Why It Matters

The American gaming industry faces a critical juncture driven by four converging federal challenges. New tax provisions capping gambling loss deductions at 90 percent threaten consumer participation and casino revenues, prompting aggressive industry push back through the bipartisan WAGER Act. Simultaneously, Congress is advancing the SAFE Bet Act to establish federal consumer protections and responsible gaming standards—a regulatory expansion the industry must shape to avoid overly restrictive outcomes. The industry also confronts an emerging jurisdictional threat from CFTC-regulated prediction markets, which bypass established state gaming frameworks. Finally, pending tribal gaming legislation seeks regulatory equity for two tribes currently excluded from uniform Indian Gaming Regulatory Act oversight.

By the Numbers

The American Gaming Association spent $60,000 with Cornerstone Government Affairs Inc. in the fourth quarter of 2025, continuing a partnership that began in 2018.

The American Gaming Association’s strategy—partnering with Cornerstone Government Affairs Inc. for its Native American affairs expertise—indicates the association is simultaneously defending against unfavorable taxation, shaping integrity-focused regulation, and protecting tribal operator interests.

The AGA operates a dual lobbying strategy combining in-house advocacy—which accounts for $37.8 million of its $49 million total spending since 2003—with strategic external firm engagements.

The AGA’s lobbying portfolio reflects a diversified external strategy. Long-running partner Fierce Government Relations has earned $4.02 million since 2005, while Brownstein Hyatt Farber Schreck LLP collected $2.23 million since 2009. Cornerstone has earned $1.02 million prior to this filing since 2018.

Cornerstone’s value extends beyond gaming expertise. The firm represents tribal nations including the Cherokee Nation and Tunica-Biloxi Tribe of Louisiana—critical relationships given the AGA’s tribal membership and pending Tribal Gaming Regulatory Compliance Act.

The Agenda

The AGA is actively shaping federal sports betting regulation through the SAFE Bet Act, which would establish consumer protection standards and a national self-exclusion list.

Taxation is another major focus—the industry is pushing hard for passage of the WAGER Act to repeal federal excise taxes on sports wagers, alongside broader efforts to restore gambling loss deductions that were recently capped.

The AGA is also engaged on tribal gaming issues. The bipartisan Tribal Gaming Regulatory Compliance Act would extend uniform federal regulation to two tribes currently operating outside standard frameworks.

Additionally, the AGA has been vocal about jurisdictional concerns regarding the Commodity Futures Trading Commission’s potential regulatory expansion into prediction markets, which could undermine state regulatory structures and tax revenues.

Broader Context

Congress is advancing multiple pieces of legislation that directly reshape the gaming industry’s operational landscape. The SAFE Bet Act would establish comprehensive federal standards for sports betting, including mandatory affordability checks and restrictions on proposition bets. New federal tax provisions are creating fiscal pressure: the "One Big Beautiful Bill Act" capped gambling loss deductions at 90%, while federal excise taxes remain in place.

Prediction markets regulated by the CFTC have surged in 2025, creating an alternative betting channel that the Indian Gaming Association argues violates tribal, federal, and state gaming laws.

These legislative efforts reflect genuine congressional momentum on gaming issues, particularly following widespread 2025 betting-related scandals involving NCAA athletes, creating both regulatory pressure and potential legislative openings the AGA must navigate.

Between The Lines

Nevada delegates have been vocal advocates. Sen. Jacky Rosen and Sen. Catherine Cortez Masto introduced legislation to address gaming loss deductions, while Rep. Dina Titus and Rep. Steven Horsford have opposed unfair tax provisions. Rep. Titus, co-chair of the Congressional Gaming Caucus, has also raised concerns about CFTC jurisdiction over prediction markets.

Competitive Landscape

The gaming industry’s federal advocacy extends beyond the AGA’s efforts. Bally’s Corp. spent $90,000 per quarter in 2025 on internet gaming and sports betting excise taxes. California card rooms including Hawaiian Gardens Casino are actively lobbying on online gaming and tribal gaming issues.

This unified front suggests the industry recognizes Congress’s heightened appetite for gaming legislation following 2025 betting integrity scandals. Multiple gaming entities are pushing identical legislative vehicles—the WAGER Act and SAFE Bet Act.

The Bottom Line

The American Gaming Association paid Cornerstone Government Affairs Inc. $60,000 in the last quarter of 2025 to navigate a crowded federal agenda. The gaming industry faces new federal tax constraints, including stricter gambling loss deductions and sports betting excise taxes that the bipartisan WAGER Act seeks to repeal.

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