While lawmakers continue to tinker with Ohio sports betting law, it also appears the Buckeye State could be among the next markets to consider online casino legislation.
The Study Commission on the Future of Gaming in Ohio turned in a report last week that included letters from multiple legislators recommending online casino legalization. Lawmakers also suggested the legislature should repeal the Ohio Casino Control Commission’s ban on collegiate athlete prop sports betting in Ohio.
Multiple lawmakers on the commission also said Gov. Mike DeWine’s sports betting tax increase, from 10% to 20%, was premature.
Ohio online casino expansion outlook
Three House Republicans on the commission wrote that “iGaming could be a net benefit to the state of Ohio.” The trio of lawmakers provided the most substantial recommendations of the report in a joint letter.
“While the state should proceed with caution and care with any expansion of this magnitude, with the right regulatory framework, these types of gaming can thrive with nominal impact to our current system,” Reps. Jay Edwards, Jeff LaRe and Cindy Abrams wrote.
Democratic Rep. Bride Rose Sweeney said the expansion is likely inevitable. Without an explicit endorsement, Sweeney provided framework suggestions, including tethering online casinos to brick-and-mortar casinos.
Online gambling dissent
Several lawmakers on the commission voiced concern about online gambling expansion. Sen. Al Landis said the gambling landscape should maintain the status quo.
Sen. William DeMora said online casinos would open up “a massive revenue source,” before listing his concerns including the disruption it could cause the existing industry.
Michelle Gillcrist, director of the Ohio Lottery Commission, cautioned in a note that any gambling expansion should include a study on how it will affect the lottery’s revenues.
College prop betting ban repeal?
Shortly after the NCAA requested Ohio regulators to restrict collegiate athlete prop bets earlier this year, the Ohio Casino Control Commission banned the bet type in February.
The three Republican representatives said harassment and threats against any athlete are unacceptable and should be investigated and prosecuted. However, they argued the ban does not accomplish its stated goal to protect athletes.
“While we understand the circumstances in which this decision was made, we believe it is one that was not needed,” they wrote. “The response from the OCCC to simply ban prop-betting on individual college athletes looks to solve the problem without addressing the issue. We recommend that the OCCC’s policy be rescinded and prop betting on college athletes restored.”
Sports betting tax increase critique
The three Republicans called DeWine’s tax rate hike in last year’s annual budget “premature.” Ohio sports betting had started six months prior to the 10% tax rate jump.
“This hampered the growth that was occurring and made other companies think twice about coming to Ohio to invest,” they wrote. “As future General Assemblies look at making changes to the sports gaming platform or implement new forms of gaming, they must keep those who are going to be making the investments in mind.”
Sweeney wrote the legislature should monitor how the tax rate affects the gambling industry.
Ohio gambling study commission
The legislature created the Study Commission on the Future of Gaming in Ohio during last year’s session. They held four meetings to learn about the state’s gambling industry this spring.
Edwards and Sen. Nathan Manning co-chaired the commission.
The commission was made up of:
- Abrams
- DeMora
- Edwards
- Landis
- LaRe
- Manning
- Sweeney
- Scott Borgemenke, chair of the Ohio State Racing Commission
- Sen. Terry Johnson
- Thomas Stickrath, chair of the Ohio Casino Control Commission