In a 12-4 vote, the North Carolina House Commerce Committee recently passed SB 688, which would legalize retail and online sports betting. The bill now advances to the House Judiciary, Finance and Rules and Operations committees on its way to the House floor.
With legislators focused on redistricting, observers don’t expect a vote to be taken on SB 688 before the current session ends on November 19. In that case, it probably will be reintroduced next year.
State Rep. Jason Saine, who will guide the measure through the House, said, “This issue will continue to come back to us, whether this bill rises or fall. This issue will be out there in the next session and the next session.” Saine added, “We realize it’s an issue with a lot of opinions and some people have strong opinions either way. But we would go from getting no revenue from an illegal activity in this state to generating up to $50 million in annual revenue.”
State Rep. Jon Hardister commented, “Sports betting is something we can’t ignore. It’s already here. We need to establish the framework. We need to derive the revenue. But that’s easier said than done in a state than tends to lean more conservatively on controversial social issues like legalized gambling.”
The proposed legislation would create 10 to 12 mobile sports betting licenses; applicants would pay a $500,000 fee for a 5-year license. The measure also would approve supplier licenses at $15,000 for five years. Revenue would be taxed at 8 percent, with funds going to public school construction and a special fund used to attract sporting events to the state. Wagerers could bet on college, professional and some amateur sports.
Licensees could set up online apps, as well as an in-person betting location within or near a professional sports arena or where a pro golf event is held. The bill also would allow professional sports organizations in the state to set up sportsbooks at or near the facilities of the National Football League’s Carolina Panthers, National Hockey League’s Carolina Hurricanes, National Basketball Hornets and the Charlotte Motor Speedway as well as Professional Golf Association events.
Opponents of the bill include state Rep. Deb Butler, who stated, “However you characterize this, it is a wild expansion of gambling in North Carolina. I think that it is clear to me that it is going to affect those who can arguably least afford it the most.” Numerous representatives of conservative Christian groups stated the bill would lead to more gambling addiction and other social ills.
However, lobbyist Ches McDowell, representing several professional sports organizations, stated the bill would earmark more money for problem gambling services. He noted North Carolina is falling behind other states in competing for new franchises and events because it lacks authorized in-state betting that can benefit leagues.
Sports betting on tribal lands was legalized through SB 154, which was passed in April 2019. However, it wasn’t until March 2021 that the first bets were taken, at the Eastern Band of Cherokee Indians’ Harrah’s Casinos in Cherokee and Murphy. Caesars Entertainment provides the wagering platform at both locations.
