Republicans fear drop in cash for Senate races

WASHINGTON — Republicans are worried that a corporate backlash stirred by the deadly Capitol insurrection could crimp a vital stream of campaign cash, complicating the party’s prospects of retaking the Senate in the next election.

The GOP already faces a difficult Senate map in 2022, when 14 Democraticheld seats and 20 Republican ones will be on the ballot. They include at least two open seats that Republicans will be defending because of the retirements of GOP Sens. Pat Toomey of Pennsylvania and Richard Burr of North Carolina.

But some in the party say the problem may be bigger than the map. Eight Republican senators voted to reject Electoral College votes for President-elect Joe Biden, even after the ransacking of the Capitol by a mob of supporters of President Donald Trump whom he exhorted to stop Congress from certifying Biden’s victory. Five people died in the mayhem, including a Capitol Police officer.

Recriminations were swift, with more than a dozen corporate giants — including AT&T, Nike, Comcast, Dow, Marriott, Walmart and Verizon — pledging to withhold donations to Republican lawmakers who voted to reject the outcome of the election in Arizona or Pennsylvania. One of those lawmakers, Sen. Rick Scott of Florida, is the new chair of the National Republican Senatorial Committee, a post that makes him the public face of the Senate Republican fundraising efforts.

“That’s the crux of the issue: Is this a storm that will blow over, or is … challenging (Biden’s) Electoral College certification a scarlet ‘A’?” said Republican donor Dan Eberhart, who has contributed at least $115,000 to Senate Republican efforts in recent years.

The lost contributions aren’t disastrous on their own. Political action committees controlled by corporations and industry groups are limited to giving $5,000 to a candidate per year, a sliver of the typical fundraising haul for most Senate candidates.

But two senior Republican strategists involved in Senate races say the cumulative effect of the companies’ decisions could have a bigger impact.

Both strategists, who spoke on the condition of anonymity to discuss internal party deliberations, say companies that suspended political giving are also sending a powerful signal to their executives, board members and employees about whom they should donate to. And with Scott at the helm of the NRSC, that could affect the committee’s cash flow, they said.

Adding to the worries, other pillars of GOP fundraising can no longer be counted on for robust financial support.

The National Rifle Association announced Friday that it had filed for bankruptcy. The Chamber of Commerce announced last week that it will withhold contributions from some

Republicans over their actions. And the Koch network announced that it will scrutinize whom it gives to after the insurrection, as first reported by the Wall Street Journal.

More concerning still, one of the most influential Republican megadonors, Sheldon Adelson, died in recent days. That puts more pressure on the NRSC and the leading Senate Republican outside group, Senate Leadership Fund, to cover the difference.

Even before the Capitol violence, Republican Sens. Ted Cruz of Texas and Josh Hawley of Missouri drew widespread ire for leading efforts to challenge Biden’s win. Since the assault on the Capitol, both have come under even harsher criticism from editorial boards and influential donors, including calls to resign. Both are seen as likely 2024 White House contenders.

Some say it’s too early to tell if the corporate backlash will truly hurt Republicans. They note that with elections just held, this is a period when there is typically little fundraising activity. And some are confident that, as Washington comes under unified Democratic control, business groups will find common cause with Republicans again.

“A lot of this talk is premature and shortsighted,” said Scott Reed, a longtime Republican strategist. “A re-regulation crowd is taking over Congress and the White House. This is a decision many will regret by midsummer.“