When it comes to politics, Costco Wholesale has a well-deserved reputation as a Democratic-leaning corporation.
Company co-founders Jim Sinegal and Jeffrey Brotman have hosted President Obama at fundraisers in their lakefront mansions. Costco executives have donated hundreds of thousands of dollars to Democratic candidates and causes over the past decade.
But in the key battle for control of the state Senate this year, top Costco brass miffed at Democrats over a liquor-fee dispute have essentially switched sides, backing the Republican Partys efforts to maintain and expand its majority coalition.
Employees and executives of the Issaquah-based retailer have donated more than $48,000 to Republicans and $17,000 to Democrats so far this year in state contests, according to filings with the state Public Disclosure Commission (PDC).
Thats a notable turnabout from recent elections. In 2012, Costco employees and executives gave $93,000 to Democrats and $21,000 to Republicans in state races. In 2010, $37,000 went to Democrats and just $750 to Republicans.
Kinda conspicuous, isnt it? said Sinegal, the former Costco CEO and current board member, who acknowledged the liquor fight in Olympia was at the heart of the shift in donations.
The realignment comes after Democrats stiff-armed an effort by Costco and allies to eliminate a 17 percent license fee on retailers selling liquor to restaurants.
Sinegal spoke at the Democratic National Convention two years ago and said he doesnt recall ever donating to a Republican before. (A search of election records suggests hes right.)
But in the state Senate, it was mostly Republicans who supported the proposed change to liquor laws backed by Costco, as well as other grocers and restaurants. Hence the political donations.
Weve had support from certain Republicans in the Legislature, and we thought it was appropriate. Its as simple as that, Sinegal said of the donations. Ive been supportive of Democrats in the past, and on a national basis continue to be.
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Costco execs turn tables on state Senate Democrats