Nevada Online Poker Bill
Despite the bill's ignoble provenance, it may ultimately benefit the members of the Nevada Resort Association, which is pushing for its passage. Last year, the Isle of Man-based company PokerStars hired a number of high-profile Nevadans - including former Assembly Speaker Richard Perkins - to push for a law to legalize online poker. Nevada broke from the pack in February with fast-tracked legislation authorizing online poker, and Ultimate Poker is setting the pace after final approval from gaming regulators earlier this month.
Nevada’s online poker bill has taken a major step in the right direction, as the interests on both sides of the aisle came forward on Tuesday in support of an amended version. The Assembly Judiciary Committee unanimously passed Assembly Bill 258 on Tuesday.
William Horne, chairman of the committee and sponsor of the bill, told Card Player that part of the language of the bill still needs to be cleaned up, but that “the parties agreed that intranet poker will be able to be commenced, and the Nevada Gaming Commission will be able to license gaming for online poker, before the federal regulation happens.”
According to Horne, the amended bill no longer has any provisions that deal with international play. The compromise on AB258 would prevent a Nevada online poker system from dealing with internet poker until federal legislation resolves the issue or the United States Department of Justice gives its OK. When the federal government puts laws into place, a tax structure on international play to benefit Nevada would be implemented. Horne also said that Nevada’s online poker bill would allow the Nevada Gaming Commission and the Nevada Gaming Control Board to have regulatory structure in place for a future online gambling climate with blanket federal laws.
Contrary to reports circulating on the internet, Horne said that Nevada Governor Brian Sandoval is on his side when it comes to an intrastate online poker bill in the Silver State.
“I don’t believe the governor’s letter to me actually said he didn’t support the poker bill,” Horne said. “In fact, my meeting with the governor in his office yesterday afternoon showed me that he is supportive of the poker bill. He recognizes that we need the bill, and he just has concerns about us coming in conflict with federal law. Today we passed out an amended version of the bill, and I am confident that the governor will sign when it reaches his desk.”
The Nevada Resorts Association, which arguably had been, up until Tuesday, the biggest opponent of the legislation, also joins Horne in the quest to make Nevada the first state in the country to operate online poker. “Their primary representative, Pete Ernaut, sat at the table today with us, and with Richard Perkins, the representative for PokerStars, and both of them presented their support for the amendments,” Horne said.
The bill now moves to the Assembly floor, and if it passes, it will move on to the Senate, where the hearing process starts all over again. If it passes out of the Senate in its current form, it will go straight to the governor’s office for signature. If the Senate suggests a different version of the bill, the legislation will move to a Congressional Committee to discuss the discrepancies. According to Horne, he sees a smooth process in the Senate, due to the bill’s major opposition now on his side.
“The concerns of the bill’s opposition have been alleviated in the Assembly,” Horne said. “I anticipate when we go to the Senate that everyone will go to the table in support of the bill.”
With AB258 on its way through the Nevada legislature, Horne said that the state is positioning itself to remain the leader and the “gold standard” in the gaming industry. “Nevada will have all the pegs in place,” said Horne, who sees federal legislation as inevitable. “Until then though, Nevada is not precluded from intrastate poker.”
Despite the bill losing its ability to tax the rake generated from players in other jurisdictions, at least until the federal government takes action on the issue and sets up a regulated system, Horne called Tuesday’s compromise a “victory.”
Wsop Nevada Online Poker
“This puts Nevada out there and up front,” Horne said. “The important thing is putting the regulatory framework in place for the Gaming Control Board and the Gaming Commission to begin work now and to establish an avenue for granting licenses for those companies who are seeking it.”
An online poker bill was signed by Nevada Gov. Brian Sandoval that allows for partnership agreements with other states without receiving federal approval.
An online poker bill was signed by Nevada Gov. Brian Sandoval that allows for partnership agreements with other states without receiving federal approval.
The bill was deemed an emergency and was rushed through the Nevada Legislature. A hearing held by the Assembly and Senate Judiciary committees lasted just 90 minutes before both houses voted unanimously for approval of Assembly Bill 114. The bill was quickly forwarded to Gov. Sandoval, who wasted no time in affixing his signature.
Sandoval labeled the bill a priority during his State of the State address in mid-January and the urgency was heightened when it was learned that New Jersey lawmakers would likely approve of the proposals set forth in Gov. Chris Christie’s conditional veto of the Garden State’s online gambling bill on Feb. 7. Christie admitted he would sign the bill post-haste when it arrives on his desk on Feb. 26.
Both states are vying to become a hub of online poker and gambling, setting the tone for other states to make use of their existing gambling regulations when entering the market. Nevada has had an early lead in their quest to be the first state to offer online poker and hope to maintain that lead by fast-tracking the interstate compact legislation.
Sandoval called his signing of the bill a historic day in which Nevada will enter the next frontier of gaming,
the Las Vegas Sun reported.
Just last week, the bill appeared to be in jeopardy when Majority Leader William Horne proposed an increase in online poker license fees from $500,000 to $1 million. Sandoval did not support an across-the-board increase, and a compromise was reached that will allow the Nevada Gaming Commission to charge more for licenses in certain situations. It appears that license fees will be determined on a case-by-case basis and will cost at least $150,000, but not more than $1 million. The license renewal fee will remain at $250,000.
The new legislation also includes a provision that restricts companies that serviced the U.S. online poker market after the UIGEA was enacted in 2006 from participating in Nevada’s Internet poker scheme for a five-year period. That will keep industry leader PokerStars out of Nevada until 2018. New Jersey’s law has no such bad actor clause and PokerStars has made a bid to purchase an Atlantic City casino in order to enter the online marketplace in America. There is no telling yet how that may affect a possible interstate compact between the two states.