A significant development is underway in North Carolina, where a bill to legalize mobile sports betting has been introduced in the state’s House of Representatives. House Bill 347, sponsored by Representative Jason Saine and a bipartisan group of lawmakers, aims to pave the way for online sports wagering in the state by January 1, 2024.
Key Provisions of HB 347:
Licensing: The proposed legislation would permit up to twelve operators to obtain renewable five-year licenses for a fee of $1 million each. This move opens the door for a competitive and regulated sports betting market in North Carolina.
Scope of Betting: HB 347 would authorize betting on a wide range of sports, including professional, college, electronic, and Olympic sports. This comprehensive approach caters to a broad spectrum of sports enthusiasts.
Regulation: The North Carolina State Lottery Commission would serve as the regulatory authority for sports betting in the state, ensuring fair play and adherence to regulations.
Taxation: The bill proposes a tax rate of 14 percent on sports betting revenue. This taxation would contribute significantly to the state’s revenue stream.
Utilizing Tax Revenue for Public Benefit:
HB 347 doesn’t just focus on the revenue generated from sports betting; it outlines a structured plan for allocating these funds for public welfare:
Health and Human Services: $2 million annually would be allocated to the Department of Health and Human Services for gambling education and treatment programs, addressing the importance of responsible gambling.
Youth Sports: $1 million would be dedicated to the North Carolina Division of Parks and Recreation to provide counties with grants of up to $10,000 for youth sports equipment and facility upgrades, nurturing the development of young athletes.
Higher Education: The bill aims to support higher education by providing up to $300,000 annually to the athletic departments of several universities in the state.
Outdoor Heritage: A portion of the tax revenue would be channeled to the North Carolina Outdoor Heritage Advisory Council to fund various grants, promoting outdoor activities and conservation efforts.
General Fund: The remaining tax revenue would contribute to the state’s general fund, supporting various public initiatives.
Bipartisan Support and Revenue Potential:
HB 347 enjoys bipartisan support, with sponsors including Republican Representative John Bell, the House Majority Leader, and Democratic Representatives Zack Hawkins and Ashton Clemmons. Representative Saine estimates that the state could conservatively generate at least $50 million in annual revenue from the sports betting market, emphasizing the economic potential of this endeavor.
Efforts to legalize sports betting in North Carolina narrowly missed success by a single vote in 2022. However, with the bipartisan collaboration and comprehensive provisions of HB 347, there is optimism that North Carolina may soon join the growing list of states offering legal mobile sports betting, providing both entertainment and economic benefits to its residents.