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Ten states and the territory of Puerto Rico join Nevada in offering live, single-game betting. In the District of Columbia and seven states, betting is allowed but not yet in place, while 18 states are still grappling with sports betting legislation. Florida and seven other states don’t consider it.
Something is wrong. Casey Clark from the American Gaming Association writes, “States and sovereign tribal nations have begun to build out their own legal, regulated sports betting markets, generating $430.2 million across the industry over the past year. That’s a dramatic jump from $261.3 million in revenue . produced by Nevada alone in 2017. (Note: If there is a less reliable measuring unit, it is a large amount of money to handle.)
First, some background. In 1992, the US Congress passed the Professional and Amateur Sports Protection Act (PASPA), also known as Bradley’s Law after New Jersey Senator Bill Bradley, a former professional basketball player. The law allows the country a window of one year to implement sports betting or lose it forever. Nawada took advantage of this. New Jersey does not. Delaware, Oregon, and Montana enacted a wagering version of the game in order to mystify them as an insignificant source of revenue.
During the tenure of Park State Governor Chris Christie’s (2010-18), New Jersey began litigation over the Bradley Act, even trying to eliminate it by legalizing unregulated sports betting. Neither he nor the state’s arguments made it to the federal courts … until Christie and his successor Phil Murphy reached the United States Supreme Court. That argument has nothing to do with stemming and spreading points, and everything to do with such an esoteric concept as “mandate”: the federal government’s ability to usurp powers that are normally the province of the states. By a 6-3 margin, the Supremes ruled that Bradley’s conduct was overreach, and thus null and void.
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Immediately on Capitol Hill, without learning from the Supreme Court’s decision, lawmakers began floating the idea of federal regulation of sports betting. It’s a concept that’s got quite a bit of buzz. As AGA President Bill Miller told Sports Betting Operator, “I’ve been up on the Hill a lot and I’ve talked to many senators, many members of the DPR and very little interest among the members. House or Senate. Actually, that thing seems to have faded.
For the major sports leagues and the NCAA, which oversees collegiate sports, they are a sudden about-face and began to try to move casinos for profitable partnerships. There is a gambling crackdown and casinos are required to obtain their betting data strictly from the league. Another is to try and require an “integrity fee”, a form of taxation in sports books. “It’s 0 for 19 so far,” Miller told the Las Vegas Review-Journal. “The leagues clearly have a responsibility to run their team with integrity, but they had that responsibility before sports betting came to this state. So the DPRD members rejected the argument that they should do what they did before. “Must pay additional fees. “
So eager are the leagues to get into bed with sports betting that some states, including New Jersey and Illinois, have sports books that are – or will soon be – embedded in professional stadiums. So, if the Chicago Cubs game is a little slow and you think the cross-town White Sox are getting a little shaky, you’ll be able to go to the window at Wrigley Field and place your bet.
The state government has not been shy about the sports betting tax. However, their revenue expectations hit a head-on collision with reality when hundreds of millions of dollars in handles (money bets) plummeted to several tens of millions saved (books won). For example, a Super Bowl that was a foregone conclusion and generally considered as a dull game produced by a little map for bookies, leading to losses for all parties. Last July in New Jersey, the handle was $ 251 million, but once all the players were paid out, only $ 18 million was left over to split between the casino and the state.
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In one state, New Mexico, tribal casinos found a loophole in their compacts, which do not explicitly prohibit sports betting. For this, he has adopted various tactics. Santa Ana Star Casino went all out, while Isleta Resort and Casino made sure to take over intrastate games by New Mexico collegiate teams. Isleta CEO Harold Baugus said to the Albuquerque Journal, “There is never any doubt … due to the fact that the betting world has taken extreme measures to prevent anything wrong.”
As far as sports betting has made little inroads into Indian Country, partly because of the need to amend existing compacts (not the case in New Mexico) and partly because of the difficulty of bringing all parties to the table, leading to an impasse. has kept California several tribes agree to Internet gambling. (Plus, California’s controversial card room industry wants a piece of the action with the card room haters.)
Nevada’s superiority in sports betting is momentarily being challenged by New Jersey, which enjoys commuter business from Pennsylvania and New York State. That could soon change, as Pennsylvania sports books hit the market. Some New York casinos have terrestrial books, but there will be no challenge for New Jersey until New York Gov. Andrew Cuomo reverses his position that mobile betting – where real money is at stake – requires a constitutional amendment. “Now, Jersey clears our clock when it comes to sports betting,” said Assemblyman Gary Pretlow, placing the first sports bet in the Empire State.
The New Jersey/Nevada contest is something commentators like Gawker will love to stir up.
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