Sports Betting App Massachusetts

  

Massachusetts may not only legalize sports gambling. The state may eventually become a new hub for online sports wagering.

In January of 2019, Gov. Charlie Baker proposed a bill that would make Massachusetts the second state in the nation (following the lead of online sports betting in Tennessee) to allow online sports wagering that is unaffiliated with land-based casinos.

What MA sports betting could look like

Massachusetts online sports betting is still currently illegal. With exceptions for horse betting, games of skill and DFS, Massachusetts is working out their legalities with the 2018 PASPA repeal. However, with the amount of surrounding states that have been legalizing sports betting, it is only a matter of time for Massachusetts. Massachusetts sports betting could help the state out financially, as this could be a large market. One sports betting bill quickly advanced through the House in 2020, but it was unable to gain the necessary support in the Senate. A new but similar bill has already been introduced in Massachusetts.

Unlike most bills legalizing sports gambling, Baker’s proposal would ban any bets on NCAA sporting events. Currently, New Jersey is the only state that restricts betting on NCAA events, and that is only on teams from the state or events taking place within its borders.

  • There are currently no legal sports betting options in Massachusetts. That means that no matter what legal gambling venue you visit in the state – casino, lottery retailer, or racetrack – sports betting is not available. The story changes if you head north or south to New Hampshire or Rhode Island, though.
  • The application fee would be $100,000, and the licensing fee would be $500,000 upon approval. The licensing agreement would need to be reapproved every five years. The Impact of HD 678. Baker’s proposal of HD 678 made a big splash in the legal sports betting industry. The House approved sports betting.

Baker’s bill would allow residents anywhere in the state to bet from their smartphones or to place live wagers at recently-opened casino MGM-Springfield. The massive Encore-Boston Harbor is expected to open just outside of downtown Boston in Everett in June of 2019, pending approval by the Massachusetts Gaming Commission (MGC).

The proposal would tax online wagers at a rate of 12.5 percent, whereas bets at live sportsbooks would be taxed at a rate of 10 percent. It is the fifth bill proposed by legislators in the state and one of three bills proposed in January, giving the House options to choose from if it decides to move towards legalized sports betting.

While there is pressure from Massachusetts residents and lobbyists to pass this legislation and compete with the gambling market in neighboring states Rhode Island and Connecticut, the groundbreaking nature of Baker’s proposal is causing some delays.

What still needs to happen?

In April of 2019, the Massachusetts House of Representatives delayed Baker’s bill (which included an overall proposal on the state’s budget for the upcoming fiscal year), signaling a more deliberative approach towards the issues surrounding sports gambling.

The MGC is also investigating allegations of sexual misconduct against Wynn Resorts founder Steve Wynn that could delay the opening of the Encore-Boston Harbor Casino. The commission fined Wynn Resorts $35 million in April for the company’s role in covering up those accusations.

Officials of the Massachusetts State Lottery, which is currently only an in-person business, assert that the Lottery should also be allowed to accept online wagers if the bill is proposed. This adds a wrinkle that the House will have to consider.

There are powerful groups within the Bay State that are lobbying for the passage of this law, including Boston-based DraftKings. The owner of the largest Daily Fantasy Sports (DFS) platform and online sportsbook, DraftKings has a vested interest in legalizing an industry that is currently thriving through illegal avenues.

Massachusetts legislators took a similarly slow approach in 2016 when deliberating on the legality of DFS.

Projected Massachusetts sports betting launch date

While sports betting bills will be up for discussion during the legislative session in May, the House appears to be in no rush to make a decision. The House has until November of 2019 to pass any of the three proposals into law. If legislators decide to ratify Baker’s bill, there could be legal online sports betting available in Massachusetts sometime in 2020.

The legalization of sports betting in the state of Massachusetts has seen its share of twists and turns the last few months. Last November, the subject was punted down the road when the state Senate declined to add sports betting to its fiscal 2021 budget proposal for the second time. Last week came news of some renewed optimism that the state would see a strong move toward legalization in the first quarter of 2021.

There is no shortage of reasons for citizens of Massachusetts to expect a legal sports betting platform in their state sooner rather than later. A need for state revenue in this time of COVID-19 and the fact that neighboring New Hampshire, Rhode Island, New Jersey, and Pennsylvania already take legal sports bets with Connecticut soon to follow are all reasons that legislator and regulators are increasingly focused on getting something done for Massachusetts in the next few months.

“Sports betting in Massachusetts isn’t new – it’s alive and well and has been for quite some time,” Sen. Brendan Crighton, top legal sports betting advocate said. “… I think it’s time for a change and I do believe we’re headed in that direction.”

The Potential Massachusetts Market

Massachusetts boasts one of the more rabid sport fanbases in the US. Along with the NFL’s New England Patriots, who have not been shy about their support of a legal sports betting platform. Massachusetts is home to the Boston Celtics of the NBA, MLB’s Boston Red Sox and the Boston Bruins of the NHL.

Sports Betting App Massachusetts 2019

It all adds up to the potential for Massachusetts to have one of the most lucrative per capita sports betting markets in the country. Massachusetts sports betting market estimates have between $20 million to $35 million in annual revenues being generated, which would significantly bolster drained state and local tax coffers in the state, especially at the tax rate that is being proposed.

What Is Being Done to Push This Optimism

Massachusetts lawmakers have quietly been working on new draft legislation to make the potential platform more attractive to those who are still unsure about the viability of legal sports betting in the state.

Senator Crighton and his team have increased the application fee from $1 million to $10 million, they have identified a 15% tax rate and they have amended the college team betting concerns of Gov. Charlie Baker and propose a ban on wagers for Massachusetts college programs.

Crighton and his backers are trying to provide some red meat to everybody involved in the legalization process by making the potential platform more attractive even for its most ardent opponents.

“I am interested in hearing other folks’ perception on it but I feel like our model is pretty straightforward,” Crighton said.

No Shortage of Support

Penn National and Wynn, two of the current brick-and-mortar facilities in the state may have highlighted the need to get something done quickly when they said in a joint statement:

“Sports wagering expansion by our neighboring states substantially affects the competitive posture of the gaming industry here in the Commonwealth and places us at a strong disadvantage, with Massachusetts jobs, revenues, and economic activity at stake”.

A host of state legislators are on board with legalized sports betting for Massachusetts as are the all of the pro sports teams that call Massachusetts home including Bruins, Celtics, Patriots, Revolution and Red Sox.

“There are a lot of powerful forces that want to see it happen in Massachusetts,” Daniel Wallach, founder of the University of New Hampshire School of Law Sports Wagering and Integrity Program said. “The professional sports teams badly want to see it happen, and the casino industry could use the boost.”

Mass Sports Betting

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Most, if not all of the biggest sports betting providers have also signaled that they are excited to enter the Massachusetts market and make a “go” of potentially one of the most lucrative sports betting markets left in the US scene.

So… What’s Next

The 2020 Massachusetts legislative session just ended last week. It will take some time after recess before everything is running at full speed once again in the state capitol.

Once there, it is anyone’s guess what happens. After all, the last kick at the can passed 156-3 in the House this past summer only to be held up in the state Senate.

Sports Betting In Massachusetts Proposals

But “We’re in the 8th inning,” Daniel Wallach said. “I’ve heard nothing to suggest this will be derailed,” he added, when speaking on rumors that Q1 of this year will see legal sports betting come to fruition in the state.

Does Massachusetts Have Sports Betting

Massachusetts will be under the legal sports betting industry microscope in 2021 as social programs in the state, pro sports teams and service providers wait on what could potentially be a major financial windfall for all involved.