Alabama postpones sports betting as legislative session ends

Added: May 2, 2024

The Alabama House of Representatives adopted House Bills 151 and 152, but they did not include a regulation for sports betting or table gambling, therefore the state’s ambitions to legalize these activities have been delayed.

At the state’s Economic Development Committee hearing in February, these legislation originally had provisions for sports betting and non-tribal retail casinos. Subsequently, the Senate eliminated these clauses from the measures.

In the Senate version, the Poarch Band of Creek Indians—the only federally recognized tribe in Alabama—were given the exclusive right to operate retail casinos throughout the state.

Currently, the goals of HB 151 and HB 152 are to create a state lottery and allow the Alabama Gaming Commission to regulate up to seven licensed slot machines in the state. The money raised by these actions would go toward funding for education.

It will be difficult to sign these revised legislation into law, though. A recent Senate test vote was approved with one vote opposed. Furthermore, while Senate members continue to debate the bills during this legislative session, a conference committee has recommended that Governor Kay Ivey and the Poarch Band of Creek Indians negotiate a gaming agreement.

There is still optimism that the bills may be reevaluated in the future, despite the recent failures. There is still time for more discussion on the proposal, according to Senate President Pro Tempore Greg Reed.

A lottery, historical horse racing, and parimutuel wagering were among the altered versions of the measures that House members had previously voted against in April. In order to fund infrastructure, expenses, and education, these versions suggested income distribution and called for a constitutional modification.

Alabama expected these actions to bring in a sizable sum of money. A state lottery was predicted to bring in $305 million to $379 million a year, plus an additional $132 million from parimutuel wagering.

A seventeen percent tax rate on sports betting earnings was also included in earlier drafts of the laws, with the money raised going into a gaming trust fund that supports mental health and law enforcement.

Unfortunately, sports betting and other gambling choices will not be approved during this legislative session, so Alabama will have to wait for another chance to look into these possibilities of entertainment and income generation.