Legalized online sports betting advances in Mississippi Legislature

A panel of Mississippi lawmakers approved a bill Wednesday that would permit mobile sports betting, a move proponents say would satisfy strong consumer demand and produce millions in new tax revenue.

House Gaming Chairman Rep. Casey Eure, R-Saucier, is trying again to pass legislation after lawmakers couldn’t agree on a final proposal in 2024. Sports wagering has been permitted in the state for years, and casino gambling for decades. But online betting has remained illegal amid fears the move could harm the bottom line of the state’s casinos — a concern Eure acknowledged in committee.

“I would like to start by saying I’m committed to the bricks-and-mortar casinos and this bill mandates that all sports betting is tethered to bricks-and-mortar casinos,” Eure said.

The House Gaming Committee approved a new version of the Mississippi Mobile Sports Wagering Act, which Eure said was reworked to address concerns raised by the Senate last year.

One new provision would allow a casino to partner with two sports betting platforms rather than one. Allowing casinos to partner with an extra platform is designed to assuage the concerns of casino leaders and lawmakers who represent areas where gambling is big business.

The bill requires betting companies, such as DraftKings or FanDuel, to contract with brick-and-mortar establishments. The platforms would go live on Dec. 8, 2025.

Last year, some lawmakers raised concerns that gambling platforms would have no incentive to partner with smaller casinos, and most of the money would instead flow to the Mississippi Gulf Coast’s already bustling larger casinos.

To protect those smaller casinos from revenue losses, this year’s proposal would create a pot of money that establishments could draw from for the first five years after online sports betting becomes legal. The $6 million fund, generated from taxes on the sports betting, would be replenished each year. Any unused money would go to fund road and bridge repairs.

This year’s bill also prevents people from placing bets with credit cards, a request from the Senate to guard against gambling addiction, Eure said. “Nanny state,” some committee members murmured at Wednesday’s meeting.

The proposal would levy a 12% tax on sports wagers, with revenue reaching all 82 counties via the Emergency Road and Bridge Repair Fund. Eure said he believes the state is losing between $40 million and $80 million a year in tax revenue by keeping mobile sports betting illegal.

Proponents also say legalization would undercut the influence of illicit offshore sports betting platforms. Since the start of the NFL season this year, Mississippi has recorded 8.69 million attempts to access legal mobile sportsbooks, according to a flyer presented to committee members. That demand fuels a thriving illegal online gambling market in Mississippi, proponents have said.

Mobile sports betting is legal in 30 states and Washington, D.C., according to the American Gaming Association.

The bill now heads to the full House floor for consideration.

___

This story was originally published by Mississippi Today and distributed through a partnership with The Associated Press.