The fight for sports betting in the United States is on as two New Jersey Congressmen are pushing bills that would legalize sports betting. Congressmen Frank LoBiondo and Frank Pallone, Jr. are the two driving forces behind the legislative efforts. Their proposed bills are in direct contradiction to a federal law already in place—the Professional and Amateur Sports Protection Act, or PASPA. PASPA was passed in 1992 and bans 46 states from hosting state-sponsored sports betting. The only four states exempted from PASPA are Oregon, Delaware, Montana and Nevada. Out of these four states, Nevada is the only one with single-game betting and legitimate sports books. The other states have conditional forms of sports betting, like parlay cards or sports pools, for example.
R. 457, or the New Jersey Betting and Equal Treatment Act, is Congressman Pallone Jr.’s bill and looks to “amend title 28 of the United States code to exclude the state of New Jersey from the prohibition on professional and amateur sports gambling to the extent approved by the legislature of the state.” This bill goes hand-in-hand with New Jersey Governor Chris Christie’s efforts to get sports betting in New Jersey. Christie has been vigilant in his fight for his state’s right to host sports betting, but has been met with opposition from the major sports leagues and the federal government. That specific case is awaiting word from the Supreme Court and the Solicitor General on whether Christie’s appeal will be heard or not. Pallone Jr.’s bill gets the ball rolling in the House of Representatives, circumventing the issue for the state of New Jersey.
“Sports-betting is already happening across our state and across the country, but instead of being appropriately overseen and raising needed revenue for our casinos, racetracks, businesses, and the state, these bets are placed through illegal enterprises. It is time to bring this activity out of the shadow,” said Pallone Jr. in a press release.
While Pallone Jr.’s bill only applies to New Jersey, its outcome could pave the way for Illinois and all the other states affected by PASPA, especially given the outcome of LoBiondo’s Sports Gaming Opportunity Act, which would “amend chapter 178 of title 28 of the United States Code to permit during a 4-year period States to enact statutes that exempt from the operation of such chapter, lotteries, sweepstakes, and other betting, gambling, or wagering schemes involving professional and amateur sports.” (H. R. 783) This means that any state would have a 4-year window to draft, vote and implement legislation that would establish a legal and regulated sports gambling industry. For Illinois residents, this would give them the opportunity to decide their own fate when it comes to sports gambling.
Those who oppose PASPA argue that it is an outdated bill, especially considering the increasing demand for sports betting through Daily Fantasy Sports, and that states should have the right to decide whether they have it or not—not the federal government. Illinois sports gambling is practically non-existent thanks to PASPA. For Illinois residents, the only sports gambling options are through legally licensed and regulated offshore sportsbooks. If the Sports Gaming Opportunity Act passes, it would open the floodgates for sports gambling in the US. Although this isn’t the first time Congressmen LoBiondo and Pallone Jr. have tried to push these bills, there is a growing feeling that 2017 could bring significant change to the sports gambling industry.