Georgia Considers Gambling Proposal After Poker Room Raid
In September, Georgia police officers raided a poker room. In October, representatives of Entain Foundation met with lawmakers to work toward a comprehensive yet reasonable gambling proposal to introduce into the state legislature in 2024.
These two events are not directly related. Entain Foundation does not support or have any connections to live poker rooms, ones that operate on the fringes of current Georgia gambling laws. But it is an organization created by global gambling company Entain to ensure responsible gambling practices are a part of the larger gambling industry.
Status of Gambling in Georgia
There is very little gambling allowed in Georgia by state laws. There is the Georgia Lottery, and organized bingo is legal. That’s about it.
The last time that the subject of gambling even came up in Georgia politics was in 2022. Democrat Stacy Abrams ran for the governorship of Georgia, and among her campaign papers was one addressing gambling. Well, it wasn’t a direct gambling proposition, but she did include it in her economic mobility policy paper to support Georgia’s underfunded educational system.
Abrams’ plan was to legalize sports betting and land-based casinos to create a permanent revenue source to fund tuition-free technical certifications, a need-based program for college student tuition, and pre-kindergarten education or pre-college technology in schools. Her program to raise billions of dollars was simple:
- Legalize online sports betting.
- Champion a constitutional amendment to legalize casinos.
- Increase support for gambling addiction services.
Abrams lost the governor’s race in 2022. Her policy plans lost with her.
In 2023, several members of the state legislature proposed sports betting bills. However, there was not enough support to pass a bill in the Senate or even bring it up for a House vote.
Enter Entain
There are several global gaming giants that lead the world in all types of gambling. Entain is one of them, specializing in sports betting and interactive gambling. The company operates in regulated gambling markets and generates more than $5B in net gaming revenue per year through its dozens of brands. One of those brands is BetMGM, a major player in the still-burgeoning US online poker and igaming market that operates on partypoker and partygaming software.
Currently, BetMGM offers online poker in New Jersey, Michigan, and Pennsylvania, but its online casino game and sports betting offerings cover more ground in America.
As Entain grew in recent years in the new-ish US market, it created Entain Foundation in 2019. The nonprofit is based in the United States and to sponsor safer gambling initiatives and invest in communities in which its parent company operates.
The vast majority of its funds go to “safer betting and gaming initiatives,” which amounted to more than €18M in 2022 alone.
According to the Georgia Recorder, Entain met with several state legislators in Atlanta in mid-October to devise a plan for a 2024 gambling bill.
Is This Time Different?
Previous bills failed for a plethora of reasons, including how to properly distribute revenue, use technology for state boundaries (geolocation), issue gambling licenses, and sufficiently address gambling addiction. In addition, the Georgia Baptist Mission Board has vehemently opposed gambling in Georgia in the past, and lawmakers will need tools to counter those arguments.
Entain claims that the best way to identify gambling problems is through a regulated market, through which technology can detect problems and target those people – even an entire demographic – with responsible gambling tools and assistance. In addition, Entain argues that the only way to combat illegal gambling is to provide a legal, regulated alternative.
The PPAG lobbying firm (Princeton Public Affairs Group) worked with legislators in Georgia in 2023, but when legislation failed, they asked for more support to educate other lawmakers for future proposals. PPAG partner Bill Pascrell is also an Entain trustee, so the Entain Foundation stepped in to help draft palatable, cohesive legislation for the 2024 legislative session.
On the Heels of a Poker Room Raid
People who enjoy gambling in Georgia currently travel to other states or play online on non-state-regulated sites. Poker players can do the same, but some of them also found a way around the current laws.
Using the same membership club model as in states like Texas, poker players have established clubs for poker. One of the most well-known is the Atlanta Poker Club, which organizes live poker tournaments. Those paying membership fees to the club can compete for cash prizes, as well as gift certificates, seats into live events, and trophies. Some clubs establish their own venues, and others use existing bars and restaurants to hold their poker events.
One of those establishments, the Royal Flush Bar & Grill, located in the city of Duluth, hosted games. It was listed as a bar and restaurant that allowed a nonprofit organization to host poker games. Per PokerNews, customers could pay a $20 seat fee per hour, and prizes were awarded per the state’s legal raffle laws.
The local authorities didn’t approve, so the Gwinnett County Police Department – Vice Unit, Tech Unit, Narcotics Unit, Gang Unit, and SWAT Team – raided it on September 11, guns drawn and commands announced. They conducted the raid on the suspicion of illegal gambling via poker operated by a nonprofit.
At the time of the raid, the police arrested five employees and 13 customers, and they confiscated more than $50,000 in cash along with other “evidence” and gambling-related “paraphernalia.” There were also three employees not at the raid, for whom the police issued arrest warrants.
The need for rational, modern gambling laws in Georgia couldn’t be more apparent. While Entain’s pursuit of a gambling bill for the state is not linked to the poker room raid, the incident does demonstrate the antiquated nature of current laws contrasted with bar patrons who simply wanted to play poker.
