NJ: State senator pushes Corzine to fight ban on sports wagering

[clevfan]

State senator pushes Corzine to fight ban on sports wagering

By João-Pierre Ruth
5/18/09
njbiz.com

Now that Delaware has passed a law to bring back sports betting in that state, New Jersey is bracing for the potential impact on its casinos and other gaming venues.

State Sen. Raymond J. Lesniak (D-Union) last week asked Gov. Jon S. Corzine to put his weight behind the campaign to lift a 1992 federal ban on sports wagering in most states. Delaware is one of four states, Lesniak said, given leeway to enact their own laws permitting the practice.

Delaware’s sports betting legislation was signed into law on May 14 by Gov. Jack Markell, who has been a major booster of the effort.

The move to revive sports betting in Delaware is expected to increase competition for the region’s gaming audience at a time when Atlantic City casinos are hurting. In a report released last week by the New Jersey Casino Control Commission, gross revenue at casinos in the state was down 14.2 percent, to $313.6 million, in April, compared with the year-ago period. New Jersey casinos reported gross revenue of $365.6 million in April 2008.

Representatives for Atlantic City’s casinos did not return a reporter’s calls seeking comment.

Lesniak filed a lawsuit in March to lift the federal ban based on the 10th Amendment, the so-called states’ rights amendment.

“The Justice Department has until June 15 to file their answer. We have to wait for that,” he said.

Regarding the possibility of the State of New Jersey intervening as a plaintiff in the case, Lesniak said the matter is in the governor’s hands.

“I think it would be very helpful for the suit to provide proper standing for our 10th Amendment claim,” Lesniak said.

The current federal ban exempted Nevada, Montana, Oregon, and Delaware because, at the time, those states had sports betting in place, according to Lesniak.