Passed in the Canadian House of Commons last month, the “Safe and Regulated Sports Betting Act” to end the longstanding prohibition against single-event sports betting, is now under review in the Senate.
The bill was introduced April 30 by Senator David Wells, after MP Kevin Waugh carried it in the House of Commons. During Covid-19, the Senate seldom met, but now is in session for the next seven weeks.
In introducing the bill, Wells declared, “Colleagues, if this bill passes, these stringent provincial regulations, frameworks and consumer protections would all apply to single-event sports betting and the product would be brought safely into the well-regulated light of day.”
The bill would not affect horse racing, which would remain under federal oversight.
Wells added, “We must take (sports betting) back from the black and grey markets and bring it into the light. Colleagues, this is a bill that we should all support. A vote against it would not be a vote against gambling, it would be a vote against increased safeguards, regulations and community programming.”
Proponents hope to pass the legislation before the summer recess. For it to become law, the Senate would have to pass an identical version of the House bill or pass its own bill and send it back to the House of Commons so that chamber could agree to changes. Finally, if Royal Assent is given, the bill would become law.
The only sports betting allowed in Canada is parlay betting and wagers on horse racing. If the current legislation is approved, Canadian provinces and territories would be authorized to adopt their own regulations and license retail and online single-event sports betting.
The first stage will be committee hearings, when amendments might be attached. If the House progress is any portent—a very short debate and a vote in which only 15 MPs were opposed—it could be clear sailing for the bill in the Senate.
But Wells is taking nothing for granted, including the bill’s passage in the House. “I give no weight to that at all,” he told iPolitics. “You’ll never hear me say, ‘Well, here’s why you should support this bill: because it passed overwhelmingly in the House.’ … My job is to look at it independently — and specifically, independently of the House.”
Wells says he won’t seek unanimous consent. He believes the Senate is a more deliberative body with the responsibility to delve deeper into the bill than the House.
At this point, there’s no clear opposition in the Senate, and Wells acknowledged that the bill seems to have “widespread support.” He added, “There may be some amendments at committee, or it may pass through committee unamended, in which case, it comes back to chamber. If we can get it to that point, there’s a good chance we can get it passed before the session ends.”
There is a certain level of urgency, he said. “If we don’t pass it this spring, then we probably won’t be addressing this until next year, or the year after. And there’s opportunity being missed; not just the economic opportunity, but an opportunity to control and regulate gaming and gambling in Canada right now.”
Wells says the bill is necessary so that Canada can remains competitive with other nations, especially the U.S., where sports betting is becoming widespread. “It’s not that I’m highly engaged in the world of online betting or sports betting; I don’t bet,” he said, “but I do recognize the disadvantages that Canada has … with our competition around the world. If a Canadian decides to bet on a match between the Leafs and the Canadiens, I want that money to remain in Canada.”
According to the Canadian Gaming Association (CGA), “Experts in responsible gambling, law enforcement and amateur sport all believe that bringing regulatory oversight and control to sports wagering is the best way to protect people, athletes and the integrity of the games.”
The CGA estimates that residents are currently spending $10 billion annually on illegal sites, sometimes run by criminal enterprises. It cites the December 2019 case of Ontario Provincial Police (OPP) disassembling an illegal ring operated by the Hells Angels that brought in $131 million over five years. The OPP alleges that the outlaw motorcycle gang controlled these sports websites: Ultimate Sports Book, Titan Sports Book, PlaytoWin Sports Book, Privada Sports Book and Players Sports Book.
The CGA argues that amending the Criminal Code to allow single-event sports wagers would cut off oxygen to “illegal wagering activities,” such as the offshore wagering sites so many Canadians visit. It would also increase consumer protections and provide economic opportunities for communities.
Opposition from sports leagues has diminished. In 2012 Paul Beeston, former president of the Toronto Blue Jays and MLB told Canadian senators, “If large numbers of our fans come to regard baseball only or even partially as a gambling vehicle, the very nature of the sport will be altered and harmed.”
But as CGA CEO Paul Burns told the Toronto Star, “It’s a very different environment. There’s more stakeholder support today.”
MP Waugh, who sponsored the bill in the House, echoed that sentiment: “Provincial and municipal governments want this bill passed, industry groups want this bill passed, advocacy groups want this bill passed, but most importantly Canadians want this bill passed.”
Senator Brent Cotter, a former deputy minister of justice and deputy attorney general for Saskatchewan, told the Star, “There’s so much money involved in professional sports now, and having something exposed to sunlight is better than it not being exposed. We have a better sense of problem gambling. (Legal) entities are expected to address this issue … organized crime doesn’t have a problem gamblers division.”
Legalized sports betting would include age and ID verification, and information and data sharing that would help regulators fight match-fixing.
This is not the first time an effort has been made to legalize single-game wagers in Canada. The last attempt was in 2015.
