Missouri Senators and Representatives Ally for the 'Sports Betting and Sports Protection Act', Granting Desired Demands of All Sports Leagues
Missouri is set to join the growing list of states considering the legalization of sports betting, with two bills currently circulating in both chambers of the state assembly. The Comprehensive Missouri Sports Betting and Sports Protection Act, sponsored by Senator Hoskins (Senate Bill 1013) and Representative Bart Korman (House Bill 2320), aims to regulate and legalize sports betting in the state.
The Act allows for sports betting on riverboats and online platforms, with the revenue generated subject to a 12% tax on adjusted gross receipts. This tax, nearly double the amount that Iowa would impose, is intended to supplement the state's revenue. Additionally, a 2% administrative fee will be levied to cover regulatory costs and fund the Gaming Commission Fund.
In an effort to maintain the integrity of sports betting, the Act includes an "integrity fee" that amounts to 20-25% of a sportsbook's receipts. This fee is intended to safeguard against fraud and maintain fair play in sports betting. The funds from these fees will be distributed to professional sports leagues and state universities.
The Act also grants the sports leagues control over the data used in Missouri sports wagering and the right to restrict certain wagers a sportsbook can offer. This move aligns with requests from Major League Baseball (MLB) and the National Basketball Association (NBA) for league control over official data.
The Missouri legislature's deadline for introducing bills was March 1, and the assembly adjourns on May 30. Senate Bill 1013 has been referred to the Senate Committee on Progress and Development and is scheduled to be heard on Feb. 28. House Bill 2320, a placeholder bill with little content, has not been scheduled for a hearing, according to the Missouri House of Representatives website.
It is worth noting that an American Gaming Association (AGA) survey found that an estimated $2.8 billion is illegally bet by more than 1.3 million Missouri residents annually. Legalizing sports betting could potentially redirect this money towards the state's coffers, as stated by Representative Hoskins. For every dollar placed on an illegal sports bet, that's one less dollar in potential tax revenue for Missouri.
As the Supreme Court case Murphy v. NCAA approaches a decision, which could overturn the Professional and Amateur Sports Protection Act (PASPA) as early as March, Missouri is poised to capitalize on the potential growth of the sports betting industry. The state currently has 13 riverboat casinos, including two each in the state's biggest cities, St. Louis and Kansas City.
In conclusion, the Comprehensive Missouri Sports Betting and Sports Protection Act aims to legalize and regulate sports betting in Missouri, incorporating tax revenue mechanisms, integrity protections via fees to professional leagues, and administrative fees to fund gaming oversight. The Act's purpose is to redirect illegal betting revenue towards the state while ensuring the integrity of sports betting operations.
- The Comprehensive Missouri Sports Betting and Sports Protection Act, if passed, will legalize sports betting in Missouri, allowing it on riverboats and online platforms.
- To safeguard against fraud and maintain fair play, the Act proposes an "integrity fee" of 20-25% of a sportsbook's receipts, with the funds distributed to professional sports leagues and state universities.
- The Act also grants control over the data used in Missouri sports wagering to the sports leagues, aligning with requests from Major League Baseball (MLB) and the National Basketball Association (NBA) for league control over official data.
