November ballot includes sports betting Amendment

By Amanda Lubinski
ALubinski@cherryroad.com

CLAY COUNTY — Voters in the state will decide the fate of six statewide measures on the November ballot. The measures pertain to hot button issues like reproductive rights, sports betting and increased minimum wage and paid sick time.

During the month of October, the Courier-Tribune’s coverage will include a breakdown of these issues. This week, we highlight Amendment 2. For more election coverage, including where local candidates for state offices stand on these issues, read each Thursday’s print edition this month or visit MyCourierTribune.com.

Amendment 2

If passed, Amendment 2 would legalize sports betting in the state. The ballot language reads: “Do you want to amend the Missouri Constitution to: allow the Missouri Gaming Commission to regulate licensed sports wagering including online sports betting, gambling boats, professional sports betting districts and mobile licenses to sports betting operators; restrict sports betting to individuals physically located in the state and over the age of 21; allow license fees prescribed by the commission and a 10% wagering tax on revenues and received to be appropriated for education after expenses incurred by the commission and required funding of the Compulsive Gambling Prevention fund; and allow for the general assembly to enact laws consistent with this amendment?”

What sports betting approval would mean

Voting “yes” would legalize sports betting in Missouri, joining more than 30 other states in permitting sports betting in some form. This means online apps, casinos and gambling boats could allow Missourians to bet on professional or college sports. Bets would have to be placed in the state.

Sports betting could generate nearly $29 million a year for Missouri. According to KCUR, of that, $5 million would go into a fund to prevent gambling addictions.

“The remaining money — an estimated $24 million — would go to public schools and higher education,” reports KCUR, the NPR station in Kansas City; and The Beacon. “That revenue estimate is based on a 10% tax on adjusted gross revenue proposed in the amendment.”

According to a research study firm and report released by the Winning Missouri campaign, the group pushing to legalize sports betting, the annual amount each school district and/or charter school would receive would be around $36,000. A new ad from opposition groups, however, claims the amount schools would receive would be much less.

“The ad, produced by Missourians Against the Deceptive Online Gambling Agreement, cites claims from the Missouri Gaming Commission in the state auditor’s fiscal note, which suggests this could happen because operators can deduct up to 25% of the gross costs of promotional credits and free play,” reports KMBC.

“Because the proposal allows for deductions against sports gaming revenues, they estimate unknown tax revenue ranging from $0 to $28.9 million annually. Local governments estimate unknown revenue,” reads the Missouri Secretary of State’s Office website, citing the ballot measure’s fiscal note.

If Amendment 2 passes, there would be a ban on advertising sports betting to minors; background checks would be required for people/companies applying for a sports betting license with those convicted of felonies or gambling offenses unable to run the operations; and information on problem gambling would be required on betting websites and apps.

“Failure to comply with state regulations could bring a $50,000 fine. Repeat violators could be fined $100,000. A company’s license also could be placed on probation or revoked,” reports KCUR and The Beacon. “The Missouri Gaming Commission will regulate the sports betting industry, like it does with casinos. If the measure is passed, state lawmakers can further regulate the industry, said Jan Zimmerman, chair of the Missouri Gaming Commission.”

Those for and against the measure

The issue to legalize sports betting in Missouri has been a well-debated topic among voters and in the General Assembly for several legislative sessions. Many sports fans and gamblers in the Kansas City metro currently make the short trek across the state line to Kansas to place bets, where sports betting is legal. Proponents of the measure in Missouri say if passed, it would help keep Missouri dollars in Missouri.

Efforts to legalize sports betting in the state met gridlock in the General Assembly, not due to sports betting itself, but due to video lottery terminals. Some contend easy access to these machines creates a situation where minors are exposed to gambling. These machines are found in gas stations and truck stops around the state. Lawmakers have yet to agree on whether these should be regulated along with sports betting. Amendment 2 doesn’t address these machines.

All the pro sports teams in the state endorse sports betting, but a lawsuit was filed by political consultants Blake Lawrence and Jacqueline Wood to take the amendment off the ballot.

“It alleges that the secretary of state used the wrong maps when determining whether six of the eight congressional districts met the minimum signature count,” reports KCUR and The Beacon. “Citing recently redrawn maps, the lawsuit contends the state’s 1st Congressional District would fall short.”

When bets could be made

If Amendment 2 passes, the gaming commission will establish a start date for sports betting, which experts estimate will come no later than Dec. 1, 2025 as sports betting has to be offered through licensed companies with background checks by and applications to the state gaming commission.