Two political action committees (PACs) that can be traced back to a coalition of national sports betting operators are funding local PACs in several U.S. jurisdictions, including two key states that have not yet legalized sports betting — Georgia and Texas.
The Republican-aligned American Conservative Fund and Democratic-aligned American Future PACs were initially funded by Win For America, a Super PAC that legal sports betting giants DraftKings, FanDuel, Fanatics, and Bet365 contribute to. The four are members of the Sports Betting Alliance (SBA) along with BetMGM, which does not appear to have contributed.
Besides sending money to local candidates in Georgia and Texas, the American Conservative Fund has also staked Win for Pennsylvania with $3 million. Sports betting was legalized in Pennsylvania in 2017 and has been live there since November 2019. Last year, there was a failed push to get a wagering tax increase into the state budget. At that time, a source told InGame that the SBA was planning to create and fund a Pennsylvania Super PAC so it could stay ahead of wagering issues.
There is a Republican majority in Pennsylvania’s Senate and a Democratic majority in the House.
So far, according to the Federal Election Committee (FEC) website, Win for Pennsylvania has disbursed less than $2,000, all to Compliance Consulting. But The Citizens’ Voice reported May 1 that the group is sending out direct mail and is paying for television ads in support of re-electing state Sen. Lisa Baker.
Spotlight PA reported Friday that so far $8.1 million has been spent by “gambling interests” ahead of the primary, backing Baker, Camera Bartolotta, and Chris Gebhard, all powerful Republican incumbents. The media site also reported that more than half of the money raised was directed to Republican incumbents and pointed to Gebhard as having a history of supporting the legal sports betting industry.
$10+ million from operators in Georgia
In Georgia, where lawmakers have been trying for eight sessions to legalize sports betting, wagering operators have donated more than $10 million to support friendly candidates, according to the Atlanta Journal Constitution. After California and Texas, Georgia is the biggest U.S. state by population that does not have legal sports betting. In March, a legalization bill failed to make it out of the House.
So far, the Super PAC Win for America has sent nearly $8 million to the American Conservative Fund Action Georgia, and the local PAC has spent more than $7 million. Per FEC records, most of the money has gone to political consultants, research groups, and polling, though the group has also spent on Senate Majority Leader Jason Anavitarte, House Speaker Jon Burns, and House Appropriations Chair Matt Hatchett.
On the Democratic side, American Future has spent more than $2 million backing Dar’shun Kendrick, Esther Panitch, and Mary Frances Williams.
The American Conservative Fund also staked the Texas Conservative Fund with $3.5 million in February, though the FEC website does not reveal any spending from it. The FEC website is updated through the first quarter.
On a national level, the American Conservative Fund has funneled much of its $26.6 million to political strategists, legal and compliance consultants, and companies that lobby via phone and email.
PACs collect political contributions from businesses, individuals, unions, and more, and then can funnel the funds to a candidate’s campaign, another PAC, or a national party committee, but politicians don’t control which PACs are sending money to them. Super PACs can support candidates or issues, but are separate entities from the businesses funding them. There is no cap on how much money a Super PAC can raise or spend, but it cannot directly work with or coordinate activities with a candidate or issue. Money can be spent on media campaigns, direct mail, or digital marketing, and Super PACs can run ads either in support of or opposition to an issue.
