The Oklahoma House of Representatives recently voted 66-22 to approve House Bill 3375, which would allow tribal casinos to offer craps and roulette in exchange for paying the state a monthly exclusivity fee of 10 percent of net winnings from the new games. A sports betting provision was removed from the bill. Sponsor state Rep. Kevin Wallace said, “Based on opposition from within the building, I’m hearing that sports book is the biggest problem. Ball and dice games don’t seem to be a problem. Those games are already being played, just without the die or the ball.”
Wallace added, “We’re not changing the compact at all. The terms will still be in place. I believe if you want to talk about leverage, sports books will be that leverage and we took that out of the bill.”
Analysts said exclusivity fees from roulette and craps could generate $22 million in the first year and $49 million annually after that. According to an Oklahoma Indian Gaming Commission study, tribal casinos have paid the state more than $1.1 billion in exclusivity fees since Class III gaming compacts were negotiated in 2006. If the current legislation passes, the first $20,833 of the monthly fees would go to the state Department of Mental Health and Substance Abuse and 88 percent of the remaining funds would go to the state’s Education Revolving Fund. Teachers have threatened a walkout if education funding is not increased by April 2.
Current tribal-state gaming compacts are scheduled to end January 1, 2020, but an evergreen clause would allow them to remain in place as long neither side requests a renegotiation within 180 days of that deadline.
A similar measure failed in the 2017 regular session. The current legislation now will be considered in the Senate, but no hearing has yet been scheduled.
