Gambling law expert I Nelson Rose has revealed that most state bills to extend legal gaming in America fail to make it out of committee.
Tuesday 28th July 2009
In America, almost every state is currently looking at ways to expand legal gaming but most bills that would extend the practice struggle to get out of committee.
According to gambling law expert Professor I Nelson Rose, expansion is the exception rather than the rule even though the gaming industry has gained great political power in many states. This is indicated by the fact the most card clubs and casinos regularly lose battles to expand their operations.
“This is particularly true when they want restrictions relaxed such as being able to operate longer hours or higher stake games,” said Rose.
“And forget about getting tax rates reduced unless there have been a few high-publicity bankruptcies. The failure of almost every bill having anything directly to do with gaming and money, except raising taxes, shows how important it is to make sure everything is done right when legal gambling is first introduced into a state.
“The Hawaii Legislature had so many proposals to legalise gambling that it passed a resolution, now gone, declaring no new gaming proposals. But one occasionally does pass and is signed into law. These inevitably lead to more proposals for expansion, never reduction.
“States start with legalising charity bingo and licensing horseracing. There still are a few that don’t have state lotteries. But the current trend is proposals for racinos. This year, they were approved for Ohio. And once slot machines or video lottery terminals are introduced, there are always campaigns to expand with table games as recently happened in West Virginia and Delaware.
“Delaware has the additional advantage of being one of the few states grandfathered in under the Federal Professional And Amateur Protection Act with the right to take sports bets through its state lottery. I was hired by the Delaware State Lottery to recommend what the tax rate on the new sports books should be.
“States are ramping up their competition for the gaming dollar. The Louisiana Legislature created a committee to study the effects of Mississippi's decision to land-base its casinos. But Tom Burch, a Kentucky Representative, had the ultimate solution for competition. He introduced a resolution that Kentucky send a submarine to sink any Indiana riverboat casino that strayed onto its side of the Ohio River.”
