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A New York Assemblymember is pushing for a cap on daily sports betting deposits and heavy restrictions on gambling advertisements in the state.
Assemblyman Robert Carroll introduced Assembly Bill A7962 last week, and it proposes several amendments to the state’s racing, pari-mutuel wagering, and breeding law, which was enacted in 2021. This bill comes as critics continue to voice concerns about the rise in social harms caused by sports betting in the country’s largest betting market.
Heavy Restrictions on Gambling Ads
A key feature of this bill is its aim to limit the marketing practices of sportsbooks. Under the proposed legislation, ads that use phrases like “no sweat” or “bonus” would be prohibited.
Additionally, the bill seeks to ban all gambling advertisements during live sports events and restricts their airing between 8 a.m. and 10 p.m. This is significant given New York’s prominence as a major media hub, where many sportsbooks heavily promote their offerings during peak viewing times.
Carroll’s measure also addresses the content of gambling ads more broadly. It would prevent any ads from offering “odds boosts” or similar promotions while ensuring that advertisements do not target children or provide guidance on how to place bets.
A7962 will even allow operators to access the player account history of all bettors to ensure compliance with these new restrictions.
Daily Betting Limits to be Imposed
The proposed bill also aims to cap the amount any bettor can wager at $5,000 within a 24-hour period. Carroll is hoping this move will help control excessive gambling and promote responsible betting practices among bettors.
In addition to the betting cap, the bill imposes strict limitations on deposits, allowing bettors to make no more than five transactions in a single day. There’s also a complete ban on using credit cards to fund betting accounts.
Currently, New York’s gaming laws allow credit card deposits, but they typically classify these transactions as cash advances, which can lead to high fees for users. By eliminating this option, Carroll hopes to reduce the financial burden on bettors.
Furthermore, the bill prohibits licensed operators from extending lines of credit to bettors, reinforcing the focus on responsible gambling and financial accountability. Together, these measures reflect a comprehensive approach to regulating sports betting in the Empire State.
A7962 has been referred to the Committee on Racing and Wagering for further consideration.
Bill Could Impact the US Betting Market
The introduction of Assembly Bill A7962 in New York could have significant implications for the broader U.S. sports betting landscape. This proposal aligns with a stalled federal bill that sought to implement similar restrictions, highlighting a shift towards stricter regulations at the state level, as Congress has struggled to advance comprehensive changes.
While no state has adopted such harsh measures yet, some have already enacted less severe restrictions. For instance, both Massachusetts and Ohio have prohibited sportsbooks from using terms like “risk-free” in their advertisements. Massachusetts is even pursuing stricter reforms, with the introduction of Senate Bill 302 by Sen. John F. Keenan.
If New York should adopt a more aggressive approach, it could set a precedent that influences advertising practices across the United States, given its status as the largest media market in the country.
There have also been concerns within the industry that these limitations could drive bettors towards unregulated offshore options, which are estimated to operate at least at the scale of the $150 billion placed through legal channels in 2024.
As New York’s sports betting market continues to thrive, generating over $1 billion in tax revenue in 2024 alone, many fear that these limits could deter high-stakes bettors. This, in turn, might affect the state’s finances, as fewer bets could lead to reduced tax income.
Source: SBCAmerica
