The Pennsylvania House of Representatives today voted 146 to 56 to protect Pennsylvania elections from foreign-influenced corporate spending, passing HB497 and moving the Commonwealth one step closer to closing a major loophole that allows foreign investors to influence state and local elections.

Sponsored by State Representative Joe Webster, HB497 would prohibit corporations with significant foreign ownership from spending money to influence Pennsylvania elections. If approved by the Pennsylvania Senate and signed into law, the measure would help safeguard democratic self-government by ensuring that Pennsylvania voters—not foreign-influenced corporations—determine the outcome of Pennsylvania elections.

While federal law prohibits foreign nationals from spending money in U.S. elections, corporations with substantial foreign ownership can still spend millions of dollars on campaign advertising, independent expenditures, and other political activity. As foreign ownership of major corporations has increased, so has concern that foreign investors may indirectly influence American elections through corporate political spending.

Companies with significant foreign ownership, including multinational corporations such as Amazon, Chevron, and Uber, have spent heavily on ballot measures and elections across the country in pursuit of political and economic outcomes favorable to their interests. Multinational corporations make up fewer than 1% of all corporations, but account for 40% of U.S. sales.

HB497 applies to corporations that are at least 1% owned by a single foreign investor or at least 5% owned collectively by multiple foreign investors—ownership levels widely recognized as sufficient to influence corporate decision-making and governance.

The legislation is based on model policy developed by Free Speech For People, a national nonpartisan nonprofit organization dedicated to defending democracy and challenging the influence of big money in politics. Similar laws have already been enacted in Seattle, Washington, and San Jose, California. Additional legislation is being advanced in states across the country, including Hawaii, Illinois, Massachusetts, New York, and Virginia.

U.S. Senator Sheldon Whitehouse and U.S. Representative Jamie Raskin have introduced the Get Foreign Money Out of U.S. Elections Act, federal legislation that would establish similar protections nationwide.

“HB497 is entirely focused on protecting Pennsylvania’s democracy for Pennsylvanians,” said Representative Webster. “By removing foreign spending and foreign influence from our elections, we preserve our right to self-government. This is a straightforward, commonsense idea that benefits Pennsylvania residents.”

“Pennsylvania elections should be decided by Pennsylvanians, and should not be influenced by unlimited secret spending from giant multinational corporations,” said Rabbi Michael Pollack, executive director of MarchOnHarrisburg. “We are tired of various foreign influenced corporations drowning out the voice of Pennsylvania voters, and it is time for the State Senate to pass HB 497 and build trust with Pennsylvanians.”

“Today’s vote sends a clear message that Pennsylvania elections should belong to Pennsylvanians—not foreign-influenced corporations,” said John Bonifaz, president of Free Speech For People. “The House has taken an important step to protect democratic self-government and strengthen public trust in our elections. We urge the Pennsylvania Senate to act swiftly and send this bill to the Governor’s desk.”