Kamala Harris is poised to take Joe Biden’s place if he drops out of the presidential race — in part because she’s the only person who can take control of the Democrats $240 million war chest, sources told The Post.
Many prominent Democrats are waiting in the wings to take the ailing 81-year-old’s place, but the quarter billion Biden-Harris have raised is non-transferrable, campaign finance sources told The Post.
“Biden has two real choices: Kamala inherits; or they transfer it all to the DNC,” Signum Global partners Rob Casey told The Post. “That money would all be accessed by Kamala… anyone else would be on their own for fundraising.”
Even if Biden wanted to, campaign finance sources say giving the money to another candidate — like California governor Gavin Newsom or Michigan governor Gretchen Whitmer, whose names have been mentioned as possible replacements — would prove sticky.
That’s because only Biden and Harris are named in the federal paperwork for the campaign which donors gave money to, which amounts to the lion’s share of the money raised.
Legal sources note Biden, like every other individual, is still subject to campaign finance laws that cap donations at $3,300 to each candidate in a general election. Even the DNC is limited to just a $5,000 contribution to each candidate.
And some Democrats told The Post it’s a “tragedy” that even if it were Kamala on the ballot, they’re stuck with a candidate “no one wanted,” a source told The Post.
“The tragedy for the Democrats is they were so focused on identity politics they picked someone no one wanted who checks a box,” one Democratic donor close to the situation told The Post.
“Had they focused on performance politics they would be in a terrific situation… but I don’t think she can win.”
On a Sunday call with donors the campaign said, in the event of Biden stepping down, the fund would be directed to Harris.
Following Biden’s disastrous, bumbling debate appearance last week, a CNN poll showed Harris having a slightly better chance of beating Donald Trump if she went head-to-head against him rather than Biden. Harris won over 45% of registered voters in the poll if she went against Trump, while only 43% picked Biden.
While Biden has been insistent he will remain at the top of the ticket, Democratic sources acknowledge the campaign needs to prepare for anything — especially as a growing chorus of notable Democratic lawmakers begin to call for his ouster.
And by nature of the staggering sum in the campaign coffers, putting Harris at the top of the ticket would be the simplest option, these people add.
If Biden and Harris both decided to exit the race, it’s possible that money could be transferred to the Democratic National Committee.
Rather than trying to move the funds somewhere, candidates always have the option to simply reimburse donors as well.
Biden’s campaign says it raised $127 million in June, its best month on record for the re-election campaign, according to CBS, which also noted it is spending around $50 million a month on ads.
However, the outlet noted the Trump campaign and Republican National Committee raised more money than then in April and May and have yet to release their total for June.
Additional money for any Democrats who challenge Biden can be taken from Political Action Committees (PACs). Unlike official campaigns, where a candidate has discretion over the money, cash from PACs are relatively easy to transfer, sources told The Post.
“PACs don’t have a board so PAC money can go to anyone,” Republican fundraiser Caroline Wren said.
Future Forward — the unofficial political action committee raising money for Biden — has north of $200 million according to campaign filings in January. However, they have also announced plans to spend $250 million on ad buys between the Democratic Convention and the election in November so it’s unclear if all their money is spoken for.
But Democratic sources say this goes beyond just money. “As sitting vice president, Harris is the natural choice to assume leadership,” Casey adds. “Politically she is the highest-ranking Democrat and procedurally she would likely inherit delegates and Biden’s backing.”
However, sources also noted that were Biden to drop out at such a late stage in the election process it would be such an unprecedented move that there’s little way to tell exactly how it would be handled and what would happen, regarding funds collected or the new nominee.
https://nypost.com/2024/07/02/us-news/kamala-harris-to-inherit-240m-dem-funds-if-biden-drops-out/
