[DOCID: f:hr043.110]
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110th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 110-43
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PRESIDENTIAL LIBRARY DONATION REFORM ACT OF 2007
_______
March 9, 2007.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Waxman, from the Committee on Oversight and Government Reform,
submitted the following
R E P O R T
together with
ADDITIONAL VIEWS
[To accompany H.R. 1254]
[Including cost estimate of the Congressional Budget Office]
The Committee on Oversight and Government Reform, to whom
was referred the bill (H.R. 1254) to amend title 44, United
States Code, to require information on contributors to
Presidential library fundraising organizations, having
considered the same, report favorably thereon without amendment
and recommend that the bill do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 2
Legislative History.............................................. 4
Section-by-Section............................................... 4
Explanation of Amendments........................................ 5
Committee Consideration.......................................... 5
Rollcall Votes................................................... 5
Application of Law to the Legislative Branch..................... 5
Statement of Oversight Findings and Recommendations of the
Committee...................................................... 5
Statement of General Performance Goals and Objectives............ 5
Constitutional Authority Statement............................... 5
Federal Advisory Committee Act................................... 6
Unfunded Mandate Statement....................................... 6
Earmark Identification........................................... 6
Committee Estimate............................................... 6
Budget Authority and Congressional Budget Office Cost Estimate... 6
Changes in Existing Law Made by the Bill as Reported............. 8
Additional Views of Representative Tom Davis..................... 10
Purpose and Summary
H.R. 1254, the ``Presidential Library Donations Reform Act
of 2007,'' was introduced March 1, 2007, by Reps. Henry A.
Waxman, John Duncan, Wm. Lacy Clay, Todd Russell Platts, and
Rahm Emanuel. The legislation requires organizations that raise
funds for presidential libraries and their affiliated
facilities to disclose information about their donors to
Congress and the National Archives and Records Administration
(NARA). It further requires NARA to make that information
available to the public in a searchable format. Under existing
law, these organizations can raise unlimited amounts of money
from undisclosed donors, even while the president remains in
office. This bill brings transparency to the presidential
library fundraising process.
Background and Need for Legislation
The presidential library system was created in 1939, when
President Franklin Roosevelt proposed the creation of a
federally maintained repository to house his presidential
papers and other historical materials. He raised private funds
for the construction of a library facility and then turned the
facility and his papers over to the federal government for
operation by NARA. This system was put into law in 1955, when
the Presidential Libraries Act established a policy for
creating federally maintained presidential libraries that are
built with private funds. The Act requires foundations or other
organizations to raise money and build the libraries. Once they
are built, the libraries are then turned over to NARA to be
managed as federal facilities.
Amendments to the Presidential Libraries Act in 1986
established new requirements for presidential libraries,
including new financial obligations for the private foundations
that build the libraries. Out of concern for the growing cost
to taxpayers of library maintenance, the amendments required
that the foundation provide an operating endowment to NARA when
the foundation transfers possession of the facility. That
endowment was set at 20% of the cost of the building for
libraries of 70,000 square feet or less, and for larger
facilities this percentage increases in accordance with the
size of the facility. The Consolidated Appropriations Act of
2003 increased the required endowment to at least 40% of the
cost of the building for future presidents.\1\
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\1\ Pub. L. 108-7. The new requirements apply to ``any President
who takes the oath of office as President for the first time on or
after July 1, 2002.''
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Presidential libraries often include various facilities in
addition to the library, such as museums, conference centers,
or classrooms. These presidential facilities can be large and
the costs for development and construction can be substantial.
Press accounts indicate that the George H.W. Bush library cost
$83 million to build, the Clinton library cost $165 million to
build, and George W. Bush hopes to raise $500 million for his
library and think tank in Texas.\2\ All of this money is raised
privately, through a foundation or other organization dedicated
to the purpose.
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\2\ See W library in Record Book, $500 M Center Would be Priciest
for a Prez, New York Daily News (Nov. 27, 2006); Bush's Dream Library,
National Journal (Dec. 2, 2006); House Bill Could Force Library Donors
Out of Shadows, The Hill (Nov. 29, 2006).
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These fundraising efforts are unrestricted. They can begin
long before a president leaves office, there are no limits on
how much can be raised from a single source, and there is no
requirement that donations to these libraries be disclosed
publicly. Observers and members of Congress have regularly
noted the possible influence that anonymous donors could exert
on a sitting president. At a hearing on presidential library
fundraising held by the Committee on February 28, 2007,
witnesses described the potential for abuse that comes with
these large fundraising campaigns. Sheila Krumholz, the
Executive Director of the Center for Responsive Politics
testified:
Herein lies the central concern: that those who
donate money to presidential libraries will in return
receive special access to, and favors from, the
president and the federal government. To minimize the
potential for that sort of payback, and to build trust
among a citizenry that already questions the ethics of
elected officials, public disclosure of contributions
to presidential library projects seems both appropriate
and wise.
H.R. 1254 requires presidential library fundraising
organizations to disclose information about their contributors.
The bill requires that all organizations established for the
purpose of raising funds for presidential libraries or their
related facilities report on a quarterly basis all
contributions of $200 or more. These organizations are required
to disclose information about their contributors while the
president is in office and during the period before the federal
government has taken possession of the library. The bill sets a
minimum reporting period of four years after the end of a
president's term.
H.R. 1254 requires presidential library fundraising
organizations to disclose to Congress and NARA the amount and
date of each contribution, the name and address of the
contributor, and if the contributor is an individual, the
occupation of the contributor. Under the bill, NARA is required
to make the information available to the public through a free,
searchable, and downloadable database on the Internet.
H.R. 1254 makes it illegal for either a contributor or an
organization raising funds for a presidential library to
knowingly submit false material information or to omit material
information regarding a contribution. It also makes it illegal
to make a contribution in the name of another person or for a
person to knowingly permit his or her name to be used to make
such a contribution. And finally, the bill makes it illegal to
knowingly accept a contribution made by one person in the name
of another person. The bill establishes penalties for each of
these actions.
The bill applies to organizations raising funds for
presidential libraries that are established before, on, or
after the date of enactment of the bill, but it applies only to
contributions (monetary or in-kind) made after the date of
enactment.
Legislative History
H.R. 1254, legislation to require disclosure of donations
to presidential libraries, was introduced on March 1, 2007, and
referred to the Committee on Oversight and Government Reform.
H.R. 1254 is similar to legislation introduced by Rep. Duncan
in the 107th Congress, H.R. 577, which the House approved by a
vote of 392-3.
The Committee held a hearing on March 1, 2007, on the issue
of public disclosure of donations to presidential libraries.
The witnesses were Sharon Fawcett, Assistant Archivist for
Presidential Records, National Archives and Records
Administration; Celia Viggo Wexler, Vice President for
Advocacy, Common Cause; and Sheila Krumholz, Executive
Director, Center for Responsive Politics.
The Committee held a markup to consider H.R. 1254 on March
8, 2007, and ordered the bill to be reported by voice vote.
Section-by-Section
Section 1. Short title
This section provides that the short title of H.R. 1254 is
the ``Presidential Library Donation Reform Act of 2007.''
Section 2. Presidential libraries
Subsection 2(a) adds a new subsection (h) to section 2112
of title 44, United States Code.
Subsection h(1) requires presidential library fundraising
organizations to submit, on a quarterly basis, information
about every contributor who gave the organization contributions
totaling $200 or more during the quarterly period. Subsection
h(2) establishes that those reports should be made to NARA, the
Committee on Oversight and Government Reform in the House of
Representatives, and the Committee on Homeland Security and
Governmental Affairs in the Senate and requires that
information to be provided by April 15, July 15, October 15,
and January 15.
Subsection h(2)(C) establishes that reporting will continue
until the latter of either the Archivist accepting, taking
title to, or entering into an agreement to use any land or
facility for the archival depository or four years passing
since the end of a president's term.
Subsection h(3)(A) defines a presidential library
fundraising organization as any organization established for
the purpose of raising funds for creating, maintaining,
expanding or conducting activities at a presidential archival
depository or related facilities. Subsection h(3)(B)
establishes that the presidential library fundraising
organizations must submit the amount of each contribution, the
name and address of the donor, the date of the contribution,
and, if the donor is an individual, the occupation of the
donor.
Subsection h(4) requires the Archivist to make the
information submitted publicly available in a free, searchable,
sortable, downloadable database.
Subsection (h)(5) prohibits a contributor from knowingly
and willfully submitting false material information or omitting
material information with respect to the contribution.
Subsection (h)(6) prohibits an organization receiving
contributions for a presidential library from knowingly and
willfully submitting false material information, or omitting
material information, regarding contributions required to be
disclosed under this bill.
Subsection (h)(7) prohibits any person from knowingly and
willfully making a contribution to a presidential library in
the name of another person or permitting his or her name to be
used to make such a contribution. This subsection also
prohibits the acceptance of contributions made by one person in
the name of another person.
Subsection (h)(8) authorizes NARA to promulgate regulations
to implement the provisions of subsection (h).
Section 2(b) provides that the bill covers organizations
that were established to raise funds for a presidential library
before, on or after the date of enactment of this bill are
covered. It also provides that the requirement to disclose
information about contributions applies only to contributions
made after the date of the bill's enactment.
Explanation of Amendments
No amendments to this bill were accepted by the Committee.
Committee Consideration
On Thursday, March 8, 2007, the Committee ordered the bill
reported to the House by a voice vote.
Rollcall Votes
No rollcall votes were taken on this legislation.
Application of Law to the Legislative Branch
Section 102(b)(3) of Public Law 104-1 requires a
description of the application of this bill to the legislative
branch where the bill relates to the terms and conditions of
employment or access to public services and accommodations.
This bill provides for disclosure of donations topresidential
library fundraising organizations. As such this bill does not relate to
employment or access to public services and accommodations.
Statement of Oversight Findings and Recommendations of the Committee
In compliance with clause 3(c)(1) of rule XIII and clause
(2)(b)(1) of Rule X of the Rules of the House of
Representatives, the Committee's oversight findings and
recommendations are reflected in the descriptive portions of
this report.
Statement of General Performance Goals and Objectives
In accordance with clause 3(c)(4) of rule XIII of the Rules
of the House of Representatives, the Committee's performance
goals and objectives are reflected in the descriptive portions
of this report.
Constitutional Authority Statement
Under clause 3(d)(1) of rule XIII of the Rules of the House
of Representatives, the Committee must include a statement
citing the specific powers granted to Congress to enact the law
proposed by H.R. 1254. Article I, Section 8, Clause 18 of the
Constitution of the United States grants the Congress the power
to enact this law.
Federal Advisory Committee Act
The Committee finds that the legislation does not establish
or authorize the establishment of an advisory committee within
the definition of 5 U.S.C. App., Section 5(b).
Unfunded Mandate Statement
Section 423 of the Congressional Budget and Impoundment
Control Act (as amended by Section 101(a)(2) of the Unfunded
Mandate Reform Act, P.L. 104-4) requires a statement whether
the provisions of the reported include unfunded mandates. In
compliance with this requirement the Committee has received a
letter from the Congressional Budget Office included herein.
Earmark Identification
H.R. 1255 does not contain any congressional earmarks,
limited tax benefits, or limited tariff benefits as defined in
clause 9(d), 9(e), or 9(f) of rule XXI.
Committee Estimate
Clause 3(d)(2) of rule XIII of the Rules of the House of
Representatives requires an estimate and a comparison by the
Committee of the costs that would be incurred in carrying out
H.R. 1255. However, clause 3(d)(3)(B) of that rule provides
that this requirement does not apply when the Committee has
included in its report a timely submitted cost estimate of the
bill prepared by the Director of the Congressional Budget
Office under section 402 of the Congressional Budget Act.
Budget Authority and Congressional Budget Office Cost Estimate
With respect to the requirements of clause 3(c)(2) of rule
XIII of the Rules of the House of Representatives and section
308(a) of the Congressional Budget Act of 1974 and with respect
to requirements of clause (3)(c)(3) of rule XIII of the Rules
of the House of Representatives and section 402 of the
Congressional Budget Act of 1974, the Committee has received
the following cost estimate for H.R. 1254 from the Director of
Congressional Budget Office:
March 9, 2007.
Hon. Henry A. Waxman,
Chairman, Committee on Oversight and Government Reform,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 1254, the
Presidential Library Donation Reform Act of 2007.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contacts are Matthew
Pickford (for federal costs), and Paige Piper/Bach (for the
private-sector impact).
Sincerely,
Peter R. Orzsag.
Enclosure.
H.R. 1254--Presidential Library Donation Reform Act of 2007
H.R. 1254 would require any organization that raises funds
for a Presidential library to disclose the sources and amounts
of such funds. The legislation would apply to donations
totaling $200 or greater per quarter while the current
President is in office and during the period before the federal
government takes possession of the library (with a minimum
reporting period of four years after a President's term).
Additionally, H.R. 1254 would require fund-raising
organizations to provide this information to the National
Archives and Records Administration (NARA) and the Congress.
The bill would direct NARA to make this information public in a
free searchable database. Finally, H.R. 1254 would establish
criminal penalties, including fines, for violations of its
provisions.
CBO estimates that implementing H.R. 1254 would cost $1
million in 2008 and about $5 million over the 2008-2012 period,
assuming appropriation of the necessary amounts. Enacting the
legislation could affect direct spending and receipts, but we
estimate that any impact would not be significant.
Based on information from NARA, CBO estimates that
requiring NARA to create an online searchable database of
Presidential library donations would have an initial startup
cost of $1 million. In addition, CBO estimates that NARA would
need $800,000 annually to update and maintain the database
after it is established. Thus, we estimate that the creation of
a single comprehensive searchable database for library
donations would cost about $5 million over the 2008-2012
period, assuming appropriation of the necessary amounts.
H.R. 1254 would establish a new federal crime for
violations of its provisions. CBO expects that H.R. 1254 would
apply to a very small number of offenders; any increase in
costs for law enforcement, court proceedings, or prison
operations would not be significant. Any such costs would be
subject to the availability of appropriated funds.
Because those prosecuted and convicted under H.R. 1254
could be subject to criminal fines, the federal government
might collect additional fines if the legislation is enacted.
Collections of such fines are recorded in the budget as
revenues, which are deposited in the Crime Victims Fund and
later spent. CBO expects that any additional receipts and
direct spending would be negligible because of the small number
of cases involved.
H.R. 1254 contains no intergovernmental mandates as defined
in the Unfunded Mandates Reform Act (UMRA) and would not affect
the budgets of state, local, or tribal governments.
H.R. 1254 would impose a private-sector mandate, as defined
by UMRA, on organizations established for the purpose of
raising funds for a Presidential library. The bill would
require those organizations to submit quarterly reports to the
Administration and certain Congressional committees detailing
the sources and amounts of certain contributions it receives.
The reports would have to be submitted for a period of time as
determined by conditions in the bill. The cost for such
organizations to report the mandated information would be
minimal. CBO estimates, therefore, that the direct cost of the
mandate would fall well below the annual threshold established
by UMRA for private-sector mandates ($131 million in 2007,
adjusted annually for inflation).
The CBO staff contacts for this estimate are Matthew
Pickford (for federal costs) and Paige Piper/Bach (for the
private-sector impact). This estimate was approved by Peter H.
Fontaine, Deputy Assistant Director for Budget Analysis.
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (new matter is
printed in italic and existing law in which no change is
proposed is shown in roman):
SECTION 2112 OF TITLE 44, UNITED STATES CODE
Sec. 2112. PRESIDENTIAL ARCHIVAL DEPOSITORY
(a) * * *
* * * * * * *
(h)(1) Any Presidential library fundraising organization
shall submit on a quarterly basis, in accordance with paragraph
(2), information with respect to every contributor who gave the
organization a contribution or contributions (whether monetary
or in-kind) totaling $200 or more for the quarterly period.
(2) For purposes of paragraph (1)--
(A) the entities to which information shall be
submitted under that paragraph are the Administration,
the Committee on Oversight and Government Reform of the
House of Representatives, and the Committee on Homeland
Security and Governmental Affairs of the Senate;
(B) the dates by which information shall be submitted
under that paragraph are April 15, July 15, October 15,
and January 15 of each year and of the following year
(for the fourth quarterly filing);
(C) the requirement to submit information under that
paragraph shall continue until the later of the
following occurs:
(i) The Archivist has accepted, taken title
to, or entered into an agreement to use any
land or facility for the archival depository.
(ii) The President whose archives are
contained in the depository no longer holds the
Office of President and a period of four years
has expired (beginning on the date the
President left the Office).
(3) In this subsection:
(A) The term ``Presidential library fundraising
organization'' means an organization that is
established for the purpose of raising funds for
creating, maintaining, expanding, or conducting
activities at--
(i) a Presidential archival depository; or
(ii) any facilities relating to a
Presidential archival depository.
(B) The term ``information'' means the following:
(i) The amount or value of each contribution
made by a contributor referred to in paragraph
(1) in the quarter covered by the submission.
(ii) The source of each such contribution,
and the address of the entity or individual
that is the source of the contribution.
(iii) If the source of such a contribution is
an individual, the occupation of the
individual.
(iv) The date of each such contribution.
(4) The Archivist shall make available to the public through
the Internet (or a successor technology readily available to
the public) as soon as is practicable after each quarterly
filing any information that is submitted under paragraph (1).
The information shall be made available without a fee or other
access charge, in a searchable, sortable, and downloadable
database.
(5)(A) It shall be unlawful for any person who makes a
contribution described in paragraph (1) to knowingly and
willfully submit false material information or omit material
information with respect to the contribution to an organization
described in such paragraph.
(B) The penalties described in section 1001 of title 18,
United States Code, shall apply with respect to a violation of
subparagraph (A) in the same manner as a violation described in
such section.
(6)(A) It shall be unlawful for any Presidential library
fundraising organization to knowingly and willfully submit
false material information or omit material information under
paragraph (1).
(B) The penalties described in section 1001 of title 18,
United States Code, shall apply with respect to a violation of
subparagraph (A) in the same manner as a violation described in
such section.
(7)(A) It shall be unlawful for a person to knowingly and
willfully--
(i) make a contribution described in paragraph (1) in
the name of another person;
(ii) permit his or her name to be used to effect a
contribution described in paragraph (1); or
(iii) accept a contribution described in paragraph
(1) that is made by one person in the name of another
person.
(B) The penalties set forth in section 309(d) of the Federal
Election Campaign Act of 1971 (2 U.S.C. 437g(d)) shall apply to
a violation of subparagraph (A) in the same manner as if such
violation were a violation of section 316(b)(3) of such Act (2
U.S.C. 441b(b)(3)).
(8) The Archivist shall promulgate regulations for the
purpose of carrying out this subsection.
ADDITIONAL VIEWS OF REPRESENTATIVE TOM DAVIS
Legislation to require the disclosure of donations to
Presidential library fundraising organizations was first
introduced in 1999 by Rep. John Duncan (R-TN) in an effort to
disclose contributions made by private donors to presidential
library fundraising organizations. Under Mr. Duncan's lead in
the 107th Congress, this Committee and the House passed
legislation on this issue with strong bipartisan support.
During markup of H.R. 1254, I offered two amendments that were
not included in the reported bill that I would like to take a
moment to highlight.
First, I offered an amendment that would apply the
disclosure provisions of this legislation to Presidents elected
after the date of enactment of this act. My concern was that
our efforts to advance meaningful reform to the system have
become politicized--with Republicans championing the issue when
a Democrat held the White House and Democrats championing the
issue when a Republican held the White House. If the Committee
was serious about enacting longstanding reforms into law, it
should be willing to take the political bite out of the
legislation by applying it to all future Presidents rather than
turning this into a debate about the sitting President. Without
this change, the legislation becomes more of an attack on the
current President than a serious effort at reform.
The second amendment I offered would expand the scope of
the legislation to include donations to congressional
foundations. After all, much like donations to presidential
libraries could be seen as backdoor attempts to curry favor
with the President, donations to congressional foundations
could be seen doing the same thing with the legislative branch.
If we believe that the disclosure policy is important enough to
impose upon the President of the United States, the United
States Congress should be willing to live up to the same
standard.
I believe that both of these reforms would improve the bill
and I intend to continue to pursue these changes as the bill
moves forward.
Tom Davis.
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