SCAM PAC Act

This bill prohibits political committees that fail to spend a majority of funds on legitimate candidate support (e.g., contributions to candidates or independent expenditures) from making payments to entities owned or controlled by their leaders or family members. It specifically targets "scam PACs" that mislead donors by diverting most funds to personal compensation or vendors with financial ties to organizers, rather than supporting political activities. Committees meeting the "majority legitimate spending" threshold are exempt, ensuring the rule applies only to the targeted subset. The prohibition takes effect 90 days after enactment, aiming to prevent self-dealing while preserving standard PAC operations.