Nevada Camp Prepares to Counter College Betting Bil

1 February 2001
The politician who once called gambling a "cancer on the soul of our nation" may turn out to be the Nevada gaming market's best friend in what is shaping up to be a very heated battle.

Newly confirmed Attorney General John Ashcroft said earlier this week that he would support a call for the Justice Department to probe illegal gambling. The study is seen as a way to keep a bill that would make betting on college sports illegal from passing.

In the 2000 congressional session, Sen. John McCain, R-Ariz., proposed such a bill. The legislation was backed by the National Collegiate Athletic Association and breezed through the Senate prior to being killed in the House of Representatives where it was never brought up for vote.

Rumblings coming out of Washington in recent weeks indicate that the bill will likely resurface soon, and a group of Nevada-based legislators met yesterday to discuss a plan of attack to prevent the bill from passing

Senators and representatives met for nearly an hour at Sen. Harry Reid’s, D-Nev., office to discuss the drafting of a bill that would instead call for a Justice Department investigation of illegal sports betting in America. Also attending the meeting were gambling lobbyists and members of the House and Senate from Nevada. Those who attended the meeting weren't willing to tip their hats because, as Republican Senator John Ensign put it, "Frankly, if we give it away to you, the other side gets our strategy."

"The more we know about what we are doing and the less they know," Ensign told the Associated Press, "the better chance we have for success. We have a battle on our hands."

Ashcroft becomes a major player in the game now that the Senate has confirmed his appointment as the new head of the Justice Department during George W. Bush's administration.

Although Ashcroft is seen as an opponent to the industry, he would favor the study over an initial ban. His support would also get more congressional Republicans behind the bill, something that hasn't happened in the past.

"If we can get the Attorney General behind the bill, it probably would bring more Republicans on board, which is something we lacked last year," one member of the delegation told the Las Vegas Sun. "It would get us a fair hearing and the due process that we’ve been asking for."

On Wednesday. Reid voted against appointing Ashcroft to the position of Attorney General, but he realizes that the former Missouri senator could be key in garnering support for the bill.

"We didn’t have any help from anybody, including the Clinton administration last year," Reid said.

Most of what was discussed in the meeting is being kept under wraps, however, some strategies for killing the prohibition bill are being tossed around out in the open.

One such plan of attack would have the delegation seek the support of President Bush. The newly sworn in President is a major advocate of state’s rights, and supporters of Reid’s bill would stress the importance of letting Nevada decide itself if it will allow sports betting or not.

In addition to calling for an in-depth study on illegal gambling, Reid’s bill reportedly would call for $10 million to be allocated over five years to the Justice Department for the purpose of creating a task force which would enforce existing laws against unlicensed gambling. Other items in Reid’s bill include calling for universities to employ more full-time staff to reduce illegal gambling among students and taking scholarships away from athletes engaged in illegal gambling activities.

The feeling is, if Reid’s bill can be passed, it will hold off any move to ban betting on the games in Nevada.

One supporter feels that the amount of illegal gambling that goes on at college campuses should be an area that the NCAA examines prior to banning wagering on college sports at Vegas sportsbooks.

"Our attitude is that gaming that goes on at campuses is illegal," the source told the Las Vegas Sun. "There ought to be zero tolerance. There are provisions for zero tolerance in this bill."

"We hope the NCAA would be reasonable and they haven’t been in the past," Reid said. "They have many, many problems with amateur athletics in America and one of the minor problems is what’s going on in Nevada. The NCAA should address these problems and leave us alone."

Rep. Shelley Berkley, D-Nev., echoed Reid’s sentiments. "As a former University regent, I had eight years of dealing with the NCAA and I’m not at all surprised that the NCAA would take that position," Berkley said. "They need to look in-house to solve their problems and stop using the state of Nevada and the gaming industry as a scapegoat for all of their shortcomings."

The Nevada delegation is quick to point out that the NCAA is attacking a small segment of the college sports betting market. According to Reid, only 1.5 percent of all college sports bets are placed at Nevada-based sportsbooks.

Legal sports betting in Nevada generates $2.3 billion a year with about $650 million wagered on college sports.

Reid is hoping that both Ashcroft and Bush will get into his corner; he knows taking on the NCAA is going to be a challenge.

As for what's to come, Reid promises that opponents of the NCAA bill won't back down. In fact, he suggests that the Nevada corner is picking up steam. "The NCAA is going to be in for a much bigger fight this year than they were last year," he said.