Last night the Interior Commission of the House of Representatives approved changes to the Mexican Gaming and Lotteries Law, enabling state governments and municipalities to authorize new licences for casinos. The law as it stood only allowed the Secretary of the Interior (Secretaria de Gobernación – Segob) to issue permits for gaming businesses.

The proposed reform of Articles 3, 4 and 7 of the Gaming Law approved by the Commission has yet to be approved by the Congress of the Lower House. It is unlikely that the bill will be introduced before this year’s session of parliament ends on 15 December, but will be proposed in the next session that commences 1 February 2009. The president of the Commission, Diódoro Carrasco, told the local press that the proposed reforms were not intended to remove powers from Segob but to strengthen requirements for the licensing of gaming houses.

Carrasco added, “To authorize new locations for casinos the Interior Ministry needs an opinion formed from the state governments and municipal leaders before deciding, in accordance with city ordinances, where these businesses can be sited. The powers remain with the Federal Government through Segob."

The initiative was presented by Rep. Javier Martín Zambrano Elizondo, and is the result of the previous authorisation of casinos and betting rooms in establishments the length and breadth of Mexico, which has persisted because of the existing disorder in the present Gaming Law. This has created many problems for the Mexican states, municipal authorities and the general public.

Commission Secretary Cristián Castaño Contreras explained that the municipalities must give legal reasons why gaming establishments may or may not be authorized in their jurisdictions. However, the proposed bill is intended to grant local authorities the last word in gaming licensing in their own jurisdictions. (E-12.04.08)

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