Sports betting is currently still illegal in Missouri but could be under serious consideration after the debate continued on Tuesday in Jefferson City. Legislators and lobbyists spend around three hours discussing the benefits and drawbacks of legalizing sports betting.
The Main Points of the Discussion
The House Committee on Public Policy held a public hearing that revolved around two bills; House Bills 2502 and 2556. The two measures would allow online sports betting across the state and are backed by Reps. Phil Christofanelli, and Dan Houx.
These two bills were similar to the ones brought to the Senate, which include Sen. Tony Luetkemeyer’s SB 1061 and Sen. Dan Hegeman’s SB 1046. This legislation began in early January and ends on May 20th.
The legislators who sponsor these bills believe that the coalition and stakeholders provide a strong opportunity to legalize sports betting at some point this year. Rep. Dan Houx, who filed HB 2502, stated to a media outlet;
“It’s time to get it done…It was huge to get the coalition together.”
The Coalition Backing Sports Betting in Missouri
The coalition is very large, which includes five or six casinos companies that operate 13 riverboat casinos across the state. Some major professional sports organizations are located in both Saint Louis and Kansas City. Lastly, the other party joining the effort includes major sportsbook operators.
Boyd Gaming is the only casino that does not support the bills. Ryan Soultz, who is the VP of Governmental Affairs, also testified against the bills.
If sports betting does get approved, 13 licensed casinos would be allowed to have up to three skins which would bring the combined total to 39. Meanwhile, professional sports organizations would be granted one skin.
The coalition’s proposed tax rate is set at 10 percent. Mike Winter, who is the Executive Director of the Missouri Gaming Association, believes that the state could generate up to $15 million annually in taxes. It is also believed that these sporting venues across the state could create sports betting lounges but no retail windows or kiosks.
Bettors Across Missouri Have Been Crossing State Lines
Sports betting has benefited states throughout the sports betting industry. The revenue many states generate from taxing these sportsbooks based on revenue has been going towards funding education and other important initiatives.
Not having an established sports betting market makes people resort to other options, which include using local bookies or offshore sportsbooks to place wagers. On the other hand, Missouri’s neighboring states offer sports betting to their residents.
Super Bowl weekend was one of the reasons many people from Missouri crossed state lines to place wagers on the most popular event of the year. According to GeoComply, 69,372 attempts were made from within Missouri to place bets in neighboring Illinois.
Due to geofencing, these efforts were easily blocked. Executive director of the iDevelopment and Economic Association, John Pappas, stated that Missouri should not be on an island of its own. The association also represents sportsbook providers such as DraftKings and FanDuel.
He went on to say;
“Every year that Missouri is waiting is another day that consumers are left unprotected and money is left on the table.”
Neighboring states will continue to grow in the sports betting industry. Illinois had a handle of $789.6 million in December. Iowa is steadily growing as more sportsbooks look to conduct business in the state.
Tennessee only offers mobile sports betting but is growing as well. Arkansas will be expanding its reach by introducing mobile sports betting next month. Kansas came close in 2021, and if Missouri or Kansas legalizes it first, the other will most likely follow.