Senator Eyes Bill That Could Give Leagues Unprecedented Control Over Sports BettingSenate Minority Leader Chuck Schumer Calls For Regulation |
|
Despite federal lawmakers punting on all sorts of issues facing the country, sports betting regulation could come to fruition on Capitol Hill thanks to calls for bipartisan support.
New York Sen. Chuck Schumer, a top ranking Democrat, issued a statement Wednesday calling for federal standards. However, there’s no bill on the table yet. The same day, the sports leagues and the NCAA came out to publicly support the plan.
Under Schumer’s rough outline, non-league data would be barred from use in determining “betting outcomes.” Such a rule could be a boon for the leagues as sport books across the country would have to buy their data. In other words, there could be a monopoly.
In addition to the proposal to require legal sports books to buy league data, Schumer’s outline calls for allowing the leagues to have a say in “what types of bets will be permitted.”
“As a New York sports fan — especially my Yankees and Giants — and a senator, my priority in the wake of the Murphy v. NCAA decision is making sure the integrity of the games we love is preserved, that young people and those suffering from gambling addiction are not taken advantage of, and that consumers that choose to engage in sports betting are appropriately protected,” Schumer said in a statement. “With the Supreme Court’s ruling, it’s incumbent on the federal government to take a leadership role and provide the necessary guidance to prevent uncertainty and confusion for the leagues, state governments, consumers and fans alike.”
He added that the “stakes are too high” and that “bipartisan federal legislation” is required.
The NBA, MLB and PGA Tour came out with a response to Schumer’s plan, saying: “As legalized sports betting spreads across the states, there is a need for consistent, nationwide integrity standards to safeguard the sports millions of fans love. We strongly support the legislative framework outlined by Senator Schumer and we encourage Congress to adopt it.”
The NFL and NCAA issued a similar statement, ESPN reported.
This week, West Virginia will become the fifth state in the country with legal sports books thanks to SCOTUS’ mid-May ruling. Pennsylvania and Rhode Island will soon follow.
On a national basis, the sports betting market could hit $6 billion by 2023, assuming more than 30 states have implemented the industry by then. That’s according to research group Eilers & Krejcik Gaming. The market could reach $15.8 billion if all 50 states have it, per Eilers & Krejcik Gaming. Deutsche Bank Securities in New York predicted that by 2023 there will be 13 states with active sports betting industries. Based on 13 states, the market could reach $4 billion.
The U.S. casino industry already wins about $70 billion each year from gamblers.
The American commercial casino industry responded to Schumer’s comments, offering support for his big-picture goals but implying that states can handle it themselves.
“The casino gaming industry shares Senator Schumer’s goal in preserving the integrity of sporting events and providing consumer protections," the American Gaming Association said. However, the group said that “[f]ederal oversight of sports betting was an abject failure for 26 years only contributing to a thriving illegal market with no consumer protections and safeguards.”
“New federal mandates are a nonstarter,” the AGA said.
The industry says a sports betting market doesn’t require strict federal oversight to function. “The casino industry is working with stakeholders to ensure the proper protections for consumers, and the integrity of bets and sporting contests are included in state policy, universally implemented by all operators in those states, and overseen by effective state and tribal gaming regulators.”
Copyright © 2001-2024
CardPlayer.com. All rights reserved.
