Las Vegas Sun

November 30, 2009

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Columnist Jeff German: Reid steps up offense vs. betting ban team

Saturday, Dec. 2, 2000 | 10:21 a.m.

Jeff German is the Sun's senior investigative reporter. He can be reached at (702) 259-4067 or by e-mail at german@lasvegassun.com

HARRY REID isn't known for his strong motivational skills.

But as the Senate's Democratic whip on Capitol Hill, he has developed into a solid leader.

This week Reid plans to use his maturing leadership skills to motivate the gaming industry into stepping up the fight against the NCAA's campaign to ban betting on college sports in Nevada.

Reid has scheduled his much-anticipated summit with gaming leaders in Las Vegas on Wednesday morning. He plans to hook up with the bigwigs via a video conference from Washington, where he is involved in other pressing matters.

Nevada's senior senator expects to be re-elected Democratic whip on Tuesday, which will keep his job as the No. 2 Democrat secure for another two years. His influence should increase even more next year with the Senate headed toward a 50-50 split.

On Wednesday Reid will deliver his pitch to the Las Vegas board meeting of the American Gaming Association, the industry's Washington lobby.

Some of the biggest names in the casino industry will be on hand: Terry Lanni, chairman of MGM MIRAGE; Phil Satre, chairman of Harrah's Entertainment Inc.; Tom Gallagher, CEO of Park Place Entertainment Corp.; Glenn Schaeffer, president of Mandalay Resort Group; Bill Boyd, chairman of Boyd Gaming Inc., and Chuck Matheson, chairman of International Game Technology.

Even Desert Inn owner Steve Wynn, who has been preoccupied with plans for his new megaresort, has been asked to show up.

AGA President Frank Fahrenkopf also expects to attend the summit. So does Bill Bible, president of the Nevada Resort Association, the casino industry's local political arm.

Reid wants the gamers to employ a full-court press on the NCAA to fend off congressional legislation banning college betting next year.

But he also expects to urge the casino industry to put in its scoring team to take the NCAA to the hoop.

This past session, the AGA's "four corners" offense was able to stall the threatening legislation.

Next year, however, Reid believes gaming will have to be more offensive minded to be competitive with the NCAA.

In Reid's mind, the NCAA will be more determined than ever to push through a new betting ban bill. And that means the industry will have to work extra hard to put the national athletic organization on its heels.

"We think we have the high ground," one Nevada insider says. "The key is putting out the facts so people realize the problem is not what's going on in Las Vegas, but in dorm rooms and taverns across the country."

Nevada regulators estimate legal betting on college sports here amounts to about $750 million a year. By contrast, nationwide illegal wagering on those same games has been estimated at $350 billion a year. The AGA isn't waiting for inspiration from Reid on Wednesday to put out that word.

Last week, Fahrenkopf sent reporters on his fax list a copy of a Nov. 24 Wall Street Journal article on the subject.

He attached a personal note: "The piece reiterates arguments we have made on this topic during the past year: that legal wagering is just a sliver of total betting and getting rid of it won't put a dent in illegal wagering."

Fahrenkopf also wrote that the Wall Street Journal article pointed out that millions of Americans love to bet and view it as a "harmless" form of entertainment.

And the piece, he concluded, suggested that "perhaps the NCAA's support for this legislation is motivated by public relations problems over academic standards and graduation rates."

Stepping up the rhetoric is fine.

But Coach Harry Reid is likely to tell the gamers they need to do a lot more than that to outscore the NCAA when the final buzzer sounds on Capitol Hill.

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