A bill that could bring legal sports betting to the Sooner State has begun its legislative journey.
Where that journey ends is anyone’s guess, as the Oklahoma legislature only began its 2024 regular session this week.
On Tuesday, though, Senate Bill 1434 received a second reading in the chamber and was referred to the rules and then appropriations committees.
S.B. 1434 is authored by Sen. Casey Murdock, but the bill would more or less implement a vision outlined by Oklahoma Gov. Kevin Stitt in November.
That vision includes allowing federally recognized Native American tribes to offer in-person sports betting via a compact with the state. It would also include statewide mobile wagering offered via a state-issued license.
The news never ceases some days. Now we've got Oklahoma Gov. Kevin Stitt unveiling his plan for legal sports betting in the state:https://t.co/EqX4zzOkkz pic.twitter.com/jgUFtQuPkc
— Geoff Zochodne (@GeoffZochodne) November 2, 2023
Murdock’s bill would authorize the Oklahoma Lottery Commission to issue permits to qualified "sports pools retailers" and to enter into contracts with federally recognized Native American tribes.
S.B. 1434 defines those retailers as “any licensed in-person establishment or Internet-based application that allows for an individual to wager” on sports or other events, albeit not horse racing.
This could enable the likes of DraftKings, FanDuel, and other online sportsbook operators to legally take action in Oklahoma alongside the tribes.
If the bill passes, and there is no guarantee that happens, in-person wagering revenue would be taxed at a 15% rate and online receipts at 20%. Mobile operators would also have to pay an initial fee of $500,000 and an annual renewal fee of $100,000.
The money raised could be spent on "gambling addiction programs, common education, and administrative costs" tied to implementing the legislation, the bill says. The Oklahoma Department of Mental Health and Substance Abuse Services would also receive at least $1 million to treat gambling addiction.
A long way to go
However, it’s still a bit early in the legislative process to start counting the money raised from legal sports betting in Oklahoma. State legislators have tried before to authorize event wagering and failed, even with Oklahoma's already robust gambling sector, which includes more than 100 tribal casinos and several racetracks.
The governor is ready to try again, although there is already pushback to his proposal from the tribes and their supporters over expanding legal gaming in the state to non-tribal entities.
“I promised Oklahomans if we pursued sports betting, we would do it right— and this plan does just that,” Stitt said in a press release in November. “Thirty-five states have already legalized sports betting, and it’ll be a great revenue stream for the state. Tribes will be able to add it onto their existing infrastructure, and Oklahomans can access it right from their phone.”
