[Code of Federal Regulations]
[Title 11, Volume 1]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 11CFR102.5]

[Page 73-74]
 
                       TITLE 11--FEDERAL ELECTIONS
 
                 CHAPTER I--FEDERAL ELECTION COMMISSION
 
PART 102--REGISTRATION, ORGANIZATION, AND RECORDKEEPING BY POLITICAL COMMITTEES (2 U.S.C. 433)--Table of Contents
 
Sec. 102.5  Organizations financing political activity in connection with Federal and non-Federal elections, other than through transfers and joint fundraisers.

    (a) Organizations that are political committees under the Act
    (1) Each organization, including a party committee, which finances 
political activity in connection with both federal and non-federal 
elections and which qualifies as a political committee under 11 CFR 
100.5 shall either:
    (i) Establish a separate federal account in a depository in 
accordance with 11 CFR part 103. Such account shall be treated as a 
separate federal political committee which shall comply with the 
requirements of the Act including the registration and reporting 
requirements of 11 CFR parts 102 and 104. Only funds subject to the 
prohibitions and limitations of the Act shall be deposited in such 
separate federal account. All disbursements, contributions, expenditures 
and transfers by the committee in connection with any federal election 
shall be made from its federal account. No transfers may be made to such 
federal account from any other account(s) maintained by such 
organization for the purpose of financing activity in connection with 
non-federal elections, except as provided in 11 CFR 106.5(g) and 
106.6(e). Administrative expenses shall be allocated pursuant to 11 CFR 
part 106 between such federal account and any other account maintained 
by such committee for the purpose of financing activity in connection 
with non-federal elections; or
    (ii) Establish a political committee which shall receive only 
contributions subject to the prohibitions and limitations of the Act, 
regardless of whether such contributions are for use in connection with 
federal or non-federal elections. Such organization shall register as a 
political committee and comply with the requirements of the Act.
    (2) Only contributions meeting the conditions set forth at 
subsections (i), (ii), and (iii) of this section may be deposited in a 
federal account established under 11 CFR 102.5(a)(1)(i) or may be 
received by a political committee established under 11 CFR 
102.5(a)(1)(ii).
    (i) Contributions designated for the federal account;
    (ii) Contributions that result from a solicitation which expressly 
states that the contribution will be used in connection with a federal 
election; and
    (iii) Contributions from contributors who are informed that all 
contributions are subject to the prohibitions and limitations of the 
Act.
    (3) Any party committee solicitation that makes reference to a 
federal candidate or a federal election shall be presumed to be for the 
purpose of influencing a federal election, and contributions resulting 
from that solicitation shall be subject to the prohibitions and 
limitations of the Act. This presumption may be rebutted by 
demonstrating to the Commission that the funds were solicited with 
express notice that they would not be used for federal election 
purposes.
    (b) Organizations that are not political committees under the Act
    (1) Any organization that makes contributions or expenditures but 
does not qualify as a political committee under 11 CFR 100.5 and any 
State or local party organization that makes contributions, expenditures 
and exempted payments under 11 CFR 100.7(b)(9), (15) and (17) and 
100.8(b)(10), (16) and (18) shall either:
    (i) Establish a separate account to which only funds subject to the 
prohibitions and limitations of the Act shall be deposited and from 
which contributions, expenditures and exempted payments shall be made. 
Such organization shall keep records of deposits to and disbursements 
from such account and, upon request, shall make such records available 
for examination by the Commission.
    (ii) Demonstrate through a reasonable accounting method that 
whenever such organization makes a contribution, expenditure or exempted 
payment, that organization has received sufficient funds subject to the 
limitations and prohibitions of the Act to

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make such contribution, expenditure or payment. Such organization shall 
keep records of amounts received or expended under this subsection and, 
upon request, shall make such records available for examination by the 
Commission.

[45 FR 15104, Mar. 7, 1980, as amended at 45 FR 21209, Apr. 1, 1980; 55 
FR 26067, June 26, 1990]