Sports betting

New US bill calls for federal veto over state sports betting

Operators would also be required to use league data until 2022 under new bill

Utah senator Orrin Hatch has introduced a new federal bill that would give the US government the right to approve new state laws on sports betting.

The bill would give the federal Attorney General the power to veto sports betting bills if the proposed laws do not meet minimum standards established by Congress.

Under the new legislation, states must apply to the Attorney General for approval “to administer a state sports wagering program” with the application being accompanied by “such information as the Attorney General may require.”

The Attorney General would then have a maximum of 180 days to approve any application.

Industry insiders were unimpressed however, with analysts suggesting it was unlikely to go anywhere.

Under the proposal, sports betting operators would be required to use official league data until 2022, and provide wagering data “in real time” to a national clearing house to monitor integrity.

The current federal excise tax on sports bets of 0.25% is redirected by the bill to fund this non-profit clearing house, which will coordinate sports betting efforts between states and at the federal level.

In addition, the bill provides further clarification to the 1961 Wire Act, adding specific provisions concerning electronic betting across state lines and allows for states to enter into sports betting compacts.

Finally, the bill strengthens the Sports Bribery Act to include extortion, and blackmail in sporting contests and sports wagers based on non-public information as violations of federal law.

Congress | Regulation | Sports betting | US