Indiana Senator Jon Ford has introduced a bill to legalise sports betting in the state, subject to the gaming commission determining that current federal prohibitions on sports betting are no longer applicable.
Ford's bill would legalise betting on athletic and sporting events involving human competitors, at licensed riverboats, racinos and satellite facilities, as well as via computerised devices.
Each licensed gaming facility would be required to secure a certificate of authority to offer sports betting, subject to an initial fee of 1 per cent of adjusted gross receipts from gambling at the facility in the preceding state fiscal year or $500,000, whichever is greater. These funds would be directed to the state general fund.
The bill also imposes a 9.25 per cent wagering tax on adjusted gross receipts, payable on a monthly basis to the state general fund, as well as an annual administrative fee of $75,000 from the second year of operations, payable to a sports wagering fund administered by the gaming commission.
It is estimated that the sports wagering tax will generate between $3.1m and $18.8m annually for the state, while the initial application fee could generate as much as $22.0m if all 13 gaming facilities apply for certification.
SB 405 was introduced on January 8th with an effective date of July 1st, 2018, authorising the Indiana Gaming Commission to approve sports wagering within 90 days of the federal prohibition on sports wagering being repealed or amended, or in the event that the Supreme Court finds the prohibition unconstitutional.
The bill has been referred to the Senate Public Policy Committee, of which Ford is a member.