After several months of analysis and debate, a bill that would legalize and regulate online poker in the state of Iowa could come to the General Assembly as soon as this month, but the battle may just be starting in the Hawkeye State.
An article on IowaPolitics.com written by Lynn Campbell points out the two sides of the argument between members of the General Assembly, which could be just the first salvos in the battle. State senator Jeff Danielson (D-Cedar Falls) says to IowaPolitics.com that he will be introducing a bill later this month that would legalize online poker inside the state. This move comes after the December 23 statement from the U. S. Department of Justice that the Wire Act of 1961, which previously had been used to prevent states from operating online gaming sites, was deemed as only applicable to sports betting.
When the Department of Justice changed its stance, “that took a significant hurdle away from the ability to play poker online,” Danielson stated to IowaPolitics.com. “We believe by the end of this year you will see a handful of states continue to authorize it. Because of the DoJ’s opinion, we believe you’ll see very quickly multi-state compacts.”
Currently, the state of Nevada and the District of Columbia are the only two locations that have passed legislation regarding online poker, but the District of Columbia proposition is coming under fire from the City Council. Other states, such as California, Florida, Connecticut and New Jersey, have or are considering moving on the online poker question.
Although Danielson sees the need for the state of Iowa to step into the online poker arena, other state politicians are not quite as eager. State representative Jeff Kaufmann (R-Wilton) said to IowaPolitics.com that he is ready to fight against the proposal, remarking, “I have a problem any time we’re talking about an expansion of gambling.”
Kaufmann’s opposition, despite evidence that says Iowans are already gambling online, is that it would bring gambling into homes and increase the numbers of people who are gambling. “I see so many people spend so much money they don’t have,” Kaufmann states to Campbell. “I see so many families that are affected negatively by gambling.”
The two politicians also differ on the reasons for opening up online poker inside the borders of Iowa. While a study by the Iowa Racing and Gaming Commission estimated that an online poker operation could make between $13 and $60 million in a year – and the state would take down $3 to $13 million in taxation revenues – Danielson says that the money isn’t the reason for looking at passing legislation for online poker.
“I don’t give two hoots about the revenue for the state,” Danielson is quoted by Campbell as saying. “We’re in the black (the state budget). We have a surplus…I don’t think that’s the reason to do this.”
Kaufmann, meanwhile, believes that is the exact reason for the drive to regulate online poker in Iowa. “I think it’s about dollars coming into the state coffers,” he said. “I think it’s about dollars going into the pockets of people that own these casinos. A lot of those owners are in Nevada, on the West Coast, and they’re not here in this state.”
The debate over the plan in Iowa to legalize and regulate online poker certainly will continue to be active, especially if and/or when a bill is put in front of the General Assembly for consideration. Poker News Daily will continue to monitor the situation regarding online poker’s potential for regulation – not only on a state by state basis but also on the national level – and provide information when it is available.