Massachusetts House Representatives have voted 156-3 in favor of bill H3977 that would see both mobile and retail sports betting legalized in the state. The bill will now go before the Senate where it may face some further amendments relating to betting on college sports.
Massachusetts Inches Closer to Legal Sports Betting as Lawmakers Approve Bill H3977Should the legislation be signed into law by State Governor Charlie Baker, Massachusetts will join its neighbors Rhode Island, Connecticut, New Hampshire, and New York in welcoming sports betting operators to the state.
One of the unique aspects of H3977 is that it allows for untethered mobile sports betting licenses. This means that mobile sports betting operators can apply for a license without the need to partner with a casino operator or retail sportsbook. The application fee for licenses has been set at $100,000 while the actual license fee itself is set at $5M for five years. All licenses will be renewable for a further five years at the same rate.
Existing casino operators would be allowed to open retail sportsbooks and up to three mobile sports betting platforms. At present, there’s no limit on how many mobile-only operators can receive a license although this could change if the legislation is further amended by the Senate.
Speaking following the House vote, Rep. Jerald Parisella, who chairs the Committee on Economic Development, said:
“We estimate if all those licenses go out, the commonwealth could get $70 million to $80 million just in licensing fees. I believe a conservative estimate is that we’ll raise about $60 million annually from the taxes on the sports betting. And as it gets matured, we believe that those numbers could rise.”
Parisella also added:
Massachusetts Inches Closer to Legal Sports Betting as Lawmakers Approve Bill H3977One sticking point in the legislation is betting on college sports. It’s been something of a bone of contention in recent years and could yet derail the legislation if senators vote against it. However, House Speaker Ron Mariano has urged senators to consider the cost of removing it from the bill. He estimates that if college betting is not allowed, the state could lose as much as $25M to $35M every year.
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