Proposed Regulations Not A Good Bet with Nevada’s Books
Long known as a slow-moving power broker, the Nevada Gaming Industry is finally reviewing proposed changes that address regulations in sportsbook events related to racing. The issues will be deliberated at the July 22 Nevada Gaming Control Board Public Workshop. While the meeting itself might only be in session marginally longer than it takes to repeat the title, Nevada Gaming Control Board Public Workshop, some issues look to have immediate impact on the sportsbook procedures.
At present, most racebook operators in Nevada operate as part of a pari-mutuel pool. While this contractual pooling has its advantages, namely the ability to keep upwards of 17% of the money that the pari-mutuel pool receives through bets. The downside is that competitors outside Nevada have adopted the practice of offering customer rebates. While these rebates cut into the percentage that racebook operators can keep, between 5-10% of monies bet, non-pari-mutuel racebook operators are seeing a large increase of customers. With the success of out-of-State competitors, Nevada’s pari-mutuel pool operators are seeing the value of the adage ‘it’s better to have part of something than to have all of nothing.’ If the proposed changes in racebook regulations are enacted Nevada bettors might soon receive rebates on their race bets.
Another issue that the Nevada Gaming Control Board seeks to address during the July 22 Workshop is entity betting. Regulation of entity betting has been lacking since it the State legislature recently legalized the process of allowing entity wagering on sports or race events. While the law allows for entity wagering, books in Nevada are restricted from accepting wagers until an entity has been registered and vetted by the Nevada Gaming Control Board. The issue to be discussed at the Workshop is whether or not Nevada books must also verify an entity’s legal status with the Nevada Gaming Control Board.
While it is in everyone’s best interests to protect the integrity of the gaming industry, the proposition of making Nevada’s books responsible for verifying that prospective wagering entities have fulfilled the Gaming Control Board’s regulations; have an active bank account in Nevada and register the entity and all members thereof with the Gaming Control Board would seem to be an unnecessarily redundant and prohibitive injunction, especially considering that the Nevada Gaming Control Board already has the authority to investigate the prospective entities.
While movement is not synonymous with the Nevada Gaming Industry, its Gaming Control Board seems ready to engage in a lively, possibly contentious, debate at the July 22 Nevada Gaming Control Board Public Workshop.