Sports betting bill passes Minnesota House committee

The bill now heads to the Tax Committee.
The bill now heads to the Tax Committee.

Minnesota’s sports betting bill has passed through the House Judiciary, Finance and Civil Law Committee.

US.- The Minnesota House Judiciary, Finance and Civil Law Committee has voted 9-6 to advance a sports betting bill that would legalise online and retail sports betting at tribal casinos. Last week, the bill passed the Government Finance and Mobile Committee. It now heads to the Minnesota Tax Committee.

Bill HF 778, sponsored by Rep. Zack Stephenson, would allow in-person sports betting at tribal casinos and create up to two 20-year master online sports betting licences to organisations comprising two or more Minnesota Indian Tribes. The bill sets the minimum age for participation at 21.

Stephenson said during this week’s virtual hearing: “We have a robust black market here with estimates over $2bn in black market activity. People just use shady websites or digital workarounds and other means to place bets.

“What this bill is about is creating a legal market and that will displace the black market and in doing so, provide consumer protection, ensure the integrity of the game and limit money laundering and other illegal activities.”

The bill proposes a 10 per cent tax rate for mobile bets made off tribal land. Stephenson and state representative Pat Garofalo have said estimated tax revenue would be $20m. Of the revenues collected by the state, 40 per cent would go toward addressing problem gambling, 40 per cent to youth sports with an emphasis on areas with high juvenile crime, and 20 per cent to regulatory efforts and ensuring athletic integrity.

Andy Platto, the executive director of the Minnesota Indian Gaming Association, reiterated tribes’ support for Stephenson’s bill. However, Sam Krueger, executive director of the Electronic Gaming Group, opposes the amount of influence the tribes have on the bill and Rep. Peggy Scott has expressed concerns that the bill does not list the extent of criminal and civil penalties for tribes or individuals who break sports betting regulations.

See alsoMinnesota lawmakers present sports betting legislation

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