Ban on college sports betting could have major impact

Robert Macy

Monday, May 17, 1999 | 7:47 a.m.

LAS VEGAS - A proposed ban on college sports betting would be a major financial blow to Nevada's 142 sports books, according to Gaming Control Board figures.

Bettors wagered $2.3 billion in Nevada's licensed sports books in fiscal 1998, according to Russell Guindon, senior research analyst for the board. The books won $77.4 million on bets placed on college and professional sporting events.

College sports betting is a major source of revenue for the books, with events like basketball's Final Four and major football bowl games a major draw for bettors.

One major Strip resort that asked not to be identified said half of all bets made are on amateur events, accounting for 33 percent of the revenue.

The proposed ban, recommended Monday by the National Gambling Impact Study Commission, brought a quick response from Rep. Jim Gibbons, R-Nev.

"This proposal has about as much chance of becoming law as I have of hitting a home run ball off of Greg Maddux," Gibbons said in a statement.

"The anti-gaming forces on this commission made a ridiculous recommendation that will never be accepted by Congress or the casinos in Nevada," Gibbons said. "This recommendation is a clear violation of states' rights that I will forcefully fight if it is introduced in Congress."

Nevada and Oregon are the only states in the nation where sports betting is legal, although 48 of the 50 states have some form of legalized gambling.

The commission is studying the social and economic impact of gambling on America. Members voted 5-3 Monday to recommend that college sports betting be banned. The recommendation is one of many the commission is expected to make to Congress in June, when it wraps up a two-year study on the gambling industry.

In a meeting here in November, commission members were told that students can easily find illegal bookies on campus.

And Mitzi Schlichter told how her former husband, Ohio State and NFL quarterback Art Schlichter, went from fame to infamy because of crimes committed to feed a voracious sports gambling habit.

Commissioners were told that while legal sports betting in Nevada draws $2.3 billion a year, illegal sports betting runs anywhere from $80 billion to $380 billion annually.

In the November meeting, William Saum, a representative of the National Collegiate Athletic Association, said illegal bookies could be found on every college campus.

"The influence of sports gambling is far reaching, and sports organizations continually live in fear that sports gambling will infiltrate and undermine the contest itself," Saum said.

Commission member James Dobson asked Saum if the NCAA differentiates between legal and illegal sports betting.

"The NCAA is opposed to legal and illegal sports wagering," Saum replied. "But if we're going to have legal sports betting, let's keep it in Nevada. We would jump to our feet if it were to expand outside Nevada."