Sussex sports betting eyed : Proposal would offer option at casinos and outside parlors
By Drew Volturo, Delaware State News
May 8, 2007
DOVER - The discussion surrounding sports betting is certain to heat up, and a proposal recently unveiled to authorize the practice will only fan the flames.
A recently released study reported that beleaguered state coffers could receive an additional $70 million in revenue annually if it authorizes sports gaming, and legislators, gaming officials and lobbyists are preparing for the debate on the topic.
Officials with Delaware Sportsbetting Corp., are shopping draft legislation that would enable the First State to begin accepting wages for sporting events - a form of gambling often associated with Las Vegas but available to Delaware as well.
But unlike other proposed scenarios, this plan would allow sports betting at locations throughout the state in addition to Delaware's three casinos - Delaware Park in Stanton, Dover Downs and Midway Slots in Harrington.
"We are hearing a lot from people in Sussex that they want a place to go in the county if they want to place a bet, and it's a long way to go to Harrington," said Gary Ward, spokesman for Delaware Sportsbetting Corp.
Sports betting, or sports gaming, has been a topic of discussion for years, with advocates claiming it could provide the First State with a competitive edge that no one could beat.
Delaware is one of only four states - and the only one east of the Mississippi River - grandfathered from a 1992 federal law prohibiting sports betting. Montana, Nevada and Oregon are the others excluded from the law.
Delaware's lottery had a sports game in 1976 and the state constitution allows sports betting.
Under the proposed measure, sports betting would be authorized at the three racinos, with a license issued to Delaware Sportsbetting once it complies with state regulations.
Mr. Ward said the group ideally would like to open sports betting parlors - complete with bars and lounges - in the Rehoboth Beach, Bethany Beach and Seaford areas.
Allowing parlors in Sussex could help with capturing tourists, Maryland residents and Sussex residents who wouldn't drive to Harrington or Dover, he said.
Sen. George H. Bunting Jr., D-Bethany Beach, introduced similar legislation in 2005 and said he has been approached with the current proposal.
"I'm still listening and hoping to come up with a solution. We're facing an unbelievable financial problem right now," Sen. Bunting said of tight revenues and a $1.5 billion shortfall in the Transportation Trust Fund over six years.
"I as a legislator can't in good conscience vote for a nickel gas tax with prices nearing $3 a gallon.
"In our caucus the other day, we were asking, 'Anyone got any ideas to raise some revenue?' "
The 50-page independent study, commissioned by the Video Lottery Advisory Council, states that sports betting alone would generate $26 million annually but also would create an additional $169.3 million in slots revenues and about 250 new jobs.
The state's share of the sports betting and additional slots revenue would be about 36 percent, or $69.7 million, annually.
Mr. Ward said each of the proposed parlors could pull in $10 million to $15 million each annually and would contribute 36 percent of that to the state, 10 percent to horsemen and 10 percent to the racetracks.
VLAC chairman and Dover Downs CEO and president Edward J. Sutor said sports betting should be limited to the state's three casinos, pointing to an established structure and destination for bettors.
"If sports betting goes statewide, my concern would be that young people might be able to participate," Mr. Sutor said.
"Here at the racetracks, we have highly skilled security experienced in this area and the chances of something like that happening are slim."
Mr. Sutor said that sports betting should be limited to the three casinos because they have the infrastructure in place - food, drink, entertainment and other activities.
Dover Downs also has a hotel on the premises for bettors who travel from outside Delaware.
Additionally, Mr. Sutor noted that most of the revenue that sports betting would generate for the state would be from increased slots play rather than the actual sports betting.
Because sports betting in Delaware would be unique to the eastern half of the U.S., it would draw people who would stay and play the slots.
Rep. Vincent A. Lofink, R-Bear, who chairs the House Gaming and Pari-mutuels Committee, said that it is premature to introduce the proposed measure before legislators have a chance to dissect the revenue study.
"Nobody's talked about the mechanics of this," Rep. Lofink said. "We all know how slots works, you put your money in and pull the lever and wait 10 seconds.
"But it's different with sports betting."
The process, he said, must be approached delicately, especially with Gov. Ruth Ann Minner opposed to sports betting.
Rep. Lofink noted that the initial concept for sports betting calls for betting only at the three casinos, "but that's not cast in stone, that's a starting point."
All options, he said, are on the table, but he does not intend to move forward with legislation until after the committee hearing, currently set for the first week in June.
__________________
:shrug:
Anyone in Delaware heard of this?
By Drew Volturo, Delaware State News
May 8, 2007
DOVER - The discussion surrounding sports betting is certain to heat up, and a proposal recently unveiled to authorize the practice will only fan the flames.
A recently released study reported that beleaguered state coffers could receive an additional $70 million in revenue annually if it authorizes sports gaming, and legislators, gaming officials and lobbyists are preparing for the debate on the topic.
Officials with Delaware Sportsbetting Corp., are shopping draft legislation that would enable the First State to begin accepting wages for sporting events - a form of gambling often associated with Las Vegas but available to Delaware as well.
But unlike other proposed scenarios, this plan would allow sports betting at locations throughout the state in addition to Delaware's three casinos - Delaware Park in Stanton, Dover Downs and Midway Slots in Harrington.
"We are hearing a lot from people in Sussex that they want a place to go in the county if they want to place a bet, and it's a long way to go to Harrington," said Gary Ward, spokesman for Delaware Sportsbetting Corp.
Sports betting, or sports gaming, has been a topic of discussion for years, with advocates claiming it could provide the First State with a competitive edge that no one could beat.
Delaware is one of only four states - and the only one east of the Mississippi River - grandfathered from a 1992 federal law prohibiting sports betting. Montana, Nevada and Oregon are the others excluded from the law.
Delaware's lottery had a sports game in 1976 and the state constitution allows sports betting.
Under the proposed measure, sports betting would be authorized at the three racinos, with a license issued to Delaware Sportsbetting once it complies with state regulations.
Mr. Ward said the group ideally would like to open sports betting parlors - complete with bars and lounges - in the Rehoboth Beach, Bethany Beach and Seaford areas.
Allowing parlors in Sussex could help with capturing tourists, Maryland residents and Sussex residents who wouldn't drive to Harrington or Dover, he said.
Sen. George H. Bunting Jr., D-Bethany Beach, introduced similar legislation in 2005 and said he has been approached with the current proposal.
"I'm still listening and hoping to come up with a solution. We're facing an unbelievable financial problem right now," Sen. Bunting said of tight revenues and a $1.5 billion shortfall in the Transportation Trust Fund over six years.
"I as a legislator can't in good conscience vote for a nickel gas tax with prices nearing $3 a gallon.
"In our caucus the other day, we were asking, 'Anyone got any ideas to raise some revenue?' "
The 50-page independent study, commissioned by the Video Lottery Advisory Council, states that sports betting alone would generate $26 million annually but also would create an additional $169.3 million in slots revenues and about 250 new jobs.
The state's share of the sports betting and additional slots revenue would be about 36 percent, or $69.7 million, annually.
Mr. Ward said each of the proposed parlors could pull in $10 million to $15 million each annually and would contribute 36 percent of that to the state, 10 percent to horsemen and 10 percent to the racetracks.
VLAC chairman and Dover Downs CEO and president Edward J. Sutor said sports betting should be limited to the state's three casinos, pointing to an established structure and destination for bettors.
"If sports betting goes statewide, my concern would be that young people might be able to participate," Mr. Sutor said.
"Here at the racetracks, we have highly skilled security experienced in this area and the chances of something like that happening are slim."
Mr. Sutor said that sports betting should be limited to the three casinos because they have the infrastructure in place - food, drink, entertainment and other activities.
Dover Downs also has a hotel on the premises for bettors who travel from outside Delaware.
Additionally, Mr. Sutor noted that most of the revenue that sports betting would generate for the state would be from increased slots play rather than the actual sports betting.
Because sports betting in Delaware would be unique to the eastern half of the U.S., it would draw people who would stay and play the slots.
Rep. Vincent A. Lofink, R-Bear, who chairs the House Gaming and Pari-mutuels Committee, said that it is premature to introduce the proposed measure before legislators have a chance to dissect the revenue study.
"Nobody's talked about the mechanics of this," Rep. Lofink said. "We all know how slots works, you put your money in and pull the lever and wait 10 seconds.
"But it's different with sports betting."
The process, he said, must be approached delicately, especially with Gov. Ruth Ann Minner opposed to sports betting.
Rep. Lofink noted that the initial concept for sports betting calls for betting only at the three casinos, "but that's not cast in stone, that's a starting point."
All options, he said, are on the table, but he does not intend to move forward with legislation until after the committee hearing, currently set for the first week in June.
__________________
:shrug:
Anyone in Delaware heard of this?
