With impending legislation introducing an online gambling regulatory framework in the US soon to be considered by Congress, at least one expert believes some states may opt out.
Congress returns to sit after its Summer recess on September 8, and waiting for its vote are two pieces of legislation that seek to overturn the UIGEA and replace it with a licensing and regulatory regime for online gambling across the United States. The first is Barney Frank's Internet Gambling Regulation Consumer Protection & Enforcement Act, and the second is the Internet Poker and Games of Skill Regulation, Consumer Protection and Enforcement Act from Senator Roberto Menendez.
Both draft bills include a 90 day opt-out clauses that may be chosen by any US Sate wishing not to be a part of the national online gambling regulatory framework. Trouble is, many of the US' larger states are likely to take choose to opt-out because 90 days is simply not long enough for their bureaucratic legislatures to properly debate the issue fully. And if in doubt and in the absence of sufficient time, lawmakers are likely to err on the side of caution and opt-out. At least this is the view of Jim Tabilio.
Jim is the founder and former head of poker lobby group the PVA, and now a well known adviser on gambling regulation. According to Jim, “The politicians and regulators I’ve spoken to think 90 days is too short a period to make that decision. If at all unsure, they will say ‘no’ in order to take a longer look".
Further, a number of state legislatures are already considering intrastate online gambling regulations to fill holes in their budget deficits - California is most notable here.
We may well see a fragmented online gambling market in the US, similar to the current EU situation, where overarching continental laws are ignored by member states in preference for their own approach.
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