North Carolina sports gambling still stuck in the sand for 2022

North Carolina sports gambling still stuck in the sand for 2022

In a massive blow to online sports betting in North Carolina the Senate Bill 688, that would’ve allowed online sports betting, failed to pass the house on June 22, 2022.

Online NC sports betting fans and stakeholders were eagerly waiting for the final green flag that would’ve changed the North Carolina sports landscape. However, it’s stalled for now. And the fans await the approval of online sports betting.

It is worth-noting that in-person sports betting is legal in the state of North Carolina. It’s available at two tribal casinos. The Eastern Band of Cherokee Indians owns both of these casinos. These casinos have partnered up with Caesars Sportsbook NC to offer retail sports betting. But the future of mobile sports betting in NC seems uncertain for now.

NC Online Sports Betting — The Sequence of Events

Ever since North Carolina legalized sports betting back in June 2019, things started heating up. And the subsequent approval to the two tribal casinos in 2021 upped the ante. Following the streak, Senators Jim Perry and Paul Lowe filed the Senate Bill 688 that would allow online sports betting.

The North Carolina Senate passed the SB 688 and forwarded it to the House of Representatives in August 2021. And North Carolina’s legislative session for 2022 began on May 18. Later on, the Senate amended the SB 688 and introduced another supporting bill SB 38. The sportsbooks in NC would pay $1 million instead of $500k for the license and face an increased tax rate from 8% to 14%.

Bill Amendments

Along with improving on a few technicalities, this amended bill also aimed to ban betting on college sports. The other two notable amendments altered the distribution of sports betting funds. The first was to reduce the amount of funds going to major games and attraction from 50% to 30%.

The second was the distribution of 10% funds to Historically Black colleges and universities across North Carolina. Both of these bills were presented to the House Judiciary Committee on June 21 and passed. Later on, the SB 688 failed by a narrow margin of 50-51 votes. And the status of online sports betting has reverted to uncertain for now.

The Opposition

With the increased taxes, sports betting proponents were confident that they were close to victory. However, the opponents of online sports betting cited various moral and societal reasons. Among those who opposed the bill was the North Carolina Representative Larry Pittman, who referenced Jesus in his rebuttal. He fiercely opposed the bill and compared it to human trafficking.

Another State Representative Pricey Harrison said that it won’t be good for the state. She also said that allowing online sports betting could lead to an increased number of problem gamblers. Those problem gamblers would ultimately burden the state’s resources and cause social distress.

And State Representative Abe Jones said that it could lead to prostitution and exploitation. Moreover, the State Representative Marcia Morey voiced her opinion that the legislation aimed for people to lose their money. In conclusion, social and societal reasons remained the main point of concern for the opponents of online sports betting.

The Supporters’ Stance

Additional Revenue

However, the sponsors including Senator Jim Perry and others reiterated that it was the need of the hour. And how sports betting could generate much higher revenues that would positively impact the sports landscape. Additionally, the bill aimed at allowing around 10 to 12 sportsbooks to operate across the state. This would create thousands of jobs and business opportunities that would ultimately help the people of the state.

Another Point of Concern for the Lawmakers

The proponents of online sports betting cite another point of concern which is the offshore betting sites. Currently, many offshore betting sites are accessible in North Carolina. Since online sports betting isn’t currently legal in North Carolina, the crimes committed by the offshore betting sites go completely unnoticed. The victims of potential fraud and exploitation can’t go to the authorities since it would land them in trouble as well.

Moreover, the proponents think that the number of people betting on these rogue offshore sites is significant. And the state should regulate it sooner rather than later. Not noticing the problem isn’t making it go away.

Push from the Neighboring States

The sponsors also hope that as online sports betting continues to see green flags across the country, it’s only a matter of time before North Carolina approves the passage of online betting. They also expressed how the state was losing potential revenue by delaying the approval.

More supporters of the bill:

Conclusion

Although the future of online sports betting seems to be in a limbo, the stakeholders aren’t disheartened. After all, every fight requires patience. And it won’t be a challenge if there aren’t any obstacles. Leaving the fight for another day, the stakeholders are hopeful. They know that eventually North Carolina will be able to enjoy sports betting just like the thirty plus other states in the US.