After voters in the tourist town of Deadwood approved sports wagering in November, there was optimism in South Dakota that online sports betting could be legalised. South Dakota legislators rejected mobile gaming, but they did approve in-person sports betting in Deadwood casinos on Thursday.
On Thursday, the House passed SB 44 by a margin of 58-8-4. It will now be signed into law by South Dakota Governor Kristi Noem. This is the first piece of sports betting law due to be approved by the governor in 2021.
Legalised sports betting at Deadwood casinos was unanimously supported by voters. As a result, politicians were compelled to enact sports betting rules.
In addition to prohibiting mobile sports betting, the law also prohibits betting on South Dakota college teams and various college prop bets throughout the state. The bill calls for a 9 percent increase in state tax revenue, with the money going to Deadwood.
Mobile sports betting
South Dakota legislators have shut down mobile sports betting for the second time in less than a fortnight. Last week, the House Taxation Committee voted 11-1 against HB 1231. Both mobile wagers will have to go through servers at casinos in Deadwood under the measure. Players in South Dakota may have been able to position wagers using their handheld devices, phones, or at establishments with liquor licences for on-site use.
During a hearing, Garrett Gross of the Dakota Gaming Group was one of the proponents of mobile sports betting in the state. Residents in South Dakota are estimated to be wagering about $30 million a month at casinos in Iowa or on the black market, according to him.
According to keloland.com, Gross said in the Feb. 22 hearing, “These wagers are not tracked, regulated, or taxed. That number should be eye-opener, because it was for me.”
On February 9, the South Dakota Senate approved SB 44 with a 32-2 vote.
South Dakota’s online gambling is gone, but its northern neighbour, North Dakota, took a jump toward mobile gaming last week. Supporters of regulated online wagering, such as internet sports betting and online poker, are hoping to flourish in North Dakota.
Both recreational sports betting and online poker will be on the ballot in November 2022, according to the North Dakota House of Representatives. Since there are no commercial casinos in North Dakota, all gaming must be done online.
These resolutions have now been sent to the North Dakota Senate for consideration.