NIGA joins sports betting push despite compact concerns

Monday, July 31, 2017 8:19 PM

The National Indian Gaming Association has joined the ranks of those in favor of legalized sports betting outside of Nevada, though questions over how a state-by-state regulatory framework would square with existing tribal-state compacts.

NIGA, which represents 148 gaming tribes and the $31.2 billion tribal gaming industry in the United States, officially announced that it will join the American Sports Betting Coalition – the body created by the American Gaming Association to push for a legislative repeal of the Player and Amateur Sports Protection Act.

“We are pleased to announce that the National Indian Gaming Association will be joining the AGA’s Coalition on Sports Betting, which will enable us to coordinate with and provide feedback to the AGA with regard to tribal gaming concerns as the Coalition advances its policy objectives,” said Ernie Stevens, Jr., chairman of NIGA.

With NIGA’s addition, the ASBC now includes representatives from the commercial gaming industry, law enforcement authorities, elected officials and business groups as it looks to overturn the federal prohibition on sports betting outside of Nevada and allow individual states to decide for themselves on the matter.

Geoff Freeman, president and CEO of AGA, lauded the decision as a fresh sign of unity and momentum.

“We have a window of opportunity to get this done and the National Indian Gaming Association is critical to making it happen,” he said. “Tribal engagement will help to move the needle forward and as the industry further unites, we will be able to end the failing ban on sports betting and allow our industry to grow.”

But the move comes amid recent warnings by certain tribal nations that attempts by states to expand sports betting could conflict with tribal-state gaming compacts – which in many cases afford tribes the exclusive right to operate casino gaming and associated activities.

Steve Stallings, chairman of the California National Indian Gaming Association, specifically warned earlier this month against a proposed constitutional amendment in California that would legalize sports betting in the state should PASPA be repealed at the federal level.

“Historically, the association has opposed bills that expand the scope of gaming in California in violation of tribal compacts limiting casino-style games to tribal reservations,” Steve Stallings told GamblingCompliance last month.

Speaking Monday to Legal Sports Report and hinting that tribes tend to get left behind in these types of discussion, Stallings echoed his concerns about the proposed amendment. He noted that it would likely require the compacts of each of the state’s 62 gaming tribes to be re-negotiated.

“You wonder where we’re even going with this. It’s premature. There’s no thought being given to all these implications,” he told LSR. “There’s been no consultation with anyone in the industry. Why do this when there are so many unanswered questions?”

But Stevens of NIGA emphasized that the move to join the sports betting push is fully consistent with the group’s priority to protect tribal gaming interests.

“Of chief concern to NIGA is to ensure that tribal interests are protected, particularly avoidance of any negative impacts on existing compacts and exclusivity clauses,” Stevens said.

He added that having a seat at the ASBC table would put tribes in the best position to capitalize on sports betting in the event it is legalized.

“As one of the key stakeholders in these discussions we want to ensure that if legalized, our members have the opportunity to offer this activity as part of their overall entertainment package and as an additional source of revenue for Tribal Government Gaming to promote tribal economic development, tribal self-sufficiency and strong tribal government.”