Paul’s Blog September 13, 2010

Paul’s Blog September 13, 2010

One of the things that makes this an especially exciting time of the year is the announcement of the four inductees to the Lottery Industry Hall of Fame.  If you’re attending NASPL, please join us in honoring Jim Kennedy, Connie Laverty O’Connor, Friedrich Stickler, and Bill Thorburn at the induction ceremony to be held on Weds. Sept. 22 at 2:00 pm, in the Pantlind Ballroom in the Amway Grand Plaza.  Since Mr. Stickler and Mr. Thorburn will probably be unable to attend NASPL, we expect to hold a second induction ceremony at the WLA Conference in Brisbane.  Check here for updates.  

PGRI’s Lottery Expo is being held at the Wynn Las Vegas on Nov. 16 & 17, with a Welcome Reception on the evening of the 15th (and another reception on the 16th).  Lottery Expo is turning out to be a far more exciting event than anyone expected.  It is being held to coincide with G2E (Global Gaming Expo), by far the biggest gaming exhibition and conference in North America.  The mission of Lottery Expo is to bring these two worlds together for the benefit of the lottery operator, to strengthen the position of lottery operators in the broader context of the gaming industry. Feeling that we could learn from leaders with expertise in areas of gaming but not specifically lottery, we are engaging their participation in Lottery Expo. Much of the agenda is confirmed but we are still working on confirming some more speakers.  The specific agenda with time slots and speaking topics will be confirmed by September 30.

It's true that the Wynn Las Vegas Hotel is the only destination casino resort in the world to receive the Mobile 5 Star, AAA 5 Diamond and Michelin 5 Red Pavilions awards.  But what's even better is the super-low room rate ($169 per night) for Lottery Expo attendees.  At least for right now.  The room block is limited and rates will definitely go up, so please register and make your room reservations ASAP. The room price will increase once the block is sold out, possibly by a lot.  Please go to www.PublicGaming.org to do both, and to get more general info on Lottery Expo.

There were some very important ECJ (European Court of Justice) rulings last week.  Most of the headlines indicate that these Court decisions are requiring Germany and Austria to open up their markets more and modify regulatory and licensing restrictions.  Essentially, the rulings do mandate that Germany and Austria revise their regulatory frameworks.  But that does not mean they are required to lower their regulatory standards or reduce licensing requirements in any specific way.  The finding that the current system is not exactly in compliance does not in itself indicate what needs to be done to get into compliance.  The fact is that there are many options and approaches to getting consistent with EU trade and commerce laws.  So, this really is not the victory that advocates for a deregulated European gaming market are proclaiming.  For a more accurate description of what these decisions mean, please see the editorial written by Philippe Vlaemminck and Annick Hubert because it explains in specific detail what the implications are.  For a wide-view perspective on how these issues have played out in recent years and how the regulatory framework in Europe is likely to evolve in the future, see the Tjeerd Veenstra interview.  Both of these appear in today’s e-newsletter.

The bidding process for the Illinois Lottery is being followed closely by the entire industry..  We carried a most informative interview with IL Lottery Acting Superintendent Jodie Winnett in our June issue.  Our next issue carries an in depth interview with a senior partner of Oliver Wyman, the consulting firm assisting the IL Lottery in the execution of the bidding process.   Going forward, we will carry updates as we receive them. 

Cordish wants the people of Arundel County, MD to approve the construction of a new casino, so there’s nothing surprising about their use of the general media to communicate the benefits that the casino would bring to the economy and the people of Arundel County.  What occurs to me, though, is that government-sponsored lotteries are the only sector of the gaming industry that is constrained from communicating the benefits to their constituents (like the voting public and the legislators) of channeling gaming revenue through the lottery for the benefit of the general public.  I talk about how and why states should channel the benefits of all forms of gaming to their citizens by authorizing their own lotteries to implement VLT’s and other new games.  But I’m sorta just preaching to the choir.  How much better it would be if we could find a way to make an impression on the voting public and the legislators who decide these issues.   

The Swiss Court ruled that poker is a game of chance.  Other courts have ruled that it is a game of skill.  Hopefully, the issue will be rendered somewhat moot as more jurisdictions move towards  “Legalize and Regulate” approach to Internet poker.