PPA Talking Points for HR2046 and HR2610


PPA Talking Points for HR2046 and HR2610

HR 2046 the Internet Gambling Regulation And Enforcement Act HR 2046 is a more sensible solution than an outright ban HR 2046 addresses what UIGEA attempts, but fails to accomplish – protecting children, combating problem gambling, and ensuring financial transparency — while providing a better alternative than an outright ban. By creating a licensing and regulating mechanism that sorts out the legitimate, law-abiding Web sites from those engaged in unscrupulous activities and practices, HR 2046 protects minors and problem gamblers while allowing responsible adults to play poker and other games online. We’ve seen how prohibitions don’t work, but meaningful regulation of online poker will. It will produce positive outcomes for the players, the economy, the tax payer and society in general. HR 2046 preserves states rights H.R. 2046 allows states to opt out of the federal licensing regime by simply notifying the Treasury Department that they do not wish to participate. States may opt out of all gaming or out of certain types of gaming (e.g. sports, casino-style, pari-mutuel, poker, lottery, etc.). New technology makes licensing and regulation possible Age verification technology tools have significantly improved to reliably keep kids off of poker sites. There have also been major advances in geo-location technologies to ensure that state gambling prerogatives are preserved. The industry has come a long way since then, and now is the time to license and regulate operators and allow real competition in the U.S marketplace. HR 2610 the Skill Game Protection Act Poker is a game of skill Few people dispute the fact that poker involves mathematics, psychology, observation and money management. Numerous authors and academics have drawn analogies between poker and other endeavors that involve strategic thinking. Von Neumann and Morgenthaler used poker analysis in their seminal book on game theory, “Theory of Games and Economic Behavior” as a method of modeling decision-making under incomplete information. HR 2610 establishes rightful protection for games of skill on the Internet Millions of Americans enjoy competing with one another in games of skill on the Internet such as bridge, mah-jong, chess, poker and backgammon. HR 2610 would provide these games of skill the same exemption the UIGEA gives online horse racing, fantasy sports and Internet lotteries. HR 2610 provides necessary safeguards The bill mandates safeguards to prevent minors from participating in Internet gaming, ensure that players are not located in a state the forbids Internet gaming, combat fraud and money laundering, provide assistance to persons with gaming addictions, and protect the privacy and security of persons engaged in Internet games of skill. Unlike the UIGEA these are safeguards that can offer real protection, not a prohibition. HR 2610 clarifies the Wire Act of 1961 The bill clarifies the outdated Wire Act of 1961 by codifying the U.S. Court of Appeals for the 5th Circuit ruling in November 2002, known as “MasterCard Re:” which says the law is limited to “gambling on sporting events or contests.” Thusly preserving the intent of the law to only disallow sports wagering, not games of skill.