DraftKings invested $3.5 million on Friday into a political action committee (PAC) advocating for the legalization of sports betting in Missouri. This significant contribution came shortly after Winning for Missouri Education (WME) succeeded in getting their initiative onto the ballot for the upcoming November 5 election.
The initiative will ask Missouri voters to approve a constitutional amendment that would permit both land-based and online sports betting. If passed, the first $5 million generated annually from state taxes on sports betting would go towards combating problem gambling, with the remaining funds directed towards public education.
Missouri Secretary of State Jay Ashcroft announced on Tuesday that the signature-gathering effort had achieved the required threshold, with 171,592 validated signatures. However, whether Missourians will vote in favor of sports betting remains uncertain, as polls have produced mixed results. A study by Saint Louis University and YouGov indicated that 60% of respondents were in favor, while a June poll by Emerson College showed only 38% support.
Campaign spokesman Jack Cardetti emphasized that DraftKings’ influx of funds will be used to educate the public about the initiative. “Now that we are officially on the ballot, we’ll be, over the next two and a half months, talking to Missourians across the state about why it makes sense to set up a legal sports betting framework that helps public education,” Cardetti said.
Should voters approve the measure, the Missouri Gaming Commission would be authorized to issue sports betting licenses to the state’s 13 riverboat casinos. Professional sports stadiums and arenas could also apply for licenses, and up to two online operators would be permitted to apply.
The potential market for sports betting in Missouri is estimated to be worth $290 million annually. Under the proposed amendment, a blanket 10% tax would generate $29 million for the state in addition to the $11.75 million licensing fee for each applicant.
WME has also received financial support from FanDuel and the state’s six professional sports teams: the St. Louis Cardinals, St. Louis Blues, St. Louis City SC, Kansas City Chiefs, Kansas City Royals, and the Kansas City Current. Cardinals President Bill DeWitt III expressed gratitude for the public’s support in getting the initiative on the ballot. “On behalf of all six of Missouri’s professional sports teams, I would like to thank everyone who signed a petition to get this on the ballot. A vote for Amendment 2 in November is the right thing to do for both Missouri public schools and our favorite sports teams,” DeWitt said in a statement.
