There are already Minnesota sports betting bills sponsored by legislators in both chambers, but a new piece of legislation has emerged that some believe may have the best chance of success in a state that has yet to reach a compromise on previous bills.
Latest Bill Funds Mental Health
State Senator John Marty, the sponsor of Senate File 5330, is the latest to enter the fray for bringing sports betting to the Minnesota masses. Although there are currently bills in both chambers, neither has moved for a floor vote, which created the vacuum necessary for yet another perspective on what sports betting will look like in the North Star State and where the funds will be earmarked.
In Senator Marty’s bill, the emphasis is on supporting mental health and problem gambling assistance as evidenced by the following revenue allocations:
- 25% for compulsive gambling treatment programs;
- 25% for the Minnesota affiliate of the National Council on Problem Gambling;
- 25% to the state general fund; and
- 25% for addiction prevention and mental health services in public schools.
Senator Marty’s bill calls for a 40% tax on sportsbooks’ adjusted gross revenues but there will be no in-game betting allowed nor will betting on college sports be allowed. The latter is a major revenue driver and pro-gaming legislators throughout the nation have been reluctant to support any bill in which it is banned.
Senator Marty is not necessarily a proponent of mobile sports betting as he was quoted as saying, “I think, five years from now, we’re going to have a lot of second thoughts.”
However, the legislation he has proposed allocates three-quarters of the revenue generated to mental health and problem gambling with only a quarter reserved for the general fund. If sports betting will ultimately be approved and regulated in Minnesota then this bill is ostensibly designed to protect those who will be disadvantaged from the activity.
As chair of the Senate Finance Committee, I don’t see legalized sports betting as a big revenue source for the state. I see the reality we face: huge additional costs to taxpayers in mental health and addiction problems. #mnleg #sportsbettinghttps://t.co/2imEXKq8LW
— Senator John Marty (@JohnMarty) March 14, 2024
Gambling Safeguards
Another facet of Senator Marty’s bill is the ban on push notifications from mobile sportsbooks, alerting users even when they are not logged on. “This drives many recreational gamblers into problem gambling, where they spend money they don’t have or cannot afford to lose,” Marty said.
In a news release, Marty stated, “The unfortunate reality is that gambling addiction has a higher risk of suicide than any other addiction. Half of the people in treatment have considered suicide. One in six have attempted suicide. That’s a huge public health problem.”
Marty’s bill also limits customers to depositing and losing a maximum of $500 in any 24-hour period. Moreover, a limit of $3000 in deposits within 30 days would also be implemented with a 72-hour cooling-off period instituted. Lastly, users would only be able to be logged on to their mobile sportsbooks for a maximum of four consecutive hours.
One of the major stumbling blocks with Marty’s bill is the lack of support for the state’s two horse racing tracks, Canterbury Park and Running Aces. Republican lawmakers are adamant about the tracks deriving a financial benefit from sports betting in the state.
Senator Matt Klein, the sponsor of the primary sports betting bill in the Senate, expressed optimism with Marty’s bill, saying, “I’m encouraged that he has proactive ideas about how to legalize sports wagering safely in our state and isn’t simply a hard no on the concept.”
