Shaping the Future of Online Gambling: NCLGS's New Legislative Framework

As the landscape of online gambling in the United States continues to evolve, the National Council of Legislators from Gaming States (NCLGS) is taking significant steps to introduce a comprehensive legislative framework. The organization is crafting a model bill aimed at guiding US lawmakers in regulating online gambling from 2025, which promises to provide a standardized blueprint to address critical regulatory issues.

Components and Timeline for Legislation Drafting

During a key NCLGS assembly in Pittsburgh, ex-Florida Senator Steve Geller outlined the initial model legislation. This proposed regulatory structure highlights seven key areas, including revenue management, promoting safe gaming environments, addressing online and brick-and-mortar casino balances, and creating responsible advertising standards. Essential elements also include stringent licensing protocols, enforcing age limits, and streamlined data sharing between operators and regulatory bodies.

The suggested tax range is between 15% and 25%, aligning with existing frameworks in states where online gambling is legal. The NCLGS aims to debut a draft for review by its members by August 1, 2024, and following a public commentary stage, finalize the bill for presentation in December 2024 at the New Orleans NCLGS meeting.

Addressing Online Gambling Impacts and Benefits

The introduction of this model bill is crucial given the rapid expansion of gambling legislation post the Supreme Court’s 2018 decision lifting the PASPA ban. Currently, while many states have legalized sports betting, full online gambling adoption remains limited. Maryland State Senator Ronald Watson, a proponent of online gambling legislation, emphasized the necessity of public engagement and education in these legislative efforts. He likened the process to a widespread campaign, essential for garnering substantial public and political backing.

Additionally, figures like former New Jersey gaming official David Rebuck and Howard Glaser from Light and Wonder stressed the importance of uniform technological standards and robust anti-money laundering protocols within the regulatory framework. From New Jersey's experiences, where worries about online gambling hurting physical casino revenues proved largely unfounded, there's observable evidence that online platforms can in fact increase total revenues for gambling operators.

Source:

''US legislators crafting model legislation to create pathway to legal igaming'', igamingbusiness.com, July 22, 2024.