Industry News of the Day for April 6, 2021
iDEA Growth in the News:
- Gambling Compliance, 4.4.21 – New York Mobile Sports-Betting Deal Growing Nearer Amid Budget Talks (Full text below)
- Easter weekend came and went without a final agreement in New York on the state’s budget, but multiple reports indicate that a deal is close on legislation that would raise about $5bn in new revenue from tax increases and online sports betting.
iDEA Growth Member News:
- SBC Americas, 4.6.21 – FanDuel and MotorCity Casino agree gaming partnerships with Detroit’s Tigers and Red Wings
- FanDuel Group and MotorCity Casino have agreed terms that will provide the sportsbook operator with official gaming partner status with the Detroit Tigers and Detroit Red Wings, two of Detroit’s most iconic professional sports franchises.
- iGB North America, 4.6.21 – US Congress to consider repealing 0.25% federal handle tax
- The United States Congress is to consider a new federal bill aiming to remove a national 0.25% excise tax on sports wagering handle.
- Sports Handle, 4.5.21 – New York Budget Nears Completion, But Tribal Dispute Adds Complexity To Mobile Sports Betting Deal
- With several days of intense negotiations and the Easter holiday in the rear-view mirror, New York lawmakers appeared to inch closer Monday to a deal on mobile sports betting before another wrinkle in an ongoing tribal dispute provided a setback in the state’s attempt to legalize online sports wagering.
- Play NY, 4.5.21 – GOV. CUOMO SAYS NEW YORK BUDGET DEAL IN PLACE, SO HOW DOES ONLINE SPORTS BETTING STAND?
- Gov. Andrew Cuomo is optimistic about the passage of a budget for the year, which may or may not include the legalization of online sports betting in New York.
- Spectrum News, 4.5.21 – Tribal Exclusivity Still Must Be Ironed Out in Mobile Betting Deal
- The Oneida Nation of Indians on Monday continued to raise concerns with the proposal to legalize mobile sports gambling in New York without a reconciliation of its exclusive gaming agreement across a 10-county swath of upstate New York.
- NY Post, 4.5.21 – Gov. Cuomo says deal near for online sports betting in New York
- Lawmakers are on the verge of finalizing a bill to allow legal, online sports betting in New York, Gov. Andrew Cuomo said Monday.
- Sports Handle, 4.5.21 – Wyoming First State To Legalize Sports Betting In 2021
- Wyoming Gov. Mark Gordon on Monday became the first governor to legalize sports betting in his state in 2021, when he signed HB 133, his office confirmed. The new law allows for statewide mobile wagering only and does not allow for retail sportsbooks.
- Legal Sports Report, 4.5.21 – HERE’S WHY GOV. PRITZKER ENDED IL SPORTS BETTING REMOTE REGISTRATION AGAIN
- Gov. JB Pritzker potentially set the IL sports betting market back quite a while this weekend when he again ended remote registration for sports betting accounts.
- Online Poker Report, 4.5.21 – As Illinois Considers Legalizing Online Gambling, Major Operators Line Up To Bid For New Chicago Casino
- Online casino gambling may come to Illinois around the same time as work gets underway on Chicago’s first retail casino. The latter project is just entering the proposals stage, and the winning bidder will probably be hoping to enter the state’s future iGaming market, as well.
- ABC 20, 4.5.21 – Illinois nixes online sports betting registration, costing state millions
- The NCAA men’s basketball championship game is one of the biggest sports betting days of the year. But in Illinois, if you wanted to place an online bet for the game between Baylor and Gonzaga Monday night, it got a lot hard to do so over the weekend.
- ABC 15, 4.5.21 – Arizona looking to cash in on sports betting market
- Between $8.5 and $10 billion was legally bet on the NCAA Men’s Basketball tournament this year. Next year, Arizona is hoping for a piece of that action.
- iGB North America, 4.6.21 – Virginia sports betting handle reaches $265.8m in February
- Consumers in Virginia wagered $265.8m (£191.5m/€224.9m) on sports during February, but adjusted gross revenue (AGR) for the US state remained at a loss for a second consecutive month following high promotional spend.
New York Mobile Sports-Betting Deal Growing Nearer Amid Budget Talks
April 4, 2021
Easter weekend came and went without a final agreement in New York on the state’s budget, but multiple reports indicate that a deal is close on legislation that would raise about $5bn in new revenue from tax increases and online sports betting.
Talks between the legislature and the administration of Governor Andrew Cuomo continued into the holiday weekend, and while several more bills in the 10-bill package that comprises the state budget were printed on Saturday, those legislative proposals that would contain mobile sports betting, if it were to be included, remained under discussion.
Multiple local reports and VIXIO GamblingCompliance sources suggested that online sports betting is still an active part of the budget discussions.
The new fiscal year in New York began on April 1, but that deadline passed without a deal.
The ten bills that will comprise the state’s $200bn budget are put into separate categories such as healthcare initiatives or debt service.
If mobile sports betting were to be included in the budget, it would likely be addressed in either the “revenue” bill, or more likely, the final bill known among legislators and Albany insiders as “the big ugly,” a package that often contains the most contentious last-minute items regardless of category.
Several media outlets, including the Wall Street Journal, reported late on Sunday that the parties are near an agreement on a $5bn revenue package that would include mobile sports betting in some form, although details were scarce on what the regulatory model would look like.
One issue that bubbled to the surface heading into the weekend was the role that New York’s Native American gaming tribes would have if mobile sports betting were to be enacted under a model pitched by Governor Cuomo.
Cuomo, a Democrat, has thrown his support behind establishing a state-controlled selection process for one or a small handful of online platforms, rather than the state legislature’s preferred plan to grant incumbent commercial and tribal casinos automatic rights to offer up to two skins for mobile sports wagering.
New York’s tribal-state gaming compacts and a 2013 casino expansion law grant the Oneida, Seneca and St. Regis Mohawk tribes exclusivity over casino gaming within certain regions of the state.
Under legislative provisions advanced by the state Senate and Assembly, tribes would agree to waive regional exclusivity when it comes to online sports betting in return for being granted access to the market on a state-wide basis – something that would not be guaranteed under the regulatory model preferred by the governor.
State Senator Joseph Griffo, the Republican Senate assistant minority leader whose district includes Oneida County, home of the Oneida Indian Nation, said that a plan that did not include tribal participation in mobile betting would result in sports wagering being prohibited in 10 upstate counties that comprise an Oneida exclusivity zone per an agreement between the tribe, the state, and the counties where the reservation sits.
“Cutting out major parts of Upstate New York from participating in mobile betting is terrible public policy and would be unfair to these residents,” Griffo said in a statement.
“If tribal nations are not incorporated into the state’s final bill, we would potentially be disenfranchising millions of New Yorkers from participating in mobile sports betting and from the economic benefits it generates,” Griffo said.
Senator Joseph Addabbo, a Democrat and chairman of the Senate Racing, Gaming and Wagering Committee, told the Buffalo News on Friday that the tribal issue was being worked on as part of the talks.
Meanwhile, online gambling industry association iDEA Growth reaffirmed calls for the budget talks to result in a competitive sports betting model, citing the findings of a state-commissioned study by Spectrum Gaming Group released earlier this year.
“Spectrum Gaming concluded that a competitive environment that allowed consumers a choice would also build out the most robust industry – and tax base – for the state of New York,” said Jeff Ifrah, the group’s founder, in a statement.
“On behalf of iDEA Growth and its dozens of members in the gaming industry, we urge Governor Cuomo and the New York State legislature to enact legislation to ensure the creation of a competitive, regulated, sports betting market that will work for consumers, the New York state economy and bolster ailing New York state tax revenues.”