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Online Sports Betting Bills Move In Mississippi, Missouri

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Online sports betting bills in Missouri and Mississippi moved forward Thursday, and a hearing is set for a Hawaii proposal late Friday Eastern Time, as state legislatures across the country continue to consider next steps for wagering.

The Mississippi House amended HB 774 to include a 12% tax rate before passing it out of the chamber. It is the first time an online sports betting bill has gotten through at least one chamber of the state’s legislature, despite repeated attempts.

The proposal is one of two nationwide to pass a full state legislative chamber this session. Georgia senators Thursday approved a mobile betting bill that will be sent to the House. The Senate amended that bill to require that the decision of whether or not to legalize goes to the voters.

Mississippi lawmakers also considered an amendment to count a wager placed on a mobile betting app within 40 miles of a brick-and-mortar sportsbook to be considered gross revenue for the closest retail sportsbook, but that amendment was tabled. The amended bill, which requires digital sportsbooks to be tethered to brick-and-mortar casinos, passed by a vote of 98-8, and will be sent to the Senate for consideration.

Hawaii’s HB 2765, which allows for online wagering only and would set the legal age at 18, is set for a hearing before the House Economic Development Committee at 10:30 a.m. local time Friday.

Missouri bill: 10% tax, casinos, and pro teams

In Missouri, HB 2331, which was introduced by Rep. Dan Houx, passed out of the Special Committee on Public Policy by a vote of 5-2 on Thursday.

The legislation would allow for casinos and professional sports venues to offer digital sports betting and would create “designated mobile sports districts” around professional sports venues where only certain mobile platforms would be available. Casinos would be entitled to up to three digital skins each, while professional sports venues could partner with a single operator.

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The proposal, which sets the tax rate at 10%, allows operators to deduct 100% of promotional spending in the first year but steps that down to 0% by the fifth year of legal wagering.

Other highlights from Missouri’s bill include:

  • Retail sportsbooks would be allowed at existing casinos only.
  • The Missouri Gaming Commission would be the regulator.
  • Responsible gambling tools, including those for time and money limits, must be prominently displayed.
  • Players may exclude themselves from using certain forms of electronic payments to fund accounts.
  • Operators would be restricted from advertising to minors or others at risk, and a self-exclusion list would be available for consumers to join if they want to opt out.
  • Sports governing bodies may request that the use of official league data be mandated.
  • The application fee for a sports betting license would be $100,000.
  • The application fee for an online sports betting license would be $150,000.
  • Proxy betting is banned.

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