Pari-Mutuel Wagering Hits a Roadblock in North Carolina

The commission has planned to offer pari-mutuel betting since gaming legalization took place in June 2023, but launching online sports betting took precedence earlier this year. 

Brad Senkiw - News Editorat Covers.com
Brad Senkiw • News Editor
Dec 19, 2024 • 16:51 ET • 4 min read
Fierceness Horse Racing
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The Tar Heel State’s progress toward a pari-mutuel wagering launch has stalled. 

The North Carolina State Lottery Commission unanimously approved a staff recommendation on Wednesday to revisit the adoption of the proposed Subchapter C rules at a later time. 

During the commission’s final meeting of 2024, members agreed to await potential legislative changes to Article 10 of the gaming statute. In the 2025 session, the General Assembly is expected to provide a “framework for a more holistic approach,” said Hayden Bauguess, Chief Government Affairs Officer.  

No timetable or date range for a pari-mutuel launch has been publicly discussed. The legislative session runs from January through July, so it could take until the second half of 2025 before horse racing betting gets underway. 

However, the commission will continue to work on rule-making without finalizing the process. In that case, once legislative changes are complete, they can move forward.   

The commission’s staff also said the pari-mutuel rules delay allows for more positive economic impact discussions, conserves the commission’s resources if the legislature implements those changes, and gives North Carolinians more time to provide insights. Prospective license applicants also gain additional time to review the commission’s general wagering rules and share additional and relevant feedback.

Taking their time

North Carolina is the first state to implement pari-mutuel wagering since the 1990s. The commission has planned to offer pari-mutuel betting since gaming legalization took place in June 2023, but launching online sports betting took precedence earlier this year. 

Once full implementation of that form of gaming was completed, North Carolina sports betting regulators released the first rules and procedures package for horse racing betting in September and have already held multiple public comment periods.  

Bauguess said launching mobile pari-mutuel wagering first, which state regulators did with sports betting, is still a “viable and prudent option for the commission.”

Other approvals

The commission also approved numerous Chapter A general wagering rule amendments, including declining to change how account suspensions are handled until more research can be completed.  

The commission rubber-stamped amendments to Chapter B (sports betting rules) that included definitions, authorized events, data sources, and reporting requirements. 

The sports betting committee also requested a branding change, which was unanimously approved by the commission. With the reach of the committee extending beyond sports wagering, it will now be known as the Regulated Gaming Committee in North Carolina.  

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