Alabama House Advances Gambling Bills

Article by : Erik Gibbs Feb 20, 2024

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On Thursday, the Alabama House passed two bills, sponsored by Representative Chris Blackshear, aiming to expand commercial gambling in the state. The news came just a day after the House Committee ratified the legislation, which set the proposal on the right track.

The bills, namely HB151 and HB152, now await approval from the state’s upper house. Notably, HB151, being a constitutional amendment, necessitates public confirmation and could be added to the November ballot.

Governor Kay Ivey, expressing support for the bills “in their current form,” highlighted their potential to address illegal gambling issues and provide Alabamians the chance to voice their opinions on regulated, limited forms of gaming.

The bills await further legislative steps and gubernatorial approval to shape the future landscape of gambling in Alabama. Thursday witnessed the decisive approval of HB151 with a 70-32 vote and HB152 with a 67-31 vote in the House.

Preceding this, on Wednesday, the House Economic Development and Tourism Committee endorsed the two-bill package through voice votes.

HB151 seeks to legalize both retail and online sports betting, establish a state lottery, and introduce casinos in specific regions with bingo-type games. Additionally, it grants authorization for the state to engage in negotiations for a gaming compact with the Poarch Band of Creek Indians, operators of the existing state casinos.

Complementing this, HB152 establishes a state lottery and gaming commission to oversee and regulate the gambling sectors. This bill proposes the formation of the Alabama Gaming Commission, responsible for licensing casinos, featuring a dedicated law enforcement division.

The Alabama Gaming Commission holds the potential to license up to six casinos, while the seventh remains under the jurisdiction of the Poarch Band.

After the bills’ approval, Representative Chris Blackshear conveyed the sentiment that they had taken heed of the public’s feedback from polling. The intention is to empower citizens with the opportunity to determine the direction of gaming in the state, according to Blackshear.

Blackshear’s acknowledgment came in response to the resonance observed in public opinions through polling.

The Legislative Services Agency provided an estimate suggesting that the state stands to gain up to $900 million from the combined impact of the lottery, casinos and sports betting, inclusive of revenue stemming from a potential compact with the Poarch Band of Creek Indians.

During a public hearing earlier in the week, Blackshear emphasized the significant financial boost anticipated from expanded gambling, projecting a potential influx of as much as $1.21 billion to the state.

The fiscal note associated with HB152 delineates that revenue from casinos could range from $315 million to $492.2 million, with an additional up to $42.5 million contributed by sports wagering.

The lottery is expected to contribute between $305.6 million to $379.4 million. Blackshear highlighted the potential for an additional $300 million arising from a compact with the Poarch Band.