Individual states may soon be able to determine their own laws regarding sports betting, after a new Congress bill was unveiled on Thursday. The Gaming Accountability and Modernization Enhancement Act (GAME Act), was released by the House Energy and Commerce Committee just before the weekend, calling for the United States to repeal its existing legislation governing sports betting. Instead, the draft proposes that the Federal Trade Authority be given greater oversight so that states would have the guidelines required to legalize and regulate their own sports betting industries if they so wish.
The proposal will essentially cancel out the Professional and Amateur Sports Protection Act of 1992 (PASPA), and bring about a new set of laws.
Currently, only Nevada, Delaware, Oregon and Montana are excluded from PASPA. New Jersey is the state currently running the highest-profile battle to have PASPA repealed.
The legislation is being spearheaded by Rep. Frank Pallone, D-New Jersey, the ranking member on the Energy and Commerce Committee. Pallone introduced the GAME Act in a statement, saying: “Despite the federal gaming laws in place today, Americans are betting up to $400 billion a year on sporting events alone. It’s time to recognize that the laws are outdated, and the GAME Act will modernize them by increasing transparency, integrity, and consumer protections.”
The Act defines betting as “the risking of something of value including virtual currency or virtual items, upon the outcome of a contest of others, a sporting event or a game of skill or a game of chance, on the expectation that the person will receive something of value in the event of a certain outcome.”
Other quick facts about the Game Act are as follows:
* Facilities that accept wagers in more than one state will need to provide a description to the Federal Trade Authority regarding how they protect consumers.
* The Act addresses mechanisms for age and location verification, data security and other consumer protection guides.
* The federal Secretary of Health and Human Services will be given the authority to implement gambling addiction prevention and treatment programs.
* Credit cards payments may not be used as an acceptable form of age verification.
The Act also refers to Tribal compacts. Section 7 states that “nothing in this Act shall be construed to have any effect on state
law or tribal-state compacts relating to gambling, the Indian Gaming Regulatory Act, the Illegal Gambling Business Act, or the Interstate Horse Racing Act.”
