Washington, D.C. – AGA President and CEO Geoff Freeman released this statement following the NBA’s testimony in New York state today proposing that sports leagues receive a portion of all money legally wagered on sporting events:
“We are pleased that the National Basketball Association (NBA) today joined with the gaming industry in support of vigorously regulated sports wagering. We can all agree that the 25-year ban on sports wagering has been a failure in every regard. Now, let’s get real about eliminating the illegal market, protecting consumers and determining the role of government – a role that most certainly does not include transferring money from bettors to multi-billion dollar sports leagues.”
Facts on NBA Proposal to Skim Money from American Taxpayers
- A legal Nevada sports book realizes 3.5-5 percent in revenue.
- A 1 percent “integrity fee” on all money wagered legally by Americans, as proposed by the NBA, amounts to 20-29 percent of total revenue.
- Money that leagues skim off the top decreases the total amount of money taxable by state/other governments. These dollars fund vital community services.
- Money that goes directly to the leagues distorts the odds that legal bookmakers are able to provide and encourages Americans to continue to operate criminally in the illegal market.
- Americans are currently wagering approximately $150 billion illegally on sports annually.
- All leagues have retained outside resources to track betting activity in the current marketplace (legal and illegal).
- A legal market in the United States is expected to process approximately $150 billion in wagers, or the same amount that the leagues are currently confronting.