FanDuel Warns D.C. City Council of Potential Agreement Termination Over New Sports Betting Budget
Phil Mendelson, Chairman of the D.C. City Council, received a warning from FanDuel President Christian Genetski regarding the potential termination of FanDuel’s agreement with the city. This caution was delivered just before lawmakers passed the 2025 budget, which includes provisions aimed at expanding the District’s sports betting market.
Introduction of Class C Licenses
The new budget introduces a Class C license, which allows sportsbooks in the District to provide mobile sports betting in partnership with one of the professional sports teams.
Currently, the Office of Lottery and Gaming (OLG) holds exclusive rights to internet betting, with FanDuel as the sole provider of digital betting as of April.
BetMGM and Caesars Sportsbook operate retail outlets with restricted digital betting within specific zones.
The 2025 budget, pending approval by Mayor Muriel Bowser, could impact the sports betting landscape in the District. The approval would enable BetMGM and Caesars Sportsbook to expand their platforms citywide, and new operators could enter the market by applying for D.C. sports betting licenses.
The proposal also includes the creation of Type C licenses.
FanDuel’s Position
FanDuel has expressed that it would terminate its agreement with the OLG if the budget is approved. However, the company could still operate under a Class C license by partnering with a local sports team, given its existing Class A license, which allows it to run a retail sportsbook at Audi Field.
Should FanDuel exit its agreement, the DC Lottery could be left without a partner to operate online and retail sports betting kiosks across the District.
Since the legalization of sports betting in 2019, the OLG has had a digital monopoly, partnering with lottery vendor Intralot to offer digital wagering through GamBetDC. Launched in May 2020, GamBetDC has struggled to meet revenue expectations.
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