Title: Ohio Republican's Unconventional Proposal: Directing Sports Betting Tax Funds to ICE Sparks Debate
Post Date: June 14, 2025, 03:07h
Last Updated: June 14, 2025, 03:07h
Author: Todd Shriber @etfgodfather
Sports Wagering Legislation Proposes Revenue Allocation Towards Immigration and Customs Enforcement (ICE)
Finance & Gaming | Politics | Mergers and Acquisitions
Ohio Republican's Radical Plan to Divert Federal Sports Betting Tax Revenue Towards ICE
Rep. Mike Rulli (R-OH) put forward the Giving Alien Migrants Back through Lawful Excise Redistribution (GAMBLER) Act on Friday, proposing that funds derived from the federal tax on sports wagering be directed to the Immigration and Customs Enforcement (ICE).
Engaging in this move amid ongoing protests against ICE across major cities, Rulli introduced the bill prior to nationwide "No Kings" protests scheduled for Saturday. The congressman's actions seem to have been sparked by the escalation of demonstrations in Los Angeles, such that President Trump ordered Marines from the Marine Corps Air Ground Combat Center to intervene.
Expressing his sentiments, the congressman declared, "The American people are done being ignored." Exploiting the situation, he argued that millions of undocumented immigrants living in blue states and sanctuary cities pose a significant threat to American communities as they vandalize property and consume resources intended for citizenry.
The GAMBLER Act garners backing from NumbersUSA, an immigration reform organization.
A Closer Look at the GAMBLER Act
The excise on sports betting was originally established via the Revenue Act of 1951, intended to curb criminal control of illicit gambling activities. Beginning at a tax rate of 10%, this rate has since been reduced to 0.25%, its current level.
Under the GAMBLER Act, the Internal Revenue Code of 1986 would be amended to create a Border Enforcement Trust Fund within the Treasury Department. The proposed fund would control the $300 million generated annually by the federal sports wagering tax, redirecting this revenue to ICE instead of the Treasury's general fund.
Remember, $300 million is a substantial figure, but in government terms, it's relatively modest. Considering ICE's proposed budget of $11 billion for 2025, this dollop might not require much stretch for the agency, as estimates suggest the budget could surpass $44 billion by 2028. Nevertheless, supporters of the act emphasize its focus on accountability and reinforcing border security.
The GAMBLER Act vs. Competing Legislation
The GAMBLER Act faces a rival in the House, as there's bipartisan support for legislation that'd erase the federal sports betting tax. Rep. Dina Titus (D-NV) and Rep. Guy Reschenthaler (R-PA) have tabled a repeal bill earlier this year. This proposed bill represents the fourth attempt by these representatives to erase the so-called "handle tax." Interested to note, neither Rulli nor any member of the Ohio congressional delegation is affiliated with the gaming caucus.
The Road Ahead for the GAMBLER Act
The GAMBLER Act is subject to significant legislative obstacles in the Senate, where a filibuster could potentially block its progress, demanding 60 votes to be bypassed. With Republicans holding only 53 Senate seats, bipartisan support is critical to the bill's success.
Regarding sports betting tax repeal, there isn't specific mention of competing legislation in the provided data. However, the broader context involves ongoing debates and legislative attempts related to sports wagering taxes and their allocation. As the GAMBLER Act seeks to redirect existing taxes to ICE instead of eliminating the tax entirely, it stands apart from potential proposals aimed at repealing or reforming sports betting taxes for other purposes.
The Future: A Separate Game of Politics & Funding Enforcement
The GAMBLER Act is a unique legislative initiative in the context of immigration enforcement funding, and its trajectory will depend on enlisting broad support and navigating the political terrain. The act's fate remains uncertain as it encounters both backlash and praise, with opponents accusing it of politicizing gambling revenue while supporters champion it as a prudent fiscal maneuver to boost immigration enforcement.
The argument for the GAMBLER Act, proposed by Rep. Mike Rulli, includes the redirection of sports betting tax revenue towards Immigration and Customs Enforcement (ICE). This move comes amid ongoing protests against ICE. The act is not the only legislation concerning sports betting; there's also a bipartisan effort to repeal the federal sports betting tax, led by Reps. Dina Titus (D-NV) and Guy Reschenthaler (R-PA). The GAMBLER Act faces significant obstacles in the Senate, with 60 votes needed to bypass a filibuster, making bipartisan support crucial for its success.
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