Poker Legislation Review

In 2010 there was a lot of commotion in the online poker world and not all of it took place on the virtual felt. In the halls of Congress and numerous state assemblies the issue of online gaming took up some of the limelight. With nearly every state facing a budget deficit states looked to gaming to make up for lost revenue. Some states successfully passed pro-poker legislation while others balked. At federal level Senator Harry Reid (D-Nevada) generated excitement when he sought to introduce a bill that would effectively overturn the Unlawful Internet Gambling and Enforcement Act (UIGEA). There was a frenzy of legislation action on Capitol Hill, so what actually happened?

In a word, nothing. Senator Reid had previously been publicly neutral on the issue of internet poker. He had neither been for or against it in a manner that would suggest he favored any one position. After the election results came in and he defeated Sharron Angle in the general election he came out with pro-poker legislation. Some have speculated, and I agree, that the brick and mortar casinos in Las Vegas wanted this legislation. The controversial provisions, for current players inside the U.S., included a potential 15 month blackout period and a possible exclusion of foreign online players from the U.S. There was hope that Senator Reid could include his legislation in a must pass bill like the tax bill, but based on the current power of Congressional members that oppose online gaming, that would be akin to making a runner runner straight flush. It's almost never going to happen. Ultimately Senator Reid was not able to get his bill passed and the status quo continues.

Some states have since moved on to legalize online gambling within their state. The anticipation and hope for these states rests on the U.S. Congress passing a law overturning the UIGEA and allowing financial transactions between banks, payment processors, and online poker rooms. Until that happens, it will remain difficult for online poker rooms to move money easily and quickly to its players.

We saw a glimmer of hope in that online poker got some traction in Washington, D.C., but the fact remains that it is at best a fringe issue. In the arena of politics, online poker is still nothing more than background noise with a relatively small audience. For states that have a rooting interest in seeing online poker legalized, that is states with casinos, they will likely have a long wait to see the federal legislature vote in favor of a pro-gaming bill. Until that time, players will have to keep supporting the Poker Players Alliance and trust their lobbying efforts inside the Beltway will start to produce more than mere hope.

Curtis Steuber.