DraftKings, FanDuel-backed super PAC spending $8M to sway New York legislative races

ALBANY — A super PAC backed by mobile sports gambling giants DraftKings and FanDuel has upped its New York campaign war chest to $8 million for digital ads, mailers, polling and consultants in state legislative races, including four contests on Long Island.

The influx of cash supporting Democrats — who control the State Senate and Assembly — comes as mobile sports betting interests have sought to beat back new regulations, like those debated last legislative session that would restrict advertising and put in stronger age-verification requirements.

The gambling companies also are looking to legalize online casinos and prediction markets, according to legislation introduced earlier this year and lobbying records.

Nationally, similar spending from gambling company-funded PACS is going to Republicans in states that they control.

New York is a major market for gambling companies. In the 2026 fiscal year, New Yorkers bet $26.3 billion on mobile sports betting and lost nearly $2.6 billion. Mobile sports betting is now the state’s second-largest source of gambling revenue, trailing only the lottery.

DraftKings, FanDuel and other gambling companies added $5.5 million to the political action committee, called New York Future, between May and early October. They had seeded the PAC earlier with $2.5 million, according to campaign finance filings.

The ads for candidates and website for New York Future don't mention sports betting.

Les Bernal, the national director of Stop Predatory Gambling, a Massachusetts-based 501(c)(3) nonprofit, said he believes expanding gambling on phones, stopping new regulations, and competition from prediction markets are driving millions of dollars in donations to legislative candidates.

"The public is not demanding online casinos in their homes and in their kids' bedrooms, and so that's why they're trying to again build that goodwill," he said.

A New York Future spokesman did not return a request for comment for this story.

The super PAC previously told Newsday in a statement it backs candidates it believes will "thoughtfully approach regulation and ensure legal sports betting can continue to generate revenue and jobs for the state."

New York Future's website said it is "committed to electing strong, bold Democrats" and promises to focus on issues like housing, reducing gun violence, healthcare, education and affordability. The website mirrors that of American Future, a national effort by mobile sports betting companies to back Democratic candidates that has spent $17.4 million. The gambling companies also are funding a Republican counterpart called American Conservative Fund, which spent $57.3 million since its inception in November.

Backing 4 LI candidates

Over the last month, New York Future has been running ads on social media and sending mailers in support of 17 Democratic incumbents across the state.

Its largest expenditure has gone toward Chris Ryan, a Democrat who represents a suburban district outside Syracuse, spending nearly $1 million to support him.

On Long Island, New York Future has spent more than $660,000 supporting Assembs. Tommy John Schiavoni (D-Sag Harbor), Kwani O’Pharrow (D-North Amityville) and Judy Griffin (D-Rockville Centre) and State Sen. Monica Martinez (D-Brentwood).

None of those four candidates sit on the Assembly or Senate committees that oversee gambling legislation.

The group is not backing any Democratic challengers to Republican-held seats.

It is unclear how New York Future decided which candidates it would support. But many of the candidates either recently flipped Republican-held seats or won by relatively slim margins.

For example, Martinez first won her seat in 2018, only to lose it in 2020 and then regain it under newly drawn lines in 2022.

And in 2024, O’Pharrow won an open seat by 1% over a Republican challenger. New York Future has spent more than $211,000 backing him, the most of the four Long Island incumbents.

O’Pharrow said in a statement he learned of New York Future’s endorsement when contacted by Newsday but did not know the exact reason why the group chose to back him.

Assembly Republican officials declined to comment.

Senate Republican officials did not respond to requests for comment.

No mention of gambling

New York Future's ads focus on broader issues of public safety and affordability, according to the ad libraries for companies like Google and Meta.

For example, a Meta ad for O’Pharrow links to New York Future’s site and says in part, "Kwani cut taxes for the middle-class and invested in our schools, giving families the resources they need to get ahead."

It also tries to tie his opponent, Republican Joseph Cardinale, a retired NYPD lieutenant commander, to President Donald Trump and calls Cardinale "an extremist."

New York Future is spending more to support O'Pharrow than Cardinale has budgeted for his entire campaign.

Cardinale criticized the ads and an opposition website New York Future created about him, saying the group took statements he made out of context.

Cardinale said he was concerned about the potential of the state legalizing online casinos.

"You don't know who's behind that computer making the bets or behind the phone, and it could be kids," he said.

Blair Horner, senior policy adviser with the New York Public Interest Research Group, a good-government group, said powerful interests like mobile sports betting companies rely on the twin levers of lobbying and campaign contributions to influence the state legislature.

"The influence-peddling coin has two sides," he said. "You're doing it to curry favor so that you can cash in during the legislative session. That doesn't always work, of course. Sometimes the interest group still loses, but it's part of the formula for success."

Prediction markets future fight

Both DraftKings and FanDuel have entered into prediction markets, which enable users to place money on event contracts, similar to sports betting.

Prediction markets are not subject to the same state regulations and tax rates as casinos and sports betting operations, and are currently regulated by the federal Commodity Futures Trading Commission.

The prediction market Kalshi sued the state Gaming Commission last year after the agency ordered Kalshi to shutter its New York operations.

In New York, some Democrats have pursued legislation that would regulate prediction markets.

Kalshi also is spreading money around state Democratic circles, though not to the same extent as the companies backing New York Future.

In the spring, Kalshi gave $150,000 to three committees controlled by state Democrats. It gave $50,000 more to New York Forward, a super PAC controlled by Brown & Weinraub, the powerful lobbying firm it contracts with.

Kalshi followed up in September with another donation of $400,000 to the PAC.