Minnesota sports betting will have to wait at least one more year. A bill legalizing the industry was on the Minnesota House agenda during the final weekend of its 2024 legislative session, but was ultimately not considered, debated, or voted on.
It’s a disappointing outcome for Minnesota sports betting advocates. Many came into the session brimming with optimism after bills were debated in 2023. However, for various reasons, legalization did not happen this time around.
What happened with Minnesota sports betting bills?
Perhaps the biggest issue during this process was a lack of unity. The House and Senate considered four different Minnesota sports betting bills during the legislative session. The bills varied wildly, and some carried amendments that significantly changed certain aspects of the proposed legislation.
Most notably, one bill, championed by Sen. Matt Klein, was amended to include a ban on in-game wagering. Such a prohibition would be the first of its kind in the United States. Another bill, proposed by Sen. John Marty, included a 40% tax rate, which would have been the second-highest figure in the country (behind NY sports betting and its 51% clip)
One bill, proposed by Rep. Zack Stephenson, made it to the House agenda and was scheduled to be debated Wednesday. However, a series of delays in that chamber, including ones resulting from tension brought on by other issues, meant many bills were not debated or voted on, including this one.
Did a horse racing issue derail MN sports betting?
The only gambling legislation passed into law centered around Minnesota horse racing venues. Lawmakers voted to ban historical horse racing (or HHR) machines, just a few weeks after tracks in the state voted to authorize them as an additional revenue stream.
These tracks (Running Aces and Canterbury Park) were treated wildly differently by the Minnesota sports betting bills drafted during this session. Klein’s bill would have authorized five percent of revenue to be directed to the tracks. Bills backed by Stephenson and Marty, however, froze tracks out completely.
Unsurprisingly, tribes in Minnesota are vehemently against HHR machines. They run casinos in the state and see HHR machines as competition to their businesses. This added another aspect to the gambling debate during the 2024 legislative session.
Lawmakers try to stay optimistic
Despite the defeat this time around, Stephenson took to X (formerly Twitter) Sunday night. His message was one of hope and acknowledged stakeholders had made significant strides towards an agreeable compromise:
“We’re going to come up just short on the sports betting bill this year. But in the last few days we proved that we could find a deal that all the major stakeholders could live with. Tribes, tracks, charities… That’s meaningful progress that can be a foundation for the future.”
Unsurprisingly, that message was met with a negative response from Minnesota citizens. Many cited that Minnesota is one of 12 states without legal, regulated sports betting, and that several neighboring states, including Iowa, are siphoning money away from the Land of 10,000 Lakes.
