LETTER: Setting The Record Straight About College Sports Gambling

     
     This is the text of a letter the American Gaming Association is sending to all 535 U.S. senators and representatives regarding a proposed college sports betting ban at Nevada casinos:
     
     Dear Senator:
      This letter and enclosures are sent to correct the record about a significant national problem: illegal college sports gambling. This subject should be treated as seriously as the extent of this growing problem. Unfortunately, that has not been the case to date.
      This issue is now the subject of well-intentioned, but ill-conceived legislation (S. 2021 by Sens. Brownback and Leahy and H.R. 3575 by Reps. Graham and Roemer). This legislation may make some people feel good, but it will not do any good and would make matters worse. Sadly, these bills are being promoted with artful misinformation as evidenced by a recent letter to Congress from the National Collegiate Athletic Association. Here is the rest of the story.
      Even its proponents concede that the real problem is illegal sports gambling. Despite this diagnosis, H.R. 3575 and S. 2021 would only ban legal sports wagering in Nevada, where it is regulated, taxed, supervised, and available only to adults at least 21 years of age and physically present. By contrast, the bills do nothing to improve law enforcement or increase public education to reduce illegal gambling in the other 49 states. Illegal sports gambling thrives in these states despite enactment of federal legislation in 1992 that already prohibits college sports wagers in those states.
      This mismatch between the admitted problem and the proposed "solution" is mind-boggling when you consider that legal sports wagers in Nevada amount to less than one percent of illegal sports gambling nationwide. In short, closing down Nevada's legal sports books in the name of doing something meaningful about illegal sports gambling is like closing down legal pharmacies in the name of reducing illegal drugs.
      Too many lives and livelihoods are at risk not to act wisely; the lives of those who are negatively impacted by illegal gambling, particularly college students who gamble illegally with campus bookies or over the Internet, and the livelihoods of those who support their families with jobs in Nevada's tourism-based economy.
      Proponents of S. 2021 and H.R. 3575 attempt to manufacture a cause-and-effect relationship between the relatively small amount of legal sports wagering in Nevada and the massive illegal sports gambling elsewhere. These attempts wither under minimal scrutiny, as evidenced by the enclosed "myths and facts" chart. The validity of our analysis of S. 2021 and H.R. 3575 is confirmed by the enclosure that summarizes recent quotes from newspaper editorials, sports columnists, law enforcement, and gambling addiction experts. In sum, the reviews are in and they signal a "thumbs down" to the NCAA-backed legislation.
      Serious problems should command equally serious solutions, not empty symbols. The time has long since arrived for a national dialogue on illegal sports gambling and underage gambling generally, as we proposed to the NCAA to no avail last year. Such a dialogue can only be conducted by bringing all relevant parties to the table: educators, law enforcement, amateur and professional sports organizations, academic experts, problem gambling groups, ourselves, and others. Instead of creating that dialogue, S. 2021 and H.R. 3575 divert attention from the real issues and let those closest to the problem on our campuses off the hook.
      A better approach is contained in S. 2050, the Combating Illegal College and University Gambling Act, introduced on Feb. 9, 2000 by Senators Reid, Bryan, Torricelli and Baucus. A House companion measure is expected to be introduced soon. Following a unanimous recommendation of the National Gambling Impact Study Commission, S. 2050 requires the Justice Department to set up a panel to examine all aspects of illegal sports gambling and recommend effective nationwide counter-measures.
      We respectfully request that you and your staff carefully consider the enclosed information as you examine this critical issue. Please contact John Shelk or Wally Chalmers of the AGA government affairs staff with comments or questions (202) 637-6500.
     
     Sincerely,
     Frank J. Fahrenkopf Jr.
     President and CEO, American Gaming Association