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State Gaming Portals
A Concept for Implementing Regulation of Internet Gambling
by Stanley Roberts
In the USA the regulation of Gambling is the province of the States, and not of the Federal Government. Federal legislators who attempt to produce new laws outlawing gambling activity within the states are stepping on the Separation of Powers clause in the Constitution of the United States, the very document they have taken an oath to "preserve, protect and defend." Although well-meaning in spirit, these Honorable Gentlemen are not only attempting to thwart the expressed will of the people, as better then 80% of all adult Americans take part in some form of gambling every year; they have also failed to learn the lessons of History, because enacting such legislation is sure to bring about another era of Prohibition. Enacting laws that cannot be enforced and that the majority of the public eschews will surely lead to disrespect for the rule of law and egregious problems for law enforcement officials. Perhaps they do not recognize the benefits a well-regulated scheme can bring to all of society. Perhaps they do not possess the expertise to create such a scheme. By this document, Gambling Times attempts to lift the shrouds of darkness to show these leaders the path to glory, fairness, and justice; tax revenues; satisfied consumers; honest operators and the American Way.
1. Congress will enact a model ordinance to permit internet gambling when adopted by each state. The purpose of this ordinance is to create uniform regulations to avoid misunderstandings between citizens, operators and regulators.
2. Each state will decide whether it wants to permit its citizens to gamble on the internet, or NOT. This may be done by a legislative vote, or through the initiative process. Legislators who wish to deny their citizens this right will be subject to those rights retained by the people, when they vote to elect or recall their legislators.
3. If a state allows its citizens to gamble on the internet, they must do so through the state's portal, subject to all rules promulgated by the state for this behavior, and in the public interest, as so determined. Anyone who chooses to gamble on the internet outside the rules and regulations will be guilty of a criminal act, and, more importantly, will lose the benefits created by the within legislation and regulation. Each time a citizen of a state wishes to gamble on the internet, he first signs in at the State Portal where his identity is verified by password, and, then proceeds to that legal site, wherever located.
4. Each state will license one operator, by public bid process, to operate the portal. This is the same process as a lottery, where there is a small state staff to oversee the public interest, and, public bidding on a Request For Proposal selects the best and most efficient operator.
5. Each bank institution within the state shall act as the guardian of internet gambling funds by those customers who shall register(one time only) at the bank Through this process, which can easily be done at the time an account is opened, the future players will conveniently have their age verified and their passwords assigned. All internet gambling operators will file a one time application with the state-certified to each banking institution- that will allow for the transfer of winnings and losses between accounts, and, the collection of tax revenues, as appropriate.
6. The Gambling Portal Operator will be responsible for registering all Internet gaming operators, seeing that taxes are paid, monitoring their operations for fairness and accuracy and acting as a mediator for the settlement of disputes. Internet Gambling Operators can choose to register on not, however, those that do not will not have their sites listed on the State Portal. Internet players will have no assurance of gambling fairness and honesty on an un-registered site, and will also be in violation of the law. A law that will be far more enforceable as citizens will not flaunt it, because it makes sense and will rarely be broken. Operators who do not quickly and fairly settle disputes, use unacceptable software or behave improperly will have their sites removed from the list of accepted facilities. Citizens now have a place to make a complaint that will be acted upon by someone who can do something about it. Operators can be assured that honest businesses can collect their debts and that dishonest operators will be at a serious disadvantage.
So, now we have a plan to allow those states that wish to allow their citizens to gamble, to collect taxes, monitor activity, prevent under-age gambling, and terminate unscrupulous operators, thus protecting the public. This vehicle will also allow those states that wish to do so, to enact various safeguards against problem gamblers by restricting their access or placing stop-loss limits on their activity. Since state legislators are far more responsive to public opinion then Federal lawmakers in Washington, DC, the people's rights and desires are far better protected, represented, and implemented.
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