by Hillary LaClair, Senior Editor
In February of this year, California Assemblyman Lloyd Levine, Chairman of the Assembly Utilities and Commerce Committee, had introduced The Gambling Control / California Intrastate Online Poker Act. The Gambling Control Act, or AB 2026, was initially introduced to study the effects of online poker to determine whether or not it would be beneficial for California to legalize it. From there it was amended to advocate legalizing internet poker rooms, but now it has taken a leap backward.
It seems that U.S. legislation will continue to dance around this issue. The Senate had approved the bill in June, and it was scheduled to hit the desks of the Appropriations Committee in August where it would have allowed Californian residents to see online poker legally available to them. As was all to expected, that’s not what the Senate voted on.
Unfortunately, the bill was subsequently amended and it back to its original form, which calls for the research. We’re right back where we started from. According to a passage in the amended bill, “The enactment of this act does not authorize the play of internet poker. In enacting this act, it is merely the intent of the Legislature to have the appropriate state agencies develop a suggest structure, potential regulatory guidelines, and estimate on the amount of revenues to the State of California that may be generated by the play of Internet poker for possible consideration in the future.”
If the study is approved, conducted and shows intrastate regulation is feasible, however, the bill could produce the appropriate means for intrastate poker legalization to be voted on in the future. According to media reports, many feel that this could be presented to the California Legislature as early as June of next year.
“It would be regulated,” said Levine to the Capitol Weekly. “We don’t know what the state’s piece will be, but it will be a regulated entity.”
Online poker players are receiving mixed messages from the Senate Governmental Organization Committee. Levine has said that he feels regulating internet poker in California will protect consumers from the risks of the industry, providing recourse for them if a site refuses to play or is caught cheating. Levine’s proposal has acquired support from Poker Voters of America, Commerce Club, Garden City, Hollywood Park, Lucky Chances, the Lucky Derby and the Lucky Lady. Therefore, we’re confused with the latest amendment that essentially says that more information is needed before we could consider legalizing internet gambling.
Several studies have been conducted since the implementation of the UIGEA, showing the financial benfits to legalizing online poker, and also showing that the percentage of problem gamblers in the gaming industry is fewer than 10 percent. Barney Frank has endorsed studies showing that the online gambling industry is worth over $5 billion.
According to Steve Wiegand, the bill will be stuck in the Senate Appropriations Committee because “it[the study] would cost money to do, and there ain’t no money. Bills with price tags aren’t moving until there’s a budget.”
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