Millions in ‘Dark Money’ Fuel Virginia Redistricting Battle, Linked to Peter Thiel

(SeaPRwire) –   Tens of millions of dollars are flowing into both camps of Virginia’s high-stakes redistricting battle, a closely scrutinized test case in the national fight over gerrymandering that could help decide which party controls Congress in November.

On Tuesday, Virginia voters will cast ballots on whether to ratify a constitutional amendment that would let the state legislature redraw congressional districts ahead of the 2026 elections, temporarily overriding the state’s bipartisan redistricting process until after the 2030 census. This referendum comes after President Donald Trump urged Republican-led states last year to pursue mid-decade congressional map changes.

The overwhelming share of funds flowing into Virginia’s contest—roughly 95% of the nearly $100 million raised—has originated from tax-exempt nonprofits, also called 501(c)(4) groups, which are not obligated to disclose their donations. These organizations are a primary source of so-called dark money in political campaigns, allowing large sums to be spent without public disclosure of their funders.

Even though Democratic Governor Abigail Spanberger won her 2025 race by a roughly 15-point margin, Tuesday’s vote is projected to be far closer. Recent polling from Quantus Insights and The Washington Post indicates only a narrow majority supports redrawing the districts.

The “yes” campaign is primarily backed by the Virginians for Fair Elections referendum committee, which has collected $64 million in donations from these nonprofit groups between December 2025 and April. All figures are based on campaign finance records reviewed by TIME.

House Majority Forward, the political nonprofit arm of House Democrats that does not have to reveal its donors, accounted for nearly $40 million of those contributions.

The Virginians for Fair Maps referendum committee, despite its nearly identical name, has funneled at least $23 million in large donations to the “no” campaign. Additionally, the anti-redistricting Justice for Democracy PAC has received $9 million from a network tied to tech billionaire, PayPal and Palantir co-founder, and Republican fundraiser Peter Thiel. Thiel was the first prominent tech leader to endorse Donald Trump ahead of his 2016 presidential election.

Campaign finance filings show that conservative nonprofit Per Aspera Policy Inc. was the top donor to Justice for Democracy, which targeted Black Virginia voters with anti-redistricting mailers that compared the referendum to Jim Crow-era voter suppression tactics.

Per Aspera’s nonprofit status lets it keep its donors anonymous, but Thiel’s ties to the organization and its strategies have drawn scrutiny. Per reporting from The Kansas City Star, Thiel previously gave a six-figure donation to Per Aspera as the group funded ads for Kris Kobach’s unsuccessful campaign for Kansas governor.

The Virginia mailers have faced criticism from the National Association for the Advancement of Colored People (NAACP), which labeled them “manipulative” and “racist,” as well as from state Black leaders including Virginia Attorney General Jay Jones.

“Peter Thiel, one of Donald Trump’s leading billionaire supporters, is pouring millions into Virginia to advance a campaign built on falsehoods and racial division,” Jones said. “These ads intentionally exploit the legacy of Jim Crow and the Civil Rights Movement to mislead Black voters and suppress turnout.”

Virginia’s redistricting battle is one of the Democrats’ last major opportunities to make gains in the nationwide gerrymandering fight, a contest former Attorney General Eric Holder has called a “national struggle.”

“This is not a battle limited to Virginia,” Holder told CBS News’ Face the Nation on Sunday.

Last June, President Trump urged Texas to launch a mid-decade congressional redistricting process—instead of waiting until after the 2030 census. This unorthodox move spurred comparable efforts in other Republican-led states including Ohio, North Carolina, and Missouri.

“So I ask those who criticize our actions: What were we supposed to do? Nothing? Just let them try to rig the playing field and steal congressional seats?” Holder said. “All we’re trying to do is match their tactics and make the electoral system as fair as it can possibly be.”

Last year, Democrats secured a key victory in California, where voters approved new district maps intended to net the party up to five additional seats in the midterm elections.

As the 2026 midterm elections approach, Virginia would be a major political prize for Democrats looking to seize control of the House. Currently, the state has a 6-5 Democratic majority in its congressional delegation, but passing Tuesday’s referendum could result in a district map with a 10-1 advantage.

Apart from the flood of so-called dark money, the referendum has attracted attention from national political figures including Trump, California Governor Gavin Newsom, Texas Senator Ted Cruz, and former President Barack Obama.

“Over the past year, multiple Republican-led states have taken the unprecedented step of redrawing their congressional maps mid-decade, and they’ve done so for one straightforward reason: to gain an unfair edge in this fall’s midterm elections,” Obama said in a video released last month. “In April, Virginians can push back by ensuring their voting power is not weakened by the moves Republicans have made in other states. This amendment lets you level the playing field for this fall’s midterm elections.”

Republicans, including House Speaker Mike Johnson and former Virginia Governor Glenn Youngkin, have spent the past month attending rallies backed by Virginians for Fair Maps, working to convince Virginia voters that the referendum is unfair.

“Virginia is under attack because the leadership in Richmond is trying to strip you of your right to vote,” Youngkin said at a rally in Lynchburg in early April.