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Lawmakers mull over sports betting bills: What are Kentucky's odds for legalization?

As lawmakers consider various sports betting measures, some are willing to wager legalization is on the horizon. Others are forfeiting that argument.

KENTUCKY, USA — As Super Bowl LVII closed with Kansas City coming out on top, those who placed bets on a Chiefs' victory have lined their pockets with a bit of extra cash—just not here in Kentucky.

The commonwealth is one of 14 states where sports betting is currently illegal. Of those, eight states—including Kentucky—have active legislation/ballot initiatives in the works.

Kentucky’s sports betting prospects

As of Super Bowl Sunday, Kentucky legislators are mulling over two sports betting bills: House Bill 106 and Senate Bill 73. Both measures deal with legalizing and regulating sports wagering.

Attempts to legalize sports betting in Kentucky date back to 2018, but no such measure has succeeded so far.

"If you're a betting person, which I'm not, I think it's a long shot that we get it done this [legislative] session," Sen. David Yates, D-Louisville, said. "But we're getting really close."

While over/under bets and money lines aren’t Yates’ forte, he does believe Kentucky would thrive off the creation of a sports betting program. It's why he is sponsoring SB 73.

The bill would legalize sports betting and create tax measures to generate revenue for Kentucky, among other things. SB 73 calls for a 6.75% tax rate on online poker and a 14.25% tax on mobile sports betting

Speaking candidly, Yates said for any sports betting measure to pass this session, supporters may have to settle for a bill with a more narrow impact than SB 73.

Yates said Sen. Damon Thayer, R-Georgetown, and Rep. Michael Meredith, R-Oakland, are currently working on their own sports betting proposal. According to independent online gaming authority Casino.org, the lawmakers' proposal will likely exclude legalizing online poker in an attempt to garner more support in the Senate.

"[It’s] a little more narrowly tailored. But it gets the camel's nose under the tent," Yates said.

Who supports legalizing sports betting?

Nearly two-thirds of Kentucky voters support legalizing sports betting, in some form.

According to Kentucky Sports Betting Now, support crosses party lines too, with a majority of registered Republican, Independent and Democratic voters in Kentucky stating they’re “all in.”

"We have bipartisan support. Now, it's just whether or not we have enough," Yates said. "I believe every member in the Democratic Caucus supports it, our governor supports it and we have Republican leadership that supports it."

Gov. Andy Beshear recently voiced his support for sports betting during a Team Kentucky update, Feb. 9.

"We should have instituted sports betting four, five years ago," Beshear said. "It's just a part of people's entertainment. It is ridiculous that we don't have sports betting now."

Beshear argued the commonwealth is losing out on potential tax revenues, as Kentuckians flock to surrounding states to place wagers.

 

Where does opposition come from?

There are groups in the commonwealth that openly oppose sports betting, like the Family Foundation, a Christian public policy organization.

According to its website, the Family Foundation argues sports betting is unconstitutional. It has also described the gambling industry as “predatory” in past remarks, stating its belief that any potential sports betting measures “will take from the poor and give to the rich.”

Another point of contention is the belief, held by some, that legalization will lead more Kentuckians to gambling addictions.

 

Sports betting success in surrounding states 

Six of the seven states bordering Kentucky have some sort of sports betting programs in place, including Illinois, Indiana, Ohio, Tennessee, Virginia and West Virginia.

The Hoosier state legalized sports betting in September 2019. To date, sports betting has generated $70.6 million in tax dollars for Indiana.

The Indiana Sports Betting Commission reports bettors wagered more than $427 million in January 2023 alone.

That same month is when neighboring Ohio launched its online sports betting, retail sportsbooks and betting kiosks.

PlayOhio projects Ohio sports betting could generate $8 billion in wagers by the end of 2023.

The gambling industry's national trade group predicted 50.4 million American adults planned to make wagers ahead of this year's Super Bowl, with those bets totaling $16 billion.

 

Road to legalization comes with hurdles

Sen. Yates said the 2023 legislative session presents a unique challenge to those trying to legalize sports betting.

With it being an odd-numbered year, Kentucky lawmakers are in what’s known as a short session, which lasts 30 days. In even-numbered years, sessions normally last 60 days.

Because of the shortened session, the vote threshold needed to pass bills in the Senate increases as well, Yates said.

During 30-day sessions, 23 votes are needed for a measure to pass in the Senate, while only 20 votes are needed during 60-day sessions.

If you or someone you love is struggling with a gambling problem confidential help is available 24/7 through the National Problem Gambling Helpline. To access the hotline, call or text 1-(800) 522-4700. 

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