Connecticut preparing for U.S. sports betting?

Connecticut has joined the growing number of US states mulling the possibilities of a favourable US Supreme Court ruling that could widen the estimated $155 billion US sports betting market beyond the four states permitted under the federal Professional and Amateur Sports Protection Act (see previous reports).

The CT Post reports this week that in mid-February the implications of a positive ruling will be discussed at a forum being organised by Rep. Joe Verrengia, co-chairman of the state Assembly Gambling committee.

House Speaker Joe Aresimowicz appears to favour the idea of Connecticut entering the sports betting market in a strictly controlled manner to raise more state revenue. He said that estimates on the tax and fees revenue the state government could collect range from $100 million to $300 million…providing Connecticut is faster off the mark than rival states.

Gambling taxes already account for more than $600 million in state revenue

The Supreme Court decision is expected around mid-year, and a number of states have made preliminary moves to seize the initiative in the event of a positive ruling

“I would like it to be one of the first bills voted out of committee and I would like for the General Assembly to act on it quickly after that,” Aresimowicz said Monday, 16 days before the start of the 2018 legislative session. “It’s another area where if we don’t act, I’m sure neighboring states and other areas will.”

Sen. Martin Looney, the state Senate president pro-tem, is also behind the project, and told CT Post:
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“I believe that Connecticut should move very speedily ahead on sports betting if we are authorized to do so by the U.S. Supreme Court. We need additional sources of revenue.”

However, here are politicians in Connecticut who have reservations about licensing and taxing sports betting, among them Republican Senator Len Fasano, who told the CT Post:

“This is just lunacy. Just deal with the problems that you have and stop pretending that legalizing drugs and expanding gambling is the panacea.”

Despite saying that, Fasano added that he might support sports betting if it’s done carefully, not rushed. He cited numerous hurdles that would take at least three years to clear, including the state’s compact with Indian tribal casino operators.

The CT P:ost notes that last year the state General Assembly asked the state Department of Consumer Protection — which regulates gaming — to draft rules for sports betting as part of the approval for the East Windsor commercial casino.

The department now wants details on how to make it work, Aresimowicz said.

One option would be to bring in the tribes to run sports betting. Another would be to turn to the 16 off-track betting locations (soon to be 17 with a Danbury opening) run by Sportech, a British firm with its U.S. base in New Haven.

“We absolutely think that we’re in a good position to be involved in that,” said Ted Taylor, president of Sportech Venues.

Rep. Verrengia says he hopes to hear all opinions at the forum.

“Sports betting is very big in Connecticut right now,” Verrengia said. “I think it should be regulated and taxed.”