June 4, 2018 Kim Morrison
The Supreme Court’s late decision to permit legalized sports betting throughout the U.S. has effectively shaken the authority of Congress, whose recent efforts to create a new federal legislation concerning PASPA (Professional and Amateur Sports Participation Act) encountered strong opposition of The American Gaming Association (AGA). The organization presented a set of priorities for sports betting in an open letter to the U.S. Congress, opting for a state-by-state method regarding regulation.
Any attempts of establishing new federal legislations will be opposed, according to AGA, which stated that numerous businesses, state governments and industry stakeholders still have to come to with the Supreme Court’s historical decision. Likewise, a very large number of operators have chosen to make a big leap into U.S. sports wagering, and it is in the organization’s highest interest to defend their rights by outlining five priorities in lobbying efforts.
Basically, the Association wants to empower state regulation and place the welfare of consumers at the top of the agenda. By encouraging responsible advertising, the gaming industry and sportsbooks will be able to tighten the integrity of sports betting regulations, instead of letting Congress enact a federal framework that could represent a second legal obstacle in the entire case. Pursuant to AGA’s statistics, 7 in 10 Americans think that each state should decide about wagering on sports, not the federal government.
Moreover, the letter also demands from Congress to re-evaluate the existing 1951 excise tax on sports wagering, claiming that the market has recorded a rising number of pro-sports operators. The AGA also stated that high tax prevents the development of legal markets and hinders their ability to compete with illegal practices concerning sports betting services. The state of Nevada successfully reduced tax of all bets to 0.25% in total.