Local Business Owners and Lawmakers Push for Legalizing Sports Betting in Massachusetts

Despite the conclusion of the Super Bowl, Massachusetts remains excluded from the sports betting industry. Local businesses and lawmakers are once again advocating for the legalization of sports betting in Massachusetts, aiming for it to be realized by the coming year.

Local business owners want in on legal sports betting

Alongside more than 100 other bar and restaurant owners in the state, Bill Stetson, the proprietor of Chicopee’s Rumbleseat Bar and Grille, has lent his support to State Senator Adam Gomez’s sports betting bill.

The bill proposed by Senator Gomez aims to permit businesses to provide customers with the option to utilize kiosks for placing sports bets. Given the adverse impact of COVID on numerous establishments, the implementation of kiosks is expected to enhance their financial gains.

Stetson expressed concern regarding the limited availability of sports betting freedom, as it was exclusively granted to the Massachusetts casinos.

He stated that what truly counts is if the individuals responsible for the ultimate decision and vote exclude the 20,000 small businesses, mostly owned by families, and instead prioritize the three casinos.

Stetson highlights the fact that casinos have successfully provided various gambling liberties, and suggests that local businesses should be given comparable chances.

He expressed the idea that, similar to how casinos are allowed to offer Keno and lottery, we should also be allowed to engage in sports gambling.

What are local lawmakers doing to push sports wagering in MA?

In the latter part of the previous year, the Massachusetts Gaming Commission mandated the Social and Economic Impacts of Gambling in Massachusetts (SEIGMA) to conduct a study on sports betting.

The study aims to convince the state’s senate about the advantages of sports wagering in Massachusetts. The Commission is optimistic that the study will be completed by June 2022, coinciding with the end of the state’s fiscal year.

Sen. Eric Lesser, a prominent advocate for legal sports betting in the state, has revealed his intention to contest the position of Lieutenant Governor in the upcoming gubernatorial election scheduled for November.

A senator of the people

Lesser has repeatedly presented his own sports betting bills, which have gained widespread support in the state’s House. However, the Senate has failed to take action in passing sports betting legislation in Massachusetts.

Senator Lesser is pushing for the legalization of sports betting in Massachusetts this year through his latest endeavor, Bill S.269, titled “An Act to Establish Sports Wagering in the Commonwealth.”

In July 2021, his new bill successfully made its way from the House to the Senate. Although there has been no progress in passing the bill in the state Senate so far, Lesser maintains an optimistic outlook.

Senator Lesser expressed his desire to resolve and reconcile the matter as soon as possible. However, he regretfully mentioned that there is currently no specific timeframe for its completion.

Past iterations of sports betting legislation have faced rejection due to their incorporation of lawful bets on collegiate sports. Additionally, the state has engaged in discussions regarding the logistics and locations for individuals to make their wagers.

In Lesser’s recent proposal, he specifically focuses on permitting legal bets exclusively on professional sports, while excluding college sports. Moreover, he emphasizes the importance of incorporating local businesses into any sports betting laws.

He clarified that one reason for the slow pace is to facilitate collaboration among all parties involved, with a primary focus on incorporating the perspectives of the local community to the highest extent feasible.

How the state could benefit from legal sports betting in Massachusetts

In May 2018, the United States Supreme Court (SCOTUS) invalidated the federal prohibition on sports betting. Following this decision, wagering has been legalized in 30 states.

Massachusetts shares its borders with Connecticut, New Hampshire, Rhode Island, and New York, all of which have implemented legal sports betting systems.

Residents of Massachusetts can easily place sports wagers by simply crossing state lines, resulting in a loss of state tax revenue as it goes to neighboring states.

Out of all the states, New Jersey holds the record for the most sports wagers taken outside of Nevada. The year 2021 saw New Jersey amass an impressive $95 million in tax revenue solely from sports betting.

The recently proposed sports betting bill in Massachusetts provides a detailed analysis of the potential revenue that the state could generate from sports betting. The bill outlines the specific tax rates applicable, which are as follows:

• Mobile sports bets account for 15% of the total bets placed.
• A 5% commission is charged for sports bets placed in person.

Massachusetts sports betting is projected to generate approximately $60 million in tax revenue, with an additional $80 million achievable every five years through license renewal fees.

The tax revenue generated from sports betting within the state can be allocated towards improving education, enhancing public health services, fostering workforce development, and supporting various economic initiatives.

The reality of legal sports betting in Massachusetts remains uncertain, and only time will reveal its fate.

The sports wagering bill is expected to be passed by the state senate this year, driven by data from the sports betting study and the strong advocacy of local business owners.