States To Sports: No Sports Gambling Fees For You

Leagues keep striking out in getting gambling fees.

 

 

If at first you don’t succeed, try, try again. Sports leagues are still trying to capitalize on the Supreme Court of The United States decision to legalize sports betting. Major League Baseball and the National Basketball Association were looking for something called an integrity fee from Delaware and New Jersey once those states got sports betting up and going. MLB and the NBA wanted states to implement the same rules that apply in France and Australia where a piece of the pie, in the MLB and NBA world that would have been one percent take of the action, would be kicked back to the leagues so that the leagues could monitor sports betting to make sure it was all above board. But states have gaming commissions that do that. Eventually Major League Baseball told officials a quarter of a percent would be a fair price. States that have legalized sports gambling said no. The NCAA has given up on collecting integrity fees.

New York failed to pass a sports betting bill. One of the New York proposals was to give sports leagues like Major League Baseball a royalty fee. There is no sports betting without sports teams was the logic and New York would give a royalty to sports leagues as sort of a thank you to the leagues for being able to use league product, games, in betting. That could be revisited in 2019. The PGA would like a royalty fee also. But leagues and individual teams have not given up on getting some money out of sports gambling. Pittsburgh Pirates ownership insists it should get a piece of Pennsylvania’s action because Pirates ownership can use the money to help maintain the home office, the Pittsburgh stadium.  MLB stills wants a fee from Nevada, Delaware, New Jersey, Mississippi, West Virginia, and Rhode Island along with  tribal nations despite being told no.

 

Rob Manfred

MLB Commissioner Rob Manfred and his owners feel they are entitled to a percentage of the legalized sports gambling pie.

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