The Daily 202: Koch network donors growing nervous about losing their majorities in the midterms

By James Hohmann January 29 at 9:11 AM

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Interviews with donors and leaders of the Koch network reveal widespread excitement about what got accomplished at the federal and state levels in 2017, as well as trepidation and anxiety about what might happen in November 2018. While someone like Justice Neil Gorsuch will make the courts friendlier to business for decades, there’s fear that many other victories – such as deregulation and tax cuts – are far more fragile.

Tim Phillips, the president of Americans for Prosperity, the main political arm of the network, has been straightforward about the challenges ahead. Pointing to Democratic victories in Virginia last November and a Wisconsin special election earlier this month, he explained: “The left is energized. There’s no question about that. It’s prudent for folks to understand that and to acknowledge that. … It’s not just marches and such. It’s showing in some of the recent elections.”

Managing expectations, Phillips notes the magnitude of defeats that previous presidents have suffered during their first midterm election – from Barack Obama in 2010 to Bill Clinton in 1994 and Ronald Reagan in 1982.

“With politics, history is a great indicator. It just is,” he said. “Americans are more skeptical than they used to be of government and of Washington, D.C. That’s a healthy thing … but it means we have to do a really good job of explaining that there are some good things happening that actually improve people’s lives.”

This is a different kind of challenge for the Koch network, which scaled up during the Obama era. AFP got to ride the anti-Obama wave in 2010. Now the group is bracing for the impact of an anti-Trump one. “In 2010, we explained the ill effects of Obamacare. It’s the reverse now,” said Phillips. “Our job is to explain why these tax reforms are benefitting a lot of people. … This year we’ll be explaining the benefits of policies in many cases. That’s probably the biggest challenge. You’re going against the tide. You’re going against history. … Regardless of the president, it’s a challenge.”

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