- Missouri voters will determine the state’s sports betting fate tomorrow
- Amendment 2 attempts to legalize online and retail sports betting in the state
- Best chance to legalize sports betting in Show-Me State
After years of legislative failures, Missouri will have its best chance to legalize sports betting in the Show-Me State when voters take to the polls tomorrow.
Voters will determine the fate of Amendment 2 to potentially legalize online and retail sports betting in Missouri. If the constitutional amendment is approved, each Missouri sports team and casino will be eligible to operate retail and online sports betting.
Who is for sports betting in the state? Who is against it? We’ll take a look at Missouri’s sports betting journey and all the issues before election day kicks off tomorrow.
What’s at Stake?
The Missouri sports betting initiative includes the following “fair ballot language” for voters:
- A “yes” vote will amend the Missouri Constitution to permit licensed sports wagering regulated by the Missouri Gaming Commission and restrict sports betting to individuals physically located in the state and over the age of 21. The amendment includes a 10% wagering tax on revenues received to be appropriated for educational institutions in Missouri.
- A “no” vote will not amend the Missouri Constitution regarding licensed regulated sports wagering.
If approved, each professional Missouri sports franchise and land-based casino would be eligible for one retail sports betting license and one online sports betting license each. Each individual team and casino would be able to partner with up to one online sports betting operator.
In total, the state could see 19 retail sports betting licenses and 21 online sports betting licenses under this framework.
The state would set its sports betting tax rate at 10% and allow for promotional deductions against sports betting revenues. It’s estimated by sports betting proponents that the state could see upwards of $28.9 million annually in sports betting tax revenues.
How Missouri Got To This Moment?
After missing out on potentially millions of dollars in sports betting tax revenue over the last several years, a coalition of state sports franchises, led by representatives from the St. Louis Cardinals, submitted four sports betting initiative petitions to the Missouri Secretary of State on Sept. 9, 2023.
The St. Louis Cardinals were joined by the Kansas City Royals, Kansas City Chiefs, St. Louis Blues, St. Louis City, and Kansas City Current in support of the ballot initiatives.
“Each of the organizations within our coalition supports legalization of sports wagering in Missouri as a way to increase engagement with our fans and, ultimately, generate a significant new source of revenue for Missouri. This will keep Missourians from going to other states with legalized sports betting and taking tax revenue into those states. It will keep us as sports teams competitive with our counterparts in other states with legalized sports betting,” Mike Whittle, Senior Vice President and General Counsel for the St. Louis Cardinals, told Sports Betting Dime.
Mascots from the Cardinals, Royals, and Blues submitted more than 340,000 signatures to the Missouri Secretary of State’s Office in May 2024. The coalition needed only roughly 180,000 to place an initiative on the ballot, but a legal challenge would hold up an official announcement until October.
Legal Challenges Do Not Stop Initiatives
On Aug. 13, Missouri Secretary of State John Ashcroft announced the initiative petition received a sufficient amount of valid signatures in six of eight Missouri Congressional Districts to be placed on the November 2024 general election ballot. According to the official signature results, the initiative did not reach the necessary requirements in districts six and eight.
However, a lawsuit filed in late August in the Circuit Court of Cole County against Ashcroft asserted that the official improperly certified the sports wagering petition for the upcoming general election.
The plaintiffs alleged that Ashcroft incorrectly calculated the necessary number of valid signatures for the petition to appear on the ballot and the campaign did not reach the signature threshold in all necessary Missouri counties.
Circuit Court of Cole County Judge Daniel Green ruled in favor of Ashcroft and the Winning for Missouri Education’s efforts to place a constitutional amendment question to legalize Missouri sports betting on the upcoming general election ballot in October. He ruled the plaintiffs failed on all four counts of their lawsuit and the initiative could appear on the general election ballot.
Who Supports Sports Betting?
Two campaigns have emerged in support and opposition of the sports betting amendment, both of which are backed by gaming companies.
The Winning for Missouri Education campaign, a pro-sports betting campaign, organized the signature collecting process to place the initiative on the ballot and has been financially backed by FanDuel, DraftKings, and the previously mentioned Missouri sports franchises.
The campaign has received more than $42.5 million in donations. FanDuel and DraftKings have donated more than $40.8 million, while the St. Louis Blues, Cardinals, Royals, St. Louis SC, and Kansas City Current have donated more than $1.6 million to support legalized sports betting in the state.
The opposing campaign, the Missourians Against the Deceptive Online Gambling Amendment, is being financially supported by Caesars Entertainment. The gaming company has invested heavily to support the anti-Missouri sports betting campaign, which seems counterintuitive. However, Caesars likely has a problem with the way the sports betting ballot initiative will dole out licenses in the state if approved.
Under the proposed ballot initiative, the state’s casinos would receive a single online sports betting license and two untethered licenses will be available for sports betting companies to operate in Missouri. Caesars likely has a problem with this aspect of the proposed initiative, as previous iterations of Missouri sports betting bills allowed casino operators to have multiple online sports betting skins.
Neither DraftKings or FanDuel operate a casino in the state, so it’s likely they would be in line to receive the untethered licenses.
To date, Caesars has provided $14,167.542.88 to the campaign through the following donations:
- Caesars Enterprise Services: $167,542.88
- Tropicana St. Louis: $4,600,000
- Harrah’s North Kansas: $4,700,000
- Isle of Capri Boonville: $4,700,000
Rocky Legislative Road for Missouri Sports Betting
This is likely the best chance Missouri will have to legalize sports betting, as legislative efforts have stalled out over the last several years. While bills would move through the legislature, all would eventually be roadblocked by state politicians who wanted to also legalize video lottery terminals (VLT) alongside sports betting.
Since 2022, Sen. Denny Hoskins (R-21) has successfully blocked and filibustered any and all attempts to legalize sports betting in the Senate for bills that did not include the legalization of VLTs.
Nothing is likely to change in the Missouri Senate moving forward, which prompted the state sports franchises to seek a sports betting initiative as means to legalize.
As the November election approaches, all eyes are on Missouri and the potential outcome of the state’s sports betting legislation. With several bills on the table and differing opinions among lawmakers, the future of sports betting in Missouri hangs in the balance.
One of the key bills being considered is House Bill 2088, which would legalize sports betting in the state and allow for both in-person and online wagering. Proponents of the bill argue that legalizing sports betting would generate much-needed revenue for the state and provide a safe and regulated environment for bettors.
However, not everyone is on board with the idea of legalizing sports betting in Missouri. Some lawmakers are concerned about the potential negative impacts of gambling, such as addiction and increased crime rates. Others worry about the potential for corruption and match-fixing in sports.
The outcome of Missouri’s sports betting legislation will likely hinge on the results of the upcoming election. If voters elect lawmakers who support legalization, we could see sports betting become a reality in the state in the near future. On the other hand, if anti-gambling lawmakers are elected, we may see the issue pushed to the backburner once again.
Regardless of the outcome, it is clear that sports betting is a hot topic in Missouri and one that will continue to be debated in the coming months. Stay tuned for updates on this developing story as Election Day approaches.