Corporate Bills: Understanding The Lawmaking Process

The process of a corporate bill becoming a law in the United States involves multiple steps and the participation of various stakeholders. It begins with the introduction of the bill, which can be initiated by a member of the U.S. Senate or House of Representatives, or even proposed by citizens or citizen groups. Once introduced, the bill is assigned to a committee for research, discussion, and potential changes. This committee stage may also involve subcommittees and hearings to gather expert opinions. Following this, the bill is put before the chamber for a vote. If it passes one body of Congress, it moves to the other body for a similar process. Once both bodies approve the bill, they work together to reconcile any differences, and then both chambers vote on the final version. If the bill is passed by both chambers, it is presented to the President for approval. The President can choose to sign the bill into law or veto it. However, Congress has the power to override a presidential veto with a two-thirds majority vote in both the House and the Senate, and the bill then becomes a law.

A bill is drafted and introduced

A bill is a proposal for a new law or a change to an existing law. The idea for a bill can come from a sitting member of the U.S. Senate or House of Representatives or be proposed by citizens or citizen groups who recommend a new or amended law to a member of Congress. Any member of Congress – either from the Senate or the House of Representatives – who has an idea for a law can draft a bill. These ideas can also come from everyday citizens and advocacy groups. The primary Congress member supporting the bill is called the "sponsor". The other members who support the bill are called "co-sponsors".

Once a bill is drafted, it must be introduced. If a Representative is the sponsor, the bill is introduced in the House. If a Senator is the sponsor, the bill is introduced in the Senate. In the U.S. House of Representatives, a bill is introduced when it is placed in the hopper—a special box on the side of the clerk's desk. Only Representatives can introduce bills in the U.S. House of Representatives. When a bill is introduced in the U.S. House of Representatives, a bill clerk assigns it a number that begins with H.R. A reading clerk then reads the bill to all the Representatives, and the Speaker of the House sends the bill to one of the House standing committees.

In the House, bills are referred by the Speaker to all committees that have jurisdiction over the provisions in the bill, as determined by the chamber's standing rules and past referral decisions. Most bills fall under the jurisdiction of one committee. If multiple committees are involved and receive the bill, each committee may only work on the portion of the bill under its jurisdiction. One of those committees will be designated the primary committee of jurisdiction and will likely take the lead on any action that may occur.

In the Senate, the bill is submitted to clerks on the Senate floor. It will also receive a number, which is typically the next number available in sequence during that two-year Congress. In the Senate, bills are typically referred to committee in a similar process, though in almost all cases, the bill is referred only to the committee with jurisdiction over the issue that predominates in the bill.

The bill is assigned to a committee

Once a bill is introduced, it is assigned to a committee whose members will research, discuss, and make changes to the bill. Committees are made up of groups of Congress members with a particular interest or expertise in the topic of the bill. For example, a bill about agricultural policy would be assigned to a committee of members with expertise in this area.

Committees have an important role in the process of a bill becoming a law. They review, research, and revise the bill before voting on whether to send it back to the House floor. Committees may also choose to hold hearings to better understand the implications of the bill and gather expert opinions. If the committee does not act on a bill, it is considered "dead".

Subcommittees are organised under committees and have further specialisation on a certain topic. Committees often refer bills to a subcommittee for study and hearings. The subcommittee may make changes to the bill and must vote to refer it back to the full committee.

Once hearings and subcommittee review are completed, the committee will meet to make changes and amendments to the bill. If the committee votes against reporting the legislation to the full chamber of Congress, the bill dies. If the committee votes in favour of the bill, it is reported to the floor.

The committee reviews and amends the bill

The committee stage is a critical phase in the journey of a bill to becoming a law. Once introduced, a bill is sent to a committee, which will review, research, and revise it. Committees are groups of members of Congress who are particularly interested in and knowledgeable about the topic of the bill.

The committee will hold hearings to better understand the implications of the bill, inviting the views of experts, public officials, supporters, and opponents of the bill. If the committee approves the bill, it will be reported to the floor, where it will be debated and voted on.

Before this happens, the committee will often refer the bill to a subcommittee for further study and hearings. The subcommittee may make changes to the bill and must vote to refer it back to the full committee. Once the hearings and subcommittee review are completed, the committee will meet to make changes and amendments to the bill. If the committee votes against the bill, it will die.

If the committee approves the bill, it will prepare a written report explaining why they support it and why they wish to see their amendments adopted. Committee members who oppose the bill may write a dissenting opinion in the report. The report is then sent back to the chamber, where it is placed on the calendar.

The bill is voted on by the full chamber

Once a bill has been reported by the committee, it is sent to the full chamber to be voted on. The bill is then passed or defeated by the members' voting. In the U.S. House of Representatives, there are three methods for voting on a bill: viva voce, division, and recorded. In the viva voce method, the Speaker of the House asks the Representatives who support the bill to say "aye" and those that oppose it to say "no." In the division method, the Speaker of the House asks those Representatives who support the bill to stand up and be counted, and then those who oppose the bill to stand up and be counted. In the recorded method, Representatives record their vote using the electronic voting system. Representatives can vote yes, no, or present (if they don't want to vote on the bill). If a majority of the Representatives vote yes, the bill passes in the U.S. House of Representatives.

After the bill is passed in the House, it is sent to the Senate, where it goes through many of the same steps it went through in the House. The bill is discussed in a Senate committee and then reported to the Senate floor to be voted on. Senators vote by voice, with supporters saying "yea" and opponents saying "nay." If a majority of the Senators vote "yea," the bill passes in the U.S. Senate and is ready to go to the President.

The bill is sent to the President

Once a bill has been passed by both the House and the Senate, it is sent to the President for review. The President has three options:

• Sign and pass the bill, which becomes a law.
• Refuse to sign or veto the bill, which is sent back to the House and the Senate, along with the President's reasons for the veto. If the House and the Senate still believe the bill should become a law, they can hold another vote on the bill. If two-thirds of the Representatives and Senators support the bill, the President's veto is overridden and the bill becomes a law.
• Do nothing (pocket veto). If Congress is in session, the bill automatically becomes law after 10 days. If Congress is not in session, the bill does not become a law.

Frequently asked questions