The Democracy Is Strengthened by Casting Light On Spending in Elections Act or DISCLOSE Act is a federal
campaign finance reform bill
Bill(s) may refer to:
Common meanings
* Banknote, paper cash (especially in the United States)
* Bill (law), a proposed law put before a legislature
* Invoice, commercial document issued by a seller to a buyer
* Bill, a bird or animal's beak
Plac ...
that has been introduced in the
United States Congress
The United States Congress is the legislature of the federal government of the United States. It is bicameral, composed of a lower body, the House of Representatives, and an upper body, the Senate. It meets in the U.S. Capitol in Washing ...
since 2010. The bill would amend the
Federal Election Campaign Act of 1971
The Federal Election Campaign Act of 1971 (FECA, , ''et seq.'') is the primary United States federal law regulating political campaign fundraising and spending. The law originally focused on creating limits for campaign spending on communicatio ...
to provide for greater and faster public disclosure of
campaign spending and to combat the use of so called "
dark money
In the politics of the United States, dark money refers to spending to influence elections where the source of the money is not disclosed to voters. In the United States, some types of nonprofit organizations may spend money on campaigns wi ...
" in U.S. elections.
The DISCLOSE Act passed the
House of Representatives
House of Representatives is the name of legislative bodies in many countries and sub-national entitles. In many countries, the House of Representatives is the lower house of a bicameral legislature, with the corresponding upper house often c ...
in June 2010 on a 219–206 vote, but was defeated in the
Senate
A senate is a deliberative assembly, often the upper house or chamber of a bicameral legislature. The name comes from the ancient Roman Senate (Latin: ''Senatus''), so-called as an assembly of the senior (Latin: ''senex'' meaning "the el ...
following a successful
Republican
Republican can refer to:
Political ideology
* An advocate of a republic, a type of government that is not a monarchy or dictatorship, and is usually associated with the rule of law.
** Republicanism, the ideology in support of republics or agains ...
filibuster
A filibuster is a political procedure in which one or more members of a legislative body prolong debate on proposed legislation so as to delay or entirely prevent decision. It is sometimes referred to as "talking a bill to death" or "talking out ...
; after
cloture
Cloture (, also ), closure or, informally, a guillotine, is a motion or process in parliamentary procedure aimed at bringing debate to a quick end. The cloture procedure originated in the French National Assembly, from which the name is taken. ...
motions in July 2010 and September 2010 resulted in 57–41 and 59–39 votes, respectively, failing to obtain the necessary 60 votes to advance. Senate and House
Democrats, such as Senator
Sheldon Whitehouse
Sheldon Whitehouse (born October 20, 1955) is an American lawyer and politician serving as the junior United States senator from Rhode Island since 2007. A member of the Democratic Party, he served as a United States Attorney from 1993 to 1998 ...
of
Rhode Island
Rhode Island (, like ''road'') is a U.S. state, state in the New England region of the Northeastern United States. It is the List of U.S. states by area, smallest U.S. state by area and the List of states and territories of the United States ...
, have re-introduced variants of the DISCLOSE Act to each succeeding Congress since 2010. An unsuccessful 2014 version of the bill was sponsored by 50 Senate Democrats.
In 2019, the DISCLOSE Act requirements were incorporated into the broader
For the People Act
The For the People Act, introduced as H.R.1, is a bill in the United States Congress intended to expand voting rights, change campaign finance laws to reduce the influence of money in politics, ban partisan gerrymandering, and create new eth ...
(H.R. 1), which passed the Democratic-controlled House of Representatives on a party-line 234–193 vote, but did not advance in the then Republican-controlled Senate.
Background and provisions
In 2010, the Supreme Court issued a 5–4 decision in ''
Citizens United v. FEC
''Citizens United v. Federal Election Commission'', 558 U.S. 310 (2010), was a landmark decision of the Supreme Court of the United States regarding campaign finance laws and free speech under the First Amendment to the U.S. Constitution. It wa ...
'', ruling that 2 U.S.C. 441a, which prohibited corporations and unions from making independent expenditures in political campaigns, was unconstitutional. The decision overturned an earlier decision, ''
Austin v. Michigan Chamber of Commerce'' (1990).
[David M. Herszenhorn]
Campaign Finance Bill Is Set Aside
''New York Times'' (July 27, 2010). In response,
Democrats in Congress introduced the DISCLOSE Act to establish new disclosure and other requirements for campaign-related spending.
[T.W. Farnam]
The Influence Industry: Disclose Act could deter involvement in elections
''Washington Post'' (May 13, 2010). Democrats sought to enhance transparency requirements because the ''Citizens United'' decision, while striking down some federal campaign finance laws, upheld the existing federal disclosure requirements and indicated that Congress and states could constitutionally require further disclosures, stating that "Transparency enables the electorate to make informed decisions and give proper weight to different speakers and messages."[Mark Schmitt]
Cynics United: When Did Conservatives Change Their Mind About Campaign Finance Disclosure?
''New Republic'' (June 4, 2012).
The bill would amend the Federal Election Campaign Act of 1971
The Federal Election Campaign Act of 1971 (FECA, , ''et seq.'') is the primary United States federal law regulating political campaign fundraising and spending. The law originally focused on creating limits for campaign spending on communicatio ...
to provide for greater and faster public disclosure of campaign spending and to combat the use of "dark money" in U.S. elections (which increased from $69 million in 2008 to $310 million in 2012).[Andy Kroll]
Senate Democrats Re-up Their Dark-Money Disclosure Bill—and Dare GOPers to Block It
''Mother Jones'' (June 24, 2014). The 2018 version of the DISCLOSE Act bill:[One-Pager, The DISCLOSE Act of 2018]
Office of Senator Sheldon Whitehouse (2018).
* Would require "covered organizations" (defined to include corporations, labor organizations, 501(c)(4)
A 501(c) organization is a nonprofit organization in the Law of the United States#Federal law, federal law of the United States according to Internal Revenue Code (26 U.S.C. § 501(c)) and is one of over 29 types of nonprofit organizations exe ...
groups, 527 organization
A 527 organization or 527 group is a type of U.S. tax-exempt organization organized under Section 527 of the U.S. Internal Revenue Code (). A 527 group is created primarily to influence the selection, nomination, election, appointment or defea ...
s and super PACs) to file reports disclosing election spending of $10,000 or more with the Federal Election Commission
The Federal Election Commission (FEC) is an independent regulatory agency of the United States whose purpose is to enforce campaign finance law in United States federal elections. Created in 1974 through amendments to the Federal Election Cam ...
within 24 hours, and to also list, in the disclosure report, the sources of all contributions of $10,000 received by the covered organization during that election cycle.[ An exception to the disclosure requirement is provided for non-political contributions.
* Would add a "stand by your ad" provision 'requiring leaders of corporations, unions, and other organizations to identify that they are behind political ads."][
* Would repeal earlier legislative provisions prohibiting "(i) the SEC from requiring public companies to disclose their political spending to shareholders; (ii) the ]IRS
The Internal Revenue Service (IRS) is the revenue service for the United States federal government, which is responsible for collecting U.S. federal taxes and administering the Internal Revenue Code, the main body of the federal statutory tax ...
from issuing needed regulations on 501(c)(4) social welfare organizations; and (iii) the government from requiring federal contractors to disclose their political donations as part of the bidding process."[
* Would prohibit U.S. corporations "with significant foreign control, ownership, or direction from spending money in elections" but allows U.S. subsidiaries of foreign corporations "to continue to have employee PACs as long as no foreign nationals have decision-making authority or control of the PAC."][
* Would restrict the use of ]shell companies
A shell corporation is a company or corporation that exists only on paper and has no office and no employees, but may have a bank account or may hold passive investments or be the registered owner of assets, such as intellectual property, or ...
as conduits for election funding by requiring companies that are engaged in election expenditures to disclose the true owners.[
]
Legislative history
The chief sponsors of the 2010 bill were Representative Chris Van Hollen
Christopher Van Hollen Jr. (born January 10, 1959) is an American attorney and politician serving as the junior United States senator from Maryland since 2017. A member of the Democratic Party, Van Hollen served as the U.S. representative for ...
, the chairman of the Democratic Congressional Campaign Committee
The Democratic Congressional Campaign Committee (DCCC) is the United States Democratic Party, Democratic Hill committee for the United States House of Representatives, working to elect Democrats to that body. The DCCC recruits candidates, raises ...
, and Senator Charles Schumer
Charles Ellis Schumer ( ; born November 23, 1950) is an American politician serving as Senate Majority Leader since January 20, 2021. A member of the Democratic Party, Schumer is in his fourth Senate term, having held his seat since 1999, and ...
, a former chairman of the Democratic Senatorial Campaign Committee
The Democratic Senatorial Campaign Committee (DSCC) is the United States Democratic Party, Democratic Hill committee for the United States Senate. It is the only organization solely dedicated to electing Democrats to the United States Senate. ...
.[ The bill attracted almost no support from Republicans;][ among the 114 co-sponsors of the 2010 House version of the legislation, only two (]Mike Castle
Michael Newbold Castle (born July 2, 1939) is an American lawyer and politician who was governor of Delaware (1985–92) and the U.S. representative for (1993–2011). He is a member of the Republican Party.
The district includes the entire ...
of Delaware and Walter B. Jones Jr.
Walter Beaman Jones Jr. (February 10, 1943 – February 10, 2019) was an American politician who served twelve terms in the United States House of Representatives as a member of the Republican Party for from 1995 until his death in 2019. The di ...
of North Carolina) were Republicans.[
The DISCLOSE Act (H.R. 5175) passed the U.S. House of Representatives in June 2010 on a 219–206 vote, but was defeated in the Senate following a successful Republican ]filibuster
A filibuster is a political procedure in which one or more members of a legislative body prolong debate on proposed legislation so as to delay or entirely prevent decision. It is sometimes referred to as "talking a bill to death" or "talking out ...
; after cloture motions in July 2010 and September 2010 resulted in 57–41 and 59–39 votes, respectively, failing to obtain the necessary 60 votes to advance. Senator Sheldon Whitehouse of Rhode Island, and other Senate and House Democrats, have re-introduced variants of the DISCLOSE Act to each succeeding Congress since 2010. In July 2012, the Senate again debated the DISCLOSE Act, but a motion to invoke cloture was defeated on a 53–45 vote.[The State of Campaign Finance Policy: Recent Developments and Issues for Congress]
Congressional Research Service
The Congressional Research Service (CRS) is a public policy research institute of the United States Congress. Operating within the Library of Congress, it works primarily and directly for members of Congress and their committees and staff on a c ...
(updated December 13, 2018), pp. 5-6. The Senate Rules Committee
The Senate Committee on Rules and Administration, also called the Senate Rules and Administration Committee, is responsible for the rules of the United States Senate, administration of congressional buildings, and with credentials and qualificat ...
held one hearing on the bill in the 113th Congress (2013-2014), and no significant legislative activity took place in the next two Congresses.[ The unsuccessful 2014 version of the bill was sponsored by 50 Senate Democrats.][
In 2019, the DISCLOSE Act requirements were incorporated into the broader ]For the People Act
The For the People Act, introduced as H.R.1, is a bill in the United States Congress intended to expand voting rights, change campaign finance laws to reduce the influence of money in politics, ban partisan gerrymandering, and create new eth ...
(H.R. 1),[Catie Edmondson]
House Democrats Will Vote on Sweeping Anti-Corruption Legislation. Here's What's in It.
''New York Times'' (March 7, 2019).[Kate Ruane & Sonia Gill]
Congress, Let's Fix the Problems in H.R. 1 So We Can Enact the Bill's Much-Needed Reforms
American Civil Liberties Union (March 5, 2019). which passed the Democratic-controlled House of Representatives on a party-line 234–193 vote, and has not advanced in the Republican-controlled Senate.
Support and opposition
The DISCLOSE Act is supported by congressional Democrats, who describe it as a campaign finance reform measure necessary to combat dark money
In the politics of the United States, dark money refers to spending to influence elections where the source of the money is not disclosed to voters. In the United States, some types of nonprofit organizations may spend money on campaigns wi ...
in response to the ''Citizen United'' decision.[Ted Barrett]
Senate Republicans block DISCLOSE Act for second straight day
CNN (July 17, 2012). The chief sponsor of the legislation, Senator Sheldon Whitehouse
Sheldon Whitehouse (born October 20, 1955) is an American lawyer and politician serving as the junior United States senator from Rhode Island since 2007. A member of the Democratic Party, he served as a United States Attorney from 1993 to 1998 ...
of Rhode Island
Rhode Island (, like ''road'') is a U.S. state, state in the New England region of the Northeastern United States. It is the List of U.S. states by area, smallest U.S. state by area and the List of states and territories of the United States ...
, said that the DISCLOSE Act was necessary to counter big-money campaign expenditures that threaten "to drown out the voice of middle-class families in our democracy."[ while Senator Schumer described the legislation as a way to "limit fallout" from the ''Citizens United'' decision to constrain the influence of "unlimited special-interest spending on elections." The legislation was supported by President ]Barack Obama
Barack Hussein Obama II ( ; born August 4, 1961) is an American politician who served as the 44th president of the United States from 2009 to 2017. A member of the Democratic Party, Obama was the first African-American president of the U ...
, who said that the bill as "a critical piece of legislation to control the flood of special interest money into our elections" and praised its provisions that "would establish the strongest-ever disclosure requirements for election-related spending by special interests, including Wall Street and big oil companies, and...would restrict spending by foreign-controlled corporations" to "give the American public the right to see exactly who is spending money in an attempt to influence campaigns for public office."
The legislation is also supported by reform-oriented groups,[Scott Zimmerman]
Democrats Reintroduce DISCLOSE Act to Combat Dark Money "Poison"
Center for Media and Democracy (July 10, 2018). such as Common Cause
Common Cause is a watchdog group based in Washington, D.C., with chapters in 35 states. It was founded in 1970 by John W. Gardner, a Republican, who was the former Secretary of Health, Education, and Welfare in the administration of President L ...
, Public Citizen
Public Citizen is a non-profit, progressive consumer rights advocacy group and think tank based in Washington, D.C., United States, with a branch in Austin, Texas.
Lobbying efforts
Public Citizen advocates before all three branches of the Unit ...
, Democracy 21
Democracy 21 is a non-profit organization in the United States that aims to combat the influence of private money in politics by enacting campaign finance reform. It was founded in 1997 by longtime activist Fred Wertheimer
Fredric Michael "Fred ...
, the League of Women Voters
The League of Women Voters (LWV or the League) is a nonprofit, nonpartisan political organization in the United States. Founded in 1920, its ongoing major activities include registering voters, providing voter information, and advocating for vot ...
, and the Campaign Legal Center
Campaign Legal Center (CLC) is a nonprofit 501(c)(3) government watchdog group in the United States. CLC supports strong enforcement of United States campaign finance laws. Trevor Potter, former Republican chairman of the Federal Election Comm ...
,[Russell Berman]
Dems face backlash from liberal groups over NRA deal
''The Hill'' (June 15, 2010). as well as the Brennan Center for Justice
The Brennan Center for Justice at New York University School of Law (NYU Law) is a nonprofit law and public policy institute. The organization is named after Supreme Court Justice William J. Brennan Jr. Generally considered Modern liberalism in th ...
, Citizens for Responsibility and Ethics in Washington, Demos
Demos may refer to:
Computing
* DEMOS, a Soviet Unix-like operating system
* DEMOS (ISP), the first internet service provider in the USSR
* Demos Commander, an Orthodox File Manager for Unix-like systems
* plural for Demo (computer programming)
...
, People For the American Way, and the Sunlight Foundation
The Sunlight Foundation was an American 501(c)(3) nonpartisan, nonprofit organization that advocated for open government. The organization was founded in April 2006 with the goal of increasing transparency and accountability in the United States ...
.[ Supporters of the bill argue that the proposed disclosure requirements are constitutional under applicable Supreme Court precedent, such as '' Doe v. Reed''.][
The U.S. ]Public Interest Research Group
Public Interest Research Groups (PIRGs) are a federation of U.S. and Canadian non-profit organizations that employ grassroots organizing and direct advocacy on issues such as consumer protection, public health and transportation. The PIRGs are cl ...
and Sierra Club
The Sierra Club is an environmental organization with chapters in all 50 United States, Washington D.C., and Puerto Rico. The club was founded on May 28, 1892, in San Francisco, California, by Scottish-American preservationist John Muir, who be ...
initially supported the 2010 bill, but pulled their support after Democrats agreed to add a provision that would exempt the National Rifle Association
The National Rifle Association of America (NRA) is a gun rights advocacy group based in the United States. Founded in 1871 to advance rifle marksmanship, the modern NRA has become a prominent Gun politics in the United States, gun rights ...
(NRA) and a handful of other large groups from the disclosure requirements at the heart of the legislation.[ This carve-out for the NRA was eliminated in the 2012 version of the legislation, which prompted the NRA to oppose the bill.
The ]AFL–CIO
The American Federation of Labor and Congress of Industrial Organizations (AFL–CIO) is the largest federation of unions in the United States. It is made up of 56 national and international unions, together representing more than 12 million ac ...
supported legislative action to counter the ''Citizens United'' decision and what it termed "the excessive and disproportionate influence by business." The labor federation did not object to the House version of the 2010 legislation, but did publicly oppose the Senate version of the legislation because it would have required affiliate unions to disclose financial transfers within their labor federations, which the AFL-CIO objected to as "extraordinary new costly and impractical record-keeping and reporting obligations on thousands of labor (and other non-profit) organizations with regard to routine inter-affiliate payments that bear little or no connection with public communications about federal elections."
The DISCLOSE Act was opposed by congressional Republicans, who in 2012 filibustered the legislation in the Senate.[Rosalind S. Helderman]
DISCLOSE Act, new donor transparency law, blocked in Senate
''Washington Post'' (July 16, 2012).[ Republicans such as then-]Senate Minority Leader
The positions of majority leader and minority leader are held by two United States senators and members of the party leadership of the United States Senate. They serve as the chief spokespersons for their respective political parties holding ...
Mitch McConnell
Addison Mitchell McConnell III (born February 20, 1942) is an American politician and retired attorney serving as the senior United States senator from Kentucky and the Senate minority leader since 2021. Currently in his seventh term, McConne ...
contend that the legislation's transparency requirements would violate constitutional free speech rights and are an attempt by Democrats to impose a chilling effect
In a legal context, a chilling effect is the inhibition or discouragement of the legitimate exercise of natural and legal rights by the threat of legal sanction. A chilling effect may be caused by legal actions such as the passing of a law, the ...
on political giving.[ The legislation was also opposed by right-wing advocacy organizations, including the ]Institute for Free Speech
The Institute for Free Speech (IFS), formerly called the Center for Competitive Politics, is a 501(c)(3) non-profit organization formerly headquartered in Alexandria, Virginia, and now in Washington, D.C. IFS' mission is to "promote and defend the ...
(formerly the Center for Competitive Politics), Heritage Foundation
The Heritage Foundation (abbreviated to Heritage) is an American conservative think tank based in Washington, D.C. that is primarily geared toward public policy. The foundation took a leading role in the conservative movement during the presiden ...
, Americans for Tax Reform
Americans for Tax Reform (ATR) is a politically conservative U.S. advocacy group whose stated goal is "a system in which taxes are simpler, flatter, more visible, and lower than they are today." According to ATR, "The government's power to control ...
, American Conservative Union
The American Conservative Union (ACU) is an American political organization that advocates for conservative policies, ranks politicians based on their level of conservatism, and organizes the Conservative Political Action Conference. Founded on ...
, CatholicVote.org
CatholicVote.org is a conservative, non-profit political advocacy group based in the United States. While the organization acknowledges the authority of the Magisterium, it is independent of the Catholic Church.
Structure
CatholicVote.org is di ...
, and Citizens Against Government Waste,[ as well as the ]United States Chamber of Commerce
The United States Chamber of Commerce (USCC) is the largest lobbying group in the United States, representing over three million businesses and organizations. The group was founded in April 1912 out of local chambers of commerce at the urging ...
and National Federation of Independent Business
The National Federation of Independent Business (NFIB) is an association of small businesses in the United States. It is headquartered in Nashville, Tennessee, with offices in Washington, D.C., and all 50 state capitals. The goal of NFIB is to ad ...
.
The American Civil Liberties Union
The American Civil Liberties Union (ACLU) is a nonprofit organization founded in 1920 "to defend and preserve the individual rights and liberties guaranteed to every person in this country by the Constitution and laws of the United States". T ...
(ACLU) also expressed opposition in 2010 and 2019 to proposed DISCLOSE Act requirements, arguing that it unnecessarily impinge on free speech rights, subject recipients to "onerous and intrusive disclosure requirements," and adversely impact donor anonymity.
See also
* Interest advocacy
*Independent expenditure
An independent expenditure, in elections in the United States, is a political campaign communication that Issue advocacy ads, expressly advocates for the election or defeat of a clearly identified candidate that is not made in cooperation, consulta ...
*" Follow the money"
* Political action committee
Notes
References
{{reflist
Campaign finance reform in the United States
Proposed legislation of the 112th United States Congress
Proposed legislation of the 113th United States Congress
Proposed legislation of the 114th United States Congress
Proposed legislation of the 115th United States Congress
Proposed legislation of the 116th United States Congress
Proposed legislation of the 117th United States Congress