State-By-State Internet Gaming Expansion

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Gambling Compliance. State-By-State Internet Gaming Expansion. NIGA Legislative Summit| 07 February 2012. Gambling Compliance. Gambling Compliance. U.S. Office 1250 Connecticut Avenue NW Suite 200 Washington, D.C. 20036 T: +1 202 261 3567 F: +1 202 261 6583 info@gamblingcompliance.com - PowerPoint PPT Presentation

Transcript of State-By-State Internet Gaming Expansion

State-By-State Internet Gaming Expansion

GamblingCompliance

NIGA Legislative Summit| 07 February 2012

GamblingCompliance

U.S. Office1250 Connecticut Avenue NWSuite 200Washington, D.C. 20036T: +1 202 261 3567F: +1 202 261 6583info@gamblingcompliance.com

U.K. OfficeSuite 704, Capitol Tower91 Waterloo RoadLondon SE1 8RTT: +44 (0)207 921 9980F: +44 (0)207 960 2885info@gamblingcompliance.com

GamblingCompliance

GamblingCompliance

About us:

GamblingCompliance provides government officials and gaming industry professionals with independent and timely regulatory, legal and policy analysis – in one, fully-customizable online subscription service.

Comprehensive analysis of regulatory change and public policy discussions

Monitoring Internet gaming legislation Off-reservation gaming and ‘Carcieri’ Congressional hearings and conference reports Global market statistics via GamblingData

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U.S. Internet Gambling Legislative Map | 2012

Internet gambling legislation expected or pending

Internet gambling legislation approved

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Internet Gambling Timeline | 2012

4 January 31 August Pending

8 February 9 May Unknown

10 January 9 March Unlikely

18 January Late April Pending

9 January 17 April Expected

4 January 31 July Expected

10 January None Expected

17 January 14 December Pending

23 January December Unknown

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Nevada

Nevada Interactive Gaming Act passed 2001

Licensing regulations adopted Dec. 22 2011

Games restricted to intrastate, online poker; operator licenses for major casinos only

Technology suppliers can apply for Nevada interactive gaming service provider licenses

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California

Two bills – SB 40 (intrastate poker only), and SB 45 (poker plus) – pending but set to expire

Third bill slated for this month with support from California Senate President

Question marks: poker vs. other games, no. of licenses, license eligibility, regulatory speed-to-market, ‘taxes’ and license fees

Tribal issues: Class III exclusivity, regulation, sovereign immunity

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Iowa

Introduction of an Internet poker bill is imminent

Dec. 2011 study by Iowa Racing & Gaming Commission found i-poker could be effectively regulated and state could raise modest annual tax revenues of $3-13m if legalized

Under 2011 bill (SF 458), one platform would be licensed to operate poker on behalf of existing Iowa casinos and racetracks

No specific language addressed Iowa’s 3 Native American tribes operating casinos under IGRA

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GamblingCompliance

New Jersey

Bill S.490 to allow intrastate Internet gaming vetoed March 2011 by Gov. Chris Christie

Christie now working with bill sponsor Sen. Raymond Lesniak on new measure to provide for regulation by NJ Division of Gaming Enforcement

Licenses for Atlantic City casinos only; poker plus casino games

Question mark over need for state-wide referendum to amend New Jersey Constitution

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GamblingCompliance

Hawaii

HB 2422 and SB 2980 introduced in Jan. 2012 Bills would create state-owned gaming corporation to offer Internet poker, casino and lottery games on intrastate basis

Includes possibility for interstate compacts

Hawaii one of two states with no legalized gaming

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Other states

Discussions in Connecticut over Internet poker/casino/lottery with tribal participation

Possible poker bill from Rep. Winslow in Massachusetts

Florida taking a back seat; Seminole Compact

Some preliminary discussion in Illinois

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Internet Lottery Map | February 2012

Internet ticket sales expected to go live in CY 2012

Advance Internet subscription sales currently liveSour

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State lotteries

Sept. 20 2011 DoJ memo gave green light for Internet lottery plans in Illinois and New York

Illinois (2009 Internet lottery law) and Maryland looking to launch online ticket sales this year

Other states watching, inc. Massachusetts

District of Columbia expanded lottery law set to be repealed

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GamblingCompliance

Conclusions

DoJ Wire Act memo addressed important legal hurdle to allow states to proceed with regulation

Some momentum behind Internet gambling among states and state lotteries in 2012

California and Connecticut seem key to watch for how state government regulation might treat

Native American gaming

Existing, in-state gaming interests (casinos, lotteries and tribes) and poker being favored in proposals

U.S. Office1250 Connecticut Avenue NWSuite 200Washington, D.C. 20036T: +1 202 261 3567F: +1 202 261 6583info@gamblingcompliance.com

U.K. OfficeSuite 704, Capitol Tower91 Waterloo RoadLondon SE1 8RTT: +44 (0)207 921 9980F: +44 (0)207 960 2885info@gamblingcompliance.com

Contact Information

James KilsbyAmericas EditorT: +1 202 261 6566E: james@gamblingcompliance.com

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