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Legalization of sports betting stalls again in Oklahoma legislature • Oklahoma Voice

Legalization of sports betting stalls again in Oklahoma legislature • Oklahoma Voice

OKLAHOMA CITY — Ongoing disagreements between the governor and the state’s tribes have created a difficult road to recent Republican hopes of legalizing sports betting, a senior gambling official said.

Matthew Morgan, chairman of the Oklahoma Indian Gaming Association, said that despite Gov. Kevin Stitt’s public push to legalize sports betting last session, there seemed little enthusiasm to make that move a reality.

“After that, there was no real discussion about sports betting because there was just too much fuss and too much disagreement about how the industry works,” Morgan said.

He also said his The association, which has 25 tribes as members, has not yet seen any “real public outreach” or efforts by government leaders to reach out to the tribes on this issue.

“But I would also like to tell you that from our perspective, we have not seen any real interest in sports betting from the state legislature or the governor’s office,” Morgan said.

Morgan said sports betting is a low-margin business and he believes tribal leaders are open to talking about a deal within the framework of their existing contracts. However, he said tribes are not interested in signing new contracts or taking unnecessary economic risks.

Republican lawmakers have tried unsuccessfully for years to legalize sports betting following the U.S. Supreme Court’s 2018 ruling. Decision that suggested the Professional and Amateur Sports Protection Act, which banned state-sponsored sports betting with some exceptions.

And in November, Stitt surprised tribes and lawmakers with their own plan for legalization.

But his proposal was met with immediate opposition. Tribal leaders said Stitt never consulted them when drafting the plan. And while he gave tribes exclusive rights to offer on-site betting, he allowed any operator willing to pay $500,000 for a license to operate mobile gambling.

Critics at the time said online betting accounted for 95 percent of revenue and pointed out that existing gambling agreements between states and tribes gave tribes the sole right to offer gambling.

Stitt, on the other hand, has had a difficult relationship with tribal leaders since he falsely claimed that existing gaming contracts would not be automatically renewed during a failed attempt to renegotiate terms.

Stitt’s office did not respond to a request for comment. Several tribal nations also declined to comment or did not respond at all.

Some form of sports betting is legal in 38 states and the District of Columbia.

Sen. Casey Murdock, R-Felt, who proposed SB 1434 during the 2024 legislative session, said he was unsure why the bill did not move forward. He believed his bill was “fair to every Oklahoman.”

Murdock’s bill closely followed Stitt’s vision and would have allowed anyone to offer mobile sports betting, but it failed to pass the Appropriations Committee.

“I think when we did the gambling agreements, we didn’t even look at sports betting and especially mobile betting on cell phones,” Murdock said. “This is totally new and I think we should start from scratch and make it fair for every Oklahoman.”

Jay Finks, executive director of the Oklahoma Lottery Commission, says sports betting is high-risk and the profit margins are much smaller.

State Sen. Bill Coleman, R-Ponca City, authored HB 1027, the most promising attempt to legalize sports betting yet. (Photo by Kyle Phillips/For Oklahoma Voice)

Finks said that because of tribal nations’ dominance of the gaming industry, it is unlikely that Oklahoma will see a highly competitive market between companies like Draft Kings or FanDuel.

The most promising attempt to legalize sports betting came during the 2023 legislative session with HB1027The bill passed the House of Representatives but failed to advance. It would have granted tribes a compact amendment allowing them to offer sports betting.

Senator Bill Coleman (R-Ponca City), one of the bill’s authors, said his constituents frequently contact him to promote sports betting.

“I live near the state of Kansas and I can imagine money flowing out of the state of Oklahoma to Kansas, where sports betting is legal,” Coleman said.

Coleman said that passing a law like HB 1027 is not a one-time thing and that it usually takes two or three years for such a law to pass.

“You have the governor, you have the tribes, you have the legislature, you have a lot of people giving their input, and it just takes time for everyone to be on the same page,” Coleman said.

Coleman said he has a “gut feeling” that sports betting legislation could pass within a year. There are possible plans to bring up sports betting legislation again in a future session, he said.

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