US Congress to introduce federal sports betting legislation
New Jersey representative Frank Pallone could see his plan boosted by a Democrat election win
US Congressman Frank Pallone has announced plans to introduce new legislation that could regulate “all types of gambling”, including sports betting, DFS and online gaming.
Pallone, the ranking Democrat in the House Energy and Commerce Committee, said he wanted a “wholescale review” of the “patchwork” federal laws affecting gambling, including the Wire Act, PASPA and UIGEA.
In a statement to ESPN, Pallone said: “The laws need a wholesale review to see how they can actually work together and create a fairer playing field for all types of gambling, both online and offline, including sports betting and daily fantasy sports.
“At the same time, we must ensure the laws are actually creating an environment of integrity and accountability, and include strong consumer protections. I plan to continue discussions with the key stakeholders and then will introduce comprehensive legislation to finally update these outdated laws.”
Despite current laws banning sports betting in all but four US states, the American Gaming Association estimates $149bn (£122bn) is illegally wagered on sports per annum, mostly through unregulated offshore operators.
Pallone has previously introduced DFS and sport betting legislation in 2015, but saw it die at the committee stage. He also oversaw a Congressional hearing on DFS in May, where he used the expansion of the activity to call for smarter regulation of gambling.
The timeline of any prospective legislation is unclear, but gaming lobbyist Bill Pascrell III who has worked with Pallone in the past, told EGR not to expect any movement until after the presidential election.
“Pallone is hoping for a big Democratic victory which could propel his proposition,” said Pascrell.
“If the House stays in Republican hands but the Democrats pick up a significant number of seats that could also be very favourable, because Democrats tend to be much more progressive about gaming-type issues.”
Pallone represents New Jersey which has made several attempts to legalize sport betting in the state, but thus far seen its efforts blocked by the courts.