The American Conservative Union (ACU), the parent organization of the annual Conservative Political Action Conference (CPAC) led by chairman Matt Schlapp, faced significant revenue losses last year, according to a recent tax filing. The loss in revenue follows revelations that Schlapp was the subject of a lawsuit alleging the sexual battery of a young man, Republican strategist Carlton Huffman. The tax document revealed the ACU’s conference revenue dropped by over half, from $11.7 million to $5.4 million, marking the nonprofit’s lowest income since 2018.
The sexual assault allegations against Schlapp became public less than two months before CPAC 2023. As a result, attendance and sponsorships took a significant hit. The tax filing revealed that ACU’s overall revenue dropped substantially. The hefty salaries, including Schlapp’s personal income — at least $350,000 per year — contributed to ACU’s fiscal challenges. The wages rose by nearly $600,000 from the previous year, while the revenue generated barely covered the $2.2 million paid out to the organization’s top 13 earners.
During the same period, the organization’s treasurer, Bob Beauprez, resigned, explaining: “Over three years ago, I had become quite concerned about the obvious unease, frustration, palpable tension and anxiety among staff, and high rate of turnover. Even from the outside, it was clear that things were not going well.”
He added: “I cannot deliver a financial report at the upcoming board meeting with any confidence in the accuracy of the numbers.”
Last year, it was revealed that Schlapp offered his alleged victim a six-figure payoff to drop the lawsuit. In February, Fox News host Sean Hannity and several former CPAC staffers were subpoenaed as part of the ongoing investigations into the allegations against Schlapp.
