Last month the Indiana legislature’s Interim Study Committee on Public Policy unanimously voted to recommend lawmakers legalize sports betting. As yet, no formal legislation has been pre-filed. That could be related to an Old National Bank/Ball State University Hoosier Survey released earlier this month that showed only 37 percent of Indiana respondents favored legalized sports betting and 50 percent opposed it.
Still, lawmakers are considering a wide range of questions as they draft potential sports betting legislation, including where bets would be placed. Matt Bell, president of the Casino Association of Indiana, said the group wants to limit sports wagering to the state’s 13 casinos and racinos. Bell said, “Those folks have been through vetting processes. We believe if the state’s goal is integrity, we are the best folks to ensure that integrity is held up.”
However, lawmakers are discussing whether bettors could register for a mobile account in person at a casino and then place bets via mobile phone or online. Currently it’s legal in Indiana to bet on horse races through an online account. “If we’re going to say to the Hoosier consumer that you have to go to a casino to place a bet, or they have the option of what they’re doing now in many cases—staying home, sitting on their couch and using an illegal application—I think more Hoosiers than not will be part of the illegal market,” Bell said.
State Rep. Alan Morrison said he has been approached by groups interested in starting sports betting operations but they’re not connected to a licensed casino or racino.
Another issue would be the age limit for sports betting. The minimum age for casino gambling in Indiana is 21, but the minimum age for buying lottery tickets and betting on horse racing is 18. In a sports betting bill submitted in the most recent legislative session, supported by the state’s casino industry, state Senator Jon Ford specified 21 as the minimum age to place a bet. Another concern is who may or may not bet on sports. The Indianapolis-based National Collegiate Athletic Association wants lawmakers to prohibit betting by athletes, coaches, game officials and administrators of sports organizations.
Lawmakers also are discussing if in-game bets may be allowed. Bell said, “Why should we do this? That’s where the consumer is, and that adds to their enjoyment, and we’re glad to hear the leagues join us in supporting that position.”
Major leagues’ integrity fee is another issue that was brought up in the last session. Bell said the Indiana casino industry opposes the fees. Bell said, “Their increased costs will be more than offset by increases in viewership, increases in sponsorship and merchandise sales. The leagues have long-standing relationships with daily fantasy sports. And yet in that industry there has never been any ask for an integrity fee or a cut.”
Finally, Bell’s group has requested any legislation limit taxes on gross wagers to single-digits. An earlier sports wagering bill introduced in Indiana included a 9.75 percent tax; Bell said the casino industry would prefer Nevada’s 6.75 percent.
Meanwhile, Indiana Gaming Commission Executive Director Sara Gonso Tait said the agency has been getting ready for legal sports gambling for two years. She said commissioners have been invited to New Jersey, Mississippi and Nevada to study those states’ legal sports betting operations. “This is something that has been successfully regulated for decades so we’re not going to need to reinvent the wheel. From a regulatory perspective, if you task us to start July 1, we will do everything we can to do the best job we can,” she said.
