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On Tuesday, a bill that would legalize sports betting passed a committee in the Minnesota House of Representatives, earning advancement to the State Senate. But, key political leaders are predicting it will never gain enough support to pass. Several Minnesota Republicans, including State Representative Greg Davids, are pessimistic about a sports betting bill being signed by the governor any time soon. “This bill will not pass,” Davids said on Tuesday, though he did not elaborate on what makes him so certain.
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HB 2000 May Not Have Support in Senate
House Bill 2000, sponsored by nine MN Democrats and one Republican (Rep. Elliott Engen), passed the House Taxes Committee on Tuesday morning. The next step is debate and a possible vote in the State House chamber, which is controlled by the Democrats, and apparently approves of legalization of sports betting. However, HB 2000 may not have the support it needs in the Senate.
A bill must be passed by a majority vote in both houses of the Minnesota state legislature before it can be sent to the desk of Gov. Tim Walz (D), who has expressed his interest in legalizing sports betting, as a way to generate additional tax revenue. HB 2000 would tax revenue from online sportsbooks at 20%. The bill would allow Minnesota’s 11 federally-recognized tribes to apply for a single license for online sports betting apps and sportsbook websites.
In addition, Daily Fantasy Sports would be legalized and taxed at 10% of revenue. During the House Taxes Committee hearing, chair Aisha Gomez (D) was at odds with some of her Republican colleagues, even pointing out that some of their comments were not based in fact. This is not the only sports betting proposal that could be entertained by the 93rd Minnesota State Congress: a few other bills have also been prepared, which could be submitted for committee review and a vote.
Minnesota is one of the few states in the Great Lakes region that does not have legal online sports betting. Michigan, Illinois, Iowa, Ohio, Indiana, and Pennsylvania all have vibrant sports betting markets. Only Minnesota and Wisconsin have yet to pass it into law.
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