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Key Votes

A 4111 - Amends Online Gambling Laws - New Jersey Key Vote


Issues Related to A 4111

Stage Details

Legislation - Bill Passed (Senate) (37-0) - (Key vote)
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Title: Amends Online Gambling Laws

Vote Result
Yea Votes
Nay Votes
Vote Smart's Synopsis:

Vote to pass a bill that amends online gambling laws.

  • Requires the Division of Gaming Enforcement to issue all sports wagering licenses and renewal to casinos (Sec. 2).

  • Requires the New Jersey Racing Commission to issue all initial sports wagering licenses to racetracks and have the division responsible for renewals (Sec. 2).

  • Prohibits online sports pools be opened to the public and from operating sports wagering until an Internet sports pool operator receives a permit to conduct an online sports pool from the division, with the exception for test purposes (Sec. 2).

  • Requires that the division and the commision establish standards to govern the provisions of this law (Sec. 2).

  • Prohibits a sports wagering license to be issued by the division or the racing commision to an applicant unless the applicant provides information, documentation, and assurance concerning its financial background and resources, which include cash reserves, that are sufficient to demonstrate that it has each of the following to operate a sports pool or online sports pool (Sec. 4):

    • The financial stability;

    • Integrity; and

    • Responsibility.  

  • Prohibits casino and racetracks to operate sports pool or accept wagers by online sports pools unless a sports wagering lounge is established (Sec. 2).  

  • Requires the division and the racing commission have authority to charge a casino or a racetrack the following (Sec. 2):

    • A fee for issuance and renewals;  

    • $100,000 for issuance and renewal of a sports wagering license;

    • Enforcement; and

    • Gambling addiction programs.

  • Establishes that every five years after the date of the issuance of a license or within the time that the agency issuing the sports wagering license directs, the licensee shall submit to the agency documentation or information that the division or the racing commission may require to ensure that the licensee continues to meet the requirements of the law and regulations (Sec. 2).

  • Prohibits the direct, indirect legal, or beneficial owner of 10 percent or more a sports governing body or any of its members to place or accept any wager on a sports event in which any member team of that sports governing body participates (Sec. 2).

  • Requires corporate applicants for and holders of a sports wagering license to disclose the identity of the following (Sec. 3):

    • Each board member and director of the corporation;

    • Each person who directly holds any voting or controlling interest of 5 percent or more of the securities issues by such applicant or holder;

    • Each person who holds any non-voting or passive ownership interest of 25 percent or more of the securities issued by such applicant or holder; and

    • Each holding or intermediary company of an applicant for or holder of an operator .

  • Requires that the division, in consultation with the commission, create regulations that are necessary to carry out the provisions of this act, including, but not limited to (Sec. 4):

    • The amount of cash reserves maintained by operators to cover winning wagers;

    • The acceptance of wagers on a series of sports events;

    • Maximum wagers which may be accepted by an operator from any one patron on any one sports event;

    • Type of wagering tickets which may be used;

    • Methods of issuing tickets or of accounting to be used by operators;

    • Types of records which shall be kepts;

    • Use of credit and checks by patrons;

    • Type of system for wagering;

    • Protections for an individual placing a wager; and

    • Displaying the words “If you or someone you know has a gambling problem and wants help, call 1-800 GAMBLER,’ or some comparable language approved by the division, which language shall include the words “gambling problem” and “call 1-800 GAMBLER,” in all print, billboard, sign, online, or broadcast advertisements of a sports pool and online sports pool and in every sports wagering lounge.

  • Requires each operator to adopt comprehensive house rules to govern sports wagering transactions with its patrons which need to be approved by the division (Sec. 5).

  • Requires a casino licensee and racetrack permit hold that enter into an agreement to jointly establish a sports lounge, and to operate and conduct sports wagering, the agreement specifies the distribution of revenues from a joint sports wagering operation among the parties of the agreement (Sec. 6).

  • Requires that an 8.5% tax be placed on gross sums that are received by the casino from sports wagering or from joint sports wagering operations (Sec. 7).

  • Exempts internet sports wagering from the 8.5% tax and instead places a 13% tax on the gross sums made from internet wagering (Sec. 7).  

  • Specifies if an individual does not claim the winnings in a sports pool wager within one year from the time of the event, the operator will not have any obligation to pay the winnings and the funds will be distributed to the following (Sec. 9):

    • For wagers placed with a sports pool operated by or on behalf of a casino, the casino shall retain 50 percent and remit the remaining 50 percent to the Casino Revenue Fund;

    • For wagers placed with a sports pool operated by or on behalf of a racetrack, the racetrack shall retain 50 percent, and the other 50 percent will go to the State General Fund; and

    • For  wagers placed with a sports pool jointly operated by a casino and racetrack, the casino and racetrack will retain a total of 50 percent which will be divided between them to the terms of their agreement, and the remaining 50 percent shall be divided between the Casino Revenue Fund and the State General Fund.

  • Authorizes that wagers may be accepted by individuals that are not physically present in the state if the division finds that the wagering is consistent with federal law or the law of jurisdiction, including any foreign nation (Sec. 10).

Legislation - Bill Passed (House) (73-0) -

Title: Amends Online Gambling Laws

Legislation - Introduced (House) -

Title: Amends Online Gambling Laws



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