Ban Corporate PACs Act
Sen. Kelly Introduces Ban Corporate PACs Act to Block For-Profit Companies from Political Spending
This bill is currently in the early stages of the legislative process after being sent to the Senate Committee on Rules and Administration for review. It is considered active, but there are no upcoming votes or hearings scheduled at this time. The bill is waiting for the committee to decide if it should move forward for further consideration.
Passage Likelihood
Legislative Progress
Key Points
- This bill would ban for-profit corporations from creating or running political action committees (PACs), which are special funds used to donate money to political candidates. Only nonprofit organizations would be allowed to operate these political funds going forward.
From policy text
“To amend the Federal Election Campaign Act of 1971 to limit the authority of corporations to establish and operate separate segregated funds utilized for political purposes, including the establishment or operation of a political committee, to nonprofit corporations”
View in full text - The bill defines which nonprofits qualify by pointing to IRS tax-exempt status under section 501(c). Nonprofits that would lose their tax-exempt status by creating a PAC would also be blocked from doing so.
From policy text
“the term `nonprofit corporation' means a corporation described in section 501(c) of the Internal Revenue Code of 1986 and exempt from taxation under section 501(a) of such Code, other than a corporation which is ineligible to be exempt from taxation under section 501(a) of such Code if it establishes a separate segregated fund under this subsection”
View in full text - Current law lets corporations ask their stockholders and their families for PAC donations. This bill removes stockholders from the list entirely, so only executive and administrative personnel could be solicited by the remaining eligible nonprofit PACs.
- Any existing for-profit corporate PAC that is already up and running when this law takes effect would have exactly one year to shut down and spend all its remaining money.
From policy text
“the fund shall terminate and disburse its entire balance not later than 1 year after the date of the enactment of this Act”
View in full text - The bill was introduced by a bipartisan group of senators including Kelly, Slotkin, Kim, and Warren, and has been referred to the Committee on Rules and Administration. It would take effect immediately upon enactment.
From policy text
“The amendments made by this Act shall take effect on the date of the enactment of this Act.”
View in full text
Impact Analysis
Personal Impact
Milestones
Read twice and referred to the Committee on Rules and Administration.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
Related News
2 articlesExclusive: Dems propose corporate PAC ban
Sens. Mark Kelly and Elissa Slotkin are introducing the Ban Corporate PACs Act, a bill that would prohibit for-profit corporations from forming and using political action committees. The move comes as campaign finance reform remains a dividing issue within the Democratic party.
Senate Democrats push to ban corporate PAC money
Democratic Sens. Elissa Slotkin and Mark Kelly introduced a bill that would ban for-profit corporations from forming PACs. The Ban Corporate PACs Act would also block other PACs from soliciting corporate donations and force existing corporate PACs to dissolve within one year.
Source Information
Document Type
Congressional Bill
Official Title
Ban Corporate PACs Act
Data Sources
Sponsor
Cosponsors
(3)Analysis generated by AI. Always verify with official sources.