WEEKLY FEATURE: AGA Gets Serious About Sports Betting

The ongoing campaign by the American Gaming Association to change attitudes about sports betting has apparently borne some fruit. The group released a survey last week demonstrating that fans of all sports support legal sports betting. And the AGA board has outlined a series of four public policy suggestions that will govern legalization in the casino industry. AGA President and CEO Geoff Freeman (l.) says the first push come before the end of President Trump’s first term.

The American Gaming Association’s Board of Directors this week ratified a new set of policy principles outlining the industry’s approach to legalized sports betting. The principles are intended to create clear guideposts as discussions with key policymakers, allies and interested parties become more granular.

AGA’s stated goal is the modernization of the Professional and Amateur Sports Protection Act (PASPA), which the industry strongly believes would increase fan engagement and entertainment, empower law enforcement and enhance the protections surrounding the integrity of all professional sporting events nationwide.

“The stars are aligning to finally repeal this failing law—the Professional and Amateur Sports Protection Act (PASPA). At a time when Washington remains deeply divided, sports betting has the support of Americans of all political stripes,” said Geoff Freeman, president and CEO of the AGA. “Legal, regulated sports betting will enhance fan engagement and entertainment, empower law enforcement and strengthen the integrity of every game. Everyone wins.”

AGA’s Board of Directors adopted the following public policy principles:

• Defer to states regarding the desirability of regulating sports betting as all forms of casino wagering;

• Ensure the integrity of sports betting and sports through state licensing and regulation;

• Make all sports betting businesses transparent to law enforcement; and

• Ensure a tax regime does not undermine regulated sports betting operations’ ability to compete against illegal offshore operators.

This action comes on the heels of a recent AGA-commissioned national survey by Greenberg Quinlan Rosner (GQR), which shows that today’s sports consumer wants more engagement with the sports they follow. One area where fans have shown a desire to engage more with sports is through legalized sports betting. Specifically, GQR found:

Nearly six in 10 Americans are in favor of ending the federal sports betting ban to allow states to decide whether to offer sports betting;

72 percent of avid sports fans are in favor of ending the federal ban;

More than six in 10 18-36 year olds are in favor of legal sports betting;

Nearly 2 in 3 Americans believe legalized sports betting would allow local communities to benefit from additional tax revenues and job creation; and

Were it legal to bet on sports, roughly 28 million Americans—the size of Texas’ population—would be more likely to wager on sports.

These results show that Americans are much more likely to watch, engage with, and talk about sports when they bet on games. Further, the research concluded that a majority of Americans, regardless of education, income level, political party affiliation and geographical region, want to end the federal ban on sports betting.

Freeman was on a business network earlier last week and said the legalization of sports betting was occurring in a “perfect storm,” and that he envisioned a push to legalize it by the end of President Donald Trump’s first term.

“This is really happening. There is tremendous demand and tremendous need for a regulated sports betting market,” Freeman told FOX Business. “I think we’re closer than at any point in the past several decades to making that a reality. With that said, there’s a process here. We’re committed to that process, which means working with the leagues and other interested parties to ensure alignment on all the key issues.”

Of the major professional leagues, only the NFL still has reservations about legalizing sports betting. The NBA, Major League Baseball, the NHL and Major League Soccer have all said it’s time to reconsider the PAPSA ban.

On the collegiate level, the NCAA still has a ways to go. The sports organization has removed most of its major championships from New Jersey because of the state’s ongoing legal effort to introduce sports betting. Just last week, the NCAA removed collegiate basketball championships from New Jersey sites in favor of New York sites.

“Maintaining the integrity of sports and protecting student-athlete well-being are at the bedrock of the NCAA’s mission and are reflected in our policies prohibiting the hosting of our championships in states that provide for single-game sports wagering,” Mark Lewis, NCAA executive vice president of championships and alliances, explained. “Consistent with our policies and beliefs, the law in New Jersey requires that we no longer host championships in the state.”

New Jersey Governor Chris Christie fired back.

“The NCAA wants to penalize New Jersey for responsibly legalizing what occurs illegally every day in every state and often with the participation of organized crime,” Michael Drewniak said. “But the NCAA looks the other way for that? Ludicrous and hypocritical.”

Three U.S. senators agree.

“We are not asking that the NCAA change its prohibition on sports wagering for student-athletes, coaches, or administrators,” U.S. Senators Robert Menendez and Cory Booker of New Jersey wrote along with Nevada’s Catherine Cortez Masto in a letter sent last week to the NCAA. “However, we are requesting that the NCAA board of directors reevaluate its position on sports wagering and site selection for championship play.”

Articles by Author: Steve Karoul

Steve Karoul is a well-known and respected casino consultant. He has lived and worked in many different countries and has conducted casino marketing activities in well over a 100 different countries around the world. Karoul understands both casino operations and casino marketing.  He is also a gaming industry innovator who openly shares his ideas and thoughts with fellow casino industry executives. For additional information, Karoul can be reached at skaroul@euroasiacasino.com  or www.euroasiacasino.com.