While the state of Michigan continues to debate whether sports wagering will be authorized many other states have begun to see the benefits via increased tax revenue by adding the retail and mobile sports wagering offerings. Late last week, the Indiana Gaming Commission released the October 2019 gross gaming revenues. The introduction of sports wagering continues to provide additional total revenue growth to the overall gaming market.  In the month of October, Indiana accepted roughly $91.7 million in mobile and retail sports wagers, with more than half of the betting coming from Indiana’s three approved mobile sportsbooks (DraftKings, FanDuel and Rush Street Mobile). This reflects a 160% increase from the handle of $35.2 million received in September.

The mobile wagering market in Indiana opened on October 3, 2019, when the three operators were approved.  DraftKings led the way with $39.3 million in mobile wagering, with Rush Street generating $6.2 million and FanDuel generating $2.3 million. While the Indiana Gaming Commission’s next scheduled meeting is December 16, it does not anticipate any additional sports wagering operators to have applications completed for approval at that meeting.  The Indiana Gaming Commission typically has four meetings per year, so it will likely be early spring 2020 before additional mobile sports operators come before the Commission for approval. Matt Bell, President and CEO of the Casino Association of Indiana, noted: “The inception of mobile sports wagering has been extremely well received by Hoosiers.  We’ve long believed that a mobile sports wagering opportunity that is legal, regulated and transparent will be well-received.  The industry will continue to market sports wagering responsibly and actively to move consumers from illegal, black market sports wagering operators to Indiana’s legal and transparent marketplace that benefits the casino properties and the state and allows Hoosiers the opportunity to legally bet on their favorite sports teams.”

New Jersey also released October sports wagering revenue information, setting another record with $487 million in sports bets, with sports wagering revenue totaling $46.4 million.  October’s numbers improved on the previous record set in September, when the state took in $445 million in bets and casinos totaled $37.9 million in sports wagering revenue. October’s sports wagering revenue constituted 7% of total gaming revenue. The Meadowlands track, which partners with FanDuel and PointsBet for its sports books, continues to dominate the New Jersey market, pulling in sports wagering revenue of nearly $25 million in October, with Resorts Digital, which partners with DraftKings for its mobile sports wagering book, netting $10.5 million. 

In Ohio, state legislators are planning on trying to pass legislation permitting sports wagering (SB 111 and HB 194) by 2020.  Part of the current debate surrounds whether the Ohio Casino Control Commission or the Ohio Lottery would be the regulator.  The tax rate is also a source of disagreement, with SB 111 proposing a 6.25% rate and HB 194 proposing a 10% tax rate.  Regardless of the disagreement, legislators appear to agree that unlike some states that have legalized sports betting, prohibiting wagering on collegiate sports will not be part of the bills. 

 

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