(The Center Square) — North Carolina lawmakers are reportedly reviving an effort to legalize and regulate mobile sports betting before the current short session concludes in two weeks.
House Majority Whip Rep. Jon Hardister, R-Whitsett, told Axios he believes the lower chamber will soon move legislation he sponsored, House Bill 631, to legalize online sports betting in North Carolina similar to a bill approved by the Senate last fall.
"As of right now, I'm optimistic that we have the votes to pass it," Hardister told the news site. "Most of the feedback I've gotten from my caucus has been positive."
Discussed changes to the legislation, which is backed by Rep. Jason Saine, R-Lincoln and Rep. Zack Forde-Hawkins, D-Durham, would increase the proposed tax rate from 8% in the Senate approved bill to 14% and would up the licensing fee from $500,000 to $1 million.
Initial estimates of tax collections from legalizing mobile sports betting ranged from $8 million to $24 million, but Saine told Axios those figures could double under the House bill, though lawmakers are still working with lobbyists and supporters to finalize the details.
"We've been very intent on making sure that we have worked with supporters of the bill on all sides," he said. "Obviously, there are many moving parts to the governance of sports betting and we have been cautious not to release the language too quickly, opting instead to better perfect the bill."
The Senate approved Senate Bill 688 last year and it's currently pending in a House judiciary committee that's not slated to meet any time soon. HB 361 is in the House Commerce Committee.
Lobbyists who spoke with Action Network, a sports betting website, had high hopes lawmakers could reach an agreement on legalizing mobile sportsbooks by the July 1 deadline for the current short session.
"I continue to be optimistic on North Carolina. I'm pushing all my chips in," said Brandt Iden, head of government affairs at Sportradar and a former Michigan state representative. "The stakeholders have come together and it feels like an agreement's been reached."
"When you get down to this time in the process there's always some wrinkles to be hammered out," John Pappas, state advocacy director at iDEA Growth, told the news site. "There's going to be a lot of push and pull from now till the end of June on what this final bill looks like."
Saine told WRAL the plan is for the House to approve the Senate bill, then to pass a second trailer bill to implement the tax rate and licensing fee increases, as well as technical changes.
"No sense in reliving the wounds that may be there. It will make it or not make it on the House side the way the Senate sent it to us," Saine said. "Based on the conversations I've had with other members, they seem OK with that approach."
Pappas believes "it's unlikely the bill will have the support to pass unless there is trailer legislation that addresses some issues like the tax rate and expanding what types of venues can offer retail betting."
"There's been discussion of tribes seeking exclusivity for gaming on their tribal lands, which isn't unprecedented," he told Action Network. "We've seen Arizona and Michigan tribes ring-fence betting on their lands."
Two Cherokee casinos in far western North Carolina are currently the only locations for legal sports betting in the state, and the pending legislation would allow for up to a dozen online sports gambling operators to take wagers statewide, WRAL reports.
Under the current legislation, half of tax revenues collected would go to a North Carolina Major Events, Games and Attractions Fund controlled by the North Carolina Department of Commerce. The fund would be used to provide grants to attract major events to the state.
Another $1 million would go to the Department of Health and Human Services to address gambling addiction.
Gov. Roy Cooper has suggested he would sign legislation to legalize mobile sports betting, WRAL reports.
