Massachusetts One Step Closer to Legal Sports Betting

On Tuesday, The Massachusetts House passed a $459 million economic development bill that includes funding for nonprofits affected by the coronavirus pandemic, local projects, and language legalizing sports betting.

Lawmakers passed the economic development bill, 156-3, after two days of reviewing more than 500 amendments. The engrossed bill is close to $100 million more than when it was first released by the House Ways and Means Committee last week.

The House bill, H.4879, sets aside more than $62 million for public entities and nonprofits statewide, especially those that have lost revenue during the coronavirus pandemic.

The bill also incorporates language from the governor’s “housing choice” bill, which requires a simple majority of local officials rather than a two-thirds majority approve zoning changes for certain developments, and proposes legalizing sports betting.

Sports Betting Details

The House bill now moves onto the Senate, which puts sports betting one step closer into law for Massachusetts. The bill still offers three types of licenses, one for online and in-person betting at casinos, one for in-person betting at race tracks, and one for sports betting on mobile or other digital-only platforms.

DraftKings, FanDuel, MGM, and the Boston Red Sox, who have joined forces to push for sports betting legalization, welcomed the possibility of sports betting language in the multi-million-dollar economic development bill.

License holders would need to pay a 15 percent tax. The bill will also include a one percent fee on sports bets placed in Massachusetts stadiums, which would they will divvy up among the owners of the teams that play there. There will not be a ban on better college sports, except for in-game props. The bill will also include league data as well as betting on sports.

Now that the bill has passed the House, it will turn over to the Senate for scrutiny, according to sources close to the matter.

What is Next Massachusetts Sports Betting?

The Senate meets at 11 a.m. Wednesday to debate its economic development bill, which does not include sports betting. The bill, S.2842, has more than 300 amendments, including a handful that would legalize sports betting.

The Senate sees the economic development bill is a priority; there must be further consideration of the sports betting laws involved.

Sen. Brendan P. Crighton, the vice-chair of the Joint Committee on Economic Development and Emerging Technologies, filed an amendment to insert sports betting language. His proposal is similar to the House version, though it doesn’t include a 1% facility fee or fantasy contests.

There is a chance that the House and Senate could agree on a sports betting bill by Friday. However, there is no guarantee of that, as of writing this. Both branches of Massachusetts Congress do have a sense of urgency to pass the economic bill along with sports betting.

State revenue has taken a hard hit in the state due to coronavirus, and the state is doing everything in its power to generate revenue. Massachusetts lawmakers know how important sports betting could be to a local economy. Right now, every bit of revenue will help the state.