The US states which are yet to be convinced on legalizing sports betting

Sports betting in the US has had a bit of a rocky history. In 1992, President George H.W. Bush signed the Professional and Amateur Sports Protection Act (PASPA), a federal law that limited sports betting to one state. In 2018 however, the US Supreme Court overturned that law, declaring it unconstitutional in a 6-3 decision, leaving it up to the states to decide whether their residents should be allowed to bet on sports. Essentially, allowing sports betting to be legalized on a state-by-state basis.

The ruling was made, in part, due to the potential for revenue. For many years, online sports betting websites offering offshore portals have been the ones banking in on a huge income — a predicted loss amount of 150 billion dollars. According to the American Gaming Association, over 40 million people in America bet on sports every single year on these recommended betting sites found here and more, with the NFL leading in individual sports betting with an mind-blowing 58 billion dollars spent during 2017.

The economic impact of the move

It’s clear from the numbers that the overruling of PASPA will have huge economic impacts on the country. This is a result of the impact it will have on taxes; according to research, legal sports betting will contribute a staggering $22.4 billion to US GDP, with local governments expected to take home around 7% to 15% of the tax figures, translating to approximately 3.4 billion dollars per year.

The new legislation will also have an incredible influence on job creation, with legalised sports betting expected to generate 216,671 jobs induced, indirectly and directly. This includes hospitality venues, the media industry, product fees and more.

The states that are yet to be convinced

Despite numbers showing the incredible economic benefits for states across the country, there are numerous states that are yet to be convinced to legalise sports betting, dividing opinions across the US. Some individuals are against its legalisation, suggesting there may be negative social-economic impacts on people in society. While others argue that everyone should spend their money as they wish and point out the benefits on the economies for local communities and the country at large. That being said, here are a few states that have legalised sports betting, and others who still need to make the move.

Nevada

Nevada is already a mature market, having once been the only state to permit a wide variety of legal sports betting. The types of wagering permitted include both mobile and in-person and they have 223 casinos across the state.

New Jersey

Governor Phil Murphy signed the sports betting bill early on in June 2018 and was the first customer in line at a William Hill sportsbook that took the first bets. While no betting on games involving in-state college teams are allowed, New Jersey have been quite fast to the mark getting sports betting legalised, with 9 casinos across the state and in-person and mobile wagering permitted.

Mississippi

Mississippi is another state that got onboard with legalisation quite early on. Two casinos owned by MGM Resorts booked their first sports bets in August of 2018. However, all sports betting in Mississippi must be made in person with mobile wagering to be considered at a later date. There are no real notable prohibitions in the state and 29 casinos as of December 2019

New Mexico

The Santa Ana Star Casino & Hotel booked its first sports bet in partnership with US Bookmaking in October 2018. With 32 casinos across the state, their prohibitions reflect New Jersey’s with no betting on games involving in state college teams. All wagering also must be done in person.

Oklahoma

Oklahoma is one of several states that have not yet taken on board sports betting; but indeed are moving towards legalisation. In April 2020 two tribes reached an agreement with Governor Kevin Stitt on gaming compacts that include sports betting. There has been some opposition however from both state lawmakers along with Oklahoma’s attorney general.

Maine

There have been some moves towards legislation in Maine — on the last day of the state’s legislatve session Maine lawmakers passed “An Act to Ensure Proper Oversight of Sports Betting in the State”. It wasn’t long after that the governor vetoed the bill, but many are hoping it will be re-introduced later in the year.

Utah

Utah is one of the few states in the US where it’s unlikely that sports betting will ever become legalised. The anti-gambling stance of the state is written into it’s constitution — a change in state policy towards gambling in general would be a huge shift from many decades of opposition to all forms of gambling. This includes table games and lottery tickets, and of course — sports betting. Time will tell if the revenue made by other states will get Utah lawmakers thinking differently on the matter.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes