Massachusetts sports betting could look totally various if a brand-new bill proposed in the Senate achieves success. And if history is any sign, managed sports betting in other states could also change considerably.
SD 1657 was presented by Sen. John Keenan. “An Act Addressing Economic, Health, and Social Harms Caused by Sports Betting” intends to increase the current sports betting tax rate from 20% to 51%. Furthermore, Sen. Keenan requires a total restriction on live betting (in-game wagering) and prop bets.
The main thing to bear in mind is that Massachusetts has been at the forefront of more stringent sports betting guidelines. The second thing to understand is that the language of this costs resembles the SAFE Bet Act, a federal piece of legislation presented in 2024.
This bill was presented not long after previous Massachusetts Governor and present NCAA president Charlie Baker affirmed in front of the Senate in a meeting on sports betting regulation.
So, while this is currently a Massachusetts costs, it’s most likely to impact other states that use managed sports betting.
A closer look at SD 1657
Taxation
Starting with the tax rate increase, bringing sports betting to 51% has actually been a target for Sen. Keenan before. Keenan proposed a tax increase at the last legislative session, however it was rejected. This increase would have can be found in the state’s budget costs.
Just three markets have tax rates of 51%, the highest in the country: New York, Rhode Island, and New Hampshire. At 20%, Massachusetts presently ranks sixth highest.
Prohibiting live betting and prop betting
The measure forbids in-play (live betting) or prop betting. Just straight wagers would be allowed, restricting sportsbooks to using just moneyline, spread, and totals.
While Massachusetts and other markets have restrictions on college betting, this would impact even professional sporting events.
The expense likewise looks for to include benefits and same-game parlays to the classification of “unjust and misleading practices.” Sportsbooks favour same-game parlays due to their high “hold” percentage, the quantity of cash they keep off each $1 bet.
Player Limits
SD 1657 likewise intends to produce compulsory day-to-day and month-to-month limitations for bettors. Bettors could not wager more than $1,000 a day and $10,000 a month without an ‘cost evaluation’ which includes checking savings account. A player can not wager more than 15% of the amount in their account.
Massachusetts would end up being the first market to need a cost evaluation on bettors.
Marketing constraints
Keenan likewise wants to remove marketing during telecasted sporting events. The procedure would restrict sportsbooks from running ads throughout games. The Massachusetts Gaming Commission has looked into developing a ban on in-game advertisements before. Nevertheless, this did not go through as nationwide TV deals make this tough to impose.
Will the step pass?
The step is extreme in its modifications to the sports betting industry in Massachusetts. Banning prop betting and increasing the sports betting tax rate will likely result in pushback from local sportsbooks and industry supporters.
Because of this, the measure will likely be battled in the Senate and the House of Representatives. In the previous session, Keenan stopped working to raise the tax rate.
He would need to convince the other senators who did not support his effort before to alter their minds. If and when the Senate discusses this procedure, it is difficult to tell how it will be gotten.
