North Carolina’s push for legalizing mobile sports betting took a significant step forward as House Bill 347 (HB347) made its way through the Senate Commerce and Insurance Committee. The bill, which received several amendments, has now been referred to the Senate Finance Committee. This development signifies the state’s commitment to embracing online sports wagering, marking a potential milestone in North Carolina’s gambling landscape.
Key Amendments and Implications:
Tax Rate Adjustment: One of the significant amendments to HB347 was the increase in the proposed tax rate from 14% to 18%. This adjustment aims to maximize tax revenue generated from sports betting activities, potentially benefitting the state’s finances.
Removal of Promotional Credit Deductions: Another noteworthy change is the removal of promotional credit deductions from taxable Gross Gaming Revenue (GGR). This modification ensures a more straightforward and potentially more lucrative tax structure for sports betting operators.
Inclusion of Parimutuel Horse Race Betting: A significant inclusion in the Senate’s amendments is the incorporation of parimutuel horse race betting, which was not part of the House version. This expansion may diversify the state’s betting options, attracting a broader audience of bettors.
Legislative Journey:
HB347 was initially filed by Representative Jason Saine and received bipartisan support from fellow lawmakers. In March, the bill passed the North Carolina House with a 64-45 vote, demonstrating its potential to gain widespread approval. Governor Roy Cooper has expressed his intention to sign the bill into law if it successfully passes through the Senate.
Key Provisions of HB347:
Online sports wagering is set to be permitted by January 1, 2024, ushering in a new era for sports betting enthusiasts in North Carolina.
The legislation allows for the licensing of up to a dozen operators, offering five-year renewable licenses at a cost of $1 million each.
Betting will encompass a wide range of sports, including professional, college, electronic, and Olympic sports, broadening the scope of potential wagering opportunities.
The North Carolina State Lottery Commission would be responsible for regulating sports betting, marking a significant expansion beyond the current limited scope of sports betting, confined to tribal casinos in the state.
Past Efforts and Future Prospects:
North Carolina’s pursuit of legalizing sports betting has not been without its challenges. In 2022, efforts to pass sports betting legislation fell short by a single vote, highlighting the complexities of the legislative process. However, the recent progress of HB347 demonstrates the state’s commitment to embracing online sports wagering, opening up new revenue streams and betting opportunities for its residents.
The advancement of HB347 through the Senate Committee marks a significant step in North Carolina’s journey towards embracing mobile sports betting. With key amendments to the legislation, the state is poised to establish a regulated and potentially lucrative sports betting market. This progress could have far-reaching implications for North Carolina’s gambling landscape, offering a broader range of options to its residents while bolstering the state’s financial prospects.