Sports Betting in Louisiana and Mississippi: Understanding the State of Play
Louisiana's gaming landscape
Sports Betting Bill in Los Angeles Halted; Referendum Moving Towards Governor's Desk
In Louisiana, legislators held back a sports wagering bill, SB 378, possibly due to the approval of SB 130 on Wednesday. SB 130 lays out referendum language for sports betting and is now poised for the governor's signature, though it lacks specifics on the legal framework. If signed, the decision on legalizing sports betting shifts to the November 3 ballot for Louisiana residents.
Unlike SB 130, SB 378 designates the Louisiana Gaming Control Board as the industry regulator and offers a definition for sports wagering. Meanwhile, HB 357, once centered around sports betting, has matured into a bill focused on daily fantasy contest regulations.
With the passage of SB 130, Louisiana legislators may have opted to shelve SB 378, signaling a strategic approach to keep multiple sports betting bills in play.
The wait game: Timeline for sports betting legalization in Louisiana
While Louisiana's lawmakers have expedited the sports betting process this year, the journey to placing the first bet may still extend beyond a year. Neither SB 130 nor SB 378 specify tax rates, which will be determined in a future special session. Historically, determining tax rates has posed challenges in Louisiana. In the case of daily fantasy sports, which Louisiana voters approved in 47 out of 64 parishes in 2018, the required two-thirds majority has arisen as an issue on several occasions.
Louisiana's comparative edge – or lack thereof
Although Louisiana boasts regulated casinos, it has nonetheless lagged behind in decision-making on sports betting. Both 2019 and 2018 brought sports betting bills to the table, yet neither bill managed to make significant headway. Mississippi, on the other hand, has been open to sports betting since 2018, but mobile/online betting is only available within casino premises. Legislators in Mississippi have proposed expanding online sports betting to allow off-premise betting, but as yet, no significant progress has been made in this regard.
In the meantime – Colorado's lead
Compared to Colorado, Indiana, and Iowa, Louisiana's journey from legalization to live sportsbooks is taking longer. These three states managed to take the first sports bet within six months of legalization due to clear legislative frameworks and preparations made by gaming boards even before legalization. However, the Louisiana ballot initiative lacks the behind-the-scenes infrastructure necessary to quickly roll out the legal sports betting framework, so even once legalized, it might still be more than a year before betting commences in the Pelican State.
In Louisiana, the potential for sports betting hinges on the governor's signature of SB 130, a bill that outlines referendum language for sports betting but lacks specifics on the legal framework. On the other hand, if SB 378 were to be passed, it would designate the Louisiana Gaming Control Board as the industry regulator and provide a clear definition for sports wagering. Thus, residents of Louisiana may have the opportunity to place a wager on various sports through a regulated sports-betting market.
