Massachusetts House Speaker warns banning college sports betting would only fuel black market activity

Following American Gaming Association's letter last month voicing concern about Massachusetts' potential ban on college sports bets in the ongoing legislative discussions, the state's House Speaker Ronald Mariano has come in line with that further criticizing the Senate’s sports betting bill that omits wagering on collegiate sports, a provision the lawmaker has previously called a dealbreaker as both chambers must now work to bridge their differences in a conference meeting yet to be scheduled.

The Senate passed its sports betting bill a month ago, with new provisions focused on consumer protections intended to curb problem gaming. Mariano, who described the legislation as “paternalistic” yet “well-intentioned,” echoed concerns raised by sports betting and responsible gambling experts with the Entain Foundation as he said the Senate’s failure to include allowing bets on collegiate sports will only fuel activity on the black market, and prevent the Legislature from maximizing potential tax revenues, Mass Live reports.

“There’s no bookie I know that’ll check you into a rehab to help you beat your gaming addiction,” Mariano told reports on Thursday at a Greater Boston Chamber of Commerce forum. “There’s no bookie in the world that’s going to give you an extension on what you owe because you have a gaming problem.”

Massachusetts Senate’s bill bans the use of credit cards to place sports bets, though debit cards and other digital payment options are allowed. Other safeguards for problem gambling include limits on television and online advertising, as well as the creation of a compulsive gambling program through the Executive Office of Health and Human Services.

Mariano said Thursday it “makes no sense” not to deal with the two biggest collegiate sporting events. He also questioned how disallowing credit cards would benefit those dealing with problem gambling. Drawing a parallel to someone with a shopping addiction, Mariano noted there’s no mechanism for a home shopping network to intervene with customers who rack up steep bills.

Gov. Charlie Baker, a proponent of sports betting, has said he would support collegiate wagering depending on a proposal’s wording. 

Sports betting conference committee members include Reps. Jerry Parisella, Aaron Michlewitz and David Muradian, as well as Senate Ways and Means Chairman Michael Rodrigues, Eric Lesser and Patrick O’Connor. Rodrigues’ office told MassLive Friday the first committee meeting has yet to be scheduled.

In the letter signed by AGA's President and CEO Bill Miller in late May, the trade body argues that banning college sports wagering in Massachusetts will not stop it from happening illegally and will have harmful impacts. AGA notes that since many customers prefer to keep their entire sports betting wallet with a single operator, banning college sports wagers will encourage them to place all their bets in the illegal market. Miller explained that regulated betting on college sports strengthens the integrity of games and protects bettors, competitions and athletes by enabling monitoring by regulators and law enforcement, which the illegal market does not provide.

Nationwide, AGA estimates that wagering on collegiate sports accounts for as much as 20% of all legal betting, which is an estimated $11.5 billion of the $57.71 billion wagered in 2021. This year, AGA's research found that 45 million Americans planned to wager $3.1 billion on the NCAA March Madness men’s basketball tournament alone.

"Moreover, the recent decision by the NCAA to allow individual institutions and conferences to pursue data-sharing agreements will further enhance the efficiency and
integrity of the legal marketplace for wagering on collegiate athletics," Miller wrote.