Georgia has failed to score on an opportunity to bring legal sports betting to the Peach State.
On Thursday, the Georgia Senate voted 37-19 against Senate Bill 57 — a piece of legislation introduced at the end of January that would have legalized sports betting in a state with four major professional sports teams and an abundance of college athletic programs.
The failure to move SB 57 forward comes after the state’s Economic Development and Tourism Committee approved the bill in February by an 8-1 vote. The bill didn’t receive enough votes from the Senate due to concerns regarding its inclusion of horse racing and fixed odds.
SB 57 proposed two types of sports betting licenses in Georgia: retail and online. The bill, which would have approved up to 18 online sports betting sites, had wagering regulated by the Georgia Lottery which would’ve allocated tax revenue from sports wagering toward education.
Chief sponsored by Senator Billy Hickman, SB 57 would have required sports betting operators to pay a 20% tax rate from their adjusted gross incomes. The Georgia Lottery — approved in 1992 — generates roughly $1.5 billion in annual revenue according to the Associated Press.
SB 57 is the latest bill to face rejection in Georgia. The state had previous legislation proposed in 2021 and 2022. The bills would reach the Senate but failed to garner the votes to be enacted.
There's still hope
Georgia could still make legal sports betting a reality.
Last month, the state’s House of Representatives met to discuss House Bill 380, which would only legalize online sports betting. The bill — introduced on Feb. 13 — requires operators to pay a 20% tax rate and an additional tax on revenue generated from sportsbook promotions.
On Tuesday, Georgia’s Regulated Industries and Utilities Committee passed Senate Bill 172 — a competing piece of legislation. Introduced on February 14 by Senator Bill Cowsert, SB 172 works with Senate Resolution 140 to legalize sports betting in Georgia via constitutional amendment.
The constitutional amendment requires approval by two-thirds of the House of Representatives and Senate before a ballot measure is presented to the public.
SB 172 and SR 140 would legalize both online and retail sports wagering. The bills would require approved operators — a minimum of six online sportsbooks — to pay $1 million annually to retain their licenses in the state. Operators with licenses in Georgia will also be required to pay a 25% tax on parlay bets, prop bets, and live bets, while regular wagers have a tax of 20%.
SB 172 and SB 140 have to make it through Georgia’s chambers before March 6 — crossover day — or they will not be considered in this legislative session. Sports betting in Georgia has drawn criticism due to concerns about safe gambling habits but legalizing it could also have its benefits.
“Right now, we have unregulated sports betting that’s done underground with bookies, and I would argue that’s more harmful to people,” said Senator Brandon Beach.
Senator Jeff Mullis estimated in 2021 that Georgians spent roughly $4.8 billion per year illegally betting on sports. If legalized, wagering could generate between $300 million and $400 million in revenue annually for Georgia, according to Senator Hickman.
