Oregon Looks to Move on From Sports Betting Lottery System
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Oregon’s sports betting industry is run by the lottery in the state. The Beaver State has seen some success since the launch of betting but could see much higher growth if the state shifts from the lottery system to and creates an actual sports betting industry.
Oregon lawmakers already looking to take action as HB2127 was submitted on Tuesday in hopes of being discussed in the upcoming sessions. The bill had its first reading on Monday and is also backed by Governor Kate Brown, and would like to see the Oregon Racing Commission oversee sports betting in the state.
If the proposed bill passes, then it will be a huge shift in Oregon’s betting industry. The Virginia Lottery has one mobile operating called Scoreboard, and you can also bet at tribal casinos across the state. This industry in Oregon is minimal but could expand in 2021.
Details of HB2127
There are still details to be hashed out between the Oregon Lottery and sportsbooks, but the industry will have a total revamp under HB2127.
Per the details of the bill, the annual licensing fee would not exceed $50,000. There would be a mandated rulemaking sportsbooks use league data for live in-play betting. Under the Oregon Lottery, you cannot bet on college sports, which would be repealed thanks to HB2127. Leagues and Oregon Universities would also be allowed to ban certain bet types on their sports.
The bill is only six pages and is a brief overview of what to expect from an Oregon betting industry run by the Oregon Racing Commission. State lawmakers are not back in session until January 19 and discuss the new sports betting bill in detail.
HB2127 has a stronger chance of passing with Gov. Brown backing it. The state realizes that sports betting under the lottery system is not as lucrative as expected, and the state will want to expand the industry in 2021 potentially.
Oregon Sports Betting All Over the Map
The last few months of 2020 had Oregon sports betting releasing inconsistent reports. Some months revenue was up while the betting handle was down, and vice-versa.
December sports betting saw the betting handle hit $26.9 million for the month, but revenue dropped to just over $3 million. November saw $25 million in bets with $5 million in betting revenue.
Oregon has the 27th largest population among U.S. states and ahead of New Hampshire, Iowa, West Virginia, Nevada, and Rhode Island. However, the five states listed have larger betting handles than the Beaver State. Even factoring out Nevada, the sports betting capital, Oregon should have more success than these smaller states.
A lot of the reason has to do with the Oregon Lottery running sports betting. It hurts the overall industry when there is only one sportsbook available in the state, outside of tribal casinos. It’s no wonder why Oregon wants to move away from the lottery system.
This should help push a bill forward. Oregon could easily bring in $100 million per month if the state expands sports betting away from the Oregon Lottery.
