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  Thursday, April 16, 2009

  $2.5 Million Spent Lobbying U.S. I-Gaming Policy in Fourth Quarter

by Caroline M. Gallay Approximately $2.54 million was spent during the fourth quarter of 2008 lobbying federal I-gaming policy in the United States.

The usual suspects were at play, with the American Gaming Association, Interactive Gaming Council, Poker Player’s Alliance and UC Group leading the pack in spending.

A number of other organizations also took interest in Internet gaming, however, with about 30 parties setting aside money to lobby on I-gaming issues.

What follows is a breakdown of these organizations’ spending and snapshots of the issues they lobbied on.

Note: The Lobbying Disclosure Act requires lobbyists at the federal level to report all of their lobbying income and to specify whom they represent and on which issues. Organizations that use in-house staff to lobby must also report their lobbying expenses. Reports must be filed every half-year and are made available to the public over the Internet through the Senate's Lobbying Disclosure Act Database.

Many of these figures are estimates. In cases where lobbyists reported working for an organization across a number of issues, the lobbyists’ reported income from the organization was divided by the number of issues they worked on. It was assumed that the funds were distributed equally across all issues.

American Banker’s Association | $91,905 (estimated)

The American Banker’s Association spent $1,930,000 in in-house lobbying efforts across 21 broad issues including:

    "HR 2046, Internet Gambling Regulation and Enforcement Act of 2007 (all provisions); HR 5767, to prohibit the Secretary of the Treasury and the Board of Governors of the Federal Reserve System from proposing, prescribing or implementing any regulation under subchapter IV of chapter 53 or title 31, United States Code, and for other purposes (Internet Gambling Act regulations); HR 6870, Payments System Protection Act of 2008; Proposal to Amend Section 10b of Securities Exchange Act of 1934 with respect to aiding and abetting liability”

American Gaming Association | $398,000 (estimated)

The AGA spent $368,000 in in-house lobbying efforts conducted by Frank J. Fahrenkopf, Walton M. Chalmers, D. Brett Hale and Dorothy M. Jackson for:

    “Internet Gaming -- HR 6870, Payments System Protection Act of 2008; HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, To provide for a study by the National Academy of Sciences to identify the proper response of the United States to the growth of internet gambling; HR 2610, to amend subchapter IV of chapter 53 of title 31 Unites States Code, and section 1084 or such code to clarify the applicability of such provisions to games of skill”
An additional $20,000 to Fierce, Isakowitz and Blalock for:
    “HR 2046: Internet Gambling Regulation and Enforcement Act of 2007; HR 2140: Internet Gambling Study Act; HR 2607: Internet Gambling Regulation and Tax Enforcement Act of 2007"
And $20,000 to the Paul Laxalt Group for two broad issues, including:
    “Legislation relating to the gaming and tourism industries. HR 2140: a bill to provide for a study of National Academy of Sciences to identify the proper response of the United States to the growth of Internet gambling. HR 2046: A bill to amend title 31, United States Code, to provide for the licensing of Internet gambling facilities by the Director of the Financial Crimes Enforcement Network, and for other purposes”

American Greyhound Track Operator’s Association | $15,000 (estimated)

The American Greyhound Track Operator’s Association paid $30,000 to Dickstein Shapiro LLP for lobbying efforts across two broad issues, including:

    “HR 5767, to prohibit the Secretary of the Treasury and Board of Governors of the Federal Reserve System from proposing, prescribing or implementing any regulation under subchapter IV of chapter 53 of title 31, United States Code; HR 6870, Payments System Protection Act of 2008; HR 6663, Unlawful Internet Gambling Enforcement Clarification and Implementation Act of 2008; HR 2607, Internet Gambling Regulation and Tax Enforcement Act of 2007; HR 5523, Internet Gambling Regulation and Tax Enforcement Act of 2008; Regulation GG, Docket No. R-1298, prohibition on funding of unlawful Internet Gambling; monitor the implementation of the Internet gaming provisions within the Security and Accountability for Every Port Act; HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, Internet Gambling Study Act”

American Horse Council | Less than $2,500 (estimated)

The American Horse Council spent less than $5,000 on lobbying services by Davis and Harman LLP for two issues, including:

    “Proposals related to Internet gambling”

Americans for Tax Reform | $13,750 (estimated)

Americans for Tax Reform spent $220,000 in in-house lobbing efforts covering 16 broad issues, including:

    “Unlawful Internet Gambling Enforcement Act”

Antigua Online Gaming Association | $50,000

The Antigua Online Gaming Association paid $50,000 to Black Swan LLC -- Jochum Shore and Trossevin PC for:

    “Issues related to the legalization and regulation of internet gaming”
and
    “Issues related to the World Trade Organization dispute on internet gaming between the United States and Antigua/Barbuda"

Avatar Enterprises | $10,000 (estimated)

Avatar Enterprises paid $20,000 to Sher and Blackwell LLP via Alpha Neo for lobbying services across two broad issues including:

    “Congressional oversight and legislation on Internet gaming, including possible amendments to the Unlawful Internet Gambling Enforcement Act of 2006 (Title VII of PL 109-357)”

Baker Tilly | Less than $5,000

Baker Tilly spent less than $5,000 on lobbying services by Hyde Park Communications for:

    “Regulation of Internet gambling, all legislative proposals and treasury rulemaking”

Christian Coalition of America | $3,571 (estimated)

The Christian Coalition of America spent $50,000 in in-house lobbying efforts, conducted by James Backlin, covering 14 broad issues, including:

    “Opposition to HR 2046, Internet Gambling Regulation and Enforcement Act”

Churchhill Downs, Inc. | $9,000

Churchill Downs, Inc. paid $9,000 to McCarthy Strategic Solutions, LLC for:

    “Internet gaming issue; player withholding issue”

eLottery, Inc. | $10,000

eLottery, Inc. paid $10,000 to Policy Impact Communications, Inc for lobbying efforts on:

    “Internet gaming”

Family Research Council | $1,429 (estimated)

The Family Research Council spent $20,000 in in-house lobbying efforts, conducted by Thomas McClusky and David Christensen, covering 14 broad issues, including:

    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007, Federal licensing requirement for Internet gambling operators”
and
    “HR 5523 and HR 2607, Internet Gambling Regulation and Tax Enforcement Act of 2008, to amend the internal revenue code of 1986 to regulate and tax Internet gambling”
and
    “HR 2140, Internet Gambling Study Act, provides for a study by National Academy of Sciences on U.S. response to growth of Internet gambling"
and
    “HR 5767, To prohibit the Sec. of Treasury and Board of Governors from proposing, prescribing or implementing any regulation under subchapter IV of chapter 53 of title 31, US Code, and for other purposes. This law would undo the Unlawful Internet Gambling Enforcement Act”

Gtech Corporation | $30,000

Gtech Corporation paid $30,000 to DCI Group LLC for:

    “HR 2046, To amend title 31, United States Code, to provide for the licensing of Internet facilities by the Director of the Financial Crimes Enforcement Network, and for other purposes”

Harrah's Entertainment, Inc. | $66,250 (estimated)

Harrah’s Entertainment, Inc. paid $60,000 to Podesta Group, Inc. via Harrah’s Operating Company Inc. for:

    “Issues related to Internet gaming”
And an additional $50,000 to US Strategies for lobbying efforts across eight broad issues, including:
    “HR 2610, Skill Game Protection Act; HR 2140, Internet Gambling Study Act, HR 2607, Internet Gambling and Tax Enforcement Act of 2007; HR 2046, Internet Gambling and Enforcement Act of 2007; HR 6870, Payment Systems Protection Act: HR 5523, Internet Gambling Regulation and Tax Enforcement Act of 2008”

Interactive Gaming Council | $667,875

The Interactive Gaming Council paid $20,000 to Barnes and Thornburg LLP for:

    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, Internet Gambling Study Act; and HR 2610 Skill Game Projection Act”
$50,000 to Dickstein Shapiro LLP to:
    “Monitor the implementation of the Internet gaming provisions within the Security and Accountability for Every Port Act from the 109th Congress; HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, Internet Gambling Study Act; HR 2607, Internet Gambling Regulation and Tax Enforcement Act of 2007; HR 2610, Skill Game Protection Act; HR 5767, To Prohibit the Secretary of the Treasury and the Board of Governors of the Federal Reserve System from Proposing, Prescribing or Implementing any Regulation under Subchapter IV of 53 or Title 31, United States Code; HR 6870, Payments System Protection Act of 2008: HR 6663, Unlawful Internet Gambling Enforcement Clarification and Implementation Act of 2008; HR 5523, Internet Gambling Regulation and Tax Enforcement Act of 2008; S 3616, Internet Skill Game Licensing and Control Act of 2008; Monitor all legislative and administrative action related to internet gaming”
$150,000 to Greenberg Traurig, LLP for:
    “Opposition to prohibition of Internet gaming”
$180,000 to DLA Piper LLP for:
    “Implementation of the Unlawful Internet Gambling Enforcement Act; HR 6870, Payment System Protection Act of 2008; S 3616, Internet Skill Game Licensing and Control Act of 2008”
$30,000 to Jay Footlik for:
    “Implementation of the Unlawful Internet Gambling Enforcement Act rulemaking; HR 6870, Payment System Protection Act of 2008”
$67,875 to Private Public Solutions, LLC to lobby for:
    “Issues related to Internet gaming reform”
$30,000 to The Center for Regulatory Effectiveness to:
    “Analyze proposed regulations issued pursuant to Unlawful Internet Gambling Act”
$20,000 to the Feehery Group for lobbying on:
    “Unlawful Internet Gambling Enforcement Act”
$80,000 to the Raben Group to:
    “Seek support for licensing and regulation of Internet gambling in the U.S.”
And $40,000 to Venable LLP for:
    “HR 6870, the Payment System Protection Act and issues relating to the implementation of the Unlawful Internet Gambling Enforcement Act”

Interactive Media Entertainment and Gaming Association | Less than $5,000

Interactive Media Entertainment and Gaming Association paid less than $5,000 to Edward Leyden to:

    “Advocate with respect to the regulation and taxation of Internet gaming”

Magna Entertainment | $10,000

Magna Entertainment paid $10,000 to DLA Piper LLP for:

    “Regulations implementing the Unlawful Internet Gambling Enforcement Act (UIGEA); HR 5767, to bar implementation of UIGEA regulations; Federal review of gaming applications; HR 6780, Payments System Protection Act of 2008”

MGM Mirage | $100,000

MGM Mirage paid $100,000 to Cassidy and Associates, Inc. for:

    “HR 2046, Internet Gaming Regulation and Enforcement Act of 2007; HR 2140, Internet Gaming Study Bill”

National Collegiate Athletic Association | $6,667 (estimated)

The NCAA spent $20,000 in in-house lobbying efforts conducted by Abe L. Frank and Edgar R. Burch for three broad issues, including:

    “Unlawful Internet Gambling Enforcement Act regulations, regarding criminal prohibitions connected with Internet gambling”

National Football League | $53,333 (estimated)

The NFL paid $320,000 to Covington and Burling LLP for lobbying efforts across six broad issues, including:

    “Internet gambling”

National Football League Player’s Association | $3,333 (estimated)

The NFL Player’s Association paid $10,000 to Baach Robinson and Lewis PLLC for lobbying efforts across three broad issues, including:

    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007 (Fantasy Sports Exemption); HR 2607, Internet Gambling Regulation and Tax Enforcement Act (Fantasy Sports Exemption)”

National Thoroughbred Racing Association | $22,500 (estimated)

The National Thoroughbred Racing Association paid $50,000 to Alpine Group, Inc for lobbying efforts across four broad issues including:

    “HR 5767, to prohibit the Secretary of Treasury from proposing regulations related to Internet gaming; HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, Internet Gambling Study Act; HR 6870, Payments System Protection Act of 2008; HR 2607, Internet Gambling Regulation and Tax Enforcement Act of 2007; HR 5523, Internet Gambling Regulation and Tax Enforcement Act of 2008”
And an additional $20,000 to Davis and Harman LLP for lobbying efforts across two broad issues, including:
    “Proposals relating to Internet gambling”

Office of the Commissioner of Baseball | $12,500 (estimated)

The office of the Commissioner of Baseball paid $100,000 to Baker and Hostetler LLP for lobbying efforts across eight broad issues, including:

    “Internet gambling issues affecting Major League Baseball”

PartyGaming | Less than $5,000

PartyGaming paid less than $5,000 to Paul, Hastings, Janofsky and Walker LLP for:

    “Congressional oversight and legislation regarding Internet gaming, including HR 2046, the Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, to provide for a study by the National Academy of Sciences to identify the proper response of the United States to growth of Internet gambling; HR 2610, Skill Game Protection Act; HR 5767, Payment System Protection Act and oversight and legislation regarding the Unlawful Internet Gambling Enforcement Act of 2006 and possible amendments thereto”

Poker Player’s Alliance | $553,000

The Poker Player’s Alliance paid $20,000 to Barnes and Thornburg LLP for:

    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2140, Internet Gambling Study Act; HR 2610, Skill Game Protection Act; HR 5767, Payment Systems Protection Act”
$30,000 to Mattox Woolfolk LLC for:
    “HR 2046”
$120,000 to Ogilvy Government Relations for:
    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007; HR 2610, Skill Game Protection Act; S 3616, Internet Skill Game Licensing and Control Act of 2008; HR 2140, Internet Gambling Act; HR 2607, Internet Gambling Regulation and Tax Enforcement Act of 2007; HR 5767, To prohibit the Secretary of the Treasury and the Board of Governors of the Federal Reserve System from proposing, prescribing, or implementing any regulation under subchapter IV of chapter 53 of title 31, United States Code, and for other purposes; HR 6501, to amend the Social Security Act to establish a trust fund with proceeds from the taxing of Internet gambling to provide opportunities to individuals who are, or were, in foster care and individuals in declining sectors of the economy; HR 6870, Payments System Protection Act of 2008; Issues related to online poker”
$90,000 to Park Strategies LLC for:
    “Prohibition of Internet and/or online wagering and betting in connection with poker”
And spent $293,000 in in-house lobbying efforts, conducted by John Pappas, for:
    “Representing the public policy interests of adult poker players in the United States; HR 2046, the Internet Gambling Regulation and Enforcement Act; lobby to support regulated Internet poker in the U.S.; HR 2610, the Skill Game Protection Act; lobby to exempt poker and other games of skill from the Unlawful Internet Gambling Enforcement Act; HR 5767: HR 6870; lobby to clarify the Unlawful Internet Gambling Enforcement Act; lobby the U.S. Dept of Treasury regarding the finalization of regulations pursuant to the Unlawful Internet Gambling Enforcement Act; S 3616, Internet Skill Game Licensing and Control Act; lobby to support licensing and regulation of Internet games of skill, including poker; HR 2140, Internet Gambling Study Act; lobby for a federal study of Internet Gaming; HR 2607, Internet Gambling Regulation and Tax Enforcement Act; lobby to support taxation of regulated Internet gaming industry”

Ms. Ruth Parasol and Mr. Russ DeLeon (cofounders of PartyGaming) | $75,000

Ms. Ruth Parasol and Mr. Russ DeLeon paid $75,000 to Sharp and Barnes, LLP to lobby on:

    “Legality of Internet Gaming and UIGEA”

Sportingbet | $20,000

Sportingbet paid $20,000 to Sonnenschein Nath and Rosenthal LLP for:

    “Settlement of potential issues related to online gambling”

Station Casinos | $20,000

Station Casinos paid $20,000 to ML Strategies LLP for a number of gambling initiatives, including:

    “HR 2046, Internet Gambling Regulation and Enforcement Act of 2007 -- all provisions; HR 5767, The Payment Systems Protection Act -- all provisions”

This article continues here.

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About the Author
Caroline Gallay is a staff writer at IGamingNews. She lives in Columbia, Mo.

 

More Articles by Caroline M. Gallay

See Also

PartyPoker Bets $105 Million on Return to U.S.

Can a Wire Act Violation Be Avoided with Enough Skill?

$2.5 Million Spent Lobbying U.S. I-Gaming Policy in Fourth Quarter (Continued)

Eye on the Industry | U.S. Studs and Duds

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