New Jersey Next to Legalize Online Poker?
State of New Jersey May Be Next to Legalize Online Poker
January 4, 2012
By now most Americans know that the state of Nevada has legalized online poker. Lawmakers in other US States have been trying to scramble to legalize online gambling, and it appears that the state of New Jersey may be next to legalize online poker. Last year the state of New Jersey tried legalizing online poker, but the bill was vetoed by Governor Chris Christie.
The reason why Christie vetoed the bill last year was because he felt that the new bill would be violating federal law. Christie also thought the by legalizing online gambling it would create a lot of shady gambling dens throughout New Jersey.
Before Christmas the US DoJ announced that the Wire Act only applied to sports betting. This means that Christie doesn’t need to worry about violating federal law anymore. There have also been a couple other provisions to the new online gambling bill in the state of New Jersey that would prevent gambling dens from operating in the state.
- $1000 Fine per player per day for running an internet gambling parlor in New Jersey
- $10,000 Fine for advertising an internet gambling parlor in New Jersey.
What Does the New Jersey Online Gambling Bill Mean for Poker Players?
The new bill is similar to the gambling bill that was just passed in Nevada. Players would need to be 21 years old or older, and they’d need to confirm their identity before being able to play. Only players that are physically in the state of New Jersey would be able to play in the online poker rooms as well, but you don’t need to be a resident of the state.
It remains to be seen what kind of poker deposit options will be available in New Jersey. Please note that this law does not apply to online casino games or online sports betting.
Who Would Be Eligible to Receive an Online Gambling License?
In the bill it states that only Atlantic City casinos will have a chance to obtain one of the licenses if the bill is passed. This will make the sign-up process simple for poker players in New Jersey, as they’ll just need to open an online account with the licensed casino.
The casinos that obtain an online gambling license will need to invest in servers to power the online poker room. The new bill states that the servers need to be physically located in the state of New Jersey to ensure no federal laws are violated. I’m sure numerous casinos in Atlantic City would love to obtain a license including Trump Entertainment and Caesars Entertainment.
Will Online Poker Become Legal in New Jersey?
The big question is whether or not the bill will be signed by Christie. Senator Raymond Lesniak announced on Monday that he’s going to do his best to try and quickly push the bill through the Legislature. Today it was announced that the legislators want to find out if Christie is even willing to sign the bill.
If Christie is willing to sign the bill I expect the bill to be pushed through the Legislator in the next few days. The legislation session is over on January 9th 2012, but the bill could be passed on the final day if Christie makes a decision. There are a lot of supporters for the bill now that Nevada has already taken the step to legalize online poker and I hope Christie signs the bill.
Will the state of New Jersey Benefit from Online Poker?
Many residents in the state of New Jersey want to know what online poker will bring to their state. In the bill it states that licensed online poker rooms would need to pay a 10% tax on revenues, which is 2% more than land-based casinos need to pay. The revenue earned from taxes will help the state of New Jersey at a time when the state is completely strapped for cash.
Each licensee will also be required to allocate $100,000 to fund programs for addicted gamblers every year. Horse racing tracks in the state of New Jersey will also benefit from the new bill because each licensee would be required to pay $20M every year for 3 years. The money will be used to increase the race purses and to get troubled race tracks through rough financial times.
We’re still waiting to find out whether or not Christie will sign the new bill. A spokesman for Governor Christie has been contacted several times, but he hasn’t made any statement on the Christies decision yet. We’ll know in the next few days if the bill is passed and signed by the governor and once we do we’ll make sure we update this article with the pertinent details.
In my opinion I think New Jersey needs to try and pass the bill in the next few days. The state of New Jersey doesn’t want to fall behind other states in the race to legalize online poker. New Jersey is an excellent candidate for online gambling and with the casinos in Atlantic City only allowed to obtain a license it should make the transition fairly simple.