HB 151, a comprehensive gaming package sponsored by Representative Chris Blackshear, recently passed a Senate vote but with several drastic amendments, including the exclusion of retail and mobile sports betting.
Let’s go a little further into the reasons behind this exclusion and how it may impact the online sportsbooks industry.
Senate Whittles Bill
The gaming bill that passed the House and was sent to the Senate will return to the House with a starkly different look. A promising gaming package that included all the bells and whistles most states enjoy was amended by the upper chamber and removed retail and mobile sports betting as well as commercial casinos.
The sponsor of HB 151, Representative Chris Blackshear, had a strong advocate in Senator Greg Albritton who carried the torch in his chamber and lobbied for the bill as it stood. However, there was strong resistance to many aspects of the bill, which was ultimately stripped down but kept some aspects like the creation of a state lottery.
It also added other items like a gambling compact would be negotiated between the governor and the Poarch Band of Creek Indians (PCI). Parimutuel wagering and historical horse racing would be available at four racetracks as well as the bingo halls in Houston County and the town of White Hall. The governing and policing would be handled by the Alabama Gambling Commission.
According to Senator Albritton, the House bill would have spurred $1.2 billion annually in taxes but the Senate version has stripped much of the major revenue generators to where the bill in its amended form would deliver approximately $350 million to the state every year.
Despite Governor Kay Ivey voicing her support for the House package sponsored by Representative Blackshear, she did express optimism that a gaming bill was passed in the Senate and promised to review it.
“I am pleased the Senate advanced these bills and that the legislative process will continue. I will be thoroughly reviewing the latest versions to ensure what goes to the people is a good deal for the state,” said Ivey.
Tough Day at the Office
Senator Albritton hoped for the best in championing Representative Blackshear’s HB 151, and accompanying legislation HB 152 that specified tax rates and directed where the gaming proceeds should be allocated.
However, his expectations were tempered knowing that gaming legislation had been proposed approximately 15 times over the past 20 years to no avail. Alabama is one of only five states without a state lottery.
“We have to get control of the industry,” Albritton said. “We have to get blanket regulation to handle the industry. We want to cap it and stop the illicit growth and proliferation of illegal sites, not just on the ground, but online.”
After a long day of terse discourse in the Senate, the bill that came forward from the House was markedly different at the end of the session, much to the senator’s chagrin.
“You know it’s a bad day legislatively when you can’t get a tabling motion on a single bill, a single matter,” he said. “It was a pretty tough day. It was an unfriendly bill with at least a semi-hostile crowd, and they were all skeptics of what was happening. It was kind of an interesting endeavor.”
Because of the changes, the bill must now go back to the House for review. Representative Blackshear said he had not fully studied the Senate’s amendments but stated, “I have some opportunity next week since we’re on spring break to review the legislation passed by the Senate this evening.”
