The Georgia Senate is on a roll when it comes to sports betting. We’re talking about two bills that passed through committees, each with different approaches.
Senator Clint Dixon’s bipartisan SB 386 has 16 senators and several sports teams in the state among supporters. The key difference between this and the other bill is the constitutional amendment. Dixon’s bill claims it’s not necessary because it will be linked to the Georgia Lottery.
The Senate Economic Development and Tourism Committee approved it in an 8-2 vote.
If approved, the Georgia Lottery Corp. would award 16 licenses—of those, five would go to Atlanta’s pro sports teams: the Braves, Falcons, Hawks, Dream, and Atlanta United. The Augusta National Golf Club, the Professional Golf Association (PGA), and the Atlanta Motor Speedway would receive one license each.
Seven licenses would be open to sportsbooks through an application involving the lottery at $1 million a piece. And by the way, the lottery itself gets the 16th license.
20 percent of the adjusted gross revenues would be allocated to Georgia’s HOPE Scholarships and pre-kindergarten programs.
A second sports betting measure—SB 172—calls for a constitutional amendment. Each house must pass the bill with a two-thirds majority and then have residents vote in favor with a simple majority in the November election. The bill cleared the Senate Regulated Industries & Utilities Committee during the first week of legislative action.
The Metro Atlanta Chamber supports Dixon’s bill. Nick Fernandez, director of government affairs for the chamber, said the bill would generate an estimated $100 million annually for the education prerogatives.
Opponents mention the possible addictive nature of gambling, as well as the possibility that sidestepping the constitutional amendment may prove legally out of bounds.
Mike Griffin, a public affairs representative for the Georgia Baptist Mission Board, wondered why lawmakers wanted to take the vote away from the public.
“Gambling is basically legalized fraud,” Griffin told the Associated Press. “You can’t win. The industry can’t lose.”
“The disastrous effects of problem gambling are well known and well documented,” said Mack Parnell, executive director of the Georgia Faith and Freedom Coalition.
Dixon’s bill includes provisions aimed at preventing problem gambling, including ads educating Georgians about the potential dangers of betting on sports and “self-limiting” tools bettors could use.
Senator Bill Cowsert introduced SB 172, which requires the creation of the Georgia Sports Betting Commission to regulate sports betting.
Cowsert’s bill creates two types of license. A Type 1 license includes online sports betting and also partners with a digital sportsbook. The application cost $100,000 and if approved, a $1 million a year to retain. A Type 2 license permits brick-and-mortar sports betting. The application fee runs $10,000 and carries a $100,000 price tag each year.
The commission may dole out a minimum of six Type 1 licenses with no maximum. Georgia Lottery gets a Type I license. The commission would award between five and 10 Type 2 licenses.
As for taxes, legislation includes a 25 percent rate for parlays, prop bets, and live bets, as well as 20 percent for all other wagers. Betting on collegiate sports would be permitted in the bill, but not prop bets.
Despite the two early bills, neither is set in stone. Yet history has not been in Georgia’s favor to date.
