Log In


Reset Password
  • MENU
    Local News
    Saturday, May 11, 2024

    Blumenthal co-authors bill that would set aside money for problem gambling

    With Connecticut lawmakers awaiting a report on gambling’s impact on the state’s residents, U.S. Sen. Richard Blumenthal, D-Conn., has co-authored legislation that would set aside a portion of the federal excise tax on sports betting revenue to fund gambling addiction programs.

    The Gambling Addiction Recovery, Investment and Treatment, or GRIT, Act would for the first time designate federal funds to combat problem gambling.

    “The growing legalization of sports and online betting, paired with the ability to place bets from your phone whenever you want have created a perfect storm for gambling addiction,” Blumenthal said in a statement issued after a news conference Friday at the Hartford offices of the Connecticut Council on Problem Gambling.

    “Dedicated federal resources to tackle problem gambling head-on will provide much-needed support, resources, and treatment for those suffering from gambling addiction,” he said. “As the number of Americans who are suffering from gambling addiction surges, legislation like the GRIT Act is needed now more than ever.”

    Blumenthal said more than 70 million Americans are expected to bet tens of millions of dollars over the next several weeks as the National Football League playoffs continue, culminating in the Super Bowl, which will be played Feb. 11 in Paradise, Nev., near Las Vegas.

    Sports betting is now legal in 38 states and the District of Columbia, and can be accomplished online in the majority of them. In Connecticut, sports betting, both online and at southeastern Connecticut’s tribal casinos and at certain Connecticut Lottery Corp. locations, was legalized in 2021.

    The National Council on Problem Gambling, which along with the Connecticut council has endorsed the legislation, estimates that 7 million American adults suffer from gambling addiction, resulting in an annual cost to society of $7 billion. The GRIT Act would assist the many state health agencies and nonprofits that study and treat gambling addiction by diverting a portion of federal funds that already are being collected, Blumenthal said.

    The federal government levies an excise tax of 0.25% on all money wagered on sports in the United States. From fiscal 2020 to fiscal 2021, revenue from the tax grew from $38.7 million to $110.7 million.

    The GRIT Act would set aside 50% of that revenue for gambling addiction, treatment and research. Three-quarters of the money would be distributed to the states through the Substance Abuse Prevention and Treatment Block Grant program, while the rest would go to the National Institute on Drug Abuse to fund grants for research into gambling addiction.

    The law would authorize spending for 10 years and require the U.S. secretary of Health and Human Services to submit a report to Congress on the effectiveness of the program within three years of passage.

    According to an online news outlet in Nevada, the American Gaming Association, a trade group, and U.S. Rep. Dina Titus, D-Nev., who has been seeking the elimination of the excise tax for nearly a decade, oppose the Blumenthal-Salinas bill.

    “Titus called the legislation ‘redundant,’ saying on Friday that states that have legalized sports betting in the past five years ‘also fund responsible gaming resources to address problem gambling.’ ” The Nevada Independent reported.

    Diana Goode, executive director of the Connecticut council, and Valerie Tebbetts, who manages the council’s helpline and recovery programs, joined Blumenthal at Friday’s news conference.

    “In Connecticut we are very fortunate to have a robust set of programs aimed at helping those impacted by problem gambling and their families,” Goode said in a statement. “This legislation will allow other states to be able to create similar programs to benefit their citizens.”

    Tebbetts, who has been in recovery from a gambling addiction for more than a decade, said the Connecticut council has been dealing with “a tidal wave” of people with gambling problems since the state’s legalization of sports betting and online casino gaming. She got emotional at one point during Friday’s news conference, saying, “I never thought I would see the federal government recognize the problem.”

    The status of a comprehensive study of legalized gambling’s impact on Connecticut residents could not be determined Monday. Mandated by legislation enacted in 2022, the study originally was to be submitted to the state Department of Mental Health and Addiction Services in August 2023.

    The department awarded a $1.25 million contract for the study to Gemini Research, of Northampton, Mass. Officials at Gemini and DMHAS could not be reached to comment.

    b.hallenbeck@theday.com

    Comment threads are monitored for 48 hours after publication and then closed.