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In a move that has divided the gaming industry and may raise eyebrows in Washington, state lawmakers are about to consider an Internet gaming bill that would allow residents and non-residents alike to play. The bill, which I have posted at right, is being put in (today, perhaps) by Assembly Majority Whip William Horne at the behest of former Speaker Richard Perkins, who represents PokerStars.net. It is being portrayed as an intrastate web gaming bill, but it clearly would allow those in other jurisdictions to play, mandating state regulators set up a structure.
For instance:
"The Commission is authorized to enter into compacts with other jurisdictions where interactive gaming is not prohibited, setting forth the manner in which the State of Nevada and such other jurisdictions will regulate and share tax revenues from interactive gaming operations between such jurisdictions and enforce criminal laws related to cheating, tax evasion or unlicensed interactive gaming, and authorizing the commingling of games and pots between such jurisdictions. Such compacts may be limited to Internet poker."
And:
"Notwithstanding anything to the contrary in this chapter, to the extent that players of Internet poker are located in jurisdictions other than this State, the licensee shall pay the license fee based on gross revenue at the rate of 4 percent on the gross revenue resulting from the play of players located in such other jurisdictions."
Still not sure how something banned in federal law could be passed at state level, but that is one of many questions sure to be raised.
This one will be fun to watch because of effect on the Nevada Resort Association, gamers not in the NRA who have an interest, Senate Majority Leader Harry Reid and state lawmakers caught in middle. As usual.
"Still not sure how something banned in federal law could be passed at state level, but that is one of many questions sure to be raised."
The feds have jurisdiction only if business crosses state line. If people in Nevada gamble at online casinos in Nevada using a computing infrastructure that resides in Nevada, and all this is legal in Nevada, then the Feds have no beef.
"Still not sure how something banned in federal law could be passed at state level, but that is one of many questions sure to be raised."
It's being proposed because Internet poker is *NOT* banned at the Federal level. In fact, the Unlawful Internet Gambling Enforcement Act (UIGEA), which covers only financial transactions, explicitly includes a carve-out allowing states to conduct online gambling within their own states.
Isn't the internet a mechanism of interstate (and foreign commerce) subject to the control of Congress under Article I, Section 8, Clause 3 of the Constitution?
Given the way the internet actually transmits data, which is to break up the transmission and to send each part separately by routes which can be located anywhere on the planet, how -- unless every node on the gaming net is completely inside Nevada, and the cabling between the nodes is located wholly within Nevada -- can there not be a conflict with the Federal ban?
So, if however the Legislature authorizes internet gambling will be null and void because it would violate the Federal ban on internet gambling, isn't this just a diversion of effort from the real and existing serious problem of finding a way to balance the State Budget?
What a joke. PokerStars is breaking the law and we have legislators willing to accept money from them to do their bidding. These legislators should be fired!
This is a fabulous bill and needs passage by our state legislators. I realize some people in our great state do not support Internet gambling. My questions to you respectable folks are the following. How do you think our present economy here in Nevada that is still faltering with no diversity whatsoever and has an ailing hotel / casino industry as its main contributions to our general fund can continue to operate without collapsing? Fuel costs are skyrocketing. Therefore airline fares are surging. Many gamblers in todays world would rather stay home and gamble sitting behind their computer screen. Do you folks with opposing views realize the huge amount of jobs right here in Nevada that would be created? Do you folks realize the billions and billions of dollars that will be taken in as revenue from legalized internet gambling? Do you folks in opposition realize that Internet gambling will be centralized and regulated by the Nevada Gaming Control Board? Opponents of Internet gambling cite a federal law that bans this type of gambling in the United States. Are each of you aware that there is a federal law banning brothels in the United States? Are each of you in opposition to this bill aware that Race and Sports Books accept legally by phone bets being placed? Wouldn't one think that this federal law banning Internet gambling in the United States is just a matter of semantics? There will be more than enough profits from Internet gambling to go around. I'm quite sure if the federal government gets a fair cut of these profits, that federal law banning Internet gambling in the United States will go away into abolishment quicker than Rush Limbaugh approaches an ice cream stand.
Let the smoke and mirrors, diversions, do anything but our jobs lawmakers continue the kick the can approach to solving problems.
All of this 'stuff' exists, on some level, for goodness sakes, regulate, tax, and legalize it!