Minnesota betting bill passes first hurdle on house vote
Enabling legislation faces uphill battle to pass through upper chamber before May 23
Minnesota’s house of representatives have voted to pass a bill legalizing sports betting in the state by 70 votes to 57, with the legislation advancing to the state’s senate for a final vote.
House Bill HF 778 moved to a final vote on Thursday evening after passing through five separate house committees, where a variety of amendments were made including the implementation of a three-hour delay between the time a mobile deposit could be made and a wager placed.
Other amendments which worked their way into the final legislation included an amendment banning push notifications, while an amendment requiring prospective online sports bettors to register in person was dismissed.
HF 778 sets out the powers and responsibilities of a sports betting commissioner, inclusive of licensing, regulation of sportsbook operators and suppliers.
In respect of licensing, 11 master licenses are available to the state’s federally recognized Indian tribes on an exclusive basis, with the tribes free to execute contracts with as many as seven out-of-state mobile sports betting operators.
In concert with this, 11 mobile sports betting operator licenses are up for grabs, which allow prospective operators to execute sportsbook contracts through an intertribal compact with a master licensee. Licenses are also available for platform providers, service providers and suppliers.
Master licenses are valid for 20 years, with operator, platform provider, service provider and supplier licenses valid for just one year only.
In all cases, licenses are valid for a period of 20 years with a fee of $6,000 being paid on application, rising to a license issuance fee of $38,250. License renewal fees are at the much lower amount of $8,500.
A mobile sports betting platform provider or services provider license is required to provide sports betting platforms, sports betting technology, sports betting applications, or associated mobile sports betting hardware, software, or equipment within the state.
Despite the bill passing through the first stage of passage, HF 778 faces an uncertain future in the Senate, where senators have just 10 days to pass the bill before the current session ends.
Mirroring its passage through the house, the bill must also pass through senate subcommittees before it can even be passed for a final vote, making the prospect of sports betting in the Gopher State less likely.
The senate has the option to call a special session to vote on the legislation, however this is understood not to be in the cards.