take appropriate
enforcement action. See White House, Memorandum to the Secretary of the Treasury, the Attorney General, and the
Counsel to the President, Investigation into Unlawful “Straw Donor” and Foreign Contributions in American
Elections, April 24, 2025, https://www.whitehouse.gov/presidential-actions/2025/04/investigation-into-unlawful-strawdonor-and-foreign-contributions-in-american-elections/.
77 52 U.S.C. §30121(a)(1). For additional discussion, see CRS In Focus IF10697, Foreign Money and U.S. Campaign
Finance Policy, by R. Sam Garrett; and CRS Legal Sidebar WSLG1857, Foreign Money and U.S. Elections, by L.
Paige Whitaker.
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to protect future elections, or both. Some Members of Congress also raised the issue at various
oversight hearings.78
In September 2018, the FEC reported to congressional appropriators about the agency’s
enforcement of the FECA ban on foreign funds. Congress required the report in joint explanatory
language accompanying the FY2018 Financial Services and General Government portion of the
omnibus appropriations law (H.R. 1625; P.L. 115-141). The report summarized commission
processes for identifying possible foreign funds and enforcing the existing FECA ban; it did not
propose additional action.79
Also, as noted previously, late in the 118th Congress, the House passed H.R. 9488 (Steil), the
SHIELD Act. The legislation would have prohibited political committees from accepting internet
credit-card contributions without obtaining CVV numbers, or from accepting contributions via
gift cards. Supporters of the legislation argued that the bill could provide additional safeguards
against illegal funds, including foreign ones.80
Foreign Interference and Campaign Operations
Political committees are responsible for their own operations, including security.81 More
generally, no federal agency has specific responsibility for coordinating security preparations for
political campaigns or other political committees.82 Federal law enforcement agencies,
particularly the Federal Bureau of Investigation (FBI), can and do receive reports of, and
investigate, suspected criminal activity. In preparation for the 2020 elections, the FBI established
a “Protected Voices” program that provides political campaigns,83 private companies, and
individuals with information about how to guard against and respond to cyberattacks and foreign
influence campaigns. In addition, the Department of Homeland Security’s (DHS’s) Cybersecurity
and Infrastructure Security Agency (CISA), the FBI, and the Office of the Director of National
78 For example, a June 26, 2018, Judiciary Committee, Subcommittee on Crime and Terrorism, hearing included
discussions of at least two bills (S. 1989; S. 2939) that addressed potential foreign influence in U.S. elections, in
addition to other topics.
79 See Federal Election Commission, “FEC Report to the Committees on Appropriations on Enforcing the Foreign
National Prohibition,” September 18, 2018, https://www.fec.gov/resources/cms-content/documents/
Foreign_National_Report_To_Congress.pdf. Democratic Commissioner Ellen Weintraub wrote to congressional
appropriators offering alternative views about the report. See Letter from Ellen L. Weintraub, Vice Chair, Federal
Election Commission, to Congressional Appropriations Committees, September 28, 2018, https://www.fec.gov/
documents/896/2018-09-28-ELW-Approps-Committees-reply.pdf.
80 See, for example, U.S. House of Representatives, Committee on House Administration (majority), “Chairman Steil,
Senator Johnson Demand Classified Briefings on Potential Foreign Influence in U.S. Elections,” press release, October
22, 2024, https://cha.house.gov/2024/10/chairman-steil-senator-johnson-demand-classified-briefings-on-potentialforeign-influence-in-u-s-elections. See also discussion in U.S. Congress, House Committee on House Administration,
Secure Handling of Internet Electronic Donations Act, report to accompany H.R. 9488, 118th Cong., 2nd sess.,
September 20, 2024, H.Rept. 118-696 (GPO, 2024).
81 For additional discussion, see CRS Insight IN12581, Campaign Finance Policy and Campaign Security, by R. Sam
Garrett.
82 The Cybersecurity and Infrastructure Security Agency (CISA) offers assistance to campaigns on a voluntary basis.
For additional background, see, for example, testimony of Matthew Masterson, Senior Cybersecurity Advisor,
Cybersecurity and Infrastructure Security Agency, U.S. Department of Homeland Security, in U.S. Congress, House
Committee on the Judiciary, Securing America’s Elections Part II: Oversight of Government Agencies, hearing, 116th
Cong., 1st sess., October 22, 2019, p. 6, at https://docs.house.gov/meetings/JU/JU00/20191022/110106/HHRG-116JU00-Wstate-MastersonM-20191022.pdf.
83 The program also appears to provide services to political parties, and perhaps to other political committees (e.g.,
political action committees).
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Intelligence (ODNI) jointly briefed some 2020 federal political campaigns on security threats and
best practices.84
As of this writing, it appears that at least some executive branch activities aimed at combatting
foreign interference during the 2020 and 2024 election cycles have been curtailed or eliminated.
For example, in February 2025, Attorney General Bondi announced that the FBI’s Foreign
Influence Task Force was being disbanded.85 The task force previously served to coordinate
bureau activities to identify and counter foreign interference.86 Much of CISA’s elections work
also reportedly has been curtailed.87
Selected FEC Activity on Foreign Interference and Cybersecurity
Due partially to foreign-interference concerns, following the 2016 election cycle, corporations
and other entities sought to provide free or reduced-cost advisory services to campaigns on
cybersecurity matters.
•
•
In 2018, the FEC determined that the FECA ban on corporate contributions does
not prohibit campaigns from accepting certain information technology (IT)
services, at least in some circumstances. In particular, in August 2018, Microsoft
asked the FEC whether it could provide free enhanced security services to
“election-sensitive users” of its Office 365 email service, and other services
without making a prohibited corporate in-kind contribution. In its request,
Microsoft stated that these security services would be available to federal, state,
and local campaigns, as well as parties, vendors, and “think-tank” organizations
involved in campaigns. The commission determined that Microsoft’s proposal
was permissible because the company “would be providing [enhanced security]
services based on commercial and not political considerations, in the ordinary
course of its business, and not merely for promotional consideration or to
generate goodwill.”88
In 2019, citing the “demonstrated, currently enhanced threat of foreign
cyberattacks against party and candidate committees,” the FEC granted
permission for Defending Digital Campaigns, a 501(c)(4) organization, to offer
reduced-cost cybersecurity advisory services to political committees.89 In a
separate 2019 opinion, the FEC granted permission for reduced-fee services for
campaigns responding to phishing attacks.90
84 See above-cited testimony from CISA Senior Cybersecurity Advisor (and former EAC Commissioner) Matthew
Masterson, at October 22, 2019, House Judiciary Committee oversight hearing, Security America’s Elections Part II:
Oversight of Government Agencies. As of this writing, the hearing record does not appear to have been published.
Video and written materials are available on the committee website, https://judiciary.house.gov/legislation/hearings/
securing-america-s-elections-part-ii-oversight-government-agencies.
85 See U.S. Department of Justice, Memorandum from the Attorney General (Bondi) for all departmental employees,
“General Policy Regarding Charging, Plea Negotiations, and Sentencing,” February 5, 2025, https://www.justice.gov/
ag/media/1388541/dl.
86 See, for example, Derek B. Johnson, “DOJ Disbands Foreign Influence Task Force, Limits Scope of FARA
Prosecutions,” Cyberscoop, February 6, 2025, https://cyberscoop.com/doj-disbands-foreign-influence-task-force/.
87 See, for example, Jen Fifield, “U.S. Agency Has Stopped Supporting States on Election Security, Official Confirms,”
Votebeat, March 11, 2025, https://www.votebeat.org/2025/03/11/cisa-ends-support-election-security-nass-nased/.
88 The approved version is AO 2018-11, p. 3, https://www.fec.gov/files/legal/aos/2018-11/2018-11.pdf. Members of
Congress should consult with a campaign attorney, the FEC, or both regarding individual compliance guidance.
89 See the approved version of AO 2018-12, p. 1, https://www.fec.gov/files/legal/aos/2018-12/2018-12.pdf.
90 See the approved version of AO 2019-12, https://www.fec.gov/files/legal/aos/2019-12/2019-12.pdf.
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•
As discussed in the next section, the FEC also has issued advisory opinions and
regulations on security spending, including, in some cases, related to
cybersecurity.
FEC Activity on Funding for Certain Candidate Security and Child
Care Expenses
Beginning in 2017, through advisory opinions (AOs), the FEC has permitted using campaign
funds for two types of spending that might otherwise be considered prohibited personal use of
campaign funds 91 These are (1) using campaign funds for certain security expenses; and (2) using
campaign funds for certain child care expenses. The following discussion provides additional
background, including about rules on security spending issued in 2024.
•
After the June 14, 2017, attack92 on several Members of Congress, staff, and U.S.
Capitol Police officers in Alexandria, VA, House Sergeant at Arms Paul Irving
wrote to the FEC requesting guidance about the permissibility of using campaign
funds to pay for residential security systems.93 The FEC treated the letter as an
AO request. On July 13, 2017, citing similar previous requests and specific threat
information and recommendations from the Capitol Police and Sergeant at Arms,
the FEC approved the request.94 Similarly, the commission approved a December
2020 advisory opinion request from a Member of Congress. The AO granted
permission to use campaign funds to install a home security system, based on
consultations with the House Sergeant at Arms.95 The commission subsequently
granted similar requests.96 In September 2024, the FEC issued regulations
codifying major aspects of the AOs noted above, and others related to payments
for campaign security, including certain cybersecurity expenses.97 Under the
regulations, security expense must be made to “address ongoing dangers or
threats that would not exist irrespective of the individual’s status or duties as a
federal candidate or officeholder.”98 Second, the campaign must pay the “usual
and normal charge” for security goods or services. 99 Another CRS product
provides additional detail.100
91 For additional discussion, see CRS Report R46878, Permissible and Prohibited Uses of Campaign Funds:
Frequently Asked Questions and Policy Overview, by R. Sam Garrett.
92 For additional discussion, see CRS Insight IN10719, Violence Against Members of Congress and Their Staff: A Brief
Overview, by R. Eric Petersen (available to congressional clients upon request); and CRS Report R41609, Violence
Against Members of Congress and Their Staff: Selected Examples and Congressional Responses, by R. Eric Petersen
and Jennifer E. Manning.
93 Letter from Paul D. Irving, Sergeant at Arms, U.S. House of Representatives, to Steven T. Walther, Chairman,
Federal Election Commission, June 21, 2017. The letter is attached to July 13, 2017, open-meeting Agenda Document
No. 17-29-A, https://www.fec.gov/updates/july-13-2017-open-meeting/.
94 The approved version is July 13, 2017, open-meeting Agenda Document No. 17-32-D, https://www.fec.gov/updates/
july-13-2017-open-meeting/. Members of Congress should consult with a campaign attorney, the FEC, or both
regarding individual compliance guidance.
95 See AO 2020-06. Other AOs, cited in 2020-06, provide related discussion.
96 See, for example, AOs 2023-04 and 2022-25.
97 Federal Election Commission, “Use of Campaign Funds for Candidate and Officeholder Security,” 89 Federal
Register 78201, September 25, 2024; and 11 C.F.R. §113.1(g)(10).
98
11 C.F.R. §113.1(g)(10).
99 11 C.F.R. §113.1(g)(10).
100 See CRS Insight IN12581, Campaign Finance Policy and Campaign Security, by R. Sam Garrett.
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•
In May 2018, the FEC granted congressional candidate Liuba Grechen Shirley’s
request to use campaign funds to pay for certain child care expenses.101 The
commission based its decision on a related 1995 AO request (1995-42) and the
agency’s determination that the child care the candidate required resulted directly
from her candidacy. Several Members of Congress urged the FEC to grant the
request. Some legislation also has proposed expanding the personal-use provision
in FECA to include such expenses.102 The FEC also heard comments on the
personal-use provision, particularly for child care and health care expenses, at a
March 2023 hearing on a Notice of Proposed Rulemaking (NPRM) concerning
candidate salaries. As of this writing, it is unclear how or whether the
commission will proceed on the issue. According to press reports, several
candidates have relied on the child-care AO.103
Regulation and Enforcement by the FEC or Through Other Areas of
Policy and Law
This section briefly discusses recent congressional or agency activity related to developing topics
in other policy areas, which are generally not discussed elsewhere in this report, that could
implicate campaign finance policy as well.
•
•
Particularly in the 118th and 119th Congresses, some legislative attention to
developments in artificial intelligence (AI) has included campaign finance issues.
Throughout 2023 and 2024, the FEC considered rulemaking petitions on whether
a FECA prohibition on “fraudulent misrepresentation of campaign authority”
applies to political advertising generated with AI. On September 19, 2024, the
commission approved an interpretive rule, based on existing regulation and
statute, confirming that the FECA fraudulent misrepresentation provision also
covers communications generated using AI. The commission did not issue new
rules concerning AI. Rather, it clarified that the existing fraudulent
misrepresentation provisions in FECA and FEC regulations apply to
communications generated using AI.104 Those actions do not affect AI or
campaign finance beyond the fraudulent misrepresentation provision, nor do they
require additional disclaimers on political advertising. Another CRS product
provides additional detail.105
Some Members of Congress have proposed requiring companies to provide
additional information to shareholders if the companies choose to make
electioneering communications or independent expenditures. These proposals are
sometimes referred to as “shareholder protection” measures, although the extent
to which they would benefit shareholders or companies is subject to debate. In
101 AO 2018-06.
102 For additional discussion, see CRS Report R46878, Permissible and Prohibited Uses of Campaign Funds:
Frequently Asked Questions and Policy Overview, by R. Sam Garrett.
103 See, for example, Stephanie Akin, “Campaign Spending on Child Care Growing Steadily Since FEC Allowed It,”
Roll Call, May 18, 2021, https://rollcall.com/2021/05/18/campaign-spending-on-child-care-growing-steadily-since-fecallowed-it/.
104 11 C.F.R. §110.16(a).
105 See CRS Insight IN12222, Artificial Intelligence (AI) and Campaign Finance Policy: Recent Developments, by R.
Sam Garrett; and CRS In Focus IF12468, Artificial Intelligence (AI) in Federal Election Campaigns: Legal
Background and Constitutional Considerations for Legislation, by L. Paige Whitaker.
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•
•
2013, the Securities and Exchange Commission (SEC) dropped plans to consider
additional corporate disclosure of political spending, although some advocates
continue to urge the agency to consider the topic.106 Since then, some advocates
of additional campaign finance regulation have continued to urge the SEC to take
regulatory action to require campaign-related disclosure. As noted previously,
Congress has prohibited requiring additional disclosure to the SEC, through some
recent appropriations measures, including during recent Congresses. Other
legislation has proposed repealing the prohibition.107
In July 2010, citing Citizens United, the SEC issued new “pay-to-play” rules—
which are otherwise beyond the scope of this report—to prohibit investment
advisers from seeking business from municipalities if the adviser made political
contributions to elected officials responsible for awarding contracts for advisory
services.108 Although the rules appeared not to be targeted to federal candidates,
they can implicate state-level officeholders seeking federal office. This includes,
for example, governors running for President.109
During the spring of 2011, media reports indicated that the Obama
Administration was considering a draft executive order to require additional
disclosure of government contractors’ political spending.110 Although the
executive order was never issued, the topic continued to garner attention. The
House Committee on Oversight and Government Reform and Committee on
Small Business held a joint hearing on the topic on May 12, 2011. As noted
previously, subsequent Congresses have generally adopted appropriations
language prohibiting additional contractor disclosure as a condition of the
government-contracting process.
106 In 2012, the SEC’s contribution to the Office of Information and Regulatory Affairs (OIRA) “Unified Agenda”
(formally the Unified Agenda of Regulatory and Deregulatory Actions) indicated that the agency was considering
developing a rule requiring disclosure of certain corporate political spending. The version of the Unified Agenda
published in the fall of 2013 explained that the SEC was “withdrawing” the proposal but that future action was
possible. On the Unified Agenda, see http://www.reginfo.gov/public/do/eAgendaMain. For brief additional discussion
of the proposed rule, see, for example, Kenneth P. Doyle, “Disclosure of Corporate Political Spending Left Off SEC
Agenda for New Regulations,” Daily Report for Executives, December 3, 2013, p. A-1. See also Yin Wilczek,
“Proponents File More Than 100 Proposals Calling for Political Spending Transparency,” Daily Report for Executives,
April 14, 2015, p. EE-9.
107 For examples of contrasting legislative approaches, see, for example, for example, H.R. 376 (115th Congress) and
§635 of the FY2017 Consolidated Appropriations Act (P.L. 115-31), respectively, and H.R. 4863 (118th Congress).
108 See Securities and Exchange Commission, “Political Contributions by Certain Investment Advisers,” 75 Federal
Register 41018-41071, July 14, 2010. See also Municipal Securities Rulemaking Board (MSRB) Rule G-37, Political
Contributions and Prohibitions on Municipal Securities Business and Municipal Advisory Business, http://msrb.org/
Rules-and-Interpretations/MSRB-Rules/General/Rule-G-37.aspx.
109 See, for example, Jake Bernstein, “How an Obscure Federal Rule Could Be Shaking Up Presidential Politics,”
ProPublica, August 28, 2012, http://www.propublica.org/article/how-an-obscure-federal-rule-could-be-shaking-uppresidential-politics; and Kenneth P. Doyle, “Judges Skeptical of Challenge to SEC Rule on Political Money From
Investment Advisers,” Daily Report for Executives, March 24, 2015, p. A-6. This report does not include a detailed
discussion of this topic, including subsequent updates unless they appear to substantially affect federal campaign
finance policy.
110 See, for example, Kenneth P. Doyle, “Anticipated Obama Order Would Require Disclosure of Contractors’ Political
Money,” Daily Report for Executives, April 21, 2011, p. A-6.
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Politically Active Tax-Exempt Organizations and Internal Revenue
Service Disclosure Issues
Politically active tax-exempt organizations, regulated primarily by the IRC, have been engaged in
campaign activity since at least the early 2000s. Some suggest that Citizens United provided
clearer permission for incorporated 501(c)(4) social welfare groups and 501(c)(6) trade
associations to make electioneering communications and independent expenditures. Unions,
501(c)(5)s, have long participated in campaigns, but Citizens United has been interpreted to
permit labor organizations to use their treasury funds, like corporations, to make ECs and IEs.
This section provides historical background given consistent congressional activity concerning
the intersection of campaign finance and tax issues. This report does not otherwise discuss tax
policy or law.111
Currently, because 501(c) organizations are not political committees as defined in FECA, they do
not fall under FEC or FECA requirements unless they make ECs or IEs.112 Nonetheless, many
such groups engage in activity that might influence campaigns. Various issues, briefly noted
below, concerning politically active tax-exempt organizations’ influence on federal campaigns
remain topics of debate.113
•
•
During the Obama Administration, the IRS announced but subsequently
withdrew a rulemaking proposal to require additional disclosure about politically
active tax-exempt organizations’ political spending.114 The issue remained
unresolved for the remainder of the Obama Administration.
In May 2020, the IRS and the Department of the Treasury issued rules that
permitted certain politically active tax-exempt organizations (e.g., 501(c)(4)s) to
withhold information identifying donors from their annual information returns
(schedule B of IRS form 990).115 Previously, although this donor information was
not made public, filers generally had to report it to the IRS. Proponents of more
campaign finance reporting requirements generally opposed the IRS rule change,
arguing that the information is one of the few sources of donor information for
money that sometimes ultimately affects campaigns, even if the reports are not
publicly available. Those favoring less regulation generally contended that the
reports were burdensome and of limited value for campaign finance disclosure
and enforcement, especially since they are filed with the IRS rather than the
FEC.116 Under the 2020 rules, the organizations must maintain donor information
in case the IRS requests it.
111 For additional discussion, see, for example, CRS Report RL33377, Tax-Exempt Organizations Under Internal
Revenue Code Section 501(c): Political Activity Restrictions, by Justin C. Chung.
112 If the groups had an affiliated super PAC, the super PAC would report to the FEC as a political committee.
113 See, for example, CRS In Focus IF11005, Donor Disclosure: 501(c) Groups and Campaign Spending, by R. Sam
Garrett.
114 For historical discussion, see, for example, Diane Freda, “IRS Plans for Broadening Political Activity Rules Trigger
Stern Warning From Hatch,” Daily Report for Executives, April 14, 2015, p. G-7.
115 See Department of the Treasury, Internal Revenue Service, “Guidance Under Section 6033 Regarding the Reporting
Requirements of Exempt Organizations,” 85 Federal Register 31959, May 28, 2020. See also CRS In Focus IF11005,
Donor Disclosure: 501(c) Groups and Campaign Spending, by R. Sam Garrett.
116 See discussion of comments submitted in response to the proposed 2020 rules, and IRS responses, in Department of
the Treasury, Internal Revenue Service, “Guidance Under Section 6033 Regarding the Reporting Requirements of
Exempt Organizations,” 85 Federal Register 31959, May 28, 2020.
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•
In August 2023, the House Ways and Means Committee majority released a
“request for information” seeking public input about, among other topics,
whether the IRS should update its guidance on what constitutes campaign
intervention by certain tax-exempt organizations. Recent appropriations laws
have prohibited the Department of the Treasury (which houses the IRS) from
spending appropriated funds to issue rules or guidance concerning 501(c)(4) taxexempt status.117
Selected Recent Litigation About Donor Disclosure in Independent Spending
One of the most controversial elements of campaign finance disclosure concerns identifying
donors to organizations that make electioneering communications and independent expenditures.
Amid recent litigation, donor disclosure requirements can vary depending on whether a group
chooses to make ECs versus IEs. This section provides brief context about policy issues and
debates that took root in recent, selected litigation, but does not address the litigation in detail or
provide legal analysis. In brief, currently, it appears that greater donor disclosure is required in IE
reports than in EC reports.
•
•
•
FECA requires that those giving more than $200 “for the purpose of furthering”
IEs must be identified in political committees’ disclosure reports filed with the
FEC.118 By contrast, the “purpose of furthering” language does not appear in the
portion of FECA covering ECs. Nonetheless, FEC regulations implementing
FECA also use the “purpose of furthering” language as a threshold for identifying
donors to corporations or unions making ECs.119 In practice, this meant that,
before developments noted below, the FEC applied similar donor disclosure
requirements to both ECs and IEs.
Some contend that the EC regulations improperly permit those contributing to
ECs to avoid disclosure by making unrestricted contributions (i.e., not “for the
purpose of furthering” ECs).120 On the basis of that argument and others, thenRepresentative Van Hollen sued the FEC in 2011. A series of federal district and
appellate court rulings occurred thereafter. In January 2016, the U.S. Court of
Appeals for the D.C. Circuit upheld the FEC rules.121 There have been no major
subsequent developments. As such, those making ECs may continue omitting
donor information from EC reports in some cases.122
Another case, CREW v. FEC, considered the “purpose of furthering” donordisclosure standard for IEs rather than ECs.123 In November 2012, Citizens for
Responsibility and Ethics in Washington (CREW), which identifies itself as a
117 See, for example, §123 of the Department of the Treasury administrative provisions in the FY2023 Consolidated
Appropriations Act, P.L. 117-328, 136 Stat. 4659-4660.
118 52 U.S.C. §30104(c)(2)(C).
119 11 C.F.R. §104.20(c)(9).
120 The same argument is made concerning IE disclosure, although the absence of the “purpose of furthering” language
is unique to EC provisions in FECA.
121 For additional discussion, CRS Report R43719, Campaign Finance: Constitutionality of Limits on Contributions
and Expenditures, by L. Paige Whitaker.
122 For additional discussion, see CRS In Focus IF11398, Campaign Finance Law: Disclosure and Disclaimer
Requirements for Political Campaign Advertising, by L. Paige Whitaker.
123 For additional discussion, see CRS In Focus IF11005, Donor Disclosure: 501(c) Groups and Campaign Spending,
by R. Sam Garrett; and CRS Report R45320, Campaign Finance Law: An Analysis of Key Issues, Recent
Developments, and Constitutional Considerations for Legislation, by L. Paige Whitaker.
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“watchdog” group, filed a complaint with the FEC, alleging, among other things,
that 501(c)(4) group Crossroads GPS failed to disclose its donors as required
under FECA and agency regulations. In November 2015, FEC commissioners
deadlocked on whether Crossroads GPS had violated commission regulations and
FECA (Matter Under Review 6696). CREW then sued the commission in federal
district court for, among other things, allegedly failing to enforce disclosure
requirements. In August 2018, the U.S. District Court for the District of
Columbia ruled in CREW’s favor. After the court ruling took effect on September
18, 2018, certain groups that previously did not disclose some of their donors to
the FEC in IE reports were required do so. In August 2020, the U.S. Circuit Court
of Appeals for the D.C. Circuit upheld the district court ruling that invalidated the
relevant portion of the FEC’s IE rules.124 A future rulemaking providing
additional clarification is possible.
The policy implications from cases such as these are important primarily for ongoing debates in
Congress and beyond about how and when donors’ identities are reported to the FEC and,
therefore, to the public. As noted above, those requirements have varied most recently with
developments in litigation, rulemaking, or both. Congress has considered various legislation to
make disclosure requirements more uniform (e.g., in versions of the DISCLOSE Act) across
different kinds of political advertising.
Federal Communications Commission Rules on Political
Advertising Disclosure
Campaign finance law generally addresses only advertising that mentions political candidates or
elections. In particular, some legislation focused on political advertising (such as the Honest Ads
Act, discussed previously) primarily proposes amending FECA, but also draws on or proposes
amendments to concepts addressed in telecommunications law or regulation. Another CRS report
provides additional detail on the latter.125
In BCRA, Congress required broadcasters to place information about political advertising prices
and purchases in a “political file” available for public inspection.126 Partially in response to
Citizens United, in 2011 the FCC revisited rulemaking proceedings the agency began in 2007 to
consider whether broadcasters should be required to make information from the political file
available on the internet rather than only through paper records at individual television stations.
On April 27, 2012, the FCC approved rules to require television broadcasters affiliated with the
ABC, CBS, Fox, and NBC networks in the top 50 designated market areas (DMAs) to post
political file information on the commission’s website.127 These rules took effect on August 2,
2012. Stations outside the top 50 DMAs or unaffiliated with the top four networks were required
124 For additional discussion, see also Zainab Smith, Appeals Court Affirms Invalidation of Disclosure Rule in
Crossroads GPS v. CREW (18-5261), Federal Election Commission, Record newsletter, August 26, 2020,
https://www.fec.gov/updates/appeals-court-affirms-invalidation-disclosure-rule-crossroads-gps-v-crew-18-5261/.
125 See CRS Report R46516, Identifying TV Political and Issue Ad Sponsors in the Digital Age, by Dana A. Scherer.
126 The relevant provision appears in §504 of BCRA (P.L. 107-155). Although BCRA primarily amended FECA (2
U.S.C. §431 et seq.), the “political file” requirement amended the 1934 Communications Act. See 47 U.S.C. §315.
127 Federal Communications Commission, Second Report and Order, In the Matter of Standardized and Enhanced
Disclosure Requirements for Television Broadcast Licensee Public Interest Obligations, MM Docket No. 00-168, April
27, 2012, http://transition.fcc.gov/Daily_Releases/Daily_Business/2012/db0427/FCC-12-44A1.pdf. See also Federal
Communications Commission, “Standardized and Enhanced Disclosure Requirements for Television Broadcast
Licensee Public Interest Obligations,” 77 Federal Register 27631, May 11, 2012.
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to comply as of July 2014.128 In February 2016, the FCC extended the online-disclosure
requirements to cable and satellite operators and broadcast radio.129 In addition, in 2019 and 2020,
the FCC issued clarifications to political file rules concerning availability of information about
advertising that addresses certain policy or legislative issues.130
Revisiting Disclosure Requirements
Historically, disclosure aimed at reducing the threat of real or apparent corruption has received
bipartisan support. In fact, disclosure typically has been regarded as one of the least controversial
aspects of an otherwise often-contentious debate over the nation’s campaign finance policy.
Disclosure, then, could yield opportunities for cooperation among Members of both major parties
and across both chambers. On the other hand, some recent disclosure efforts have generated
controversy. Particularly since the 111th Congress consideration of the DISCLOSE Act, some
lawmakers raised concerns about whether the legislation applied fairly to various kinds of
organizations (e.g., corporations versus unions), and how much information those airing
independent messages rather than making direct candidate contributions should be required to
report to the FEC.
Post-Citizens United legislative activity among those who favor additional disclosure has
generally emphasized the DISCLOSE Act, but, as noted elsewhere in this report, some have also
proposed reporting particular kinds of spending to agencies such as the IRS or the SEC. As noted
previously, litigation and FEC rulemakings in the past decade have also considered the
applicability of the “purpose of furthering” donor-disclosure standard for ECs and IEs.
Additional disclosure poses the advantage of making it easier to track the flow of political money.
Disclosure, however, does not guarantee complete information, nor does it necessarily guard
against all forms of potential corruption. For example, current requirements generally make it
possible to identify which people or organizations were involved in a political transaction. This
information promotes partial transparency, but does not, in and of itself, provide detailed
information about what motivates those transactions or, in some cases, where the funds in
question originated.131 Additional disclosure requirements from Congress, the FEC, or the IRS
could provide additional clarity.
Disclosure and Disclaimers in Online and Digital Communications
Disclosure and the related topic of disclaimers (referring to statements of attribution in political
advertising) in online advertising have been especially prominent topics in recent years. In
particular, after the Citizens United decision, and reports of foreign interference in the 2016
elections using social media, renewed interest in online advertising appeared in Congress and at
the FEC.
128 See Federal Communications Commission, “Media Bureau Reminds Television Broadcasters of July 1, 2014 Online
Political File Deadline,” press release, April 4, 2014, http://transition.fcc.gov/Daily_Releases/Daily_Business/2014/
db0404/DA-14-464A1.pdf.
129 See Federal Communications Commission, “Expansion of Online Public File Obligations to Cable and Satellite TV
Operators and Broadcast and Satellite Radio Licensees,” 81 Federal Register 10105, February 29, 2016; and Federal
Communications Commission, “Expansion of Online Public File Obligations to Cable and Satellite TV Operators and
Broadcast and Satellite Radio Licensees,” 80 Federal Register 8031, February 13, 2015.
130 For additional discussion, see CRS Report R46516, Identifying TV Political and Issue Ad Sponsors in the Digital
Age, by Dana A. Scherer.
131 Some refer to obscuring the original source of funds that eventually affect candidate campaigns as “dark money,”
although the term is unofficial.
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In 2011, the FEC announced an Advanced Notice of Proposed Rulemaking (ANPRM) to receive
comments on whether it should update its rules concerning internet disclaimers, but the agency
did not advance new rules. In 2016, amid the increased online activity surrounding the 2016
election cycle, the FEC announced that it was reopening the comment period on the 2011
ANPRM. It again reopened the comment period in October 2017. Several Members of Congress
filed comments. On November 16, 2017, the FEC voted to draft revised internet-disclaimer rules
(a notice of proposed rulemaking) for paid advertising. The commission may consider adopting
those revised rules in the future.132
Congress has not enacted legislation focused specifically on online campaign activity, although
elements of existing statute and FEC rules address internet communications. As noted elsewhere
in this report, Congress has considered legislation that proposes additional disclosure and
disclaimer requirements in online advertising. The Honest Ads Act, which originated in the 115th
Congress (2017-2018), has been the most prominent such legislation and has been introduced
both as stand-alone legislation and as a component of other bills thereafter.
In October 2017, the Honest Ads Act (H.R. 4077; S. 1989) was introduced to amend FECA to
further regulate some online ads. On October 24, 2018, the House Committee on Oversight and
Government Reform, Subcommittee on Information Technology, held a hearing that addressed
disclaimers and disclosures surrounding online political advertising generally. Honest Ads Act
language was reintroduced as stand-alone legislation, as components of broader legislation, or
both, in subsequent Congresses (e.g., H.R. 2592 and S. 1356 in the 116th Congress; H.R. 11, H.R.
2599 and S. 486 in the 118th Congress).
Revisiting Limits on Contributions or Coordinated Party
Expenditures
After Citizens United, one potential concern is how candidates will be able to field competitive
campaigns amid unlimited expenditures from super PACs, 501(c) organizations, corporations, or
unions. One option for providing additional financial resources to candidates, parties, or both,
would be to raise or eliminate contribution limits. Particularly if contribution limits were
eliminated, corruption concerns that motivated FECA and BCRA could reemerge. As noted
previously, Congress raised limits for some contributions to political parties in 2014.
Another option, which Congress has occasionally considered in recent years, would be to raise or
eliminate current limits on coordinated party expenditures.133 Coordinated expenditures allow
parties to buy goods or services on behalf of a campaign—in limited amounts—and to discuss
those expenditures with the campaign.134 In a post-Citizens United and post-McCutcheon
environment, additional party-coordinated expenditures could provide campaigns facing
increased outside advertising with additional resources to respond. Permitting parties to provide
additional coordinated expenditures may also strengthen parties as institutions by increasing their
relevance for candidates and the electorate. A potential drawback of this approach is that some
132 For brief additional discussion, see CRS In Focus IF10758, Online Political Advertising: Disclaimers and Policy
Issues, by R. Sam Garrett.
133 This option would not provide campaigns with additional funding per se, but it could ease the financial burden on
campaigns for those purchases that parties make on the campaign’s behalf.
134 Coordinated party expenditures are subject to limits based on office sought, state, and voting-age population (VAP).
Exact amounts are determined by formula and updated annually by the FEC. For additional discussion, see CRS Report
RS22644, Coordinated Party Expenditures in Federal Elections: An Overview, by R. Sam Garrett and L. Paige
Whitaker; and CRS Report R41054, Campaign Finance Policy After Citizens United v. Federal Election Commission:
Issues and Options for Congress, by R. Sam Garrett.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
campaigns may feel compelled to adopt party strategies at odds with the campaign’s wishes to
receive the benefits of coordinated expenditures.135 Those concerned with the influence of money
in politics may object to any attempt to increase contribution limits or coordinated party
expenditures, even if those limits were raised in an effort to respond to labor- or corporate-funded
advertising. Additional funding in some form, however, may be attractive to those who feel that
greater resources will be necessary to compete in the modern era, or perhaps to those who support
increased contribution limits as a step toward campaign deregulation.
On June 30, 2025, the Supreme Court agreed to hear a First Amendment challenge to the
coordinated party expenditure limits during its term beginning in October 2025.136
Revisiting Coordination Requirements
Both before and after Citizens United, questions have persisted about whether unlimited
independent expenditures permit parties, PACs, and other groups to subsidize candidate
campaigns despite FECA’s contribution limits. Such concerns first emerged in the 1980s with
PAC spending. After Citizens United, the emergence of super PACs and increased activity by
501(c) organizations increased attention to a concept known as coordination. A product of FEC
regulations, coordination restrictions are designed to ensure that valuable goods or services—such
as polling or staff expertise—are not provided to campaigns in excess of federal contribution
limits. In practice, establishing coordination is difficult. Existing regulations require satisfying a
complex three-part test examining conduct, communications, and payment.137 Some Members of
Congress and advocacy groups have proposed that Congress specify a more precise coordination
standard by enacting legislation. Depending on the outcome of the litigation, the Supreme Court
litigation discussed in the previous section also could have implications for reconsidering
coordination requirements.
Conclusion
Some elements of federal campaign finance policy have substantially changed since 2010; others
have remained unchanged. Enactment of BCRA in 2002 marked the culmination of efforts to
limit soft money in federal elections and place additional regulations on political advertising
airing before elections. BCRA was an extension of efforts begun in the 1970s, with enactment of
FECA, to regulate and document the flow of money in federal elections. BCRA’s soft-money ban
and some other provisions remain in effect; but Citizens United, SpeechNow, and other litigation
since BCRA have reversed major elements of modern campaign finance law.
135 The long-running debate about relationships between parties and candidates is well documented. For a brief
overview, see, for example, Marjorie Randon Hershey, Party Politics in America, 12th ed., pp. 65-83; and Paul S.
Herrnson, Congressional Elections: Campaigning at Home and in Washington, 4th ed., pp. 86-128.
136 See Supreme Court of the United States, Order List, June 30, 2025, https://www.supremecourt.gov/orders/
courtorders/063025zor_7647.pdf. The case is NRSC et al. v. FEC et al.
137 On coordination and the three-part regulatory test for coordination, see, respectively 52 U.S.C. §30116 (previously
codified at 2 U.S.C. §441a(a)(7)(B)) and 11 C.F.R. §109.21. See also CRS Report R45320, Campaign Finance Law:
An Analysis of Key Issues, Recent Developments, and Constitutional Considerations for Legislation, by L. Paige
Whitaker.
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The State of Campaign Finance Policy: Recent Developments and Issues for Congress
The changes discussed in this report suggest that the nation’s campaign finance policy may be a
continuing issue for Congress. Disclosure requirements, a hallmark of federal campaign finance
policy, remain unchanged, but the topic has taken on new controversy. Additional information
would be required to fully document the sources and rationales behind all political expenditures.
For some, such disclosure would improve transparency and discourage corruption. For others,
additional disclosure might be viewed with suspicion and as a potential sign of government
intrusion. Particularly in recent years, tension has also developed between competing perspectives
about whether disclosure limits potential corruption or stigmatizes those who might choose to
support unpopular candidates or groups.
Fundraising, spending, and reporting questions have been at the forefront of recent debates in
campaign finance policy, but they are not the only issues that may warrant attention. Even if no
legislative changes are made, additional regulation and litigation are likely, as is the constant
debate over the role of money in politics. Although some of the specifics are new, these themes
discussed throughout this report have been present in campaign finance policy for decades.
Author Information
R. Sam Garrett
Specialist in American National Government
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