Kochs out

Many people inside the Koch political operation know now what the brothers’ inner circle recognized many months ago: Charles and David have commenced what allies describe as a “realignment” of resources, steering their money and focus away from elections and toward a slew of the more intellectual, policy-oriented projects on which they have historically lavished their fortune.

Holden says the Kochs “have always understood that relying on politicians and elections to change the trajectory of the country is never going to be sufficient or effective in the long-term.” But he disputes the notion that they are disengaging from politics. Instead, he says their activity has slowed because 2016 has not presented “the same opportunities for us to be impactful in a principled way at the federal level” as in previous years — something that could change in future election cycles. The Kochs are known for their data-driven operation, one in which assessments and reassessments are routine. They commissioned a painstaking after-action report on the 2012 election, concluding they hadn’t properly understood the factors at play, and its findings sparked change inside the network.

Some allies continue to hold out hope that eventually — perhaps at their next donor seminar in August, after the party conventions — the brothers will have a change of heart. It’s understood that liberal Supreme Court appointments could gut the campaign-finance precedents that allow the Koch network to function; with enough pressure from their peers, sources say, they could yet be persuaded to get off the sidelines and mobilize their forces against Hillary Clinton. The brothers have already built an unrivaled political machine — complete with cutting-edge data analytics and voter-contact programs — capable of reengaging at a moment’s notice. And as two of wealthiest men alive, they could instantaneously bankroll a campaign against Clinton on their own.

As of now, however, Koch insiders say that’s unlikely to happen. They describe a “pullback” from electoral politics – particularly on the federal level – and a “return to their roots” in advocacy and education. If they are right, Republicans will go into this fall’s elections without the full support of their biggest benefactors, creating a void that could have lasting consequences for the GOP on the national stage.