A Kentucky sports betting bill is on its way to the Senate floor carrying with it more momentum than last year’s effort.
On Wednesday, March 15, the Kentucky Senate Licensing and Occupations Committee advanced HB 551 to the chamber floor with a vote of 9-1. The bill had passed the House only two days earlier.
Although several committee members expressed reservations, the legislation was sent on with the aim of regulating an activity that is already taking place via unregulated sites in the Bluegrass State.
The Senate will most likely take up the issue of the bill on March 29 after it returns from a 10-day veto break.
A Kentucky sports betting bill has never made it this far before. Last year’s bill made it to the Senate floor but failed to secure enough votes.
The upcoming 10-day veto period will be an opportunity for lawmakers to sway any members of the Senate still on the fence.
Odd year requires more votes
One of the obstacles HB 551 faces this year is the 23-vote threshold it needs for passage in odd years.
Consequently, the bill must shore up support and commitment from at least two or three more senators.
As it stands, the bill is a solid product. Its authors have spent months working on the language after listening and talking to representatives of the industry, problem gaming advocates and other politicians.
The next step is to convince members of the Senate that regulating sports betting is the sensible thing to do for Kentuckians, particularly those already engaging in the activity.
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More barriers left in Kentucky
As the bill gains more support with time across the state, the same opposition that held back last year’s sports betting bill remains.
According to Senate Majority Leader Damon Thayer, the Kentucky Baptist Convention was still a major obstacle to the bill because several Senators adhered to the conservative tenets of the organization.
As a result, Thayer’s Republican caucus could not agree to vote on sports betting last year, allowing the bill to be defeated.
Thayer, who voted in favor of the bill on Wednesday, justified his position by pointing out that Kentucky was surrounded by legal sports betting states. Moreover, neighboring Tennessee is considered more conservative than Kentucky yet still features sports betting.
Among those testifying against the bill was KBC Executive Director Todd Gray.
Late push for Kentucky sports betting
In outlining his bill for the Senate committee on Wednesday, Rep. Michael Meredith explained that the legislation would allow in-person sportsbooks at nine horse race tracks in Kentucky, in addition to Kentucky Speedway.
The 10 facilities will be allowed to team up with three online sportsbooks each for 30 possible skins. This would naturally unlock an extensive array of enticing Kentucky sportsbook bonuses, catering to the needs of local bettors with a plethora of competitive bonus options, including offerings from renowned platforms like Bet365 Sportsbook Kentucky and DraftKings Sportsbook Kentucky.
HB 551 proposed the Kentucky Horse Racing Commission as the regulatory body for Kentucky sports betting.
A 9.75% state tax can be levied on in-person sports betting revenue and 14.25% on online activity. Online poker and daily fantasy sports are not included in Meredith’s legislation.
Earning potential for Kentucky sportsbooks
Meredith brought to attention that data gathered by GeoComply revealed 5 million checks in Kentucky from 181,000 accounts registered in other states during the NFL season.
According to the Kentucky Legislative Research Commission, sports betting could potentially bring in nearly $23 million annually in taxes and fees.
