After a rocky roller coaster ride over the past couple of years, sports gambling in the state of Georgia might be on smooth tracks toward the finish line. The state’s legislative session began on January 11 and already had included on its agenda several sports gambling bills. One that looks to introduce mobile sports gambling to Georgia has passed its first test, safely getting through the House Economic Development and Tourism Committee this week. There are still many more obstacles in the way, but sports gambling supporters in the state have to take each one as it comes along.
It wasn’t too surprising that House Bill 86 was approved by the House committee. Its chairman, Representative Ron Stephens, is behind the bill, but there were six lawmakers on the committee who still don’t seem to understand the importance of legalized sports gambling. The bill was approved by a vote of 20-6, hopefully an indication that future votes will swing favorably toward approval.
If the bill survives as it’s written, which only rarely happens, the Georgia Lottery Corp. would oversee the sports gambling market and be able to approve at least six sports gambling licenses. The licenses would run $900,000 each year, in addition to the initial $50,000 application fee. The Lottery would also be responsible for managing the collection of taxes from the operators, which would be used, in part, to provide funding for Georgia’s HOPE college scholarship program. Stephens has already found one adjustment to his bill, with the tax rate dropping from 16% to 14%. However, he explains that, even at 10%, sports gambling would contribute at least $42 million annually in tax revenue.
House Bill 86 includes language that would prohibit wagers on college and high school sports competitions, a point of contention that has caused issues in other states already. However, Stephens has some competition that tries to open the sports gambling market a little and offer greater flexibility. Senator Jeff Mullis has a bill prepared that would tax sportsbooks at 10% and allow college sports wagers. That bill is expected to be introduced soon.