The first sports bet in Kentucky expects to be placed on September 7, the first day for in-person betting. And Governor Andy Beshear promises to make that bet.
The goal is to accept bets by the kickoff of the NFL season on September 7.
“When you look back at the last Super Bowl and how much was bet nationwide and how much we lost out on, that’s why I am confident we will exceed initial revenue estimates,” Beshear told the Lexington Herald-Leader..
The Kentucky Horse Racing Commission (KHRC) set September 28 as the launch of mobile sports wagers. The commission approved emergency regulations on July 10 that set the two dates and of course emergency regulations.
The emergency regs would be coupled with ordinary regulations to be reviewed by the public, according to Jennifer Wolsing, counsel for the KHRC.
In-person sports betting will take place at brick-and-mortar locations around the state, mostly at licensed racetracks or gaming facilities such as the Red Mile Racetrack.
“We expect most tracks, if not all tracks running today, to be operational on (Sept 7),” Beshear told the Herald-Leader..
Licensed facilities include thoroughbred tracks Churchill Downs in Louisville, Keeneland in Lexington, Kentucky Downs in Franklin, Ellis Park in Henderson and Turfway Park in Florence, as well as harness racing tracks Red Mile in Lexington and Oak Grove near Fort Campbell. The commission also includes satellite historical horse racing gambling halls and simulcasting venues.
Harness racing track Cumberland Run in Corbin and quarter horse racing track Sandy Ridge in Ashland have not yet opened.
The three-week lag marks the differential in the challenges facing mobile betting versus in-person. “(It’s) what we’ve seen from other states in terms of best practices and getting people signed up and finding out where the different challenges are,” Beshear said.
The lawmakers approved sports betting in March, the 37th state to pass that mark. The KHRC had six months to finalize the rules and regulations for sports betting. Beshear said bipartisan support in the statehouse helped the measure pass, reports the Courier-Journal.
Tracks pay an initial $500,000 license fee with a $50,000 renewal. Sports betting operators pay a $50,000 initial fee with a $10,000 renewal. Each track can partner with up to three mobile operators.
Keeneland and Red Mile have already partnered with Caesars Sportsbook. A retail site will be located at Red Mile.
Kentucky hopes to bring in $23 million in tax revenue and fees. Retail sportsbooks will be taxed at 9.7 percent and online wagers at 14.35 percent.
“I anticipate over time it will grow from that,” Beshear told the Herald-Ledger.
“There are so many examples out there. we’ve watched in these last couple of years. We’ve had a number of prime examples of how to get it done. There was significant communication between the various companies.”
Beshear is excited over placing the initial bet. And with the 14 new hires to help reduce gambling problems. “I’ve been for sports betting since I began running. I believe we can do this responsibly. I’ll be proud to make that first bet.”
A public comment hearing on regulations is expected to be held at the KHRC offices on August 22. Wagering will be allowed on both professional and college sports for those 18 and older.
One criticism is the 18-year-old betting age, Doura-Schawohl previously told Sports Handle. “The brain does not fully form until 25, so if you were to ask me [whether to make it legal at] 18 or 21, I’d take 25.”
In seeking to address responsible gambling in Kentucky, the regulations include notes on self-exclusion programs and some interesting advertising criteria.
Meanwhile, a licensee is prohibited from any “false or misleading advertising,” which leaves discretion with the KHRC to determine what that means.
Regulations prohibit the use of “free” or “risk free” language to advertise a promotion if a customer is required to risk any of their own money.
