Ohio sports betting looks promising, as a bill has reached the desk of Governor Mike DeWine. Ohio is located in an area where sports betting is a hotbed in states like Pennsylvania and West Virginia.
Lawmakers have been trying to implement sports wagering for years, but the two parties and chambers had disagreements in the legislation. Ohio is a heavily populated state that has been losing money to other states for sports betting for years.
Following Wednesday, it appears that sports betting is going to be legalized in the state.
Sports Betting is One Signature Away
The hard part for legal Ohio sports betting is complete. The bill has been passed in the two legislative chambers and headed to Governor DeWine’s desk. DeWine has declared multiple times that he is a proponent of legal sports betting.
When DeWine signs the bill, sports betting will become legal in Ohio. Under the bill, the latest sports betting could begin is January 2023. However, many legislators aim to launch sports betting by the beginning of the 2022 NFL season.
If DeWine signs sports betting into law shortly, this is a very realistic goal for Ohio. The Senate and House of Representatives overwhelmingly approved sports betting in the state.
House Bill 29 would allow for sports betting on mobile devices and through retail sportsbooks. There would be a 10% tax put on all types of sports wagering. The Senate approved the bill by a 30-1 margin, and the House supported the legislation 72-12.
Lawmakers claimed that they were on the same page, and this legislative process was going to be the one where sports betting is legalized.
Mobile Betting will Steal the Show
Mobile sports betting is the main way people wager throughout the United States. Based on the bill, there have been projections that mobile wagering could receive up to 90% of the bets. There would be 25 “Class A” licenses implemented in the state.
The licenses would be granted to sports teams, casinos, and racinos. These companies would then distribute the mobile permits, and all permits would be on a five-year basis. There are four casinos and seven racinos in the state.
The bill would give the 21 sports teams and the casinos/racinos the opportunity to partner with two mobile skins. The other four licenses would give recipients the ability to launch one mobile betting skin.
The first betting skin would cost $3 million, and the second would be $10 million. The taxes are very low in Ohio for operators, but the upfront licensing fees will help the state generate a lot of revenue.
The 90% of the market going towards mobile betting would be consistent with national trends. There would also be 42 “Class B” licenses that would go to sports teams, casinos, and racinos to operate retail sportsbooks.
“Class C” permits would be granted to bars, restaurants, and bowling alleys that have a liquor license. These sites would be granted two sports betting kiosks a piece. However, this may be a losing venture considering the extent of mobile wagering in the future Ohio market.
The kiosks would allow money line, prop, and parlay bets that include up to four teams. There were a lot of layers that went into sports wagering in the state.
Lawmakers are hopeful that the time it took to legalize betting will pay off financially. The neighboring states of Indiana, Michigan, Pennsylvania, and West Virginia have encompassed much of Ohio. Additionally, offshore sports betting has also caused the state to lose money.
Once DeWine signs the bill, the implementation process will be ready to begin.