Online Gaming The Impact of Modern Technology and Legislative Updates January 21, 2014 Jonathan Griffin Fiscal Affairs Program
Modern and Emerging Technologies Mobile Gaming Projected Global Revenues of $48 Billion by 2015 Delaware and New Jersey Social Gaming Currently Occurring Overseas Zynga Partnered with Bwin.party Data Mining Casinos Track User Data to Optimize Experience
Modern and Emerging Technologies Free Online Gambling Delaware offers Free Gambling through Double Down Casino Golden Nugget Offers Player Rewards when Playing for Free Credit Cards and Banks Credit Processing is still a hurdle for legal jurisdictions
Since Nevada Two states passed online gaming legislation after Nevada, Delaware and New Jersey Delaware law was enacted in June New Jersey's bill passed the Legislature, but was conditionally vetoed by the Governor The U.S. Virgin Islands received executive authorization to act on a law that was originally enacted in 2001. Utah and Maine enacted laws excluding their states from any federal legislation
Online Gambling DC No Legislation or Laws 40 Laws in Place 3 Legislation to Allow 8 Other Legislation 2 PR USVI
Nevada Amended original online gaming act in February Amendments were in two key areas: Instructs the Gaming Commission to promulgate regulations allowing the Governor to enter into agreements with other states Further amended to allow agreements with other nations or local bodies Requires any operator who operated an illegal online gaming enterprise to wait until 2018 for a license or get a waiver from the Gaming Commission Online gambling launched on April 30, 2013.
Delaware Online gambling launched in Delaware in early November Three casinos in Delaware are currently offering online games The Delaware Lottery controls all games. Delaware introduced legislation this year that would require a portion of proceeds from online gambling support horse and harness racing
New Jersey Bill was originally vetoed, but enacted in February after the legislature reconsidered the bill with Governor's recommendations Casino gambling can only be done in Atlantic City. As a result, all servers and other equipment must be located in Atlantic City. Players can play anywhere in the state. Casino owners in Atlantic City are eligible to conduct online gambling
New Jersey Online gaming went live in November Introduced legislation in December that would allow New Jersey to offer foreign internet wagering licenses Revenue Reports Have Been Underwhelming
U.S. Virgin Islands The U.S. Virgin Islands originally enacted legislation to allow online gaming in 2001. Currently only allows two companies to operate online gaming operations in the territory Proposed legislation intends to open up online gaming licenses to more than two companies
Online Gambling DC No Legislation or Laws 40 Laws in Place 3 Legislation to Allow 8 Other Legislation 2 PR USVI
California SB 51 and SB 678 Both bills would limit California to online poker initially The bills would require licensees to pay a one-time license fee between $10 and $15 million dollars
Hawaii SB 768 Hawaii does not currently have a lottery Would create the Hawaii Internet Lottery and Gaming Corporation Failed to Pass
Pennsylvania HB 1235 and HB 1404 HB 1235, introduced in April, would authorize internet gaming in the state HB 1404, introduced a month later in May, seeks to prohibit internet gaming in the state Opposing bills highlight ideological differences to internet gaming
Texas Proposed House and Senate Constitutional Amendments Both would authorize online poker, only if federal law is passed Only proposed legislation to allow voters to decide to authorize online gaming and only bill dependent on federal legislation
Federal Legislation Congressman Joe Barton (R-TX) introduced the "Internet Poker Freedom Act" in July 2013. Would create licensing scheme for poker States and tribes have discretion on whether to participate Creates basic consumer and industry protections
Questions? Resources Fiscal Affairs Homepage: http://www.ncsl.org/fiscal Economic Development & Trade Homepage: http://www.ncsl.org/econ Contact Information Jonathan.griffin@ncsl.org