South Dakota Sports Betting Referendum Bill Defeated

In a surprising turnaround, South Dakota legislators used a procedural move to advance a bill allowing a referendum on sports betting in Deadwood, following a House committee’s rejection earlier in the day. The Senate already passed the bill, so if the full House passes it, only Governor Kristi Noem’s (l.) signature would be required for a November 2020 vote.

South Dakota Sports Betting Referendum Bill Defeated

All in one day, the South Dakota House State Affairs Committee voted 7-3 to reject a bill allowing a referendum on sports betting in Deadwood, South Dakota. But later, lawmakers used a procedural move to advance the bill to the full House floor, despite the committee’s rejection.

The Senate already passed the measure, so if the full House passes it, all that would be required would be Governor Kristi Noem’s signature. Then voters could decide the issue in November 2020.

If the legislation is defeated in the House, or if it passes the House but is vetoed by Noem, supporters could opt for a petition drive to collect more than 34,000 signatures from registered voters by November 3, so the issue could appear on South Dakota’s 2020 ballot. That’s what Deadwood Gaming Association Executive Director Mike Rodman proposed after the measure was defeated in committee. Rodman said, “We believe that people have a right to have their say in sports betting, and we want to give them that opportunity.” He added sports betting would offer another amenity for visitors and provide a boost for hotels, shops and restaurants, Rodman said.

Prior to the original defeat of the measure, Revenue Department Deputy Secretary David Wiest said, “Governor Noem has made it clear that she does not wish to have gambling expanded in South Dakota.” He added regulation costs would surpass any revenue generated by sports betting since it would be an “entirely new form of gaming” and the department would have to hire an additional staff member.

In 2014, 57 percent of voters approved an amendment allowing keno, craps and roulette at Deadwood casinos.