In a recent revelation, Fox News Digital has discovered that Senator Bernie Sanders, I-Vt., has funneled $75,000 from his campaign funds to a nonprofit organization run by his wife and stepson.
The Sanders Institute, established six years ago by Jane Sanders and David Driscoll, received the funds on August 8, as indicated in the Federal Election Commission filings. This follows a previous transfer of $200,000 from the senator's campaign to the nonprofit earlier this year.
The Sanders Institute was set up as a think tank to amplify progressive voices. However, the organization has been criticized for its lack of substantial output, despite paying Driscoll a six-figure salary. Kendra Arnold, executive director of the Foundation for Accountability and Civic Trust, expressed her concerns to Fox News Digital, stating, "The facts present in this case and the family ties involved certainly raise legitimate concern."
Arnold further elaborated on the legal implications of such transactions, explaining that while the percentage of the nonprofit's expenditure on salaries isn't necessarily problematic, the legality hinges on whether the salaries were paid for bona fide services at fair market value. If the nonprofit and its executive director are genuinely producing work and earning the money, it is not illegal, albeit frowned upon. However, if little or no work is being done to earn the money legitimately, it could potentially be a serious campaign finance violation.
Jane Sanders, upon the institute's launch in 2017, told the Washington Post that the organization's mission was to revitalize democracy and support progressive institutions. She emphasized the need for an informed electorate, civil discourse, and bold thinking. However, the institute ceased operations in 2019 as Sanders entered the Democratic presidential primary to avoid any appearance of impropriety. It has since quietly resumed its activities.
The institute's 2021 tax forms reveal that nearly 40% of its contributions were disbursed to salaries, with minimal work and few identifiable achievements to show for it. The nonprofit raised almost $717,000 in 2021, of which $257,000 went to wages, including $152,653 in salary and other compensation to Driscoll, its executive director.
The Sanders Institute also reported spending nearly $160,000 on The Timeline Project, a "policy-focused resource based on Bernie Sanders' work over four decades." However, the institute's website does not appear to contain this resource, and its YouTube page has uploaded only three videos this year. The organization also reported no grants to other progressive organizations in its 2021 tax records, despite its stated intention to support like-minded institutions.
This is not the first time that Sanders' campaign has financially supported his family's nonprofit. In 2021, his presidential committee transferred $350,000 to the institute, accounting for nearly half of the $716,000 it raised that year. During the same period, the institute allocated close to 40% of its donations to salaries, and Sanders' stepson received slightly more than $150,000 in pay.
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