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Gambling bill passes committee with racing exemption intact

The House of Representatives Judiciary Committee on Thursday passed a bill sponsored by Representative Bob Goodlatte (R-Virginia) that would crack down off-shore gambling and on gambling with the assistance of the Internet.

The bill includes an exemption that would allow the United States horse racing industry to continue to conduct interstate, account, and Internet wagering.

Named the Internet Gambling Prohibition Act, the bill would amend the Interstate Wire Act, which prohibits gambling over telephone wires, to specifically ban gambling over the Internet and through other new technologies.

"Today was excellent news for the racing industry," said Greg Avioli, the National Thoroughbred Racing Association's Executive Vice President. "Not only did the bill pass by a significant margin, but three separate amendments to either slip out or substantially limit our exception were all defeated."

Avioli said the exception for horse racing did face significant opposition.

"There was vigorous opposition from some members of the committee to having horse racing have any particular language in the bill," Avioli said. "Despite that opposition and close to 90 minutes of heated debate, we were able to prevail on every vote."

The bill will be considered on the House floor as early as June, Avioli said.
"For the horse racing industry, this is particularly important because having that exception allows horse racing to continue to operate interstate simulcasting and account wagering," Avioli said. "If that bill would have passed without the exception in it, it would have effectively outlawed those activities."—Jeff Lowe