REPUBLICANS

You'd think they were on top of the world, but just when the Republican National Committee had its best week in a year--winning two statehouses and a congressional seat--a potential revolt divided the party's ranks. What's it about? Money. A top official told TIME that the G.O.P. is more than $7 million in debt--more than half again what it claimed last week. Fund raising is lackluster, and party elders didn't like it when G.O.P. chairman JIM NICHOLSON directed $800,000 to radio ads in Staten Island, though the congressional candidate was never hurting. Nicholson, who replaced HALEY BARBOUR two years ago, is likely to be challenged for the top spot when the party meets in January.

--By Michael Duffy/Washington