New Jersey approves sports betting bill

The bill, S-2460,which was approved 27 – 1, is modeled after the Lesniak-sponsored measure vetoed by the governor before Senator Lesniak developed the legal strategy of removing the state ban. Senator Lesniak identified the opinion by the Federal Court’s Third Circuit as an “open invitation” for New Jersey because it stated that it would not violate the federal ban on sports betting since that ban only applies to “state authorized” wagers.

Democratic State Sen. Raymond Lesniak authored the bill that partially repeals prohibition of sportsbetting. “Atlantic City is hemorrhaging and our racetracks are bleeding and they need the boost in revenues that this legislation will provide,” Lesniak said.

Supporters of the measure suggested it could help the state’s gambling industry. Four of Atlantic City’s 12 casinos have closed this year.

“People are betting with their local bookie, for the most part, except for Vegas. It’s not a comfortable environment,” said Dennis Drazin, an adviser to Monmouth Park Racetrack and a supporter of the effort. “So this would give the public the confidence and the ability to bet in a way that’s not illegal. It would be a good thing for the country.”

The vote comes as Gov. Chris Christie is engaged in a legal battle with pro sports leagues and the NCAA over sports betting. Professional sports leagues and the NCAA have objected to the practice.

The legal fight reaches back to 2011 when New Jersey voters approved the practice in a referendum. In 2012, the Legislature passed and the governor signed into law a sports wagering measure.But the four professional sports leagues and the NCAA sued, seeking to halt the wagering, and U.S. District Judge Michael Shipp ruled that a 1992 federal law limiting sports gambling to four states was constitutional. Shipp issued an injunction to halt New Jersey from proceeding with the gambling.

The U.S. Supreme Court declined to hear the case on appeal. Earlier this year Christie vetoed another bill that would have repealed the state’s prohibitions against sports betting, but then seemed to reverse course, ordering the attorney general not to prosecute casinos and racetracks if they offered betting that was not regulated by the state.

The leagues criticized the move, calling the governor’s effort a “blatant attempt to circumvent” the court’s injunction. Shipp recently postponed oral arguments until Oct. 31. The Assembly is expected to vote Thursday on the issue.

A spokesman for the governor declined to comment on the legislation.“As Atlantic City rebounds from the traumatic effect of casino closings, sports betting could be one of the best and more immediate opportunities to rebuild the city’s economy,” said Senator Whelan. “Gaming will always be an important part of our attractions and sports betting will expand on it. This is good for Atlantic City, for the casino industry and the state.”

The gaming activity would also be allowed at state racetracks, helping to rejuvenate a historically important sector that is also experiencing hard times, Senator Kyrillos said.

“New Jersey’s continued prohibition on sports betting at our casinos and racetracks is contrary to our interest of supporting employers that provide tens of thousands of jobs and add billions to our state’s economy,” said Kyrillos. “Sports betting will help set New Jersey’s wagering facilities apart from the competition and strengthen Monmouth Park and our struggling casino industry.”