Sports Betting

Minnesota Sports Betting Bill Could Be Approved By Next Week

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Minnesota Sports Betting Bill Could Be Approved By Next Week

The Minnesota sports betting bill is moving forward after House Ways and Means Committee approved the measure.

If everything goes right, it could be approved next week. This proposal would allow sports wagering with restrictions on college and in-game bets and on push notifications.

Minnesota sports betting bill stays alive after wagering language from HF-2000 was adopted in HF-5274

In order to help legalize online and retail wagering, a horse track regulation bill was combined late last week with the sports betting language from House File 2000. The committee adopted a delete-all amendment to make the changes.

HF-2000 and HF-5274 are both sponsored by Rep. Zack Stevenson (DFL-Coon Rapids). Stevenson argues that legalized sports wagering will help curb illegal betting in the future.

“It is unlawful to engage in sports betting in Minnesota today, and it happens every single day in extreme amounts,” Stephenson said. “We will be transitioning people from the black market into a legitimate marketplace.”

The House Ways and Means Committee adopted changes to HF-5274 on May 10, in efforts to keep sports betting legalization alive. The added language from HF-2000 into HF5274 calls for 11 online sports betting licenses with a 20% tax rate for operators, such as FanDuel and DraftKings, who are partnered with the North Star State’s tribal nations.

Furthermore, retail sportsbooks in Minnesota would operate at tribal casinos and race tracks. A select few of fantasy games could also be legalized. Stephenson did not include pari-mutuel wagering in HF-5274, citing his claim that it would potentially hurt the economic viability of the state’s two horse racing tracks.

Stephenson also said approval of the bill would allow the state to collect taxes on all sports wagers, which would help fund programs to treat problem gambling.

Other portions of the tax revenue collected would fund horse race tracks, regulate mobile betting and fantasy contests

According to the Minnesota House of Representatives, other portions of the tax revenue collected would be used to fund purse supplements of $625,000 annually at the tracks: 72% would go to Canterbury Park and 28% to Running Aces.

As for appropriations, the bill would appropriate $8.32 million in fiscal year 2025 to the Department of Public Safety. This would help establish and regulate mobile sports betting and fantasy contests. Future appropriations would be $5.49 million in fiscal year 2026 and $5.47 million annually beginning in fiscal year 2027.

HF-5274 will be heard on the Minnesota House floor on Wednesday. The session ends on May 20.

“There’s still a path to get sports betting done, but it’s a very narrow path,” Sen. Jeremy Miller (R-Winona) said on Monday. “We need to find a solution that benefits the tribes and the [horse racing] tracks.”

Last May, Minnesota’s legislative session ended without a proposal to legalize sports wagering reaching a vote. Stephenson introduced that bill as well. The measure had been passed by several house committees.

In fact, it would have allowed in-person sports betting at casinos run by the 11 Native American tribes in Minnesota. Each tribe would have also had the option to offer online gaming.