What is the Bipartisan Campaign Reform Act (McCain-Feingold)?

The Bipartisan Campaign Reform Act of 2002 (BCRA, Pub. L. 107-155) is a federal statute that amended the Federal Election Campaign Act (FECA) to address two major gaps in campaign finance regulation that had developed by the late 1990s. The bill was sponsored in the Senate by John McCain (R-AZ) and Russ Feingold (D-WI) -- giving it the popular name 'McCain-Feingold' -- and in the House by Christopher Shays (R-CT) and Martin Meehan (D-MA), where it was also called 'Shays-Meehan.' President George W. Bush signed it on March 27, 2002. BCRA's supporters argued it was necessary to close loopholes that had turned campaign finance law into a system of voluntary limits; its opponents argued that contribution limits unconstitutionally restricted political speech protected by the First Amendment.

Title I of BCRA addressed the 'soft money' problem. Under prior law, national political party committees could raise unlimited 'soft money' contributions from corporations, unions, and wealthy individuals for nominally non-candidate purposes such as 'party building,' voter registration, and issue advocacy. By the 2000 election cycle, the two major parties combined had raised over $495 million in soft money -- a category that had not existed as a practical funding mechanism in the 1970s but had grown enormously through creative regulatory interpretation. BCRA's Title I prohibited national party committees from soliciting, receiving, directing, transferring, or spending soft money (52 U.S.C. Section 30125). State and local parties retained limited authority to use non-federal funds for certain activities, subject to restrictions.

Title II of BCRA addressed 'electioneering communications.' Before BCRA, corporations and labor unions were prohibited from using general treasury funds for explicit candidate advocacy -- ads directly urging voters to elect or defeat a named candidate -- but could run 'issue ads' that mentioned federal candidates without technically urging a vote, evading the prohibition. BCRA Section 203 (now codified at 52 U.S.C. Section 30118) defined 'electioneering communications' as broadcast, cable, or satellite communications that (1) clearly identify a federal candidate, (2) are targeted to the relevant electorate, and (3) are aired within 30 days before a primary or 60 days before a general election. BCRA prohibited corporations and labor unions from spending treasury funds on such communications, attempting to close the issue-ad loophole. BCRA also increased the base individual contribution limit from $1,000 to $2,000 per election, indexed for inflation in subsequent cycles.

The constitutional landscape of BCRA has been substantially reshaped by litigation. In McConnell v. FEC, 540 U.S. 93 (2003), the Supreme Court upheld most of BCRA in a 5-4 decision, including the soft money ban and the electioneering-communications restrictions on corporate and union treasury spending. However, in Citizens United v. Federal Election Commission, 558 U.S. 310 (January 21, 2010), the Supreme Court ruled 5-4 that Section 203's prohibition on independent corporate expenditures for electioneering communications violated the First Amendment. The Court held that the government may not restrict independent political speech based solely on the speaker's corporate identity. Citizens United overruled Austin v. Michigan Chamber of Commerce (1990) and the McConnell holding on Section 203. As a result, corporations and labor unions may now spend unlimited treasury funds on electioneering communications, provided those expenditures are not coordinated with a candidate's campaign. The soft money ban, the coordination rules, and BCRA's disclosure requirements -- the requirement to identify who funded an electioneering communication -- were not struck down by Citizens United and remain in effect.

For the 2028 presidential election, BCRA's surviving provisions shape the campaign finance environment in several ways. The soft money ban still prohibits national party committees from accepting unlimited contributions from corporations, unions, or wealthy donors -- a structural constraint that channeled outside money into super PACs after Citizens United. The individual contribution limit to a candidate's campaign committee, set by BCRA at $2,000 and subsequently adjusted for inflation, governs direct giving to 2028 campaigns. The electioneering-communications disclosure requirement still applies: any person who spends more than $10,000 on electioneering communications in a calendar year must file a disclosure report with the FEC within 24 hours, identifying the communication, the candidate it references, and each donor who gave $1,000 or more to fund it. BCRA thus remains a foundational layer of the legal structure governing 2028 campaign finance, even where Citizens United has modified its application.