We present the first CCD variability study of the Draco dwarf spheroidal galaxy . The data were obtained with the FLWO 1.2 m telescope on 22 nights , over a period of 10 months , covering a 22 \arcmin \times 22 \arcmin field centered at \alpha = 17 : 19 : 57.5 , \delta = 57 : 50 : 05 , { J 2000.0 } . The analysis of the BVI images produced 163 variable stars , 146 of which were RR Lyrae : 123 RRab , 16 RRc , 6 RRd and one RR12 . The other variables include a SX Phe star , four anomalous Cepheids and a field eclipsing binary . Using the short distance scale statistical parallax calibration of Gould & Popowski and 94 RRab stars from our field , we obtain a distance modulus of ( m - M ) _ { 0 } = 19.40 \pm 0.02 ( stat ) \pm 0.15 ( syst ) mag for Draco , corresponding to a distance of 75.8 \pm 0.7 ( stat ) \pm 5.4 ( syst ) kpc . By comparing the spread in magnitudes of RRab stars in B,V and I , we find no evidence for internal dust in the Draco dwarf spheroidal galaxy . The catalog of all variables , as well as their photometry and finding charts , is available electronically via anonymous ftp and the World Wide Web . The complete set of the CCD frames is available upon request .