With Friday marking the last day for a full session, little time and optimism are left for legalized sports betting in Kentucky.
Local Rep. Adam Koenig’s (R-Erlanger) bill, House Bill 606, aims to legalize and regulate sports wagering, online poker, and regulate daily fantasy sports. It would also create a 9.75% tax on the adjusted gross revenue for in-person betting, and a 14.25% tax on the revenue for online sports betting. The tax money collected would go into the state’s pension fund. Koenig estimates sports betting could add a “minimum” of $22.5 million, according to previous interviews with LINK nky.
The bill gained bipartisan support and was met with enthusiasm from Kentucky’s historic horse racing culture. After passing the House 58-30, making it further than any other sports wagering bill before, the bill has stalled in Kentucky’s Senate.
On Tuesday, it was moved to the Senate Licensing and Occupations Committee and now has little chance to make it out before the end of the session.
Koenig said those in favor of the bill agree that it’s “an issue of freedom” and “allowing adults to make adult decisions. Any pushback on the bill has been rooted in beliefs against all forms of gambling and a desire to stop horse racing altogether, Koenig said.
“There’s a group of people that are just against expanded gambling,” he said. “There’s some who literally said on the House floor that they would eliminate horse racing, the lottery, gambling— everything.
The representative said he feels this bill made it this far “for a couple of reasons.”
First, he said he “keeps trying” to push this legislation through. This bill looks similar to a piece of legislation he proposed in 2020 that would legalize sports betting in Kentucky.
Second, he said the legislature is getting younger.
“The younger you are, the more likely you are to not only not see a problem with it, but wonder why we haven’t done it yet,” he said.
Kentucky may also be experiencing geographical pressure, too. Koenig said all of the Commonwealth’s neighboring states, with the exception of Missouri, have passed similar laws to allow sports betting and are reaping the benefits.
Tennessee has reported more than $205 million in all-time tax revenue generated from allowing online-only sports betting. Last year alone, Indiana reported more than $29 million in revenue from sports wagers.
A request for comment from the leaders of Turfway Park in Boone County, and Churchill Downs, was not returned.