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With the Oklahoma legislative session just weeks away, lawmakers have already filed a bill aimed at legalizing sports betting in the state.
The bill was submitted by Oklahoma State Senator Dave Rader and would authorize tribes in the state to enter compacts to offer sports betting. However, Senate Bill 125 path forward is far from guaranteed. A similar bill, HB 1027, was filed in 2023 but failed to clear the house due to disagreements between Oklahoma Gov. Kevin Stitt and the tribes.
Despite past failed attempts, Sen Rader is optimistic about a positive change this year, citing the potential revenue sports betting could generate for the state. Speaking to Fox, he said, “I think it gives us a chance to strengthen our communication and our partnership with the tribes. I think it’s a win-win-win. I think it’s a win for the tribes, I think it’s a win for the state, I think it’s a win for our taxpayers.”
While the bill represents a renewed effort to legalize sports betting, it also underscores the challenges ahead. Rader noted that previous attempts have stalled due to a lack of agreements between the executive branch and tribal casinos. “Maybe this bill can be a bit of a push to say ‘Hey, you guys need to get this done.’ But it’s mainly there that if a compact can be agreed upon, then we have a law that we can turn to,” he explained.
What’s Inside the Bill?
One of the major highlights of the bill is the new fee structure, which requests 5% of the first $5 million net revenue in a calendar year, 6% of the next $5 million in revenue, and 7% for subsequent revenues.
Rader is looking to amend the Model Tribal Gaming Compact, which will require at least four of the state’s tribes to enter the compact agreement. Tribes would be allowed to amend their compacts with the state to offer in-person and mobile sports betting.
Another highlight of the bill is that it gives the Oklahoma tribes full control of sports betting in the state. This contrasts with Oklahoma Gov. Kenny Stitt’s 2024 push that allowed outside operators to come into the state.
Tribes Open to Positive Talks
The Oklahoma tribes have stated that they are open to positive discussions. In an interview last year, Matthew Morgan, chair of the Oklahoma Indian Gaming Association, was quoted saying, “Our members remain united to move our industry, our communities, and our state forward and will work with any partners who share that vision,” Morgan said. “We have several new faces in the state legislature and new leadership in each chamber and will see where the legislature and Governor Stitt’s priorities lie.”
However, before a sports betting compact agreement can be reached, the OIGA demands that the proposed solution does not breach existing compacts, utilize the compact supplement outlined in the compacts, and that the economics make sense for both sides.
As neighboring states, particularly Texas, move forward with their own gambling legislation, the urgency for Oklahoma to act intensifies. “We need to do it before Texas does. We have many many vehicles driving from Texas to Oklahoma to gamble at the tribal casinos, and we sure would like for those cars to continually be pointed at Oklahoma,” Rader stated.
Source: Yogonet
