Minnesota Sports Betting Legislation Stalls

The state of Minnesota will probably eventually have sports betting, but right now the process is stalled. The legislation governing sports betting in Minnesota is trying to get past a number of issues that are holding things up. The biggest issue is how to incorporate horse racing tracks into Minnesota sports betting. The Minnesota state legislature will break on May 22, so if the state is to be ready for the 2023 NFL season, they need to get something passed in the next month.

The big issue for Minnesota is the horse racing tracks. Last year the Minnesota Indian Gaming Association threw their support behind a House bill that was introduced by the Democrats, but it did not include the state’s two horse racing tracks. The Republicans offered a separate bill that would have included the two horse racing tracks, but the tribes oppose the tracks being included. Governor Tim Walz has said that he will only consider a bill that the tribes back.

There have been strong calls to incorporate commercial groups like horse racing tracks and professional sports teams in prior attempts to allow sports betting in Minnesota. The state’s tribes, who have exclusive control over casino gaming in the state, have made it difficult for these efforts to win their support.

It is crucial that the tribes support legalization since they have previously been solely responsible for the failure of sports betting legislation. The state’s professional teams declared their support for a framework for tribal-only sports betting at the start of the 2023 legislative session. Rep. Zack Stephenson’s HF 2000, which grants 11 sportsbook licenses to the state’s tribes, was the subject of several lawmakers’ plans to change it to add tracks in March.

The big key will be getting tribes to change their mind. The Minnesota Indian Gaming Association has backed the last two legalization campaigns, but it the support has been tepid. According to a MIGA statement from earlier this year, “Gaming earnings create the necessary tax base Tribes rely on to fund basic and essential government services for thousands of tribal members.” “Tribes must carefully assess whether such initiatives actually strengthen or pose a threat to tribal sovereignty and self-determination whenever the state alters the gaming scene.”

There still seems to be momentum for sports betting to become legal in Minnesota this year. The hope was to build on Stephenson’s attempt from the previous year, which was narrowly unsuccessful. The key for Minnesota sports betting will be getting the tribes on board with whatever bill is put forth. That means that the tribes will have to come around, or reach some sort of deal with the two Minnesota horse racing tracks. With so much money on the line, it seems likely that a deal will be reached. The question is whether or not the deal will be reached before the Minnesota legislature takes a break at the end of May.