Legislators propose 15% to 25% responsibility rate for recent states adopting internet gambling

ATLANTIC CITY, N.J. — Lawmakers from states where gambling is legal are proposing standards for additional states that are considering allowing internet gambling, including a responsibility rate of 15% to 25%, and a ban on borrowing card deposits.

The National Council of Legislators from Gaming States issued model legislation last week for states that are weighing whether to permit internet gambling. The proposal will be discussed at the throng’s winter conference in recent Orleans next week.

It is designed to provide them a framework around which to construct their own legislation while incorporating things that have been working well in other states.

Seven U.S. states currently propose legal online casino games: Connecticut, Delaware, Michigan, recent Jersey, Pennsylvania, Rhode Island and West Virginia. Nevada offers internet poker but not online casino games.

“Many states have been discussing this, but were having a challenging period getting it across the complete line,” said Shaun Fluharty, a West Virginia Democratic state delegate who serves as president of the national legislators throng. “We’re trying to put together some best practices for them.”

The proposed legislation is modeled closely on laws that have been operating in states including recent Jersey, which has been a chief in approving and regulating internet gambling since 2013. David Rebuck, the retired head of recent Jersey’s Division of Gaming Enforcement, advised the lawmakers’ throng on the proposed legislation.

“Ninety-five percent of this mirrors what we’re already doing in recent Jersey, which is excellent,” he said. “It’s a great commence that builds on what is already in place and operational elsewhere.”

It calls for strict oversight of internet gambling to protect consumers and weed out unsavory individuals and companies. The proposal also calls for the establishment of a government agency to regulate online wagering if one does not already exist.

It would limit deposits to $20,000 in any 24-hour period and prohibit the use of borrowing cards to pool gambling accounts.

A suggested responsibility rate of 15% to 25% is a starting point for discussions, Fluharty said. That range is above what some states expense, but far less than others, such as Pennsylvania, which taxes online sports betting at 36% and online slot machine games at 54%.

Fluharty said the national average for online gambling responsibility rates is 19%. West Virginia taxes them at 15%.

“The thinking was we didn’t desire to form a barrier to entry into the economy with a high responsibility rate that only the biggest companies could afford,” he said.

Fluharty said Maryland has been trying to enact internet gambling, which made it through the House but not the Senate in April. He also said other states including Ohio and Louisiana have been considering their own online gambling measures. recent York lawmakers have been trying to enact online casino gambling with a 31.5% responsibility rate without achievement but did allow online sports betting.

Rebuck predicted that more states will provide internet gambling a solemn look in the recent year as apportionment pressures mount.

“A number of states are being cautious about their budgets, and if they’re looking at this as a potential turnover driver, it’s pretty significant,” he said.

recent Jersey’s 13% responsibility on online sports betting and 15% responsibility on online casino games brought in over $414 million in responsibility turnover last year. It has nearly matched that figure through just the first 10 months of this year.

The throng’s proposal does not attempt to set national standards. Gambling is largely regulated by states, and sporadic attempts to enact nationwide laws on it have gone nowhere in recent years.

President-elect Donald Trump has repeatedly said he favors letting states decide significant questions. During his first term as president, Trump did not act to impose nationwide regulations on the gambling industry of which he once was a member, with three casinos in Atlantic City.

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pursue Wayne Parry on X at www.twitter.com/WayneParryAC