The Democratic National Committee (DNC) has been raising far less money than the Republican National Committee (RNC), which is likely to hurt its liberal nominee in the 2020 election.
Bloomberg citing Federal Election Commission records showed that the DNC had collected contributions of $24.4 million, but spent $28.4 million by the end of April 2019. It had $7.6 million cash on hand, $1 million less than in January, and posted $6.2 million in debt, including bank loans and unpaid invoices to vendors.
While Democratic Party added $3 million in new debt during the first four months, the Republican Party was stockpiling cash.
The latest disclosures showed that the RNC had raised nearly $62 million by April, two-and-a-half times higher than that of DNC, which thanks in part to President Donald Trump’s nonstop fundraising since winning the White House. It had $34.7 million cash in the bank and no debt.
According to Fox Business, the DNC spent more than it raised because donors are giving their money to 24 Democratic presidential candidates, some of whom accrued hefty donations rather than the committee.
In addition, many Democratic candidates do not accept institutionalized financial support from PACs or corporations while campaigning, instead relying on grassroots support.
Donors said such money problems could put DNC at risk in helping its nominee in the general election next year.
A Democratic nominee will have to rely much on the DNC for organizing, identifying voters and getting them to the polls, according to Bloomberg. That will cost hundreds of millions of dollars by Election Day, and the party needs to spend early to prepare.
Party officials and fundraisers blamed the deficiency on several factors, and chief among them is competition from more than 20 Democrats running for president and vacuuming up contributors’ cash.