EDITORIAL: Time to fine-tune gaming expansion law

Jan. 29—Connecticut's new gaming expansion law, which authorizes the tribal casinos and the Connecticut Lottery to offer online casino games and sports betting, is getting its first close look by the legislature since passage last May. As with any new law that legalizes and monetizes a previously illegal activity, the expansion warrants careful scrutiny now that it has rolled out.

The law went live piece by piece, starting at the end of September. Its purpose is to create revenue for the state through partnership with the tribes, a motivation influenced by a growing sense that other states with online gaming provisions had their hands in Connecticut's till.

The state plans a gambling impact study, the first in 14 years, and this week the state Department of Consumer Protection will propose permanent rules to replace the emergency regulations adopted without a public hearing in September. Those are set to expire March 6, so the legislature will be under pressure to act fast.

Lawmakers must also do a careful review of evidence from these first few months.

The state is both the beneficiary and the monitor of gaming within its borders and has been in that dual role since the first gaming compact with the Mashantucket Pequot Tribal Nation for a 25 percent share of Foxwoods slot machine revenues. The expansion is a game changer, however. It allows anyone over 21 to gamble and bet from their own couch, kitchen table or dorm room.

The law includes safeguards, including notifying a digital customer when the amount of lifetime spending reaches $2,500, and a stop on further action until the person acknowledges that they have reached that marker. Players can ban themselves from online gambling or set a personal limit that the digital platform will enforce. But a warning has been raised about young online gamblers in particular, and the essential differences in solo gambling behavior outside the casino environment.

At an online forum the legislature's Public Safety and Security Committee held last Monday, the executive director of the Connecticut Council on Problem Gambling, a non-profit to which the casinos contribute funding, said the council's treatment programs work well but it lacks funds for prevention and outreach. Council members erroneously expected to be getting a total of $1 million in new contributions, with half from each casino, but in fact the law increases each casino's support to a total of $500,000 and not all of that to the council.

Other recent commenters focused on the data digitally collected during the customer's exchange with the gaming and betting platforms, and its potential for use in targeting new customer demographics.

The first of two main issues the public safety committee needs to examine is the easier: Is the state getting the revenue that was predicted? As of last week the amount was reported to be just under $10 million for the state's general fund. It would also be interesting to hear about any early signs that people who were betting in other states' programs are now using Connecticut's — including the digital casino kiosks.

Second, the committee needs to take a hard look at problem gambling outreach. It seems inevitable that easier access to gambling will proportionately create new problem gambling behavior. The state should be channeling sufficent funds to prevention programs that specifically address online gaming and sports betting. It must weigh its own revenue interests against the greater good.

In its fact-finding, the committee should look at tightening the law or regulations to require the needed data and funding for public safety — that is, to address harm caused by problem gambling.

State Sen. Cathy Osten of Sprague, public safety co-chair, said the committee expects to propose a study of the prevalence of gambling in the the state and likely require the casinos and the lottery to share the data. There should also be provision for regular scrutiny, not another 14-year wait. The aim should be to ensure that Connecticut does what many states with online gaming and sports betting have reportedly failed to do: require the tribes and the Connecticut Lottery to share information that could help address problem gambling before there is a wave of new addictions.

The Day editorial board meets regularly with political, business and community leaders and convenes weekly to formulate editorial viewpoints. It is composed of President and Publisher Tim Dwyer, Managing Editor Izaskun E. Larrañeta, staff writer Erica Moser and retired deputy managing editor Lisa McGinley. However, only the publisher and editorial page editor are responsible for developing the editorial opinions. The board operates independently from the Day newsroom.