Shaping the Future: NCLGS's Framework for US Online Gambling Legislation
As the landscape of US online gambling continues to evolve, the National Council of Legislators from Gaming States (NCLGS) is actively working to develop a standardized framework for legal online gambling. Aiming to provide a well-structured approach for lawmakers across the United States, the NCLGS is crafting model legislation slated for implementation by 2025. This initiative promises to redefine how online gaming laws are approached, offering a systematic guide that addresses major regulatory areas of concern.
Developing Boilerplate Online Gambling Laws
At a recent congregation in Pittsburgh, ex-Florida State Senator Steve Geller shared the early blueprint of this model legislation. The framework, constructed on several vital elements, aims to provide a balanced and thorough approach to online gambling. The legislation sketches out seven key components including revenue management, consumer protection through responsible gaming, the impact on traditional casinos, ethical advertising, stringent licensing protocols, age restrictions, and enhanced regulator-operator data exchange.
The proposed tax rates, ranging from 15-25%, align with the median rates of states where online gambling is legal. The NCLGS endeavors to finalize this draft by August 1, 2024, with a subsequent 30-day period allotted for public commentary. The ultimate rendition of the bill is anticipated to be launched at the NCLGS event in New Orleans at the end of that year, offering a robust and flexible foundation for state-specific online gambling regulations.
The Economic Incentives and Regulatory Considerations
The push for nationwide online gambling laws is driven by the sector’s capacity for significant revenue generation. For instance, Maryland State Senator Ronald Watson, a proponent for online gambling, emphasizes the need for community engagement and educational efforts around the legislation. The financial allure is evident as online gambling could produce three to five times the tax revenue generated from sports betting.
New Jersey, a pioneer in this arena, has shown that online platforms can coexist with land casinos effectively, dispelling worries about potential revenue cannibalization. This sentiment is backed by New Jersey's experience, which has seen an overall revenue growth in both sectors. Additionally, uniform technological standards, outlined by former New Jersey Gaming Enforcement director, David Rebuck, and stringent anti-money laundering protocols, noted by Howard Glaser of Light and Wonder, are deemed essential for maintaining industry integrity and legality.
Source:
''US legislators crafting model legislation to create pathway to legal igaming'', igamingbusiness.com, July 22, 2024.