The Sports Betting Bill in North Carolina is Gaining More Support During the Legislative Session
The operation to legalize sports betting in North Carolina is picking up right where it left off in the legislative session. North Carolina’s online sports betting bill moved through three House committees in two days this week, paving the way for a floor vote next week.
HB 347 Looks to Move Through the State Chambers
Rep. Jason Saine led the charge for the initiative and expects the bill to receive a vote to advance to the Senate chamber next week. The Commerce Committee advanced the initiative by a vote of 17-10 on Wednesday.
It was recommended favorably by the Finance Committee, and it passed the Judiciary Committee 7-3. Sports betting was close to becoming legal during last year’s legislative session but failed by one vote in the House.
Regardless of the optimistic news, it will most likely be a narrow margin once again. The measure led by Rep. Saine has bipartisan sponsors, and Gov. Roy Cooper has been an advocate for sports wagering in the Tar Heel State.
Amendments That Were Evaded in North Carolina
In the previous session, prohibiting consumers from wagering on in-state collegiate programs was a major part of why the bill failed. North Carolina is home to some of the best programs in the nation.
Rep Saine believes that prohibiting wagering on in-state teams will lead betting volume on offshore sites or potential bettors will cross state lines to place bets in other states, which would hurt the monthly and revenue numbers.
During Tuesday’s Commerce Committee meeting, Rep. John Autry proposed a similar amendment. The amendment was defeated quickly via a 19-7, as was Rep. Pricey Harrison’s second attempt during Wednesday’s Judiciary Committee hearing. Rep. Deb Butler’s amendment prohibiting the use of credit cards for sports betting was also voted down, 18-8.
In the writing of the bill, the tax rate is set at 14 percent, which is slightly higher than last year’s proposed number of eight percent. In contrast, Finance Committee Rep. Tim Longest wants the tax rate to be more than 50 percent, which is found in both New York and New Hampshire. Without hesitation, the bill failed via voice vote.
What Will the Potential Market Look Like in North Carolina?
According to the plan, the jurisdiction will hand out 10 to 12 licenses in the state with a licensing fee of $1 million. The business venture is also supported by professional sports franchises in the state.
Gov. Copper’s two-year budget of $85 million in tax revenue from the operation. Rep. Saine pointed out that the state is losing money to neighboring states such as Tennessee and Virginia, which has mobile sports betting.
Currently, retail sports betting is only available in the two tribal locations in the Western part of the state. The Eastern Band of Cherokee Indians casinos opened their in-person sportsbooks in March 2021, while Catawba Nation casinos opened theirs in September 2022.
