On Friday, Congressman Joe Barton (D-TX, pictured) brought the Internet Gambling Prohibition, Poker Consumer Protection, and Strengthening UIGEA Act to life. The measure, which legalizes and regulates online poker in the United States, will be referred to the House Committee on Energy and Commerce. In a unique twist, the bill defers to state licensing agencies to dole out the rights to companies to offer internet poker. However, sites can accept action from any player in any state where online gaming is legal.

Read the Joe Barton online poker bill.

Two states would take the lead in the yet-to-be-numbered bill. Text in a “talking points” document sent to PocketFives on Thursday along with the bill explained, “Certain states with the most history regulating the most gaming – regulated more than 5% of total U.S. gaming for three of the previous five years (i.e. Nevadaand New Jersey) – would be immediately recognized as eligible to issue licenses; other states would have to apply.”

States, like Tennessee and North Dakota, for example, would submit an application for the ability to assign licenses. The bill’s wording notes, “Secretary shall qualify any state agency that is designated to the Secretary by a state that wishes to participate in the licensing program to carry out the licensing and other functions under this title if the Secretary determines that such agency meets the minimum standards for qualification.”

In the meantime, it appears that players not located in Nevada or New Jersey would be able to fire up the virtual felts anyway. The bill’s text reveals, “Notwithstanding any other provision of law and subject to the provisions of this title, a licensee may accept a bet or wager with respect to internet poker from an individual located in the United States” assuming the state in which they reside does not opt out.

Vetting of prospective state agencies and commercial licensees would occur. In the beginning, according to the same companion document, only existing casinos and other gaming establishments would be eligible to offer online poker: “For the first three years of the program, only current holders of state or tribal issued gaming or racing licenses who have substantial land-based gaming operations could be primary licensees.“

Following that multi-year period, offshore companies and others could make their way into the market.

But what about sites like PokerStarsand Full Tilt Poker that have offered online poker to U.S. residents in recent years? To that end, the bill asserts, “In carrying out a suitability analysis of a person… a qualified state agency shall consider whether such person operated an internet gambling facility before the date of the enactment of this act and the scope of such person’s activities with respect to such operation.”

Licenses are good for five years and severe penalties exist for companies that offer unlicensed internet poker to U.S. residents. Barton’s bill specifically outlaws the use of bots at the tables and does not allow wagering with credit cards.

When corporations file for a license, they’ll be asked to provide their applicant’s financial records, criminal history, and “a detailed description of the applicant’s plan for complying with all applicable requirements and regulations prescribed pursuant to this title.”

In the days leading up to Friday’s introduction, Barton remained adamant that his focus was on consumer protection. To that end, the bill calls for a self-exclusion list to be created: “Each qualified state agency shall establish and maintain a list of persons self-excluded from playing internet poker through internet poker facilities licensed by the qualified state agency. Each week, each qualified state agency shall submit to the Secretary a current copy of the list.”

The bill also calls for a list of unlicensed internet gaming companies to be developed: “Not later than 120 days after the date of the enactment of the Internet Gambling Prohibition, Poker Consumer Protection, and Strengthening UIGEA Act of 2011, submit to the Secretary a list of unlicensed internet gambling enterprises.”

Reacting to today’s announcement was Poker Players Alliance Vice President of Player Relations Rich TheEngineer Muny (pictured), who told PocketFives.com, “I’m excited by the legislation. Any reservations I had for some of the specifics like how the state opt-outs happen were put to rest by the events of Black Friday. It’s become clear that operating the status quo outside of a licensing system won’t be workable. It’s clear that the poker community needs to step forward and create a long-term system that has the structural integrity of having U.S. sites and a robust licensing system.”

Also weighing in on the bill’s release was Safe and Secure Internet Gambling Initiative spokesperson Michael Waxman, who critiqued part of it in a press release: “It simply doesn’t make sense to limit the use of credit cards for those seeking to gamble online. Consumer protections for users of credit cards are much greater than those involving most other forms of payment. If someone is interested in using funds from their credit card to gamble online, they are not going to be stopped from doing so.”

Decide for yourself. Check out Barton’s online poker legislation.