The state of Ohio looks as though years of debate and legal wrangling with regard to legal sports betting and what it would look like is finally getting the serious attention it deserves. On Thursday, Ohio senators outlined what they envision as a viable legal sports betting platform for their state and now look to advance it past the Committee stage.
Senate Bill 176 is a sprawling 252-page document that was described by Sen. Kirk Schuring, chairman of the Ohio Senate Select Committee on Gaming as a “a powerful bill that no one has seen before.”
It appears to cover most of the legal sports betting bases and is the most complete piece of legislation the state has seen thus far. There is a sense that Senate Bill 176 is that straw that breaks the camel’s back and could lead to sports betting becoming legal in Ohio by the end of June.
The Ohio Scene
Ohio is the seventh most populated state in the US with 11.54 million residents and is home is one of the most decorated NCAA sports programs in the nation, the Cleveland Browns and Cincinnati Bengals of the NFL, the Cleveland Indians and Cincinnati Reds of MLB, the Cleveland Cavaliers of the NBA and Columbus Blue Jackets of the NHL.
Needless to say, the legal sports betting scene in the state is expected to be robust if and when legislation passes.
Research firm Eilers & Krejcik Gaming points to a rabid sports fanbase and predicts a “hypercompetitive online sports betting market that we estimate will generate GGR (Gross Gaming Revenue) of $607 million once mature”. The research firm went on to say: “We estimate that Ohio is the sixth-ranked U.S. state in terms of sports fandom, and the seventh-ranked state in terms of college football fandom”.
The Bill
Senate Bill 176 is an extremely broad piece of legislation aimed at taking into account all possible legal wagering angles. “This bill is about the free market. It’s about saying to those that want to get into sports gaming, eBingo, lottery form of gaming, iLottery — everybody is going to have to participate and be a part of the process,” Sen. Kirk Schuring said. “There is not going to be any prescriptive language in the legislation that would give someone special preference.”
The Bill paves the way for 40 three-year sports betting licenses, which would cost $1 million each. They would be divided into 20 Class A licenses for existing facilities such as casinos and racetracks and 20 Class B license which will be awarded to brick-and-mortar sportsbooks that can offer prop bets.
Sports teams will not automatically qualify for a license, but they are encouraged to apply and go through the process.
The legislation, which will be regulated by the Ohio Casino Control Commission (OCCC) sets out a 10% tax rate for legal sports betting in Ohio that is slated for public/private education and gambling addiction.
The Next Steps
With the new Bill having been introduced on Thursday, the next step is debate in the legislature on its merits and potential pitfalls. Those hearings are expected to commence May 12 with the idea that only a few formalities will have to be discussed. The unofficial goal of those in charge is to have all debate and amendments wrapped up by the end of June.
“Gaming is here today in Ohio,” Schuring said. “All we want to do is put guardrails around it to make sure it’s done correctly and make sure folks that are working in the black market cannot hurt Ohioans.”
The Chances
Sports betting has quietly been on the radar of lawmakers in Ohio for some time and one of its main backers is Gov. Mike DeWine who quipped back in March that: “Sports gaming is already in Ohio. Ohio is just not regulating it and this is something that is, I think, inevitable and it’s coming to Ohio”.
He went on to say that: “sports gaming is certainly coming to Ohio.”
The question seems to be more of a “when” not “if” will come to Ohio. Their current legislative is in session until December 31 but there is widespread acknowledgement that sports betting could be a “thing” in Ohio by the end of June.
“The goal of getting sports betting done before we recess for the summer is a high priority,” House Speaker Bob Cupp said Wednesday.
Calculators
