Vermont has officially entered the realm of legal online sports betting, with Governor Phil Scott signing HB 127 into law. Becoming the third U.S. state to embrace this dynamic sector in 2023, Vermont follows in the footsteps of Kentucky and North Carolina, both of which also recently legalized online sports betting. The regulatory timeline laid out in the Vermont bill indicates that online betting will be accessible to residents by January 2024.
Legislative Journey:
The path to legalizing sports betting in Vermont was marked by a series of developments and Senate amendments. HB 127, originally introduced by Representative Matthew Birong and co-sponsored by nine other House members, faced a complex journey through the legislative process. However, it has now emerged as a groundbreaking law that opens up the doors for online sports betting in the state.
Regulatory Framework:
Under the newly enacted law, sports betting in Vermont will be overseen by the Department of Liquor and Lottery. The legislation allows for a minimum of two and a maximum of six online sports betting licenses. Notably, Vermont has opted for an online-only approach, with no provisions for brick-and-mortar sportsbooks.
Licensing Fees:
The Senate amendments clarified a tiered structure for licensing fees, depending on the number of operators awarded contracts. Here’s a breakdown:
Two operators: $412,500 per operator
Three operators: $366,666 per operator
Four operators: $343,750 per operator
Five operators: $330,000 per operator
Six operators: $320,833 per operator
Revenue Contribution:
To operate in the state, interested sports betting operators will need to commit to contributing at least 20% of their gross gaming revenue to the state. This requirement ensures that Vermont receives a share of the proceeds and reinforces the integrity of the betting market.
Governor’s Perspective:
Governor Phil Scott expressed his support for the legalization of sports betting, emphasizing its potential benefits to the state. He highlighted that many Vermonters already participate in the sports betting marketplace, and bringing it under legal oversight will provide crucial resources and consumer protections. Vermont now aligns itself with numerous other states that have embraced this form of entertainment.
Vermont’s move to legalize online sports betting underscores the state’s commitment to providing its residents with new opportunities for entertainment and economic growth. As the third state in 2023 to embark on this journey, Vermont joins the evolving landscape of legal sports wagering in the United States. With the launch set for January 2024, Vermonters can look forward to a new dimension of gaming and entertainment.