Title: Ron DeSantis Faces Financial Challenges as GOP Presidential Race Heats Up
Subtitle: Fundraising Reports Reveal Stark Divide Between Leading Republican Candidates
Date: June 30, 2023
Republican presidential candidate Ron DeSantis is facing potential trouble as the first comprehensive look at the 2024 presidential race’s finances was unveiled over the weekend. Campaign finance reports filed with federal regulators highlighted DeSantis’ financial challenges and exposed a significant gap between the early fundraising leaders in the Republican primary and the rest of the GOP field.
According to the reports, DeSantis raised an impressive $20 million during the second quarter, but his campaign is spending cash at an alarming rate, with nearly $8 million expended since his entry into the contest in late May. The campaign’s expenses include significant amounts allocated towards travel, payroll, and digital fundraising consulting. The filings also reveal that DeSantis currently employs 90 people, while former President Donald Trump’s campaign employs nearly 40 individuals.
In response to the financial strain, the DeSantis campaign recently confirmed that it had made staff reductions. Campaign spokesperson Andrew Romeo stated, “Defeating Joe Biden and the $72 million behind him will require a nimble and candidate-driven campaign, and we are building a movement to go the distance.”
Another concern highlighted in the reports is DeSantis’ low share of small-dollar donations. Less than 15% of his contributions from individuals came in amounts of $200 or less. Robust small-dollar donations are seen as indicative of grassroots support and allow campaigns to tap into supporters repeatedly for donations. Limited small-dollar donations may suggest a lack of momentum and potential challenges in sustaining a viable campaign.
While DeSantis entered the second half of the year with $12.2 million remaining in the bank, only about $9 million of that amount is available for spending in the GOP primary. The remaining $3 million can only be used if he secures the party’s nomination.
The fundraising reports also revealed a significant disparity between candidates who raised substantial sums, such as Trump and DeSantis, and other well-known figures in the GOP race. Former Vice President Mike Pence struggled to gain traction, raising less than $1.2 million during the fundraising quarter. His fundraising figures raise questions about his ability to garner support among party loyalists.
Surprisingly, North Dakota Gov. Doug Burgum, who is largely self-financing his campaign, received more money from contributors – approximately $1.6 million – than Pence did. This development indicates a potential uphill battle for Pence in generating widespread financial support.
Trump, the current frontrunner in GOP polling, reported raising $17.7 million during the quarter. However, the full breakdown of how this money was divided and spent will only be revealed later this month when additional reports are filed. Trump’s campaign previously announced a total fundraising amount of $35 million in the second quarter through his joint fundraising operation.
Trump’s cash on hand as of June 30 amounted to $22.5 million, the highest among Republican candidates. In second place was South Carolina Sen. Tim Scott, with $21.1 million, largely amassed through transfers from his Senate campaign account to his presidential operation. Former South Carolina Gov. Nikki Haley had more than $6.8 million in the bank, positioning her in the middle of the GOP pack.
The reports also highlighted the efforts of biotech entrepreneur Vivek Ramaswamy, who loaned his campaign an additional $5 million in the second quarter. Ramaswamy started July with more than $9 million in cash reserves, indicating his commitment to spend heavily to establish himself with the GOP electorate.
In comparison, President Joe Biden announced raising $72 million with the Democratic National Committee, nearly matching the combined fundraising totals of major GOP contenders during the second quarter.
As the race for the 2024 presidential election intensifies, the financial standing of candidates like Ron DeSantis will play a crucial role in shaping the landscape of the Republican primary.