Jim Renacci on Government Reform

End campaign contributions that lead to government contracts

Identify constitutionality in every new congressional bill.

The Contract from America, clause 1. Protect the Constitution:

Require each bill to identify the specific provision of the Constitution that gives Congress the power to do what the bill does.

Audit federal agencies, to reform or eliminate them.

The Contract from America, clause 5. Restore Fiscal Responsibility & Constitutionally Limited Government in Washington:

Create a Blue Ribbon taskforce that engages in a complete audit of federal agencies and programs, assessing their Constitutionality,

Moratorium on all earmarks until budget is balanced.

The Contract from America, clause 9. Stop the Pork:

Place a moratorium on all earmarks until the budget is balanced, and then require a 2/3 majority to pass any earmark.

Prohibit IRS audits targeting Tea Party political groups.

Congressional summary:: Stop Targeting of Political Beliefs by the IRS Act: Requires the Internal Revenue Service (IRS) standards and definitions in effect on January 1, 2010, for determining whether an organization qualifies for tax-exempt status as an organization operated exclusively for social welfare to apply to such determinations after enactment of this Act. Prohibits any regulation, or other ruling, not limited to a particular taxpayer relating to such standards and definitions.

Proponent's argument in favor (Heritage Action, Feb. 26, 2014): H.R. 3865 comes in the wake of an attack on the Tea Party and other conservative organizations. The current IRS regulation is so broad and ill-defined that the IRS applies a "facts and circumstances" test to determine what constitutes "political activity" by an organization. This test can vary greatly depending on the subjective views of the particular IRS bureaucrat applying the test. IRS employees took advantage of this vague and subjective standard to unfairly delay granting tax-exempt status to Tea Party organizations and subject them to unreasonable scrutiny.

Text of sample IRS letter to Tea Party organizations:We need more information before we can complete our consideration of your application for exemption. Please provide the information requested on the enclosed Information Request by the response due date. Your response must be signed by an authorized person or officer whose name is listed on your application.

• Have you conducted or will you conduct candidate forums or other events at which candidates running for public offices are invited to speak?
• Have you attempted or will you attempt to influence the outcome of specific legislation?
• Do you directly or indirectly communicate with members of legislative bodies?
• Do you have a close relationship with any candidate for public office or political party?