{ NOT AN OFFICIAL TRANSCRIPT OF THE SENATE PROCEEDINGS.}
WHAT WE SHOULD DO, THE NCAA MAKES BILLIONS -- I'M NOT
MISSPEAKING -- NOT MILLIONS, BUT BILLIONS OF DOLLARS FROM NCAA
FOOTBALL, BASKETBALL. I THINK IF THEY ARE SO SINCERE THAT THEY
WANT TO STOP BETTING ON THESE GAMES, WHY DON'T THEY NOT ALLOW
THESE GAMES TO BE TELECAST?
JUST DON'T HAVE ANY COLLEGE GAMES ON TELEVISION, NO FOOTBALL
GAMES, NO NCAA FINAL FOUR, NO ROSE BOWLS. LET'S JUST OUTLAW
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THEM. THE NCAA IS ALL POWERFUL. THEY COULD DO THAT. THEY THINK.
BUT WHAT THEY'RE DOING HERE, THEY HAVE BEEN SUCH A DISMAL,
TOTAL FAILURE AT REGULATING AMATEUR ATHLETICS THAT THEY THINK
NOW THEY HAVE SOMETHING THEY CAN FINALLY WIN. AND WHAT THEY'RE
GOING TO DO IS OUTLAW COLLEGE BETTING IN NEVADA, THE ONLY PLACE
IN THE COUNTRY YOU CAN DO IT LEGALLY. AND AS HAS BEEN SAID
HERE, LESS THAN 2% OF THE BETTING ON COLLEGE GAMES TAKES PLACE
IN NEVADA. OVER 98% OF GAMBLING ON COLLEGE GAMES TAKES PLACE
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HERE IN WASHINGTON, D.C., IN THE STATE OF IDAHO, ALL OVER THE
COUNTRY. IT'S DONE ILLEGALLY. IF THE NCAA IS SO CONCERNED ABOUT
BETTING ON COLLEGE GAMES, LET'S DO SOMETHING ABOUT THE ILLEGAL
BETTING THAT TAKES PLACE. LET'S NOT GO AFTER THE LEGAL BETTING.
LINDSEY GRAHAM ON "HARDBALL," JUST A FEW WEEKS AGO SAID "YOU'RE
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NOT GOING TO STOP ILLEGAL BETTING BY PASSING THE BILL." OF
COURSE NOT. ORIGINALLY THE NCAA IN ALL THEIR WISDOM SAID, IF WE
TAKE AWAY THE .5% OF THE LEGAL BETTING AND LEAVE 98.5%, AND
THEY DON'T ALLOW THE STATE OF NEVADA TO POST ODDS, IT WILL STOP
ALL OVER THE COUNTRY. NO, NEWSPAPERS, EVERYBODY WILL STOP
RUNNING THE LINES ON THESE GAMES. AGAIN, OF COURSE, THE NCAA,
{15:17:20} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
FOR LACK OF A BETTER DESCRIPTION, MR. PRESIDENT, SIMPLY DOESN'T
KNOW WHAT THEY'RE TALKING ABOUT. JOHN STERN, THE PRIZ OF THE
NEWSPAPER ASSOCIATION OF AMERICA -- QUOTE -- "SAYS IF CONGRESS
PROHIBITS GAMBLE ON COLLEGE SPORTS, THE ASSOCIATION OF
NEWSPAPERS WILL CONTINUE TO HAVE AN INTEREST IN PUBLISHING
POINT SPREADS ON COLLEGE GAMES SINCE POINT SPREADS APPEAR TO BE
USEFUL, IN NOT VALUABLE, TO IN READERS WHO HAVE NO INTENTION OF
BETTING ON GAMES." MR. PRESIDENT, I'VE ALREADY ESTABLISHED
HERE, I DON'T BET ON GAMES, BUT I LOVE TO KNOW WHAT THE POINT
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SPREAD IS ON A GAME. IT MAKES IT MORE INTERESTING. THEY ARE
GOING TO PLAY MICHIGAN STATE OR DUKE OR A TEAM LIKE THAT. I'D
LIKE TO KNOW WHAT THE POINT SPREAD IS TO SEE WHO'S FAVORED.
THAT DOESN'T MEAN I'M GOING TO RUN DOWN TO THE CORNER BOOKIE
AND BET ON THE GAME. OR IF I'M IN LAS VEGAS, I DON'T GO TO THE
HILTON RACE BOOK OR M.G.M. OR ONE OF THOSE PLACES. I WOULDN'T
KNOW HOW TO PLACE A BET IF YOU ASKED ME TO. BUT I DO KNOW THE
WAY THEY DO IT IN NEVADA IS BETTER THAN THE WAY THEY DO IT IN
SERVICE STATIONS AND BOWLING ALICE. -- BOWLING ALLEYS, BARS,
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BECAUSE, YOU SEE, THE ILLEGAL BOOKIES BASE THEIR GAME ON
CREDIT. USUALLY A WEEK AT A TIME. PEOPLE PLACE BETS WITH THEIR
ILLEGAL BOOKIE DURING THE WEEK. COME MONDAY OR TUESDAY, THEY
CAN COME AROUND TO COLLECT THAT MONEY. THAT'S WHERE THE REAL
TROUBLE STARTS. IN NEVADA, YOU COULD BE ONE FRPTS TEN-RICHEST
MEN IN THE WORLD, HE OWNS THE M.G.M. AND A NUMBER OF OTHER
THINGS AROUND THE WORLD. AS RICH AS HE IS -- AND HE OWNS A
NUMBER OF THESE PLACES -- IF HE WALKED INTO HIS OWN RACE BOOK,
THE RULES ARE THAT HE CAN GET NO CREDIT. IT HAS TO BE ALL CASH.
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IF HE WANTS TO BET ON A BALL GAME, HE HAS TO PUT UP CASH.
THERE'S NO CREDIT. IT GOES WITHOUT SAYING WHICH IS THE BETTER
SYSTEM. THE BETTER SYSTEM IS IN -- IN NEVADA YOU CAN ONLY BET
WHAT MONEY YOU HAVE IN YOUR POCKET. NO CREDIT ALLOWED. BUT IF
THE ILLEGAL BOOKIES AROUND THE COUNTRY, CREDIT IS THE NAME OF
THE GAME. THEY DON'T BREAK AS MANY KNUCKLE AS THEY USED TO, BUT
THEY SURE PUT THEIR LOANS OUT TO PEOPLE THAT PAY EXORBITANT --
THAT ARE ASKED TO -- THEY PUT THESE LOANS OUT, AND THE PEOPLE
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THEY ASK TO BORROW THE MONEY SO THEY CAN PAY THEM HAVE TO PAY
EXORBITANT INTEREST RATES. AND THAT'S WHERE PEOPLE LOSE THEIR
HOMES AND THEIR CARS AND THEIR PROPERTY. SO WHEN THIS BILL
COMES UP -- AND IT WILL COME UP -- THIS ISN'T GOING TO BE A
LAY-DOWN. THE MERITS ARE ON THE SIDE OF WHAT'S GOING ON LEGALLY
IN THE STATE OF NEVADA. THIS ISSUE IS A SHAM. IT'S A FARCE.
IT'S A DIVERSION DESIGNATING -- DESIGN, I'M SORRY, MR.
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PRESIDENT, TO DEFLECT ATTENTION FROM AN ORGANIZATION WHILE
SWIMMING IN MONEY ITSELF EARNED FROM THE SWEAT OF OUR COLLEGE
KIDS IS INCAPABLE, IT SEEMS, OF DOING ANYTHING POSITIVE. MY
FAVORITE HAPPENED JUST RECENTLY ST. JOHN'S UNIVERSITY. THEIR
COACH WHO WAS ALMOST HIRED BY THE LOCAL PROFESSIONAL BASKETBALL
TEAM, JARVIS, IS COACHING UP THERE. HE HAS A KID THAT HAS A
USED CAR. A USED CAR. HE TRADES A USED CAR FOR ANOTHER USED
CAR. THEY SUSPEND HIM FOR PLAY -- FROM PLAYING FOR THREE GAMES.
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THAT REALLY HELPS THE GAME A LOT. THE KID HAS A USED CAR AND
TRADES IT IN ON ANOTHER USED CAR AND THEY SUSPEND HIM FROM
PLAYING. THE NCAA HAS -- WHAT THEY DO IS THEY HARASS,
INTIMIDATE PEOPLE. WE HAVE AN EXAMPLE IN THE STATE OF NEVADA.
JERRY TARKANIAN, ONE OF THE MOST SUCCESSFUL COACHES IN THE
HISTORY OF AMERICA. THEY EVENTUALLY RAN HIM OUT OF THE STATE OF
NEVADA. HE'S NOW COACHING AT FRESNO STATE. THEY HARASSED, DID
{15:21:24} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
EVERYTHING THEY COULD TO EMBARRASS HIM. BUT HE SUED THEM. IT
TOOK EIGHT OR NINE YEARS, BUT HE WON THE LAWSUIT. AND THEY HAD
TO PAY HIM MONEY FOR WHAT THEY DID TO HIM. BUT BY THEN HE HAD
ALL BEEN RUN OUT OF THE STATE. THE NCAA RECENTLY SIGNED A
MULTIBILLION-DOLLAR CONTRACT, BROADCASTING CONTRACT. THAT, AS
FAR AS I'M CONCERNED, NOT A BAD DEAL FOR A NONPROFIT
ORGANIZATION. PLAYERS, COACHES, ATHLETES RECOGNIZE THE
{15:21:57} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
UNACCOUNTABLE AND OFTEN UNQUESTIONABLE POWER OF THIS
ORGANIZATION. THE BEST WAY TO AVOID THE SCRUTINY THAT THEY
DESERVE -- YOU KNOW, THEY HAVE BEEN SUED LATELY. THEY HAD TO
PAY OUT MULTIMILLIONS OF DOLLARS TO ASSISTANT COACHES WHO THEY
WOULD ONLY ALLOW TO RECEIVE -- I FORGET WHAT THE RIDICULOUS SUM
WAS, LIKE $12,000 A YEAR, $18,000 A YEAR. THE COACHES SUED
THEM. OF COURSE THE NCAA LOST. THEY APPEALED THAT JUDGMENT.
THEY LOSE ALL THE TIME IN THE COURTS OF THIS, MR. PRESIDENT, TO
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AVOID SCRUTINY ON THEM IS AN EFFORT TO THROW OUT THE RED
HERRING, SOG THAT MAYBE PEOPLE WILL TAKE AFTER RATHER THAN WHO
THEY SHOULD TAKE AFTER, AND THAT'S THEM. THIS LEGISLATION
SUPPORTED BY MY FRIEND FROM KANSAS WHO COMES HERE ALL THE TIME,
TALKS ABOUT IT -- I UNDERSTAND -- I DON'T UNDERSTAND. I KNOW
SENATOR JOHN MCCAIN, THE SENIOR SENATOR FROM ARIZONA, ALSO
FAVORS THIS LEGISLATION. THIS LEGISLATION DOES NOTHING TO
ADDRESS THE PROBLEM OF ILLEGAL GAMBLING IN COLLEGE SPORTS. NO
ONE SUPPORTS ILLEGAL GAMBLING IN COLLEGE SPORTS EXCEPT ILLEGAL
{15:23:07} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
BOOKIES. AND THEY'LL BE THE PRIMARY BENEFICIARIES OF THE
LEGISLATION THAT I'M TALKING ABOUT. AND THAT'S NOT ME SPEAKING.
I READ TO YOU A FEW EXCERPTS FROM EDITORIALS FROM AROUND THE
COUNTRY. I HAD A FRIEND OF MINE CALLING, CARED A GREAT DEAL
ABOUT HER. SHE SUFFERED THE LOSS OF HER HUSBAND RECENTLY, AND
SHE HAS A MONEY AS A RESULT OF THAT. NOT A LOT, BUT A LITTLE
BIT. SOMEONE CALLED HER AND SAID -- I WON'T MENTION HER NAME.
IF THIS LEGISLATION PASSES -- TALKING ABOUT THIS LEGISLATION
{15:23:41} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
BEFORE -- I'M SORRY. THE BROWNBACK LEGISLATION; IT PASSES, YOU
GIVE ME $20,000, AT THE END OF ONE YEAR I'LL GIVE YOU $200,000
BECAUSE THAT'S HOW MUCH MONEY I CAN MAKE BY TAKING ILLEGAL
BETS. CAN'T DO IT NOW BECAUSE PEOPLE WHO WANT TO BET COME FROM
ALL OVER THE COUNTRY TO BET LEGALLY IN THE STATE OF NEVADA.
ILLEGAL BOOKIES LOVE THIS LEGISLATION. ONE WHO I HEARD FROM IN
{15:24:17} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
THE HEARTLAND OF AMERICA TOLD ME -- AND IT'S NOT IN KANSAS BUT
VERY CLOSE TO KANSAS, WHO TOLD ME THAT THIS WILL BE THE BEST
THING THAT CONGRESS COULD EVER DO FOR HIS BUSINESS. ALSO, MR.
PRESIDENT, I HAVE SPOKEN TO LAW ENFORCEMENT AUTHORITIES.
THERE'S NO QUESTION THAT ONE OF THE LATEST SCANDALS, ARIZONA
STATE, WHERE THERE WAS SOME ILLEGAL BETTING TAKING PLACE ON
ARIZONA STATE, THE REASON THAT WAS DISCOVERED IS BECAUSE NEVADA
{15:24:52} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
REPORTED IT. THEY COULD TELL SOMETHING WAS WRONG BECAUSE OF
HEAVY BETTING ON ARIZONA STATE, WHICH IN FOOTBALL YOU BET A
LITTLE ON ARIZONA STATE BUT THERE BASKETBALL TEAM HAS NEVER
BEEN MUCH TO BET ON. THEY COULD TELL BECAUSE OF THE BETTING
THAT TOOK PLACE ON ARIZONA STATE THERE WAS SOMETHING THAT WAS
WRONG. THEY NOTIFIED THE AUTHORITIES, AND THAT'S WHERE THE
ARREST TOOK PLACE. THEY WERE ABLE TO MAKE A CASE AGAINST THE
ILLEGAL BETTING THAT WAS TAKING PLACE ON ARIZONA STATE.
{15:25:25} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
MR. PRESIDENT, WHAT WE SHOULD DO IS LOOK AT THE WAY TO STOP
ILLEGAL BETTING ON COLLEGE CAMPUS. COLLEGE PRESIDENTS ARE
CONCERNED ABOUT AS WELL THEY SHOULD BE. BUT REMEMBER, WHAT'S
GOING ON IN NEVADA IS LEGAL AND IT INVOLVES LESS THAN 2% OF
GAMBLING IN OUR COUNTRY. ELIMINATING GAMBLING ILLEGALLY IN
NEVADA STATE COLLEGE GAMES WILL DO NOTHING BUT HELP ILLEGAL
GAMBLING ON COLLEGE GAMES. WE DON'T KNEE NEW LAWS. WE NEAT
BETTER ENFORCEMENT -- WE DON'T NEED NEW LAWS. WE NEED BETTER
{15:26:06} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
ENFORCEMENTS. JOHN STERUM, PRESIDENT OF THE NEWSPAPER
ASSOCIATION OF AMERICA, IN A LETTER TO THE HOUSE JUDICIARY
COMMITTEE, MADE CLEAR -- AND I QUOTED WHAT HE SAID, THAT
BASICALLY IF YOU PROHIBIT -- IF CONGRESS PROHIBITS GAMBLING ON
COLLEGE SPORTS IN NEVADA, IT'S NOT GOING TO STOP ANYTHING THAT
GOES ON IN THE REST OF THE COUNTRY. AND IT'S CERTAINLY NOT
GOING TO STOP NEWSPAPERS FROM PUBLISHING THESE LINES. PRESIDENT
STERUM ALSO DISPELS ANOTHER MYTH PERPETRATED BY THE NATIONAL
CLEEJ JAT ATHLETIC ASSOCIATION THAT PEOPLE -- COLLEGIATE
{15:26:40} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
ATHLETIC ASSOCIATION THAT PEOPLE USE THE SPREADS TO PLACE
ILLEGAL BETS. A RECENT HARRIS POLL FOUND THAT 70% OF THOSE WHO
LOOK AT POINT SPREADS DO SO ONLY TO OBTAIN INFORMATION. THEY'RE
LIKE ME, ABOUT A FAVORITE COLLEGE TEAM, ABOUT INFORMATION ON
UPCOMING COLLEGE GAMES. ANOTHER MYTH PARADED AROUND BY THE
PROPONENTS OF BANNING LEGAL WAGING ON COLLEGE GAMES IS THIS IS
DONE BECAUSE THE UNANIMOUS VOTE BY THE MEMBERS OF THE NATIONAL
COMMISSION TO STUDY GAMBLING. WRONG AGAIN. THAT VOTE WAS VERY
{15:27:16} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
CLOSE. IT ACTUALLY -- ONE OF THE MEMBERS OF THE COMMITTEE WAS
FROM NEVADA. HE ABSTAINED. HE SAID IF HE HAD BEEN CALLED UPON
TO VOTE, IT WOULD HAVE BEEN A 5-4 VOTE. THAT'S FAR FROM
UNANIMOUS. THE REALITY, MR. PRESIDENT, IS THIS PROPOSAL WAS
GIVEN LITTLE CONSIDERATION BY THE COMMISSION. THEY HAD MANY
OTHER THINGS TO TALK ABOUT. THE PROPONENTS OF THE BAN HAD THE
RIGHT TO THEIR OPINION. BUT THEY'RE ABSOLUTELY WRONG. THEIR
{15:27:50} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
OPINIONS, MR. PRESIDENT, IN THIS CASE LACK SUBSTANCE. I THINK
THAT WE NEED TO STEP BACK AND TAKE A LOOK AT THIS. AND THE MAIN
THING THAT WE NEED TO DO, MR. PRESIDENT, IS UNDERSTAND THE
LEGAL BUSINESS IN AMERICA IS NOT GOING TO LAY DOWN AND SAY,
OKAY, RUN OVER US. THERE'S BEEN SOME CRITICISM ABOUT NOT
LETTING THIS BILL GO FORWARD, NOT HAVING A TIME AGREEMENT ON
IT. WELL, THIS IS SOMETHING THAT WE NEED TO TALK ABOUT. THIS
INVOLVES NOT ILLEGAL GAMBLING ON COLLEGE GAMES. IF THEY WANT TO
ALREADY -- IF THEY WANT TO ENFORCE THE LAW THAT NOW PROHIBITS
{15:28:25} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
ILLEGAL GAMBLING OR IF THEY WANT TO PASS A NEW RESTRICTION ON
ILLEGAL GAMBLING, I'LL STAND BESIDE THEM AND DO THAT. BUT WE'RE
TALKING ABOUT LESS THAN 2% OF THE GAMBLING AT THAT TAKES PLACE
ON COLLEGE GAMES, AND IT 2'S DONE LEGALLY. -- AND IT'S DONE
LEGALLY. DANNY SHERIDAN, ONE OF THE TOPS ODDS MAKERS IN AMERICA
"USA TODAY," HE SETS THE LINE, HE CAME TO WASHINGTON, TALKED TO
A NUMBER OF MEMBERS OF CONGRESS. HE SAID I'LL TALK TO WHOEVER
YOU WANT TO TALK TO. HE SAID I DON'T GAMBLE BUT I SET THE LINE
{15:28:57} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
AND I'LL CONTINUE TO DO IT NO MATTER WHAT THEY DO IN NEVADA.
SO, MR. PRESIDENT, WE'VE HAD PEOPLE PARADEING ON THIS FLOOR,
TALKING -- I SHOULDN'T SAID PARADEING. WE'VE HAD A COUPLE OF
PEOPLE COME AND TALK ON SEVERAL OCCASIONS ABOUT HOW BAD, WHAT
GOES ON IN NEVADA IS. IT IS NOT GOING TO GO -- WE'RE NOT GOING
TO GO WITHOUT OFFERING RESPONSE TO THAT. AND THE TIME HAS COME
{15:29:28} (MR. REID) { NOT AN OFFICIAL TRANSCRIPT }
TO OFFER THAT RESPONSE. THE OTHER THING THAT FLABBERGASTS ME
ABOUT THIS, MR. PRESIDENT, IS WE HAVE PEOPLE WHO COME TO
CONGRESS AND THEY SAY THEIR NUMBER-ONE ISSUE IS MAKE SURE THEY
PROTECT STATES' RIGHTS. STATES SHOULD BE ABLE DO WHAT HE HAD
WANT TO BE ABLE TO DO. WELL, WE FIND A REAL PROBLEM WITH THAT
SOMETIMES. TAKE, FOR EXAMPLE, PRODUCTS LIABILITY LEGISLATION. I
PRACTICED LAW. THE STATE OF NEVADA HAD A DIFFERENT SET OF
STANDARDS THAN DID UTAH, ARIZONA OR
{END: 2000/07/25 TIME: 15-30 , Tue. 106TH SENATE, SECOND SESSION}
{ NOT AN OFFICIAL TRANSCRIPT OF THE SENATE PROCEEDINGS.}