Alabama state Rep. John Rogers and state Rep. Mary Moore recently introduced HB 315, a sports betting bill that would “permit wagering on the results of certain professional or collegiate sports or athletic events and other events authorized as sports wagering activities.” The 43-page legislation doesn’t specifically say the word “online” but states, “An operator may accept wagers from an individual physically located within this state using a mobile or other digital platform or a sports wagering device approved by the commission through the patron’s sports wagering account.”
Sports betting requires an element of skill and therefore could be authorized by the legislature without statewide voter approval to amend the Alabama constitution, unlike establishing a state lottery which voters rejected in 1999.
The bill would establish the Alabama Sports Wagering Commission to regulate the activity. Up to seven licenses would be granted to facilities where parimutuel betting is authorized. Licensing fees would be $100,000 and gross revenue would be taxed at 10 percent.
Currently in Alabama the only location with an active racing schedule is a greyhound track in Birmingham. Simulcast/off-track betting facilities are located in Eutaw, Mobile and Macon. The bill does not mention the casinos operated by the Poarch Band of Creek Indians who operate three casinos with more than 6,500 total electronic gambling machines but no live dealer table games.
Alabama is one of just three states whose constitution prohibits a state lottery, but that could change with SB 116/SB130. Introduced by state Senator Jim McClendon the proposals would permit the state’s four parimutuel facilities to offer video lottery terminals. It also would authorize the sale of traditional lottery tickets by authorized retailers, bringing Alabama into multistate games like Mega Millions and Powerball. The bill also calls for establishing an internet lottery system and states, “The lottery corporation may allow lottery games of all types, including new lottery games.”
McClendon’s bills briefly mention sports betting: “A state gross receipts tax shall be levied on the sports wagering gross revenue generated from sports wagers. The legislature shall set this rate by general law.” Observers said this could allow racetracks to offer sports betting and be regulated by a new Alabama Lottery Commission.
