After Biden drops out: What happens to his campaign funds?
WASHINGTON - Following President Joe Biden’s stunning announcement on Sunday to drop out of the 2024 election, many are wondering what comes next for the Democratic presidential campaign.
Shortly after his announcement, Biden threw his support behind Vice President Kamala Harris, the party’s instant favorite for the nomination at its August convention in Chicago.
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The Biden-Harris campaign cash stash stands at about $91 million, according to its most recent filings. Combined with allied Democratic organizations, the reelection effort has access to about $240 million.
RELATED: What happens if Biden steps out of the race?
Can Vice President Harris take over the campaign cash?
Yes, with some caveats.
Kenneth Gross, senior political law counsel at Akin Gump and former associate general counsel for the Federal Election Commission, told The Associated Press that since their campaign accounts were registered with the Federal Election Commission in the names of both candidates, Harris could use those funds for her own presidential effort if Biden were to drop out.
Can donors get refunded?
President Joe Biden endorses Kamala Harris after dropping out of 2024 presidential race
With President Joe Biden ending his reelection bid and endorsing Kamala Harris as the nominee, citing the best interests of the party and the country, Harris has become the likely candidate to replace him, while Biden will remain in office until January 20, 2025.
Possibly.
The campaign would have to agree to release the funds back to donors; it wouldn’t be an automatic refund, according to legal scholars.
RELATED: Majority of Democrats think Kamala Harris would make a good president: poll
What if neither Biden or Harris is the nominee?
The Biden-Harris campaign would need to return almost all of the money. If Democrats nominate someone other than Harris, party accounts could still benefit the nominee, but the Biden-Harris account would have more restrictions. For example, legal experts say it could become an independent expenditure political action committee but not simply transfer its balance to a different nominee.
Any donations for the primary, which Biden won, would not be returned, and this principle could apply to any money collected until the Democratic National Convention in August.
Now that Biden has bowed out, the former campaign would be allowed to transfer $2,000 of the money collected to the new candidate, according to Bradley A. Smith, a professor at Capital University Law School in Ohio.
The Associated Press Contributed to this report. This story was reported from Los Angeles.
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