Sweet Home Alabama may soon be home to casinos, sportsbooks and a state lottery.
Alabama lawmakers are weighing the option of allowing all three. They’ll talk about this in a public hearing at the House of Representatives as early as Tuesday.
The comprehensive gaming bill includes a constitutional amendment. If it gets approved by the Legislature, Alabama voters will decide on it in November.
That’s because, in Alabama, a constitutional amendment requires approval by 60% of both chambers of the legislature, followed by a simple majority vote by voters in November. After all, the Alabama Constitution prohibits gambling.
What The Alabama Gambling Bill Calls For
The legislation would create an Alabama Gaming Commission to license and regulate casinos. If passed, lawmakers would consider bids for casinos in six locations:
- Birmingham
- Mobile
- Greene County
- Houston County
- Lowndes County
- Macon County
Additionally, negotiations with the Poarch Band of Creek Indians could lead to the opening of a casino in northeast Alabama. Overall, this could mean up to 10 casinos in the state.
The proposed bill would grant authorization for sports betting at casinos and through online platforms and mobile applications.
Alabama sports betting bills dropped today (and they do way more than authorize sports betting) pic.twitter.com/R0DKy7dP4A
— Geoff Zochodne (@GeoffZochodne) February 8, 2024
Alabama is currently one of five states that don’t have a lottery. But that would change if the bill passes because a state lottery, which might include multi-state lotteries and scratch-off games, is part of the plan.
It also limits the number of bingo halls. A total of 17 halls would lose their licenses but would be permitted to continue operations until January 1, 2027, provided they adhere to specific regulations set forth by the new Gaming Commission.
The bill also requires the establishment of a self-exclusion list, regulations for problem gaming, and the development of addiction programs and treatment centers, without specifying a dedicated budget for any of these initiatives.
The Bill Needs Support on Both Sides of the Aisle
Remember, this depends on whether the constitutional amendment gets enough votes in the House and Senate.
For a constitutional amendment to pass, it necessitates a three-fifths majority vote in both the House and the Senate. Garnering the required 63 votes in the House will require support from members across party lines, including both Republicans and Democrats.
In the past five years, the Senate has twice pushed forward gambling-related bills to the House, where they ultimately stalled. However, with the support of House leadership, there’s potential for a shift in momentum within Alabama.
House Minority Leader Anthony Daniels mentioned publicly that the response from the Democratic caucus seemed favorable, although he noted it was premature to determine the caucus’s overall stance on the plan.
Daniels emphasized the importance of including provisions that would benefit retired educators, given that their pension benefits have failed to match the increasing costs of living.
NEW: Our EXCLUSIVE @WBRCnews @ALDailyNews poll conducted by Cygnal of Likely GOP Primary voters in Alabama show 71% support expanding gambling (lotto/casino/sports betting) if state proceeds go to education/healthcare, 20.5% oppose
Strongest support? Women under age 65 pic.twitter.com/I6wcy8vJ7M— Jonathan Hardison (@FOX6Hardison) February 7, 2024
Where Would the Money Go?
The goal is to raise an estimated $800 million to $1 billion in state revenue. Sports betting could generate as much as $10 million a year on its own.
The lottery revenue would go toward education, while casino and sports betting revenue would support other state needs.
Sports betting would be taxed at 17% of adjusted gross revenue and all other gaming would be taxed at 24%.
What’s Next for the Alabama Gambling Bill?
The pressure is on and time is running out.
Three out of the four states bordering Alabama currently provide some form of legalized gambling. Alabama’s legislative session ends on May 20, and any bills that fail to pass during this session will not be carried over to 2025.
Alabama Governor Kay Ivey supports sports betting.
Although there is a lot to work through, it appears gambling has its best chance ever to become locally regulated in “The Heart of Dixie.”
Meanwhile, residents in Alabama can still access the top offshore sportsbooks to satisfy their betting needs.
