After being established last year, the Florida Gaming Control Commission continues to move forward with its regulatory plans. As a result, It recently published its five-year economic growth plan.
Plan details commission’s responsibilities
The Florida Legislature formed the Florida Gaming Control Commission (FGCC) to oversee the state’s commercial gaming market, including pari-mutual venues and cardrooms. However, it does not have authority over Seminole-owned casinos and venues across the state.
Its five-year plan starts next July and runs through the 2027-28 fiscal year. It outlines the FGCC’s mission statement, objectives, performance measures and standards, and responsibilities.
Those responsibilities include regulating licensed wagering activities, state revenue and the gaming compact between the state and the Seminole Tribe of Florida. Additionally, it is responsible for enforcing all laws against illegal gambling.
Despite its youth, the agency already took measures to crack down on illegal gambling in the state. For example, last June, the FGCC said it would be taking aim at illegal slot machines, typically ran out of underground facilities mimicking an arcade.
Furthermore, the plan included the governor’s priorities, which state that the FGCC will operate in a manner that supports the following pillars: economic development and job creation, public safety and public integrity.
Mission statement, goals and objectives
The FGCC’s plan opens with a newly-established mission statement.
“Preserve and protect the integrity of gaming activities through fair regulation, licensing, effective criminal investigation, and enforcement.”
To follow through on this mission, FGCC has established four goals, all of which pertain to a service and have accompanying objectives.
- Provide efficient regulation of licensed activity (pari-mutuel and slot machine occupational licensing)
- Investigate, support and provide information to oppose criminal gambling elements in the state of Florida (gaming enforcement)
- Protect the health and safety of Floridians (gaming enforcement)
- Secure state revenues (pari-mutuel wagering)
Firstly, the five-year objective outcomes for regulation include reviewing 95% of applications within six days or less and also making 95% of license applications available online.
Secondly, Gaming enforcement objective outcomes pertain to metrics around closed investigations, arrests, increasing participation with local and state law enforcement agencies and also improved efficiency of assigning gaming enforcement cases for investigation.
Finally, revenue objective outcomes deal with accurate and fair tax collections, including reducing the costs associated with revenue collection. By 2028, the FGCC hopes to collect $950 in taxes for every auditing dollar expended.
Proposed performance measures and standards
The first step the FGCC is taking for its performance measures and standards is to request new standards for FY 2023-24 since none currently exist. They are:
- Percent of races and games that comply with all laws and regulations (Goal: 99.5%)
- Percent of complete Pari-Mutuel Wagering applications approved or denied within 90 days (Goal: 100%)
- Pari-Mutuel Wagering collections per dollar of revenue unit expenditures (Goal: $40)
- Percent of compliance audits conducted (Goal: 100%)
- Percent of slot tax dollars collected compared to permit holder liability (Goal: 100%)
- The percent of complete slot applications approved or denied within 90 days (Goal: 100%)
- Slot tax collections per dollar of slot revenue unit expenditures (Goal: $900)
Further exhibits in the plan prepare for approval of these seven measures and provide methodologies to support their validity and reliability.
Then come associated activities with each of the measures. These activities include compliance and enforcement activities, standards and licensure activities, tax collection and auditing, pari-mutuel and slot applications processed.
What about the money?
The FGCC is in charge of regulating gaming and auditing revenue, but it is not responsible for projecting the growth of the state’s casino industry. However, it does provide a landscape for the industry to grow, especially pari-mutuel facilities. And that growth should return greater revenue figures in the coming years.
Cardroom, pari-mutuel and slot machine gaming revenue totaled approximately $476.2 million in FY 2021-22.
The Florida sports betting saga should reach a resolution that makes it legal in some fashion for a five-year outlook. Considering that revenue, the sky is the limit.