No Garnished Winnings For Iowa Sports Bettors, For Now

• Iowa sportsbooks are slated to open on Thursday when nine casinos open their books at noon.
• Regulations stated that bettors who win a certain amount would have their winnings garnished.
• Because federal laws do not support this idea, the process will undergo a review next session.

DES MOINES, Iowa. – Sports betting in Iowa is scheduled to launch on Thursday, but one aspect of the legalization is being put on hold.

The idea that the legal Iowa sportsbook can garnish winnings from gamblers has been delayed according to the state’s Administrative Rules Review Committee.

Originally, casinos would have been able to ask gamblers for their social security number upon winning a sizeable amount; however, that amount does not fall in line with federal laws. The state proposed the idea that any winnings over $1200 would allow the casinos to scan the player’s information to check for back taxes, delinquent payments for alimony/child support, or criminal fees.

According to the president of the Iowa Gaming Association, Wes Ehrecke, over $30 million had been collected from slot play winnings alone from the hundreds of thousands of residents that owe debt to the state.

In theory, the casino would hold a portion of the winnings in an effort to pay back these late payments quicker, but it would also put the venues in interesting situations. The player’s SSN being turned over to the casino is not required and the establishments would have no law backing up their claim.

“You could have a deadbeat dad who makes 10,000 bucks on sports gambling and continues to be a deadbeat dad and that’s wrong,” said Senator Rob Hogg (D- Cedar Rapids).

Hogg was one who voted against the delay of this rule and continues to be “on the side of the children”. Instead, the committee will allow for next year’s legislative session to figure out a method.

“Hopefully that will have bipartisan support… to the federal guidelines,” Ehrecke said.

While they have yet to launch, other states, like Indiana and Maine, also have put the effort forth to introduce a similar policy. Regardless, sports betting in Iowa begins on Thursday and bettors will not see a portion of their winnings removed for now.

News tags: Iowa | Iowa Gaming Association | Rob Hogg | Wes Ehrecke