Virginia Lawmakers Mull Formation of Gaming Commission Following Expansion

Virginia lawmakers in Richmond continue to study whether the commonwealth should form an agency dedicated to the regulation of commercial gaming.

Virginia Gaming Commission casinos parimutuel wagering
The Joint Subcommittee to Study the Feasibility of Establishing the Virginia Gaming Commission is seen in July 2024. Churchill Downs wants parimutuel wagering to remain under the regulatory scope of the Virginia Racing Commission. (Image: X)

Virginia has expanded gambling considerably in recent years to include up to five brick-and-mortar casinos with slot machines, live dealer table games, and sports betting. Virginia is also now home to online sports betting and slot-like historical horse racing machines that operate in parimutuel wagering facilities.

The Virginia Lottery oversees lottery gaming, casino activity, and retail and mobile sports betting. The Virginia Racing Commission regulates HHR gaming, horse racing, and parimutuel wagering.

A joint subcommittee of the Virginia General Assembly remains reviewing the feasibility of establishing a commercial gaming regulatory, which would be named the Virginia Gaming Commission. The body would regulate casino gambling, online sports betting, HHR wagering, and parimutuel facilities. The Virginia Lottery would return to only governing lottery operations.

The joint subcommittee is expected to make its recommendations to the General Assembly in January.

Consultant Recommends Formation 

During the joint subcommittee’s meeting on Wednesday, Brianne Doura-Schawohl, a consultant with her boutique Doura-Schawohl Consulting, LLC, recommended to the bipartisan panel to set aside funding for the establishment of the Virginia Gaming Commission. Doura-Schawohl said a central gaming regulatory agency is best at providing consumer protections, governing operators, and ensuring that the societal harms of expanded gaming are minimalized.

Doura-Schawohl said Virginia has an obligation to direct a percentage of its gaming tax for the research, prevention, treatment, and recovery of problem gambling.

The most comprehensive model to mitigate risk and reduce harm is a bifurcated approach between the state health agency and one central gaming regulatory agency,” Doura-Schawohl said. “The regulatory should be empowered to require and enforce stringent consumer protection provisions as part of licensure.”

Virginia, once among the most limited gaming states, is poised to become a big player in the US casino industry as retail casino resorts open across the commonwealth.

In January 2023, Rivers Casino Portsmouth became the first permanent casino to open in Virginia. Larger casino resorts are soon opening in Danville and Bristol.

Caesars Entertainment plans to open its $750 million integrated resort Caesars Virginia in Danville before the year’s end. Hard Rock International plans to open the $550 million Hard Rock Hotel & Casino Bristol this fall or winter.

Petersburg voters will decide whether to authorize a $1.4 billion mixed-use complex with an integrated resort casino this November. And the Pamunkey Indian Tribe continues to move forward with a more than $500 million casino project in Norfolk.

Churchill’s Opposition

Churchill Downs, Inc., which operates HHR machines in Virginia and is building The Rose Gaming Resort, a $460 million development, in Dumfries, is opposed to putting parimutuel wagering regulation under the scope of the proposed Virginia Gaming Commission.

Churchill, which also owns and operates the Colonial Downs Racetrack in New Kent, says other states that have moved parimutuel wagering regulation from a racing commission to a gaming commission have seen allocations to horsemen decline. The Kentucky-based company pointed to Michigan where in 1997 the Michigan Racing Commission merged with the newly formed Michigan Gaming Control Board.

Michigan’s once vibrant thoroughbred industry went from running over 1,000 races for $9 million in purses (2003) to ceasing thoroughbred racing,” Churchill’s presentation to the joint subcommittee detailed. “In 2003, there were 375 thoroughbreds foaled in Michigan and in 2022 there were four.”

Michigan’s final racetrack, Northville Downs, closed earlier this year bringing an end to Michigan’s horse racing industry.

“Given the nuances of parimutuel wagering, live horse racing, simulcast wagering, and advanced deposit wagering, Churchill Downs believes the oversight of historical and live horse racing should remain at the Virginia Racing Commission,” the company concluded.

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Scottie Scheffler Out of Jail Following Arrest on Way to PGA Championship

Scottie Scheffler, the world’s top-ranked golfer and betting favorite at this week’s PGA Championship, is out of jail following his arrest early Friday morning.

Scottie Scheffler arrested jail PGA Championship
Scottie Scheffler’s booking photo after being arrested on Friday, May 17, 2024, in Louisville. Scheffler was detained after he tried to drive around a police barricade on his way to the PGA Championship. (Image: Louisville Metro Police Department)

Scheffler, the 2023 Masters champion and most sportsbooks’ biggest liability this week at Valhalla Golf Club in Louisville, was arrested this morning after failing to adhere to a police barricade.

A large police presence surrounded the lone road to Valhalla after a spectator shuttle bus fatally struck a pedestrian on Shelbyville Road around 5 a.m. Law enforcement had closed the road to investigate the accident.

Scheffler reportedly attempted to drive around the nearly one-mile backup. A police officer grabbed onto his vehicle, which was sporting PGA Championship decals, and Scheffler stopped after about 10 yards.

The 27-year-old and new father was quickly handcuffed and escorted to a police vehicle. A most shocking development for Scheffler’s squeaky-clean image.

ESPN’s Jeff Darlington witnessed it all.

“Scheffler was walked over to the police car, placed in the back, in handcuffs, very stunned about what was happening, looked toward me as he was in those handcuffs and said, ‘Please help me,’” Darlington said. “He very clearly did not know what was happening in the situation. It moved very quickly, very rapidly, very aggressively.”

Booked, Released

Scheffler was booked at 7:28 a.m. His processing paperwork shows he’s been charged with second-degree assault of a police officer, third-degree criminal mischief, reckless driving, and disregarding traffic signals from an officer directing traffic. However, rumors are swirling that those charges have already been “disposed” or dismissed.

The PGA Championship had delayed the start of the second round because of the accident. Scheffler was released at 8:40 a.m. and is expected to make his tee time, which had been delayed to 10:08 a.m.

Reports said Louisville police seemingly had no idea who they were arresting in Scheffler, who reportedly said he was told by PGA staff that player vehicles would be allowed to proceed around the police barricade to the course entrance.

Scheffler making his tee time and remaining in the tournament is a major win for the many bettors who have action on him this week. Sportsbook reps say if he had missed his tee time, most bets on Scheffler would have remained valid and the books would have kept the wagers.

Though a golfer’s arrest to cause a missed tee time in a major championship would have been unprecedented, since Scheffler played the first round, all “to win” and other finishing position wagers would have been determined as losing bets.

Louisville Backlash?

Golf fans are in an uproar this morning, with many expressing grievances with the Louisville Metro Police Department for Scheffler’s arrest. “Free Scottie,” “Misunderstanding,” and “Boycott Louisville” are among the trending topics on X this morning.

Scheffler shot -4 for a 67 in his opening round on Thursday to trail by five after Xander Schauffele lit up an easy Valhalla with an opening round 62.

Despite being T12 after the first round, Scheffler has the second-shortest outright odds along with Rory McIlroy at +400 (-5). Schauffele is now the betting front-runner at +240.

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FanDuel to Alter ‘Kick of Destiny’ Commercials Following Death of Carl Weathers

FanDuel will make changes to the “Kick of Destiny” commercials that featured actor Carl Weathers who passed away earlier today at the age of 76.

Carl Weathers
Actor Carl Weathers (driver) and retired NFL star Rob Gronkowski in a FanDuel commercial. Weathers died earlier Friday. (Image: FanDuel)

The largest online sportsbook had been running advertisement featuring Weathers and former New England Patriots and Tampa Bay Buccaneers tight end Rob Gronkowski in the run-up to the Super Bowl on Feb. 11. This year’s spots were framed as a sequel to a 2023 campaign in which Gronkowski missed a 25-yard field goal.

We are deeply saddened to learn of the passing of Carl Weathers,” FanDuel said in a statement provided to Casino.org. “Throughout his life, Carl was an iconic talent who had a profound impact on the people he worked with on and off the screen. FanDuel was fortunate to have had an opportunity to work with him during our Super Bowl campaign. We are adjusting our campaign accordingly out of respect for the family during their time of grief.”

The gaming company, which is a unit of Dublin-based Flutter Entertainment (NYSE: FLUT), said that is the entirety of the information they’ll be sharing at this time.

FanDuel Framed Weathers in Appropriate Light

Born in New Orleans, Weathers is most remembered for his role as Apollo Creed in the first four Rocky movies, but his career spanned decades and included appearances in television shows and music videos as well as big roles in movies such as Predator and Happy Gilmore.

In the FanDuel commercials, Weathers was framed as a coach of sorts to Gronkowski. The gaming company was right to position Weathers in such a light because that was similar to the role he played in Rocky III and as Chubbs in Happy Gilmore.

Weathers’ appearances in the “Kick of Destiny” commercials was pertinent for another reason. He had direct football ties as he was a linebacker for two years at San Diego State before joining the Oakland Raiders. He helped the team to its first ever AFC title game appearance in 1970 and was released in September 1971.

From there, he went to the BC Lions of the Canadian Football League (CFL) where he appeared in 18 games over three seasons. He also did narration for NFL Films and participated in coverage of the 2017 NFL Draft.

Fate of ‘Kick of Destiny’ Commercials TBD

As noted above, FanDuel will be adjusting the “Kick of Destiny” ads that featured Weathers. Whether the spots are pulled outright or are changed to acknowledge the actor’s passing remains to be seen.

The sportsbook operator did not mention whether or not the halftime promotion will proceed or how its Super Bowl advertising plans are affected by the death of Weathers, if at all.

In a statement issued on Wednesday, FanDuel said the “Kick of Destiny 2” press conference is scheduled for Feb. 7 in Las Vegas.

“Rob Gronkowski will be holding a press conference, moderated by Kay Adams, from the FanDuel set that will air on FanDuel TV, FanDuel TV+ and stream live on FanDuel’s YouTube channel on Wednesday, February 7 at 10:30 AM PT,” according to the operator.

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Urban One Remains Focused on Owning Casino Following Richmond Defeat

Urban One is unwavering in its aspirations to own a casino resort.

Urban One casino Richmond Virginia
Urban One CEO Alfred Liggins speaks about the Richmond Grand Resort & Casino on Aug. 31, 2023, in Richmond. Voters in the Virginia capital rejected the casino resort pitch, but Liggins says his company remains interested in building and owning a casino. (Image: AP)

Urban One is a media conglomerate based in Maryland that owns and runs radio stations and television networks that primarily cater to the Black community. The firm hoped to build a more than a half-billion integrated resort casino in Richmond. But voters in the Virginia capital twice rejected a citywide ballot referendum needed to authorize the project.

Richmonders narrowly rejected Urban One’s 2021 casino pitch by a 51%-49% vote. The electorate again rejected a similar proposal from Urban One last month, but at a more decisive rate of 62%-38%.

Urban One, publicly traded on the Nasdaq, released its third-quarter earnings report this week and met with shareholders and analysts on a call. During the conversation, Urban One CEO Alfred Liggins revealed the media company continues to desire to own a casino.

In March, Urban One divested its stake in MGM National Harbor for $145.5 million, the richest casino in Maryland that’s located just outside the nation’s capital in Oxon Hill. Urban One in 2016 was welcomed by MGM Resorts to make a passive investment in the integrated resort to diversify the ownership structure of the project.

Liggins yesterday affirmed the company’s intention to pursue another casino stake.

Yes, absolutely. It’s a great business,” Liggins said. “We made a lot of money on our MGM investment. We made like 3.5 times our investment.”

Liggins recognizes that the U.S. economy is quite different today than it was when the $1.4 billion MGM National Harbor casino was built and opened in December 2016.

“There is risk. You can overbuild, and interest rates are higher now,” Higgins said.

Richmond Rejections

Formerly known as Radio One, the Silver Spring firm was chosen by Richmond city officials in 2021 as the Virginia capital’s preferred gaming partner. Despite lacking any experience developing and/or operating a casino, the Richmond Resort Casino Evaluation Panel picked Urban One over competing bids from Bally’s Corporation and The Cordish Companies, the latter of which operates Live!-branded casinos in Maryland and Pennsylvania.

Richmond’s casino evaluation panel, handpicked by the City Council, sought to provide social equity by selecting Urban One. The proposal, known as ONE Casino + Resort in 2021, was more than half of a billion-dollar undertaking made through a partnership with casino operator Peninsula Pacific Entertainment (P2E). The casino proposal additionally involved more than 50 individual investors, many of whom identified as minorities.

Unfazed by the 2021 will of the Richmond people, city officials and Mayor Levar Stoney (D) initiated a second gaming referendum, with Urban One remaining its development partner. However, for the 2023 push, Urban One was partnered with Churchill Downs after it acquired P2E.

The change didn’t matter, as capital residents rejected the casino again. The vote was divided among social demographics, with wealthier areas more opposed to the project than more blue collar neighborhoods.

Maryland Opportunity?

Urban One developing a casino in its home state of Maryland, where the company is most known, would be ideal. Maryland’s gaming law restricts the number of casinos to six. However, there are pathways to expand the industry, as state voters have a recent track record of backing gaming expansion questions.

During the November 2008 election, Marylanders passed a statewide ballot referendum that amended the state constitution to allow slot machines at five venues in the counties of Anne Arundel, Cecil, and Worcester, plus a city casino in Baltimore and another on state property in Rocky Gay State Park.

Table games with authorized through a subsequent referendum that passed in 2012. That same 2012 referendum question included the authorization of a sixth casino, with that license ultimately being awarded to MGM.

In 2020, voters further expanded gaming with retail and online sports betting.

There are now efforts to legalize iGaming through yet another gaming referendum. Could Urban One convince state lawmakers to include a provision on the internet gambling question to allow a seventh casino in the Old Line State? Purely speculation at this time, but Marylanders seem willing to continue growing its legal gambling options.

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Spielbank Bad Neuenahr Opens After 2-Year Closure Following Deadly Flood

spielbank_bad_neuenahr_opens_after_2_year_closure_following_deadly_floodGerman gamblers take great pride in their local gaming establishments much like some online gamblers have a favorite “home” website, but much more so. The operators and local officials do too, and they aren’t shy about showing that devotion and affection for the venues. More than brand loyalty, the connection is personal.

The spa town of Bad Neuenahr-Ahrweiler is no exception to that rule as can be seen when looking at the recent opening of Spielbank Bad Neuenahr in a new location after a major disaster took the beloved local and regional gambling hall away.

The Night the House Edge was Not Enough

200 people died in Germany and Belgium 2 years ago in a historic flood. Damage to the local casino was so severe, and the insurance coverage to re-open in the same location would only provide about half of what it had for the prior calamity, so officials decided to never rebuild the 7-decades-old casino in the same location.

As described by Weather.com, the water came overnight on July 14-15, 2021. It funneled through sometimes narrow and steep sections, taking with it homes, bridges and roads and leaving behind a mud-covered path of destruction. Some 3,000 of 4,200 buildings along the River Ahr were damaged.

The casino was situated directly on the river Arh.

Instead, they chose to convert a nearby historic train station with neo-gothic architecture into a new casino.

After a soft opening a little over three weeks ago that allowed dealers and new staff to become accustomed to their new digs, Spielbank Bad Neuenahr held an official grand opening for the small but competent gambling spot on July 20, 2023.

During the official opening ceremonies, Michael Seegert, Managing Partner of Spielbank Bad Neuenahr GmbH & Co. KG welcomed local dignitaries and officials to the new location.

In his welcome message, Seegert said: “It’s been a little more than two years since, like countless others in the Ahr Valley, suddenly nothing was the same for us overnight. Our administration building was completely destroyed and flooded and demolished shortly afterwards with all our historical files and documents from 73 years of company history.

Our gaming facilities and the entire building services on the ground floor of the Kurhaus were smashed and the surroundings of the casino were devastated. The only pleasing aspect was that we did not have to mourn any victims due to the early closure of the casino. But the damage to property was immense and even the maximum compensation from the insurance company was not sufficient to compensate for all the damages. The question arose, so what should we do?”

Management looked at about a dozen nearby locations, and although they didn’t find one with everything they wanted or needed, the team settled for a well-situated location with less space – which meant the number of games would have to be reduced, but all other qualities could be maintained and the historic casino could continue to offer the same level of top-tier service to local gamblers and others nearby who were die-hard fans.

Familiar Location for Most Customers

The train and bus station was already a well-known hub for travelers to the area with 5-star hotels, so footfall was expected to remain strong. This proved to be true as customer traffic from all around began right away during the soft opening and never really waned.

We came to the only possible decision with the shareholders after difficult discussions that the future of the casino with these latent risks cannot lie in the Kurhaus,” Seegert added. “So, with a heavy heart, we gave up the traditional location and started looking for alternatives in Bad Neuenahr, in Ahrweiler, and in the surrounding area.”

Since there were only very limited as-built plans from the construction period, we experienced many surprises during the renovation work, and the installation of an air conditioning system, in particular, was a huge challenge that caused us many a sleepless night,” added Seegert. “That’s why we are particularly happy and proud to have a new casino in Bad Neuenahr just two years after the destruction.”

The new location holds about 75 slot machines, two blackjack tables, and two roulettes wheels. The prior location held 16,000 square feet of casino floor featuring 150 slots with 8 table games, and two restaurants.

All in all, I am very pleased that with the reopening of the casino, we can contribute another piece of the mosaic on the arduous path of reconstruction in Bad Neuenahr and the return to the old attractiveness of the city and the region,” Seegert added.

Seegert praised each and every participant in the arduous venture of finding and preparing a new home for the venue, commending the ‘highest level of commitment and a lot of heart and soul,” shown by employees, project managers, architects, and engineers, city administrators and others.,

Source: Spielbank Bad Neuenahr holds official grand opening, G3 Newswire, July 25, 2023

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