Nevada is enhancing its legal measures against unauthorized gambling operators, following the unanimous passage of a bill through both houses of the state legislature. Senate Bill 256, introduced by Senator Rochelle Nguyen, received a 42-0 vote in the Assembly on Thursday, after previously obtaining unanimous support in the Senate.
The Assembly’s only amendment was the inclusion of Assembly member Brittney Miller as a co-sponsor, which means the bill will now go back to the Senate for final approval. Given the procedural nature of this change, it is expected the bill will swiftly reach Governor Joe Lombardo’s desk for signing.
SB 256 seeks to enhance Nevada’s ability to target unlicensed gambling operations, such as online sportsbooks and casinos that take bets from state residents without proper licensing. A significant aspect of the bill allows the state to initiate legal proceedings against these operators, regardless of their physical location, as long as they engage Nevada customers.
Entities found in violation of the updated statutes would be required to surrender any profits, gross receipts, or other financial gains to the state, which would funnel these funds into the General Fund. Additionally, the legislation imposes stricter penalties on individuals or organizations that aid illegal gambling activities, potentially resulting in felony charges.
While the legislation does not explicitly reference sweepstakes casinos, it utilizes existing legal definitions within Nevada that classify gambling as any activity involving cards, dice, or electronic devices played for monetary gain or any “representative of value.” The dual-currency system often employed by sweepstakes casinos could be encompassed by this definition, although interpretations remain unresolved.
During a Senate committee meeting earlier this year, legislative intern Janice Wong emphasized the bill’s purpose. “With the surge in online gaming applications, we’ve noticed a growing number of unregistered platforms operating without oversight, accepting illegal bets, engaging in deceptive practices, and profiting beyond the limits of our regulations,” Wong stated. “This legislation sends a definitive warning: operate illegally, and you will face consequences.”
The proposal enjoys support from various industry stakeholders, including the Nevada Gaming Control Board, the Nevada Resort Association, the Association of Gaming Equipment Manufacturers, and the Vegas Chamber of Commerce. Advocates stress the necessity to protect Nevada’s licensed gaming sector and tourism economy from being compromised by black market vendors, especially as digital betting options expand.