Democratic New York Governor Kathy Hochul narrowly defeated Republican Rep. Lee Zeldin to win a first full term in office. But leading up to the election, political opponents accused Hochul of running “pay to play” schemes.
In fact, the New York Post ran a list of companies and individuals that have received contracts and tax breaks from the Hochul administration and also contributed to her campaign. The list included DraftKings Chief Executive Officer James Robins, his wife Shannon Robins and Chief Legal Officer Stanton Dodge, who each gave $25,000. Robins also donated $11,800 in August to the reelection campaign of Democratic state Sen. Joe Addabbo, chairman of the Racing, Gaming, and Wagering Committee.
The Post list also indicated in June, Seminole Hard Rock Chairman Jim Allen gave the Hochul campaign $25,000; the company has expressed interest in obtaining one of the three proposed New York City-area casinos.
James Dolan, owner of Madison Square Garden as well as the New York Knicks and Rangers, also was included in the Post list. New York Republican Party Chair Nick Langworthy told the Post, “Kathy Hochul put a giant for-sale sign on New York State’s Capitol, so of course special interests are rushing in to protect the status quo.”
Zeldin’s campaign raised about half of the record-setting $45 million Hochul’s campaign received as of late October. His major conservative donors, including Estée Lauder heir Ronald Lauder, gave close to $10 million to pro-Zeldin groups.
Although he wasn’t up for election during this cycle, New York City Mayor Eric Adams also has received contributions to his campaign from gambling industry insiders, including Mets owner Steve Cohen, who gave $500,000. Cohen has been lobbying for a casino near the team’s Citi Field home stadium.
Hochul’s predecessor, Andrew Cuomo, had pushed for high tax rates on gaming revenue and a limited number of online sports betting licenses.
Currently New York has nine licensed mobile sportsbook operators, who each pay the state 51 percent of their gross gaming revenue−the highest tax rate in the U.S.
