Legal Status
Sports betting is not legal in the state of Kansas.
Legislative Progress
Legalizing sports betting has been a hot topic among Kansas legislators since the repeal of PASPA by the Supreme Court in 2018. The possibility of legalization was looking promising in 2020. The Senate had passed a bill that would have legalized retail sports betting at the four state-owned casinos and mobile/online betting.
The House committee held a hearing on the bill on March 13. Days later, the legislative session was adjourned due to the Coronavirus.
Senate Bill 84 was proposed in 2021 and would have called for the legalization of mobile sports betting statewide and for retail sports betting at casinos, lottery vendors and horse tracks. When SB 84 failed to pass, another version of it was proposed. But it failed to gain enough support as well.
Efforts will likely begin anew when the 2022 session kicks off.
Casino Participation
Kansas does have four state-owned casinos (privately operated), so it is likely that the casino industry will be involved in sports betting when it finally passes. Most proposed bills have involved retail sports betting at casinos and mobile platforms being tethered to a brick-and-mortar casino.
Role of the Lottery
The Kansas Lottery Corporation would have been the primary regulator under SB 84 but would have shared regulatory duties with the state racing commission. Retail sports betting would have been allowed at approved lottery vendors as well, but the lottery would not be allowed to take bets online.
However, a second bill proposed in 2021 would have allowed the Lottery to have an online platform. There is no telling what role, if any, the lottery will play in future legislation. But if the attempts over the last few years are any indication, the state lottery will be involved in a regulatory capacity.
Professional Sports Team Involvement
Under SB 84, professional sports teams would have been allowed to partner with a gaming facility manager (sports betting provider) to offer mobile wagering. As far as retail sports betting goes, the bill mentioned “an auto racetrack or a multi-use facility in Wyandotte County”
There is no telling what role, if any, professional sports teams will play in any future legislation.
Licensing
Had SB 84 passed, the Lottery would have been the licensee/owner of any software used for online/mobile betting. That would have been the case in 2020 as well, so it may likely be an aspect included in future legislation.
Operators would have had to pay a $250,000 application fee for a license that would have been good for one year.
As for the tax rate, SB 84 had proposed a different rate for each of four “gaming zones.” Of course, since no bill was passed in 2021, there is no telling what licensing and tax regulations could look like when Kansas does legalize sports betting.
Expected Live Date
Kansas has been consistent in its efforts to get legislation passed, but the state just has not been able to do so. However, with the interest that has been shown, it is probably safe to assume that it is just a matter of time.
If a bill is passed in 2022, the best case scenario for a potential launch will be in time for the 2022 NFL season.
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