A brief letter by a significant player in the world of legal gaming has altered the politics around the problem of sports gambling in Minnesota. At least for now.
Last week, Charles Vig, the chair of the Minnesota Indian Gaming Association, wrote Gov. Tim Walz and the four legislative leaders to state the nation’s gaming tribes weren’t interested in adding sports gambling to their offerings.
But he didn’t stop there. From the letter, Vig said the tribes will probably oppose passing of legislation to include Minnesota to the growing list of countries with legalized sports betting. “The Minnesota Indian Gaming Association continues to oppose the expansion of off-reservation gambling, including the legalization of sport gambling,” he wrote.
The seven casino-owning tribes in Minnesota join a group of unusual allies in opposing sports betting statements this season, including groups like Citizens Against Gambling Expansion, which concerns about the ill effects of gaming, including dependency.
The tribes don’t have a veto over non-tribal gambling, but their voices are powerful, especially among DFLers such as Gov. Tim Walz and the new House majority. Under federal law, states need to bargain in good faith to permit tribes to offer the same types of gambling that’s legal off-reservation.
Until a U.S. Supreme Court decision last spring cleared the way for states to offer sports betting similar to what’s lawful in Nevada casino gambling books, that legislation was not a problem in Minnesota. Now it is. With a 6-3 majority, the court ruled in Murphy v. NCAA that Congress exceeded its authority by preventing states from legalizing and regulating sports gambling. The case had been brought by New Jersey, which desired to give an increase to its struggling Atlantic City casinos, and had tried a series of legal moves to end the federal ban against sports betting in all states except Nevada.
In the vast majority opinion, Justice Samuel Alito, Jr. wrote that Congress has the authority to pass legislation to govern sports betting itself. But if it decides not to, then every state is free to do so, and several have done exactly that.
A draft bill circulated in the Minnesota capitol in the end of this 2018 session but no formal invoice was filed and no hearings were held. Supporters of the law, led by Sen. Roger Chamberlain, R-Blaine, have been coordinating a bill for this session,.
Chamberlain, who’s chair of the Senate Taxes Committee, was amazed and a bit disappointed at the tribes’ position, which he discovered about through Twitter. “We met together and while they are not necessarily in alignment they’re obviously worried about losing their economic base, the economic engine,” Chamberlain said. “We understand that. We’ve reassured them that we’re not interested in damaging that fascination or jeopardizing tribal compacts.”
State Sen. Roger Chamberlain
Courtesy of Senate Media Services
State Sen. Roger Chamberlain, R-Blaine, stated mobile gambling must be a part of the state law because that’s where much of the gambling action is.
But Chamberlain said he’s optimistic that it remains subject to discussions, and he said he believes it might be a triumph for the nation, the tribes and to get non-tribal betting. “There’s no reason to shut out the remainder of the country and the remainder of the possible consumers and players and operators from getting involved in a perfectly safe and legal business,” he said. “We expect to get into a place where everybody can agree and I think we can.”
Once it seems evident that tribes would have the ability to give sports gambling in their casinos if it’s made valid for non-tribal gaming, legal advisors note that sports betting sets up some tough choices such as tribes. The first issue is that betting on sports — on the outcomes of matches, on scores and other results — isn’t especially rewarding for casinos. Another is that under national law, tribes can only offer gambling over the boundaries of bookings. That makes the most-promising aspect of sport gambling — distant betting online or through mobile devices — might be off limits to these, but to not non-tribal sports books.
Chamberlain said cellular gambling must be a part of the state law since that’s where a lot of the gambling action is. Part of the rationale for legalizing it state by state would be to capture some of the stakes now made illegally.
“In this market and culture you require mobile access to be rewarding,” Chamberlain said.
Online betting would likewise make gaming available in remote and rural areas of the state which may not have casinos or industrial sports books near. 1 possible solution for the tribes would be to declare the gaming takes place where a player’s phone is, but where the computer server that processes the bet is located. That is far from resolved law, nevertheless.
“We can find our way around those issues and get it done,” Chamberlain said.
Vig is chairman of the Shakopee Mdewakanton Sioux Community of Minnesota, which owns the Mystic Lake and Little Seven casinos, did not shut the door on ultimate tribal interest in sports betting. He did, however, ask the state to move gradually.
“While there is a desire by some to consider this issue during the present session, it appears that the public interest would be best served by careful analysis of sports gambling’s implications within this nation, evaluation of other states’ experiences where sports betting has been legalized, and thorough consultation with the high number of stakeholders interested in it,” Vig wrote.
A spokesman for the Minnesota Indian Gaming Association said leaders weren’t available for interviews and Vig’s letter would be their only statement on the problem.
State Rep. Laurie Halverson
State Rep. Laurie Halverson
The chair of the home committee that could consider any sports betting bills said the tribal institution’s letter doesn’t change her position on the issue. Rep. Laurie Halverson, DFL-Eagan, said that there are still no patrons within her caucus pushing a bill. Before the tribes left their position known, Halverson stated she planned to be cautious and deliberate on the topic.
“I have yet to see language or possess anything introduced,” she said.
But she expects laws will surface, and that she wishes to possess at least an information hearing so lawmakers will understand the impacts and listen from both backers and opponents. “I believe we’re all in learning style,” she said. “When something is this new, that is the legislative model typically. Things take time and we have to be deliberative about these major modifications to Minnesota law.”
In a press conference Wednesday,” Walz said his basic position on the problem is to legalize and regulate. But he explained that should come just after a procedure for hearings and discussion. “I trust adults to make adult decisions,” he explained of gaming. “I also realize that dependence comes in many forms, whether that’s alcohol, tobacco or cannabis or sports betting and these can have social effects which are pretty devastating.
“When the Legislature chooses to take that up, we’re definitely interested in working with them to make it right,” Walz said.
Read more: todaysportsnews.org