New Jersey lawmakers move on sports betting

A growing sense of urgency appears to be driving New Jersey lawmakers regarding intrastate sports betting legalisation following the recent overturning of PASPA by the US Supreme Court.

On Monday the state Assembly Tourism, Gaming and the Arts Committee has scheduled a hearing after legislators vowed to move quickly to enact a framework for legalised sports betting.

New Jersey was the main challenger to the Professional and Amateur Sports Protection Act, fighting the national sports leagues through lower courts all the way through to the Supreme Court appeal that finally liberated sports betting in the United States.

The Assembly bill, A3911, on which Monday’s hearing will focus, was introduced a week prior to the court’s ruling, and a Senate version was proposed on the day of the court’s decision. Assemblyman Eric Houghtaling, Assemblywoman Joann Downey and Assemblyman John Burzichelli are the Assembly bill’s primary sponsors.

In a press release following the Supreme Court decision, Houghtaling said sports betting could be a “great opportunity” for New Jersey and invited feedback on his bill, which he said was still a “work in progress”

Committee member Assemblyman Vince Mazzeo said this week that he expects there will be some changes to the final version of the bill, including possibly taking a harder look at the proposed online tax rates, which are proposed in the Assembly bill as 12.5 percent of GGR and in the Senate version at 15 percent.

A tax rate of 8 percent is proposed for sports betting at brick and mortar casinos and racetracks.

Mazzeo has cautioned that too high a tax on online activity will persuade players to bet elsewhere.

“There are still questions and things we need to iron out but we recognize that it’s important to get up and going. And we’re trying to expedite that,” he said.

The question of the sports leagues’ demands for an “integrity fee” in the legislation is also up for discussion, with several voices in the Senate and Assembly strongly opposing such a proposal.

Senate President Steve Sweeney says that he plans to bring his version to the Senate floor for a vote by June 7.