Oklahoma Sports Betting Proposals Gain Momentum in Legislature

Oklahoma is one of a handful of states that are currently trying to legalize sports betting. While the activity is available in nearby states, including Kansas and Arkansas, Missouri doesn’t permit betting on sports, while in Texas, efforts toward betting legalization are ongoing.

Lawmakers in Oklahoma Review Betting Legalization Bills

It is likely that legal sports betting will have a bigger shot at becoming a reality, especially considering that there are two legislative proposals. One of the proposals, House Bill 1047 (HB 1047), calls for changes to the state laws that would permit federally recognized Native American Tribes in Oklahoma to offer sports betting under their existing compacts with the state.

The bill proposes the establishment of rules the Tribes need to follow to introduce sports betting. Under HB 1047, sports betting would be subject to a tax rate of 10%. If the proposal gains further traction and is signed into law, it calls for November 1, 2025, to be the effective date. This means that if the bill indeed sees the light of day, Oklahomans may be able to place legal wagers in early winter this year.

Separately, another proposal seeks to put sports betting up for a referendum. Similar to HB 1047, House Bill 1101 (HB 1101) is also supported by Rep. Ken Luttrell. “HB 1101, as introduced, creates a voter referendum to allow wagering on the outcomes of sports contests,” the latter proposal reads. In addition, the referendum would also increase the proceeds to the Oklahoma Department of Mental Health and Substance Abuse for the treatment of problem gambling from $20,833 to $25,000 per month.

Under HB 1101, a gaming compact would be created between the state and the Tribes if they are interested in offering sports betting. It’s important to note that as a referendum bill, HB 1101 would not be valid in case lawmakers pass HB 1047.

Tribes Will Have the Final Word If Proposals Pass

Luttrell, who was recently interviewed by Covers, spoke about the proposals, highlighting their importance in the context of Oklahoma benefitting from legal sports betting and keeping dollars flowing out of state and to illegal providers. “Hopefully, we can move this across the finish line, and instead of being the 39th state to have sports betting when we should have been first, at least we’ll be in the ball game and keep those Oklahoma dollars in the state of Oklahoma,” the lawmaker explained.

Given that one of the bills passes, Luttrell said that the next move would be one by the Tribes. “A tribe can either do in-person or in-person and mobile. We’re not going to tell them how to do their business or who to do their business with,” he added, reaffirming that the state won’t enforce scrutiny such as geofencing. Notably, Luttrell said that the Tribes will have the option to choose what’s best for their customer base and implement it.

Earlier this week, HB 1101 gained speed after it was referred by the Appropriations and Budget Select Agencies Subcommittee to the full committee. Now, the proposal, as well as its counterpart, HB 1047, will seek approval by the House. In case the House gives a green light, their next stop would be the Senate.