Opponents of a bill to ban sports betting kiosks at bars and taverns hope to make a defensive stand in the Nevada Assembly after the measure cleared the state Senate. If approved, Senate Bill 416 would prohibit the free-standing sports-betting machines in small establishments with restricted gambling licenses as of July 1.
“We’re still alive on the other side,” said Keith Lee, a Reno lawyer and lobbyist for William Hill, said Wednesday. William Hill is an operator of sportsbooks and has about 80 kiosks.
The bill pushed by the Nevada Resort Association was approved Tuesday by the Senate on an 18-3 vote.
The NRA, a trade organization representing many of the state’s largest casinos, argues the kiosks cross the line from slot and video poker machines and enter a realm of sports books reserved for big casinos that hold non-restricted gambling licenses.
“It’s absolutely a big issue for us,” Pete Ernaut, resort association lobbyist, said Wednesday. “Bars aren’t supposed to have sportsbooks. Kiosks are sportsbooks.”
Restricted gambling licenses allow operators to have up to 15 slot or video machines per location.
But over the years sports-betting kiosks have joined the mix, allowing people who have accounts to place bets. Winnings and loses are credited or deducted from a bettor’s account, and bettors can make withdrawals at the establishment.
Opponents of the bill counter that people who wager at kiosks aren’t taking business away from the larger clubs and have argued the NRA is trying to crush competition by targeting smaller operators who are using technology to expand their market.
“If you’re too successful, people are going to try to push you back down,” Sean Higgins, representing the Nevada Restricted Gaming Association, testified during an earlier hearing before the Senate Judiciary Committee.
Under existing law, kiosks are considered “associated equipment.” But under the bill they would fall under the definition of a race book or sports pool, and a separate license would be required for each location.
Of the $3.45 billion wagered at Nevada sports books last year, kiosks accounted for about $600,000 — a fraction of the total.
“We think the public policy ought to reflect the reality of the markets,” Lee said.
