A bipartisan coalition of House representatives has introduced legislation aimed at directing federal gaming revenues toward the prevention and treatment of those affected by gambling disorders.

On 10 March, Representatives Erin Houchin (R-Ind.), Andrea Salinas (D-Ore.), Mariannette Miller-Meeks (R-Iowa), and Troy Carter (D-La.) filed the Providing Opportunities for Individuals in Need of Treatment and Support (POINTS) Act (H.R. 7875). 

The bill proposes to allocate a portion of the federal excise tax collected from sports wagering to fund grants for state and tribal programmes. These programmes support gambling addiction and recovery services.

Eligible uses of grant funds include workforce training, prevention campaigns, peer support groups, 24/7 helplines and specialised treatment options.

Rather than instituting new taxes, the legislation reallocates a portion of the existing federal excise tax on sports wagering, which currently flows into the federal treasury. This reallocation intends to earmark funds specifically for social services without increasing federal spending. However, the move may introduce complexities regarding budget allocation and provoke debates over competing priorities for excise tax revenues.

The bill has been introduced but must be referred to committee. It must pass both legislative chambers, and receive the president’s signature to become law.

Who is eligible?

Grant recipients must focus on increasing access to harms services and the proportion of people served in target populations. Furthermore, technical assistance will be provided, and the assistant secretary is required to submit annual reports on the programme’s effectiveness to congressional appropriations and health committees starting 29 December 2027.

The grant programme will employ a competitive selection process, prioritising applicants that serve populations disproportionately affected by gambling problems. Specifically cited groups include men, youth, Native Americans, service members and veterans. 

Priority will also be given to entities proposing services integrated into primary care settings, those partnering with community organisations, or those operating in health professional shortage areas such as rural communities.

The measure does not create any new taxes, according to its sponsors.

The sponsors estimate the legislation would generate approximately $100 million annually. The bill prioritises grant programmes that forge partnerships between state agencies and community-based organisations, with goals to expand treatment access, enhancing provider training, boosting public awareness, and promoting early intervention measures.

Gambling addiction across the country 

The bipartisan nature of the bill reflects a considered response to the rapid expansion of legal sports betting and online gambling in the US following the 2018 Supreme Court decision that enabled states to regulate sporting wagers.

The National Council on Problem Gambling and mental health organisations at the state level have publicly endorsed the measure. These groups cite studies estimating that up to 20 million Americans exhibit signs of problem gambling. They argue that the social cost of gambling-related harm runs into the billions of dollars annually.

Original article: https://igamingbusiness.com/sustainable-gambling/problem-gambling/congress-introduces-first-bipartisan-federal-funding-measure-gambling-addiction-in-decade/