Legal Sports Betting Study Ordered by Massachusetts Gaming Commission

The SEIGMA research team in Massachusetts is preparing to undertake a study on the potential effects of legal sports betting on the state’s social and economic landscape.

In the hopes of persuading Massachusetts lawmakers to legalize sports betting, the Massachusetts Gaming Commission (MGC) has mandated a study to uncover compelling findings.

Massachusetts lawmakers’ stance on legalizing sports betting in MA

Although the Massachusetts senate has shown little interest in the matter, the state’s House of Representatives is in favor of legalizing sports betting in Massachusetts. Back in July, the House overwhelmingly voted 156-3 in support of a bill that seeks to legalize sports betting for both professional and college sports.

The Massachusetts bill has caused division between the state’s House and Senate due to the inclusion of college sports betting.

Commissioner Brad Hill, who was still serving as a state representative, supported the legalization of sports betting in July. In response to the requested study, he expressed his opinion by stating,

In my opinion, this is the problem that we will all have to confront in the future, and gathering more information will greatly assist us in making informed decisions.

Benefits of legalizing sports betting in MA

Currently, sports betting remains illegal in Massachusetts, but it has already been legalized in over 30 other states. Notably, neighboring states such as New York, Rhode Island, and Connecticut have already embraced this form of gambling.

Legalizing sports betting in Massachusetts would prevent residents from having to cross state borders in order to place bets, while also ensuring that tax revenue from these bets remains within the state rather than going to neighboring states.

The bill passed by the House in July consists of provisions concerning taxes on sports betting, resulting in an overall amount of:

• In-person wagers will accrue a 5% charge.
• Mobile wagers will receive a 15% bonus.

Supporters of legalizing sports betting in Massachusetts project that the state could generate approximately $60 million in annual tax revenue. Additionally, it is estimated that an extra $80 million could be obtained through licensing fees, which would need to be renewed every five years.

The additional revenue would be advantageous for public health, workforce development, education, and economic programs.

Goals of the Massachusetts sports betting study

The main objective of the study is to persuade legislators about the positive economic impacts that the legalization of sports betting would bring to the state. In particular, the study will delve into:

• Data currently available in neighboring states where sports betting has already been legalized.
• How did the neighboring states go about implementing legal sports betting?
• Ensuring Diversity, Equity, and Inclusion in the Legalization of Sports Betting in Massachusetts

How would legal sports betting in Massachusetts be handled?

If sports betting were to be legalized in MA, it would most likely come under the jurisdiction and control of the MGC. At present, the MGC is responsible for overseeing casino gambling in Massachusetts. Nonetheless, the legalization of sports betting in the state would enable the MGC to grant licenses for in-person sports betting activities.

• In casinos
• At racetracks
• Racing simulcast facilities are places where racing events are broadcasted simultaneously.
• Online bets can be made on mobile devices.

When will the sports betting study take place?

Supporters of the legalization of sports betting in MA are urging for the consideration of the measure in next year’s budget, as the state’s fiscal year concludes on June 30, 2022.

The commissioners are eager for SEIGMA’s team of researchers to finish the study within the current fiscal deadline so that they can proceed with the implementation of the measure.

Mark Vander Linde, the MGC’s Director of Research and Responsible Gaming, fully backs all initiatives to accelerate the sports betting study.

Regarding the suggested completion timeline for the study in June 2022, he commented:

I concur with that viewpoint. It would be excellent if we could prioritize this study for the team. While I cannot speak on behalf of their current workload and preparations, I will definitely have a conversation with them to emphasize the importance of this study.

The legalization of sports betting in Massachusetts has faced challenges in gaining approval during ongoing discussions in recent years. However, not all lawmakers are eager to proceed with allowing betting in the state. The initiation of an ordered study marks the initial progress towards advancing the process.

Lawmakers may find it difficult to challenge the economic advantages of legalizing sports betting in Massachusetts, depending on the results of the study. It remains to be seen whether Massachusetts will join the 30 other states in this endeavor. Nevertheless, there is hope that the state will prosper in the field of sports betting in the upcoming years.