Representatives from several sports and entertainment companies recently gave presentations at a meeting of the Ohio Senate Select Commission on Gaming—its fifth meeting in six weeks. State Senator Kirk Schuring, chairman of the committee, said the legislature will take a two-week break before lawmakers return in mid-April and Senate committee hearings resume April 20.
Schuring said, “During that two-week period, I’ll be contacting every member of this committee for their input on the bank of evidence that has been presented to us relative to gaming as a whole. Then I’ll be conferring with the Senate president after I have a chance to talk to everybody on the committee. From that point we’ll build a bill, we’ll introduce a bill and when you all come back after the break, we will be discussing a bill.”
The Cincinnati Bengals, Cleveland Browns, Columbus Blue Jackets and Columbus Crew all sent representatives to the Senate meeting. Bengals’ Chief Marketing Officer Brian Sells said the state’s 11 casinos and racinos are “the core to sports betting in Ohio. However, market access for Ohio’s professional teams is vitally important to our ability to compete with others in our respective leagues. So, in addition to providing market access to the 11 casinos and racinos, we believe the local professional sports teams should be provided market access as well. How this access is defined is up to debate, but at a minimum, having access to a mobile skin seems appropriate. Such a provision would recognize the significant economic investment the NFL, Bengals, Browns and other professional teams have made in the state of Ohio.”
All the pro teams and the National Football League have requested that sports betting legislation require the use of official league data. And, they expressed the desire to get their own licenses to offer sports betting themselves.
Cincinnati Reds Chief Financial Officer Doug Healy stated Ohio sports teams strongly support sports betting. Healy said he hopes Ohio will establish a competitive mobile marketplace that allows teams to partner with operators for market access. “We look forward to working with this committee to make Ohio’s legalized sports betting market a true example for the rest of the country. One that recognizes that all three legs of the stool—the casinos, the state and the sports teams—are partners in the integrity of the sports betting market, as well as its growth and success.”
Healy also noted integrity measures should include sharing real-time betting information from the sportsbooks to the leagues; establishing a procedure for sports governing bodies to limit risky bets; banning insiders from teams and leagues from betting on their sports; and requiring sportsbooks to use official league data.
Ted Tywang of Haslam Sports Group, representing the Browns and Crew, said, “We would like to see legalized sports betting in Ohio as soon as possible, and would suggest that the legislation include a concrete and accelerated timeline for regulatory implementation. Of course, we do not want to rush the process in any way that would result in a negative outcome, and it is critical that we have appropriate integrity and consumer protections, along with the optimal market structure. To summarize, we cannot continue to allow the illegal marketplace to thrive and have tax and commercial benefits leave our state by delaying the inevitable. We want legalized sports betting to be done right and as quickly as possible.”
Draft Kings Senior Manager of Corporate Affairs Kevin Cochran explained the importance of a competitive framework for mobile betting, one that would protect Ohioans through responsible gaming practices. He noted successful legalized sports betting markets can generate more than 90 percent of revenue through online betting. Cochran also recommended that casinos offer multiple skins and a wide-ranging sports betting menu. The regulating body should offer a practical licensing process, he stated.
Inter-University Council of Ohio President Bruce Johnson noted concerns about the welfare of its student-athletes. He said the council does not want to see any college betting on its 14 schools. Johnson added the universities also would have to create “costly comprehensive compliance programs” for most everyone associated with sports.
He noted that many states are banning betting on in-state schools, although there’s no evidence that these bans are effective. Those games still will be available just over the state line in other states where sports betting is legal and through illegal operators. Johnson concluded, “Sports betting also demeans the competition and competitors alike by spreading a message that is contrary to the purpose and meaning of ‘sport.’”
The bowling industry also expressed its opinions about sports betting. Like the Ohio Licensed Beverage Association testified last week, representatives from Poelking Lanes and the Bowling Centers Association stated sports betting should be accessible through existing lottery kiosks. Joel Poelking said that would help keep bowlers at the lanes longer, like keno. “It’s a win-win for the state and small businesses,” Poelking said.
David Corey, executive vice president of Bowling Centers Association of Ohio, said sports betting at bowling centers would represent a small piece of the whole market, but a big deal for bowling centers. “Allowing sports betting is not a Covid-19 bailout. Rather it’s a long-term opportunity for our centers to thrive and be part of this new strategy in Ohio,” he said.
