Arizona gamblers could place sports bets on machines at their local bar and at tribal casinos under a bill proposed by Sen. Sonny Borrelli, R-Lake Havasu City.
Borrelli's bill is one of several around the country being pushed in the wake of a U.S. Supreme Court ruling last year that opened the door to state-regulated sports betting.
Borrelli proposes allowing the tribes to set up kiosks at bars outside their respective reservations to accept bets on professional sports and tax them at no more than 6.75 percent rate under the state amusement tax.
The bill, Senate Bill 1158, is scheduled to receive its first hearing Thursday at 9:30 a.m. in the Senate Commerce Committee. He said he has been meeting with tribes and other stakeholders to see if he needs to make any minor changes.
"This is a great way for the tribes to make some money, a great way for the state to make some money, and for the adult-beverage industry to also make money," Borrelli said Monday.
Arizona does not have legalized sports betting anywhere, but eight other states have approved it.
Borrelli said off-site betting machines are important because they open the business to more potential customers in Arizona. Without them, he would have to drive to Parker from his home in Lake Havasu to place a bet.
"I’m not going to go down there and place a bet for 10 bucks," he said, adding he also could drive across the border to Laughlin, Nevada. "I'd rather see that money stay here in Arizona."
He said he gives his bill 80 percent odds of becoming law.
"So far I've got support from the tribes and support from the bar industry, if you will," he said. "Even nonprofits, the Elks, the American Legion are excited. This is something they can have in their lodge or post."
Sports-betting kiosks look much like the kiosks at airports that passengers use to check in for flights.
Ducey was interested last year
Borrelli said he hasn't received an indication from Gov. Doug Ducey's office on whether he would sign such a bill.
"Right now they are mum on any bills we do," he said.
However, following last year's Supreme Court decision, Ducey tweeted his interest in bringing sports betting to Arizona.
"This ruling gives Arizona options that could benefit our citizens and our general fund," Ducey wrote last May, following a landmark ruling won by New Jersey that struck down the Professional and Amateur Sports Protection Act.
"Congress can regulate sports gambling directly, but if it elects not to do so, each state is free to act on its own," Justice Samuel Alito said at the time.
The NCAA and the four major professional sports leagues — baseball, football, basketball and hockey — opposed New Jersey's efforts to allow betting.
Arizona Attorney General Mark Brnovich, a former director of the state Department of Gaming, also cheered last year's decision. He had filed an amicus brief with the court arguing the ban violated states' rights.
The court decision sent states scrambling to legalize sports betting. According to the American Gaming Association, 10 states now have legalized sports betting, 15 have bills proposing to do so and another 12 are expected to consider it this year.
The gaming association released a survey Jan. 30 that claimed 80 percent of Americans support the expansion of sports betting.
Some gambling opponents have not yet made up their minds on the proposal.
The Center for Arizona Policy, a conservative group that's influential among Republican lawmakers, hasn't taken a position on the bill, but will follow it, President Cathi Herrod said.
"The Center for Arizona Policy has significant concerns about expanding gambling and has opposed proposals to expand it in our state," she said. "At this point we are still looking at (this bill)."
Tribal compacts not affected
Borrelli said his bill does not change the gambling compacts the state has in place with tribes. Those compacts allow Las Vegas-style gambling and limit the types of games allowed. Tribes pay 1 to 8 percent of their gambling revenue to state and local governments.
Sixteen Arizona tribes run 24 casinos in the state, according to the Arizona Department of Gaming, and another six have slot machine rights they can lease to other tribes.
Under his bill, each sports-betting machine run by a tribe would count against the total number of gambling machines allowed in the tribe's compact. Under the current compacts, Arizona tribes are allowed to run 18,158 machines. Tribes currently operate about 15,000 machines, according to the Arizona Department of Gaming.
The amount of money Arizona could generate with sports betting is unclear, considering so many other states are moving in the same direction and each expansion likely would cut into transactions in other states.
Nevada casinos won more than $301 million from bettors at their sports books in 2018, according to the Nevada Gaming Control Board annual revenue report. That was six percent of the money wagered on sports by gamblers.
That is a much lower percent than the "hold" on games such as blackjack (14 percent) and roulette (18.5 percent), according to the report.
Sports books only represent about 2 percent of the gambling revenue for Nevada casinos, according to the most recent Nevada Gaming Abstract, and the books earn less money per square foot of casino space than any other type of betting.
But sports betting still is important to the business because it gets people in the door.
"There's a lot of interest here," Borrelli said.
https://www.google.com/amp/s/amp.azcentral.com/amp/2767270002
Borrelli's bill is one of several around the country being pushed in the wake of a U.S. Supreme Court ruling last year that opened the door to state-regulated sports betting.
Borrelli proposes allowing the tribes to set up kiosks at bars outside their respective reservations to accept bets on professional sports and tax them at no more than 6.75 percent rate under the state amusement tax.
The bill, Senate Bill 1158, is scheduled to receive its first hearing Thursday at 9:30 a.m. in the Senate Commerce Committee. He said he has been meeting with tribes and other stakeholders to see if he needs to make any minor changes.
"This is a great way for the tribes to make some money, a great way for the state to make some money, and for the adult-beverage industry to also make money," Borrelli said Monday.
Arizona does not have legalized sports betting anywhere, but eight other states have approved it.
Borrelli said off-site betting machines are important because they open the business to more potential customers in Arizona. Without them, he would have to drive to Parker from his home in Lake Havasu to place a bet.
"I’m not going to go down there and place a bet for 10 bucks," he said, adding he also could drive across the border to Laughlin, Nevada. "I'd rather see that money stay here in Arizona."
He said he gives his bill 80 percent odds of becoming law.
"So far I've got support from the tribes and support from the bar industry, if you will," he said. "Even nonprofits, the Elks, the American Legion are excited. This is something they can have in their lodge or post."
Sports-betting kiosks look much like the kiosks at airports that passengers use to check in for flights.
Ducey was interested last year
Borrelli said he hasn't received an indication from Gov. Doug Ducey's office on whether he would sign such a bill.
"Right now they are mum on any bills we do," he said.
However, following last year's Supreme Court decision, Ducey tweeted his interest in bringing sports betting to Arizona.
"This ruling gives Arizona options that could benefit our citizens and our general fund," Ducey wrote last May, following a landmark ruling won by New Jersey that struck down the Professional and Amateur Sports Protection Act.
"Congress can regulate sports gambling directly, but if it elects not to do so, each state is free to act on its own," Justice Samuel Alito said at the time.
The NCAA and the four major professional sports leagues — baseball, football, basketball and hockey — opposed New Jersey's efforts to allow betting.
Arizona Attorney General Mark Brnovich, a former director of the state Department of Gaming, also cheered last year's decision. He had filed an amicus brief with the court arguing the ban violated states' rights.
The court decision sent states scrambling to legalize sports betting. According to the American Gaming Association, 10 states now have legalized sports betting, 15 have bills proposing to do so and another 12 are expected to consider it this year.
The gaming association released a survey Jan. 30 that claimed 80 percent of Americans support the expansion of sports betting.
Some gambling opponents have not yet made up their minds on the proposal.
The Center for Arizona Policy, a conservative group that's influential among Republican lawmakers, hasn't taken a position on the bill, but will follow it, President Cathi Herrod said.
"The Center for Arizona Policy has significant concerns about expanding gambling and has opposed proposals to expand it in our state," she said. "At this point we are still looking at (this bill)."
Tribal compacts not affected
Borrelli said his bill does not change the gambling compacts the state has in place with tribes. Those compacts allow Las Vegas-style gambling and limit the types of games allowed. Tribes pay 1 to 8 percent of their gambling revenue to state and local governments.
Sixteen Arizona tribes run 24 casinos in the state, according to the Arizona Department of Gaming, and another six have slot machine rights they can lease to other tribes.
Under his bill, each sports-betting machine run by a tribe would count against the total number of gambling machines allowed in the tribe's compact. Under the current compacts, Arizona tribes are allowed to run 18,158 machines. Tribes currently operate about 15,000 machines, according to the Arizona Department of Gaming.
The amount of money Arizona could generate with sports betting is unclear, considering so many other states are moving in the same direction and each expansion likely would cut into transactions in other states.
Nevada casinos won more than $301 million from bettors at their sports books in 2018, according to the Nevada Gaming Control Board annual revenue report. That was six percent of the money wagered on sports by gamblers.
That is a much lower percent than the "hold" on games such as blackjack (14 percent) and roulette (18.5 percent), according to the report.
Sports books only represent about 2 percent of the gambling revenue for Nevada casinos, according to the most recent Nevada Gaming Abstract, and the books earn less money per square foot of casino space than any other type of betting.
But sports betting still is important to the business because it gets people in the door.
"There's a lot of interest here," Borrelli said.
https://www.google.com/amp/s/amp.azcentral.com/amp/2767270002
