The Kentucky Senate passed a sports betting bill that will now head to Gov. Andy Beshear’s desk where he’s indicated he would sign it.
Speaking on the Senate floor the night before sine die — the last day of the 2023 legislative session — Senate Majority Floor Leader Damon Thayer said the bill didn’t get a vote Wednesday night because they didn’t have enough votes to pass it.
“I’m hopeful that with a good night’s sleep and a fresh set of eyes that we can have the votes to pass it tomorrow,” Thayer said, elaborating that they were very close on the number of votes.
Senators must have got enough rest, because the bill passed five-and-a-half hours before the midnight deadline.
Thayer said that all seven Democrats were going to vote for the bill with only 23 votes needed to pass the legislation — because it’s a “tax” bill in an odd-numbered year, they needed 23 of 38 votes in the Senate this year.
“You can do the math on how many Republicans we need,” Thayer said to a gaggle of reporters.
The bill passed just 15 days after it took a monumental step by clearing the Senate Licensing and Occupations committee — where it essentially died in 2022.
Chaired by Sen. Schickel, the L&O committee was where the bill was first assigned during the last legislative session. It seemed unlikely that Schickel was going to support the bill. However, he has been a staunch supporter of the racing industry in Northern Kentucky.
He explained in a statement that while he was the primary sponsor of historical horse racing several years ago, he finds thoroughbred racing to be more than a sport: “It’s a pastime and an art form,” Schickel said.
Ahead of the committee meeting, Schickel said he didn’t know if he would consider the bill this year. He provided the lone no vote and said in a statement that his vote isn’t based on morality.
“Hyper-gambling would not improve society and allowing sports betting — especially on our collegiate sports and to a lesser degree professional sports — concerns me,” Schickel said, further drawing attention to gambling on cell phones, which could affect young people.
Ahead of the Senate committee vote, Rep. Michael Meredith (R-Oakland) said he felt confident this would be the year for sports betting. He even felt optimistic about getting votes in the Senate where the bill died last year.
The new bill clarifies the Horse Racing Commission’s Regulatory Authority and Structure, allowing race tracks to be the main licensees and contract with three sports wagering companies instead of just one, like in previous bills.
Tax rates will also be the same — 9.75% on in-person bets and 14.25% on mobile and online bets, which were included in last year’s House Bill 606.
An House amendment introduced on the House floor sends 2.5% of the taxes collected to a problem gambling fund.
“This is about regulating a marketplace that already exists,” Meredith said, elaborating that the American Gaming Association estimates there’s $1 billion illegally wagered in betting in Kentucky each year — the fiscal note on the bill says it would bring in roughly $23 million to the state each year.
If the bill is signed by Beshear, it will go into effect in July.