More info on the future of online poker

Stumbled upon this blog by AlCantHang explaining the effects of H.R. 2267 passing the Financial Services Committee vote last week.

Note the part about individual states potentially being allowed to set their own limitations on online gaming, which could be an issue for Minnesotans, considering Michele Bachmann and Erik Paulson both voted ‘no’.

To find out how you can help change Bachmann and Paulson’s minds, visit ThePPA.org.

From BluffMagazine.com

If you are a poker player in the United States, especially if you play online, you were probably aware of a bill which was introduced yesterday in the U.S. House of Representatives by our biggest Congressional supporter Barney Frank. The bill was introduced in the Financial Services Committee and spent several hours going through the process of politicians attempting to tack on amendment after amendment but it was eventually passed the committee vote. This allows the bill to be sent to the full House of Representatives, kicking off a process of turning the bill into a law.

I have some very smart friends who spent some time ironing out the specifics for me and this is what we came up with. Any kudos go to my friends, any mistakes are completely mine. This is about 1/3 of the information I was given but it should give you a basic rundown.

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Yesterday, the U.S. House Financial Services Committee approved H.R. 2267, the “Internet Gambling Regulation, Consumer Protection, and Enforcement Act.” Representative Barney Frank, who is Chairman of the Financial Services Committee, introduced H.R. 2267 and has been a vocal supporter of internet gaming. This bill establishes a framework for licensing and regulating internet gaming in the U.S. under supervision of the Department of the Treasury. U.S. brick and mortar casinos have operated under similar licensing and regulatory schemes for decades. Sports betting, other than pari-mutual race wagering, is specifically excluded from the bill.

Although this is a positive step for internet gaming regulation, there are still several procedural steps that must be accomplished before this bill becomes law. First, the full U.S. House of Representatives must debate and approve the bill by at least a majority vote. Once approved by the House, the bill will be introduced to the U.S. Senate. Once in the Senate, the bill will go through the committee process, which is similar to what just occurred in the House Financial Services Committee. If the bill is approved by the Senate committee, the full Senate must debate and approve the bill by at least a majority vote. If approved by both the House and the Senate, the President can either sign or veto the bill. If the bill is vetoed, Congress can override the veto with a 2/3 vote by both the House and the Senate.

As the bill progresses through these various steps, there will likely be numerous additions and deletions to the version approved by the House Financial Services Committee. The bill in its current form focuses mostly on the licensing of internet gaming operators and regulations regarding the operation of internet gaming facilities.

Under the bill, an internet gaming operator cannot accept bets or wagers from people in the U.S. unless it has first obtained a license. The bill sets forth general requirements for the suitability of gaming licensees and categories of companies and individuals who may not be deemed suitable for licensing. This type of licensing process, as well as some of the general parameters for licensing suitability, are similar to state law provisions that exist in places such as Nevada and New Jersey.

The regulatory components of the bill focus on areas such as underage gambling, taxes, safeguards relating to money laundering, compulsive gambling and privacy, marketing guidelines and data collection. Many internet gaming companies, including Full Tilt Poker, already have policies in place that address these items. Any licensed internet gaming operator would also have to maintain a corporate entity in the U.S. with a majority of its officers and directors being U.S. persons, as well as substantial operations in the U.S.

States may choose to set their own limitations regarding internet gaming, which means that a licensed internet gaming operator can only offer gaming to residents of that state within that state’s limitations.

While the process is far from complete, this is a significant step towards regulating online gaming in the U.S. and further protect your personal rights on the internet. We will continue to monitor the bill as it progresses along its route.