Account Wagering Permitted for Horse and Dog Races in Arizona
When discussing the Unlawful Internet Gambling Enforcement Act (UIGEA) or the Wire Act, people commonly believe that these regulations impact all types of online gambling in the same way. Nevertheless, the reality is much varied.
It has been a known fact that horse and dog racing, coupled with state lotteries, were exempt from many of the obstacles curtailing other online and phone-based gaming platforms due to specific exemptions in these laws. Consequently, advancements in these industries are witnessed frequently.
Recently, Arizona Governor Janice Brewer signed a law permitting remote betting at horse and greyhound races within her state. This new provision will allow residents to place bets from home, enhancing Arizona's parimutuel betting industry significantly.
Earlier, wagering for such races could only be done at the tracks or at any of the 62 sanctioned off-track betting facilities across the state.
Legislation Not Authorizing Online Betting
Although this change would make it easier for bettors in the state to place bets on races at any time, Governor Brewer emphasized that this is not the approval of online gambling.
"This bill is explicitly clear that Arizona is authorizing advanced deposit wagering and expressly prescribes that the wager must be placed over the telephone," Governor Brewer remarked in a letter to Secretary of State Ken Bennett. "Senate Bill 1282 does not authorize and cannot be construed as authorizing Internet gaming."
Furthermore, section 10 of the bill unequivocally states that the intent of the bill is not to permit betting over the Internet.
Protecting agreements between the state and the Native American tribes managing gambling operations was a priority for Brewer.
"There is an unequivocal consensus that this bill does not impact nor cause any issue relating to the Arizona Tribal-State Gaming Compact," the Governor noted.
Bill Meant to Boost Racing Industry
The bill was spearheaded by Michael Racy, a lobbyist for Tuscon Greyhound Park. His primary objective was to introduce more funding into the racing business, a step intended to maintain the longevity of live racing in the state.
"[The bill] doesn’t authorize any new or different form of gaming,” Racy clarified. “It just recognizes that the world is changing on how that takes place.”
To employ the new ADW system, customers would need to transfer funds into a designated account. Funds in this account may then be used to wager only on races at participating tracks.
Albeit betting over the phone will not commence instantly, Arizona's Department of Racing must craft rules before the system can be operational. However, there is optimism for racing enthusiasts to bet from home as early as this summer.
Though Governor Brewer granted most of the bill, she used her line-item veto to wipe out one provision. The erased section would have allocated $1.2 million to the Arizona Breeders' Award Fund and the County Fair Racing Fund.
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