Legislation
Puerto Rico – Senator presents bill to expand sports betting in Puerto Rico
By Phil - 24 May 2018
Senator José Nadal Powers has put forward a resolution in the Senate that would allow for sports betting in Puerto Rico.
The senator has presented Senate Resolution 756 to the Finance Committee, the Senate Government and Federal Affairs Committee, and the Political and Economic Relations of the Senate Committee to look into the viability and desirability of allowing sports betting in Puerto Rico.
“It is estimated that the illegal betting market for professional sports events generates between $50 and $150m a year,” the Senator said last week as he presented Senate Resolution 756 to the Senate.
In a written statement he said: “The recent decision of the Supreme Court of the United States on the unconstitutionality of the prohibition on sports betting opens up the way to a new industry that puts Puerto Rico in a position to compete with other betting destinations worldwide.”
He explained that the resolution also orders the respective commissions to investigate the competitive advantages that Puerto Rico could offer compared to other jurisdictions, its potential for tourism as well as safeguards for consumers when it comes to unethical sports practices.
“The legalisation of sports betting on the island can be a means of important revenues for the treasury. It is estimated that the illegal betting market for professional sporting events generates between $50m and $150m per year. Legalising this business would enable a highly lucrative industry that has operated outside of the law, which could result in greater revenues for the state. In states like New Jersey regulating sports betting is proposed in an organised manner in places that already accept bets, such as casinos, racetracks, among others,” he said.
He also pointed out that in Puerto Rico, betting has historically been allowed as a means to generate public revenues. Among the state sanctioned betting are casinos, lotteries and betting on horse racing and cockfights all of which are legal and highly regulated by different government entities.
“The Puerto Rican is a follower of various sports on the island. Offering them the opportunity to bet would formalise an industry that for years has operated illegally. This also opens the door to Puerto Rico as an important tourist destination for a multi-million dollar industry. Not only does it provide a new attraction for tourists, but it can also generate significant amounts of new money that would be injected into the local economy,” he said.
Significant momentum is building now that The Supreme Court has struck down the federal law prohibiting states from authorising or licensing sports betting. Congressman Ángel Matos García first submitted a bill to the House of Representatives in 2014 that would allow for sports betting in casinos. Now that the Supreme Court decision is in, he told local daily El Nuevo Día earlier this month that online sports betting gaming legislation could be brought back.
Meanwhile the current President of the Tourism and Social Welfare Commission, Néstor Alonso plans to file pro sports betting legislation which would allow Puerto Ricans to bet on US sporting events as well as first tier levels of Puerto Rican basketball, baseball and volleyball. Sports betting would also be allowed online as well as in casinos.
Although Puerto Rico has a certain amount of local autonomy, according to the US Constitution ultimate governance of the island is retained by both the US Congress and President. When it comes to online gambling the government adheres to the Unlawful Internet Gambling Enforcement Act of 2006 and Puerto Rico for now only permits online wagering for horseracing.
