Georgia's Economic Development and Tourism Committee approves sports betting bill
Republican Senator Clint Dixon’s SB 386 passes 8-2 as tax on operators’ gross revenue is amended upwards to 20%
Hopes of legal sports betting coming to Georgia received a boost after the state’s Economic Development and Tourism Committee approved SB 386 by eight votes to two.
The bill, introduced last week by Republican Senator Clint Dixon, would legalise both retail and online sports wagering under the stewardship of the Georgia Lottery.
SB 386 would grant up to 16 sports betting licenses, including for professional sports teams and the Georgia Lottery.
Included in the 16 available licenses, online operators would be battling it out for seven of them via a public procurement process overseen by the lottery.
Licenses would cost $1m, plus a $100,000 application fee, and last for five years.
The original text in the bill stated that bookmakers would be taxed at 15% of gross revenue, although this has since been amended to 20%.
If approved, it means Georgia is on a par with the 20% collected in neighboring Tennessee where online sports betting has been live since November 2020.
The tax would be directed toward the state’s HOPE scholarships, pre-kindergarten programs, and needs-based student aid, with supporters of the bill suggesting it could raise an estimated $100m annually.
Crucially, SB 386 would not require a constitutional amendment. Instead, it would need a legislative majority before heading to Governor Brian Kemp’s desk for his signature.
There is bipartisan support for the draft legislation, including from Senator Minority Leader Gloria Butler (D-Stone Mountain), Senator Bo Hatchett (R-Cornelia), and Lieutenant-Governor Burt Jones.
However, several religious groups have expressed their opposition to legalising sports betting in the southeastern state, which is home to a population of around 11 million people, making it the eighth most populous in the US.
The bill will now be sent to the Senate Rules Committee to decide if it should be presented to the full Senate.
If legal sports betting was to arrive in Georgia, it would become the 40 US jurisdiction to pass sports betting laws and the 32nd to allow online options.
The only state currently gearing up to go live with mobile betting is North Carolina, with the market slated to launch on March 11 in time for March Madness.