New York Dems Oppose Federal Online Gambling Ban

A group of Democrat state Senators in New York are urging the state’s congressional delegation to oppose the Sheldon Adelson-backed push to outlaw online gambling. The group says the bill tramples state rights and could keep New York’s lottery from offering online games. The letter also comes as New York considers another online gambling bill.

A group of state Senate Democrats is asking the New York congressional delegation to vote against proposed federal bill that would outlaw online gaming.

The state Senate Independent Democratic Conference sent a letter to the delegation arguing that the bill to Restore America’s Wire Act—which would ban online gambling in the U.S.—infringes on state’s rights and could potentially prohibiting the New York Lottery from offering games online.

The bill—which is seen as being backed by Las Vegas Sands owner Sheldon Adelson—would also block New York from ever allowing online poker, which would generate new tax revenue and create job opportunities, they said.

The IDC, led by Sen. Jeffrey Klein (D-Bronx), said it hasn’t actually taken a position on whether online gaming should be legalized in New York, but simply believes it is a state decision, not a federal one.

In addition to Klein, the letter was signed by Sens. Diane Savino, Tony Avella, David Carlucci and David Valesky.

New York already provides limited online gaming opportunities.

The New York Lottery allows players to pay a subscription to play certain games online and bets on horse racing are also taken online.

In a related matter, Republican New York state Senator John Bonacic has also just introduced another bill to legalize online poker in the state.

Bonacic has introduced an online poker bill before, but this new bill does not include a “bad actor” provision. The bill would redefine New York State’s legal definition of “game of chance.”

Under the bill, online poker operators must be licensed by the New York State Gaming Commission and Division of Gaming and licensees must pay a one-time fee of ten million dollars. Any such license will be effective for ten years from the date of issue. Within the first 180 days after the bill becomes law, the commission will authorize up to 10 licenses.