Oklahoma Sports Betting Bills Improbably Pass Senate Committee

After passing through the House in March, a pair of bills to legalize Oklahoma sports betting have passed a Senate committee vote and advanced one step closer to becoming law.

Rep. Ken Luttrell’s House Bill 1047, which would grant exclusive sports betting rights to Oklahoma tribes, passed the Senate Business and Commerce Committee by a vote of 8-1. The second bill, House Bill 1101, passed 6-3 and calls for a public vote on the matter if HB 1047 fails to pass the legislature or Gov. Kevin Stitt vetoes it.

Luttrell passed similar legislation in the House in 2023, but it died in committee. Earlier this month, Luttrell’s efforts seemed destined to suffer the same fate.

Two Routes to Legalization

With their passage of the Senate committee, the bills head to the Senate floor and must pass another vote. If that happens, the bills would reach the governor’s desk to be signed into law.

Stitt has indicated he would veto any sports betting legislation tied to the tribes. 

However, HB 1101 can supersede his veto and serve as an alternate path to legal sports betting. The legislature would need to pass it with a two-thirds majority to override the governor’s veto and put the issue up for a popular vote later this year.

With the traditional legislative path, HB 1047 would give Oklahoma tribes exclusive rights to online sports betting. They would pay a 10% fee to the state of all adjusted gross revenue, which would allow tribes to subtract voided wagers, free play, promotional credits, “generally accepted associated operating costs” and federal excise taxes.

An additional bill, authored by Sen. Bill Coleman, SB 585, proposed granting an online sports betting license to the Oklahoma City Thunder and allowing tribes to offer sports betting on tribal land. That bill passed the Senate, but the House Appropriations and Budget Committee withdrew it on April 7.

Tens of Millions on the Table for the State Annually

Despite his bill dying in the House, Coleman voted in favor of HB 1047 and HB 1101 in the Senate committee. He estimates that legal sports betting will have a fiscal impact of between $14 million and $42 million annually for the state, resulting in a positive outcome for the state and its tribes.

Coleman cited Kansas’ numbers, one state to the north, as a reason for his estimates. Four of six states bordering Oklahoma have operational sportsbooks and reported the following revenue statistics in 2024:

  • Colorado: $475.2 million in revenue; $31.9 million in state taxes
  • Kansas: $216.7 million in revenue; $12.7 million in state taxes
  • Arkansas: $48.4 million in revenue; $7.1 million in state taxes
  • New Mexico: run by tribes; no data

Another state, Missouri, legalized sports betting through a ballot measure last fall. The market must launch by Dec. 1. 

Oklahoma’s final neighbor, Texas, lags in all gambling legislation. Oklahoma casinos already benefit from Texans, and sports betting figures to do the same if it becomes legal in the Sooner State.

Oklahomans Already Betting; Neighboring States Cashing In

House Speaker Kyle Hilbert was one of those who voted in favor of Luttrell’s bills last month, despite not supporting gambling. 

“Oklahomans, believe it or not, they are doing this already,” said Hilbert after the bill moved through the Senate committee. Given that context, the state has an incentive to keep and reinvest as much of those funds in Oklahoma.

Luttrell shared a similar sentiment when his bills passed the House vote, adding that sports betting would strengthen the state’s economy and provide additional funding to critical services, including mental health services and responsible gambling.

“These bills represent a balanced approach, ensuring both tribal and public interests are served,” said Luttrell. “By legalizing sports betting, we’re not only creating new opportunities but also capturing revenue from millions of dollars that are currently being bet illegally or out of state.”

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Hill Kerby has been involved in the gaming industry for more than 5 years. That started with one of his intense passions: poker (and online poker). However, since then, he has also developed a love for all verticals within online gaming, and he now writes about sports betting, icasinos, social casinos, horse betting, and ilottery in addition to his poker coverage. Hill has a background in psychology, which gives him an ability to offer rare insights and analysis in his writing. Hill is a proponent of safe, legal betting and is grateful to be able to contribute to growing the industry.

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