Sportsbook DraftKings is about to become the first of its kind to launch its own federal Political Action Committee (PAC).
The PAC will be led by DraftKings’ senior director of federal affairs, Lauren Pfingstag Vahey, and senior vice president and deputy general counsel, Griffin Finan. While it’s the first sportsbook to make such a move, there is indirect precedent in the industry.
Fantasy sports operator PrizePicks launched its own in 2023, and major casino operators, including MGM Resorts, Caesars Entertainment, and the American Gaming Association (AGA), also all operate federal PACs. With DraftKings being a member of the AGA, this could have laid the groundwork for the decision.
PACs are organizations that raise and allocate funds to elect or defeat political candidates or to support specific legislation, often related to or in support of the gambling industry. DraftKings already has a background in lobbying for certain legislations, often pushing for increased legalization and decreased regulation in the betting industry, in line with its business goals.
Reportedly, DraftKings spent around $420,000 on lobbying efforts in 2024 alone, as well as donating more than half a million to President Donald Trump’s inauguration. Being a member of both the AGA and Sports Betting Alliance, DraftKings has also been a notable name in the groups’ lobbying efforts as well. The AGA in particular is estimated to have spent almost $2 million on federal lobbying last year.
What could a PAC achieve?
Past lobbying efforts have brought about major wins for the gambling industry, such as legalizing sports betting and weakening regulations around promotional efforts.
That’s not to say that they always work out, with DraftKings spending almsot $100 million in collaboration to unsuccessful push to legalize sports betting in California. The hope will surely be that having an organized channel in the form of a federal PAC, more measures in line with the sportsbook’s goals will succeed.
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