OCEANPORT — Despite a federal ban on sports betting, stakeholders expect Monmouth Park to host legalized sports betting by the start of the NFL season.
Their optimism is due to the progress of a state bill, S2250/A3476, which passed the Senate in a 38-1 vote on June 26 after clearing the Assembly in a 63-2 vote.
The legislation would repeal the state ban now in place and authorizes sports betting at casinos and racetracks.
If it stands, the legislation would be a game changer for venues like Monmouth Park in Oceanport.
“This is a $500 billion industry, most of which is illegal,” said Dennis Drazin, consultant to the New Jersey Thoroughbred Horsemen’s Association, which operates Monmouth Park. “It would literally save Monmouth Park, save thousands of jobs.
“It would have a big impact on our economy, and we are looking forward to offering the public sports betting in Monmouth Park in September.”
Passage of the bill, sponsored by state Sen. Raymond Lesniak (D-Union), was fueled by a decision by the U.S. Supreme Court earlier this month, which decided not to hear a lawsuit brought by the state of New Jersey seeking to overturn the 1992 federal ban on sports betting.
Drazin said Las Vegas experts estimate the handle on legalized sports betting would be between $8 billion and $10 billion yearly, with Monmouth Park representing approximately 10 percent of the market share.
The state has been attempting to legalize sports betting since 2011, after voters overwhelming supported a nonbinding referendum to legalize the practice. In 2012, Gov. Chris Christie signed a bill legalizing sports betting at racetracks and casinos.
However, the four major professional sports leagues — NBA, NFL, NHL and Major League Baseball, as well as the NCAA — filed suit to block the law.
The state petitioned the U.S. Supreme Court to lift the ban, but the justices declined.
According to Drazin. the new bill — cosponsored by Sen. Jennifer Beck (R-Monmouth) — would replace the 2012 bill if signed by the governor.
He also said he is hopeful Christie will continue to support sports betting and sign the bill.
“My own view of it is he has strongly supported sports betting; he spent $3 million in taxpayers’ money litigating the issue,” Drazin said in an interview on July 1. “Now he has the opportunity to see it become a reality.”
Drazin, former chairman of the New Jersey Racing Commission, said the aim is to be open by the first week of the NFL season.
“Senator Lesniak said he is going to be our first customer, and he wants to bet the Giants against Detroit on Sept. 8. And we are going to try to accommodate him,” he said.
Drazin said New Jersey did win a minor victory before the failure at the Supreme Court when the Third Circuit Court of Appeals ruled in favor of the state.
That ruling shaped the Lesniak bill, he said.
“So Sen.Lesniak carefully evaluated what the courts had said, and he drafted a bill in the Senate,” Drazin said. “The bill is on the governor’s desk, awaiting a decision whether he will sign it.
“We are hopeful that he will sign it, and if he does, we are going to be ready to start taking bets at Monmouth Park in September.”
Lesniak’s bill will repeal a previous state law barring sports betting.
Drazin said he does not anticipate the federal government will challenge the state, but does predict that the professional sports leagues and the NCAA will attempt to bring the matter to court.
Monmouth Park has been prepared in recent years to host sports betting with the renovation of the William Hill Sports Bar.
Currently racetrack patrons are able to participate in “free play” sports betting without wagering money. A patron is able to bet on sports events and be eligible for cash prizes.
Drazin said free play would continue until true sports betting is legalized.
“We are doing free play in the William Hill Sports Bar, which we renovated anticipating that we would be able to prevail and move forward,” he said. “So, basically, we would just be taking real money bets instead of free play.”