Ban And Back ~ Fantasy Sports League

A Washington State representative Christopher Hurst, a Democrat, is helping lead the charge to outlaw fantasy pools betting websites from operating in the state, in part, because people suffering with gambling addiction might fall victim.

The argument is that fantasy sports betting is a game of chance, rather than skill based, and that controversial websites like FanDuel and DraftKings are just illegal gambling sites. Rep. Hurst says he's actually a fan of sports fantasy leagues, but he's no fan of those websites. "Websites are stealing money from all the people that play. Companies argue that it’s a skill-based game because people would have to research athletes’ statistics to improve their odds of winning. Opponents say it’s gambling because you pay to play, and win and lose money.  Daily Fantasy Sports allows players to draft sports teams to compete in weekly or daily contests – most of the time involving money. Read more.

The bill (HB 2370) has good intentions. However, it seems overly broad and an extension of unnecessary government paternalism. The 10-3 vote by the House Business & Professions Subcommittee to approve the bill (HB 707) came as the rapid growth of daily online fantasy games has led to questions across the country about whether the industry is involved in illegal gambling.

The bill further states that the "structural characteristics of fantasy sports games make fantasy sports games particularly dangerous to problem gamblers..." And the addictive chemicals in sugar make sugar particularly dangerous to over-eaters or diabetics. Perhaps a ban on selling sugar is forthcoming? His history on issues like this seems inconsistent.

With some lawmakers concerned about regulations, bill sponsor Matt Gaetz, R-Fort Walton Beach, said he’ll work on amendments involving background checks for operators of online fantasy-sports operations and rules regarding how operators’ licenses can be withdrawn for failing to abide by state laws. The bill next will go to the Regulatory Affairs Committee.

The Business & Professions Subcommittee backed an amendment that would require operators to pay initial $500,000 licensing fees and $100,000 annual renewal fees.

Despite industry supporters saying the contests are not gambling, the subcommittee added an amendment by Rep. Scott Plakon, R-Longwood that would direct money from licensing fees to the Florida Council on Compulsive Gambling. Gaetz said he didn’t fight the change because it had support from other members of the committee.

Tallahassee attorney Marc Dunbar, representing the Stronach Group which owns Gulfstream Park Racing & Casino in Hallandale Beach, said the state needs to regulate fantasy sports operators the same as pari-mutuel facilities.

“This bill is about a $4 billion industry … that is dominated by FanDuel and DraftKings. It’s a gambling industry,” Dunbar said. “We’re not against the legislation of the industry for 3 million Floridians (who play the games). We are only asking for one basic thing: Treat them like you treat us.” Read more.