DNC 'Nearly' Broke
According to Fortune Magazine, the Democrat National Committee is in some deep financial trouble. "The Democratic National Committee remains so deeply in the hole from spending in the last election that it is struggling to pay its own vendors."
Considering the DNC has a very high profile politician, President Obama, to go out and raise money on their behalf, there must be some real organization issues behind the scenes. As of now, their books show $18.1M in creditors and $12.5 in the bank.
Several executives at firms that contract to provide services to the party -- speaking anonymously to avoid antagonizing what remains an important if troubled client -- describe an organization playing for time as they raise alarms about past-due bills falling further behind. And senior strategists close to the DNC say they worry the organization appears to have no road map back to solvency. "They really thought they could get this money raised by the summer," one said, "but the fact is, from talking to people over there, they have no real plan for how to solve this."
Sources say blame has been quietly been place on Debbie Wasserman-Schultz. But the real problem could be that Obama is raising money for his own organization, Organizing for Action.
The group can raise unlimited sums from deep-pocketed donors, and there is some evidence it is siphoning resources from the DNC. All of the top-tier OFA donors this year have been prolific supporters of the DNC in past years. But of the 13 who cut six-figure checks to OFA in the first half of this year, only three gave to the DNC over the same period, according to a review of records from the Center for Responsive Politics.