Georgia House holds first hearing on statewide mobile sports betting bill | Yogonet International

The Georgia House of Representatives hosted on Tuesday, March 12th, its inaugural hearing on SB386, a statewide mobile sports betting bill. This session comes over five weeks since the bill’s passage in the Senate, setting the stage for a debate on the future of gambling regulation in the state with just over two weeks remaining in the legislative session.

Sponsored by Senator Clint Dixon, the bill seeks to introduce mobile sports betting across Georgia. Among its primary provisions, the bill advocates for the issuance of 16 licenses, with eight designated for professional sports franchises or organizations within Georgia.

The Georgia Lottery would also receive an online skin, while the other seven licenses would be open for competitive bids. The framework also establishes a 20% tax rate on sports betting revenue.

During the hearing, members of the House’s Higher Education Committee engaged in extensive discussions but refrained from casting a vote. Committee Chair Chuck Martin underscored the deliberative nature of the process, emphasizing that further discussions and revisions may be necessary before advancing the bill.

Representatives from various sectors presented their perspectives during the hearing. Advocates from daily fantasy sports (DFS) companies lobbied for the inclusion of their contests within the bill, citing potential economic benefits and consumer demand. In contrast, representatives from faith-based and anti-gambling groups voiced their opposition, expressing concerns over the societal impacts of expanded gambling.

Senator Dixon seized the opportunity to elucidate the key provisions of the bill, addressing committee members’ queries and providing insights into its implications. He outlined provisions allowing betting on college sports, proposed tax rates, and financial parameters, including application and renewal fees for licenses.

The application fee for licenses would be $100,000 and there would be a $1 million annual renewal fee. A notable aspect of the bill is its inclusion of a senate amendment, which mandates that the final decision be subject to a public referendum.

Committee chair Chuck Martin said the amendment that would add the constitutional amendment to the bill doesn’t line up with the current proposal and that it would be up to the house to “marry” both pieces of legislation before a floor vote.

However, the legislative journey of the bill faces numerous challenges, including discussions on the potential inclusion of DFS and amendments to align with existing legislation. While DFS operators such as PrizePicks expressed their support for inclusion, opponents raised concerns about the social and financial implications of expanded gambling.

The debate over gambling expansion in Georgia has historically been fraught with political maneuvering and ideological divisions. Despite initial bipartisan support propelling the bill’s momentum, industry sources remain cautious about its prospects, given the complex political landscape and potential roadblocks ahead.