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Elections


HALEY, PENCE AND OTHER POTENTIAL ‘24 CANDIDATES BUFF UP THEIR DARK MONEY GROUPS

The non-profits associated with possible presidential candidates are taking in
millions. The donors are anonymous.



Nikki Haley had previously said she would not run for the White House against
Donald Trump. But she began making an about-face after the midterm elections. |
Mark Makela/Getty Images

By Hailey Fuchs

12/02/2022 04:30 AM EST

 * 
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 * * Link Copied
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Former U.S. Ambassador to the United Nations, Nikki Haley, said this week that
she will take the holiday break to mull a possible run for the White House in
2024.

Quietly, she has amassed some infrastructure to make a bid.



The former South Carolina governor’s nonprofit group, Stand for America Inc.,
raised about $8.6 million in 2021, according to forms filed with the IRS. The
group used those millions to spend heavily on digital content, direct mail
campaigns and message development.



Non-profit, social welfare groups like Stand for America Inc. are restricted in
the political activity they can undertake and often do focus on policy.

But in the name of issue advocacy, they can functionally operate as campaigns in
waiting. As the politicians associated with them gear up to run, these groups
can dole out millions on fundraising, email list cultivation, research, direct
mail, and digital advertising. And they can do it all without having to reveal
the source of their funds.

Haley had previously said she would not run for the White House against Donald
Trump. But she began making an about-face after the midterm elections. And she’s
not the only prospective Republican 2024 candidate whose nonprofit arm provides
hints as to how well positioned they are for a possible run.

Former Vice President Mike Pence waves after speaking at the Ronald Reagan
Presidential Library & Museum Thursday, Nov. 17, 2022, in Simi Valley, Calif. |
Mark J. Terrill/AP Photo

Former Vice President Mike Pence’s group, Advancing American Freedom, raised
about $7.7 million in 2021, according to its 990 form. And an aide says that the
entity and an affiliated foundation, a 501(c)(3) arm, plan to dole out $35
million in 2023. Pence, who is staffing up in anticipation of a presidential run
in 2024, has been open about his deliberations on the topic. And on his current
book tour, he has sat for prime-time television interviews, during which he’s
sought to create distance with Trump, his former boss.

The group affiliated with South Carolina Sen. Tim Scott (R), Opportunity Matters
Network, raised about $1 million in 2021, during which it gauged “different
target audiences’ potential response” to policy initiatives, cultivated its
email list, and developed advertising. Two of the group’s directors are former
Rep. Trey Gowdy (R-S.C.) and businessman Ben Navarro, who has given millions to
a pro-Scott super PAC.




An America United — the group affiliated with outgoing Maryland Gov. Larry Hogan
— raised about $2 million in 2021 and reported spending on research, “supporter
acquisition,” and “audience building.”

Champion American Values Fund, the group affiliated with former Secretary of
State Mike Pompeo, reported just $126,000 raised between August 2021 and the end
of that year. A CAV Fund official maintained that the group raised millions in
2022, but declined to provide a specific figure. The person added that the group
has run ads in Iowa, New Hampshire, South Carolina, and the Washington
D.C.-metro area.

A nonprofit known as the America First Policy Institute, a 501(c)(3) often
described as Trump’s “White House in waiting,” reported revenue of around $14.2
million.

These numbers don’t provide the full picture of the political operations each
potential GOP candidate is building. They have affiliated political action
committees and super PACs too, through which they can raise and spend money on
politics and elections.

The pro-Scott super PAC, Opportunity Matters Fund, has raised more than $36
million from the start of 2021, with the majority of that money coming from
Oracle chairman Larry Ellison, according to data from the Federal Election
Commission. The pro-Pompeo super PAC has raised nearly $7.6 million since the
start of 2021. Among a network of groups, the pro-Trump Make America Great Again
Inc. has raised about $32 million this year.

Still, experts say that the social welfare groups, classified as 501(c)(4)s, are
growing increasingly common for those with White House aspirations out of public
office; that’s in part because the groups, unlike a political action committee,
do not have to publicly disclose their donors. The source or sources behind a $2
million and $1 million gift to Pence’s group, for example, remain unknown.

Elections


BIDEN URGES DEMS TO SCRAP IOWA, ELEVATE SOUTH CAROLINA, GEORGIA, MICHIGAN IN
EARLY PRESIDENTIAL PRIMARIES

By Elena Schneider and Jonathan Martin

“Our country is in a permanent state of election,” said Jan Baran, a former
counsel to the Federal Election Commission and a partner at the law firm
Holtzman Vogel. Prominent figures not in elected office, he added, “need to stay
alive politically. What do they do? They form PACs or super PACs, or they might
be associated with C4s or not-for-profits, and it’s part of sustaining their
public identity and their political viability.”

Social welfare groups also serve as a temporary home for potential senior
campaign staffers. Pence’s former chief of staff Marc Short serves as chair of
Advancing American Freedom. T. Ulrich Brechbuhl, Pompeo’s former West Point
classmate and aide, serves as the president of Champion American Values Fund.
And Haley’s husband, Michael Haley, is the president of Stand for America.

In a memo provided by a Stand for America spokesperson, the group highlighted
its recent policy work, including a newsletter that has reached 860,000
individuals, engagement with lawmakers, and op-eds and speeches by Haley.

But perhaps the most understated benefit to the dark money group is that they
don’t have to disclose their finances for months after the fact. As a result, if
one of the potential candidates becomes president, their dark money vehicle
could withhold disclosing its spending and fundraising for the 2024 cycle until
nearly 2026.

Craig Holman, a money-in-politics lobbyist at the watchdog group Public Citizen,
noted that these kinds of groups have become increasingly common. He called the
social welfare organizations run by potential candidates an “abuse of the tax
code.”

“Even though they are masquerading as a non-profit working on some social
welfare cause, their real intent is to promote the candidacy of the affiliated
office holder or candidate,” Holman said.


MOST READ


 1. MAGA PROTESTERS IN MANHATTAN CROWDED OUT BY ANTI-TRUMP RIVALS


 2. TRUMP DENOUNCES ‘CRIME-FRAUD’ RULING FORCING ATTORNEY TO TESTIFY IN
    DOCUMENTS PROBE


 3. STOP OVERTHINKING IT: AN INDICTMENT WOULD BE BAD FOR TRUMP


 4. EVERYTHING YOU SHOULD KNOW ABOUT THE POTENTIAL TRUMP INDICTMENT


 5. BIDEN ISSUES FIRST VETO, KNOCKS MARJORIE TAYLOR GREENE

 * Filed under:
 * PACs,
 * Nikki Haley,
 * Mike Pence,
 * Dark Money,
 * 2024 Elections


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