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Apr
05
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In a state that otherwise bans any kind of gambling whatsoever, Hawaii may actually soon allow online and live poker games to be held in the state, according to a recent bill that has cleared preliminary committees.
The proposed legislation would only allow Texas Hold ‘em and Omaha pokers in hopes that the poker games would boost the economy as well as tourism. The bill is now on its way to the House Finance Committee. The bill would also exempt poker from laws already in place in Hawaii that bans gambling based on the fact that poker is defined as a game of skill, not chance. However, games played against a casino or a computer, like video poker, will still be prohibited.
Utah and Hawaii are actually the only two US states to not allow any type of gambling whatsoever. Now Utah may be the only one, if the bill is passed.
The bill is being carried on the hopes that new visitors and tourists would be attracted to live poker tournaments, filling empty hotel rooms, and bringing national attention to the state via live television exposure of big, live events, according to Representative Angus McKelvey, Democrat-Olowalu-Kapalua, who sponsors the bill. This new past time would also bring in millions of dollars in new tax revenue to the islands that are otherwise facing bad deficit problems. McKelvey adds, “Maybe this is a way to help attract mainland visitors back to Hawaii, plus you get the free promotion of this being televised. The revenue to the state potentially could be huge.”
However, those opposed believe that by bringing poker to Hawaii, the path would be laid to ultimately bring in casinos, slots, and lotteries. Tom Kay, lawyer for the Hawaii Coalition Against Legalized Gambling, says, “It will be the start of many other forms of legalized gambling in Hawaii. Once you get people involved in gambling, some people will get addicted to it, and then you’ll start having problems.”
There are problems with the bill though, as it would impose a potention $100 million fee for Internet poker sites to set up their servers in Hawaii, as well as impose a 20% tax on all wager, according to Poker Players Alliance executive director, Jon Pappas. He also believes that federal authorities would likely object to the state’s efforts to regulate interstate operations.
Pappas states in a written testimony, “The popularity of poker has made hosting live tournaments an attractive opportunity for many locales. But we are dubious about the efforts to ‘regulate’ Internet poker in the state.”
It just hasn’t worked out in other states, as previous attempts have fallen short of regulation.
There are still hopes that Federal legislature will someday come to life, as legislation that would apply to the US as a whole is still pending. In-state online poker just hasn’t had any success, despite how far it has come in the recent months. For instance, the New Jersey bill passed through both houses only to be stopped in its tracks when Governor Chris Christie vetoed it. Otherwise, New Jersey would have been the first state to approve Internet gambling regulation. The argument that poker is more than just chance and in fact is a game of skill just won’t cut it. To many onlookers, poker is still just gambling.
Representative Cynthia Thielen, Republican-Kaneohe-Kailua says, “No matter how you describe it, it’s the first step on the way toward legalizing gambling in Hawaii. It’s maybe a small step, but there’s no way it’s not that first step.”
Interestingly, the bill was originally written to make a tax holiday for school supply purchases, but since the state can’t seemingly afford a tax holiday, McKelvey rewrote the bill to allow poker games instead in alternative efforts to raise money for the state of Hawaii.