A bill seeking to allow online sports betting in North Carolina passed two major hurdles on Tuesday. The State Senate Finance Committee and State Senate Rules and Operations Committee greenlighted House Bill 347, sending the proposal for a vote on the Senate floor, where it will require two votes as it includes a new tax rate for the state.
If passed, the legislation would allow up to 12 sportsbooks based in the Tar Heel State, some with an online presence and others via a retail operation at places like Bank of America stadium or Charlotte Motor Speedway. A formal timetable for a vote on the Senate floor has yet to be announced, although many stakeholders anticipate a vote sometime this week.
Retail betting sites contemplated under the bill include those that play host to a NASCAR Series race, a pro golf tournament with more than 50,000 live spectators, and facilities that are home to MLB, MLS, NBA, NFL, NHL, or NWSL franchises. The NBA Charlotte Hornets, NHL’s Carolina Hurricanes, and NFL Carolina Panthers all call North Carolina home.
Sports betting has been a hot topic of discussion in North Carolina for years now. While previous efforts failed to reach the finish line, many believe things could change this time around, and the push has the backing of Governor Roy Cooper, who has said previously that he would sign sports wagering legislation should it land on his desk.
Gov. Roy Cooper
Last week, the Senate Commerce and Insurance Committee favorably passed HB 347 after it received some amendments. These included a raised tax rate from 14% to 18%, the removal of promotional credit deductions from taxable GGR, and the legalization of parimutuel horse race betting and historical horse race wagering on slot-like machines.
However, further amendments were introduced to the bill on Tuesday, which has significantly been modified since it passed the House in late March. While the tax raise and the rule on credit deductions survived, horse racing proved to be a more controversial issue. While parimutuel betting remains, an amendment was passed to disallow any betting on historical horse racing.
Moreover, the Finance committee unanimously approved an amendment that stipulates sports betting launch “no later than 12 months after the act becomes law.” The bill originally set the launch date for Jan. 8, 2024. A requirement that brick-and-mortar sportsbooks close eight hours before or during college games was also struck down on Tuesday.
Betting on professional, college, electronic, and amateur sports would be allowed, in addition to any other event approved by the State Lottery Commission, as per the House version. Wagering is limited to those 21 and over, and the bill does not affect the current betting allowed on Native American lands. Online sports betting licenses will cost $1 million for a five-year license.
A new fiscal estimate was included for the bill to reflect its increased 18% tax rate, which forecasts total wagering tax and fee revenue for fiscal year 2023-2024 of $22.1 million, increasing to $100.6 million by FY 2027-28.
The Senate version, if approved, would also have to be passed by the State House, which would have to concur with the changes before it is sent to Gov. Cooper. If the plan turns out successful, North Carolina would be the 29th state to approve sports betting outside casinos.
Original article: https://www.yogonet.com/international/news/2023/05/31/67350-north-carolina-sports-betting-push-gains-momentum-after-bill-clears-two-more-senate-committees
