Leagues seeking royalties from sports wagering may be let down

As the dust settles from last week’s historic Supreme Court decision on sports wagering — which everybody was fully expecting, by the way — we’re starting to see how plans to spread regulated betting nationwide will shake out.

With the court’s repeal of the Professional and Amateur Sports Protection Act, New Jersey, Pennsylvania, West Virginia, Mississippi and Connecticut are on the verge of taking the first legal single-event sports bets outside Nevada. Look for New Jersey to be first out of the gate, maybe later this month and possibly in time for the start of the National Basketball Association Finals.

While the first legal sports bet outside Nevada could be placed on an NBA game, all is not well for the league’s proposal to cash in on the spread of wagering.

Major League Baseball also has been an advocate of a so-called “integrity fee,” or royalty, for itself.

NBA Commissioner Adam Silver is a proponent of federal regulation to “provide a uniform approach to sports gambling in states that choose to permit it.”

Good luck with that, commissioner.

It’s possible that federal lawmakers will want to involve themselves in gambling oversight, but the whole point of the Supreme Court’s decision was to give states the ability to decide whether they want gambling.

American Gaming Association CEO Geoff Freeman is confident that federal lawmakers will stay away from regulating sports betting, which probably would be the easiest way for the NBA to carve out a royalty.

“I’ve heard some interesting arguments regarding the benefits of some kind of federal legislation, and some of them can even be partly compelling at times,” Freeman said last week. “The problem for those making those arguments is that ship has sailed. America long ago decided that gaming would be regulated on a state-by-state basis. I’m not sure how you’re going to bring the federal government in here to tell the states what to do, given the states hold such great authority over betting.”

Rep. Dina Titus, D-Nev., whose district includes the Strip, concurs.

“I don’t think you’ll see it happen here in Congress,” she said. “For one thing, this is not a priority with them. They are not even very knowledgeable about how gaming works and certainly not about PASPA. It’s going to be very hard to roll all of that back and push it into one federal bill.”

Titus chuckled at the notion of sports leagues collecting an “integrity fee.”

“You can call it an integrity fee, but I call it a piece of the action,” she said.

Nevada books have never paid a piece of the action and probably won’t start doing it now. The books, in fact, have spotted corruption and alerted leagues when it’s happened.

As Silver noted, the leagues likely will continue to lobby states that haven’t approved sports betting legislation. They managed to persuade West Virginia lawmakers to include a 1 percent fee to leagues in their sports-betting legislation.

As lawmakers become more educated about the issue, they’ll likely dismiss the leagues’ demands for fees.

And, without the feds stepping in, they’ll have to be satisfied with the higher television ratings their games will get because of gamblers watching to the end to see if their team covered the spread.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on Twitter.

Lehman Brothers bet big on Las Vegas
Lehman Brothers collapsed 10 years ago, helping send the country into the Great Recession.
Fremont9 opens downtown
Fremont9 apartment complex has opened in downtown Las Vegas. (Marcus Villagran/Las Vegas Review-Journal) @marcusvillagran
Ross & Snow launches in Las Vegas
Luxury shoe brand Ross & Snow has opened in Las Vegas, featuring "functional luxury" with premium shearling footwear. (Bailey Schulz/Las Vegas Review-Journal)
Remote Identification and Drones
DJI vice president of policy and public affairs discusses using remote identification on drones. (Bailey Schulz/Las Vegas Review-Journal)
Drones and public safety in Nevada
Two representatives in the drone industry discuss UAV's impact on public safety. (Bailey Schulz/Las Vegas Review-Journal)
Frontier Airlines to launch flights from Las Vegas to Mexico
Frontier, a Denver-based ultra-low-cost carrier, will become the first airline in more than a decade to offer international service to Canada and Mexico from Las Vegas when flights to Cancun and Los Cabos begin Dec. 15. (Rick Velotta/Las Vegas Review-Journal)
MGM Resorts International CEO Jim Murren addresses Oct. 1 lawsuits
MGM Resorts International Chairman and CEO Jim Murren addresses criticism his company has received for filing a lawsuit against the survivors of the Oct. 1 shooting. (K.M. Cannon/Las Vegas Review-Journal)
MGM Resorts International opens the doors on MGM Springfield
Massachusetts’ first hotel-casino opens in downtown Springfield. The $960 million MGM Springfield has 252 rooms and 125,000-square-feet of casino. (K.M. Cannon/Las Vegas Review-Journal)
MGM Resorts International prepares to open MGM Springfield
Las Vegas-based MGM Resorts International gave news media and invited guests a preview of the $960 million MGM Springfield casino in Massachusetts. The commonwealth's first resort casino will open Friday, Aug. 24. (K.M. Cannon/Las Vegas Review-Journal)
A Walk Through Circus Circus
It only takes a short walk through Circus Circus to realize it attracts a demographic like no other casino on the Strip: families with young children. (Todd Prince/Las Vegas Review-Journal)
Morphy Auctions, a vintage slot machines seller, wants gaming license
Vice president Don Grimmer talks about Morphy Auctions at the company's warehouse located at 4520 Arville Street in Las Vegas on Thursday, Aug. 16, 2018. (Rick Velotta/Las Vegas Review-Journal)
Nevada's venture capital money doesn't stay in state
Zach Miles, associate vice president for economic development for UNLV, said there’s venture money in Southern Nevada, “but trying to find the right groups to tap into for that money is different.” According to a 2017 report from the Kauffman Foundation, Las Vegas ranked number 34 out of 40 metropolitan areas for growth entrepreneurship, a metric of how much startups grow. With a lack of growing startups in Las Vegas, investment money is being sent outside of state borders. The southwest region of the U.S. received $386 million in funding in the second quarter, with about $25.2 million in Nevada. The San Francisco area alone received about $5.6 billion. (source: CB Insights)
Neon wraps can light up the night for advertising
Vinyl wrap company 5150 Wraps talks about neon wraps, a new technology that the company believes can boost advertising at night. (Marcus Villagran/Las Vegas Review-Journal) @brokejournalist
Nevada on the forefront of drone safety
Dr. Chris Walach, senior director of Nevada Institute for Autonomous Systems, talks to a reporter at NIAS's new Nevada Drone Center for Excellence of Public Safety, located inside the Switch Innevation Center in Las Vegas. K.M. Cannon Las Vegas Review-Journal @KMCannonPhoto
Motel 8 on south Strip will become site of hotel-casino
Israeli hoteliers Asher Gabay and Benny Zerah bought Motel 8 on the south Strip for $7.4 million, records show. They plan to bulldoze the property and build a hotel-casino. Motel 8 was built in the 1960s and used to be one of several roadside inns on what's now the south Strip. But it looks out of place today, dwarfed by the towering Mandalay Bay right across the street.
Project billed as one of the world's largest marijuana dispensaries plans to open Nov. 1
Planet 13 co-CEO Larry Scheffler talks about what to expect from the new marijuana dispensary, Thursday, July 19, 2018. (Marcus Villagran/Las Vegas Review-Journal) @brokejournalist
Oasis Biotech opens in Las Vegas
Brock Leach, chief operating officer of Oasis Biotech, discusses the new plant factory at its grand opening on July 18. (Bailey Schulz/Las Vegas Review-Journal)
UNLV Tech Park innovation building breaks ground
Construction on the first innovation building at the UNLV Tech Park is underway. (Bailey Schulz/Las Vegas Review-Journal)
Caesars Forum Meeting Center
Caesars broke ground Monday on its $375 million Caesars Forum Meeting Center (convention center) just east of the High Roller observation wheel. (Caesars Entertainment)
Technology reshapes the pawn shop industry
Devin Battersby attaches a black-colored device to the back of her iPhone and snaps several of the inside and outside of a Louis Vuitton wallet. The device, installed with artificial intelligence capabilities, analyzes the images using a patented microscopic technology. Within a few minutes, Battersby receives an answer on her app. The designer item is authentic.
Recreational marijuana has been legal in Nevada for one year
Exhale Nevada CEO Pete Findley talks about the one year anniversary of the legalization of recreational marijuana in Nevada. (K.M. Cannon/Las Vegas Review-Journal)
Young adults aren't saving for retirement
Financial advisors talk about saving trends among young adults. (Bailey Schulz/Las Vegas Review-Journal)
News Headlines
Add Event
Home Front Page Footer Listing
You May Like

You May Like