By Seth Daniel
As the U.S. Supreme Court weighs the merits of legalizing sports betting nationwide, eyes in Everett and at the state Massachusetts Gaming Commission (MGC) can’t help but focus on that decision as well.
Were the court to side with those pushing to legalize sports betting nationwide – as it currently only exists legally as a grandfathered provision in Las Vegas – it could mean billions of dollars in added gaming revenues to the Wynn Boston Harbor casino when it opens in 2019.
While plans are already in place for the typical table games and slot machines at the casino, expanding it to include sports betting would mean an opportunity for the City, state and Wynn to capitalize on an even larger gaming market.
The American Gaming Association (AGA), a trade organization that represents all gaming entities, estimates that $150 billion is wagered on sports illegally every year, and often postulates that such illegal betting on the Super Bowl and NCAA Final Four events have become commonplace – making the prohibition almost a joke in their opinion.
Last summer, the AGA estimated that Massachusetts could gain $682 million in economic output, $133 million in added tax revenue and an additional 3,261 new jobs if sports betting were allowed as part of the expanded gaming act.
For Wynn, it would simply mean an expansion of their existing, and very popular, sports and racing book in Las Vegas.
After Monday’s oral arguments at the high court in Washington, D.C., Wynn officials said they remain interested in the case.
“We at Wynn Boston Harbor are watching the court case with interest,” said Bob DeSalvio, president of Wynn Boston Harbor. “Our industry supports legalized and regulated sports betting but the ultimate decision rests with the courts, state and federal lawmakers and the Massachusetts Gaming Commission.”
And the MGC will deliberate precisely on the matter this week at their monthly meeting Thursday, Dec. 7. Spokesperson Elaine Driscoll said there hasn’t been much discussion of the issue by the Commission aside from a short mention in a paper drafted last year on Daily Fantasy Sports. The Supreme Court case, however, is expected to have discussion before the Commission this week.
“We are following any developments closely,” said Driscoll. “The Commission has not taken an official position on this topic. I do anticipate it will be raised at the Commission meeting on Thursday. Part of that conversation will be a report on the arguments before the Supreme Court, as the Commission decides next steps.”
For the AGA, President Geoff Freeman said after the arguments that he was encouraged by the questions and will await to see the courts ruling in the months to come.
“Today is a positive day for the millions of Americans seeking to legally wager on sporting events,” he said Monday afternoon. “While we can’t predict the intentions of Supreme Court Justices, we can accurately predict the demise of the Professional and Amateur Sports Protection of 1992 (PASPA). The justices of the Court expressed deep interest in the role of the federal government – a role that we believe has created a thriving illegal market that has driven trillions of dollars to offshore websites and corner bookies. States and tribal sovereign nations have proven to be effective regulators of gaming and today’s oral arguments before the Supreme Court moved them one giant step closer to offering a new product that Americans demand.”
At issue in the case is the Professional and Amateur Sports Protection Act of 1992, which has come up through the case Christie (as in New Jersey Gov. Chris Christie) vs. NCAA. The State of New Jersey pushed the boundaries of sports betting in 2012 and tried to institute it within their state – only to be stopped by lawsuits from five sports leagues, including Major League Baseball. That case has wound itself through several federal jurisdictions until landing at the high court earlier this year.
The act was put in place following the fallout from the Pete Rose baseball betting scandal, which is often forgotten nowadays. At the time, it was a popular sentiment and seen as a necessary protection. However, as time has gone on, the public has clamored to the trend of betting on sports of all kinds – and most all of it done illegally.
When the act passed, both New Jersey and Nevada – the only jurisdictions that qualified for grandfathering – had the ability to continue with sports betting. Only Nevada proceeded, which is why today the only legal sports bets in the United States are in Nevada.
That is where Wynn keeps its blockbuster Race & Sports Book, an actual area of its casino in Las Vegas that the company has just renovated at great expense.
The new area at the Wynn Las Vegas resort offers 1,600 sw. ft. of wraparound LED televisions for viewing events, food, a bar, and personal viewing areas with all the comforts one demands. A smaller Race & Sports Book venue at Wynn Encore also exists there.
The Wynn Race & Sports Book also offers a mobile app for placing a wager in that jurisdiction on any horse race or sports contest without ever having to leave one’s seat if in the state of Nevada in the City of Las Vegas.
Were the Supreme Court to rule in favor of states such as New Jersey, one could simply substitute Everett for Las Vegas – and it would mean hundreds of millions more in gaming revenues each and every year by most estimates.