A bill many Kentuckians have spent years asking for advanced off the House floor on Friday. House Bill 606 would legalize in-person and online sports betting in Kentucky.
“House Bill 606 … legalizes sports wagering and regulates it. It regulates the daily fantasy sports, which goes on openly on U.S. companies today, and it legalizes and regulates online poker,” said primary bill sponsor Rep. Adam Koenig (R-Erlanger).
Koenig said sports betting is legal in most of the states surrounding Kentucky. He also cited a statistic from American Gaming Association that estimates $2 billion is illegally wagered on sports in Kentucky each year.
The bipartisan bill would tax sports betting by implementing a 9.75% tax on the adjusted gross revenue for in-person sports betting and a 14.25% tax on the adjusted gross revenue for online sports betting. The money would go toward the state’s pension fund.
Koenig said the state estimates that legalizing sports betting in Kentucky would bring in $22.5 million in revenue for the state.
“Given how many states have exceeded their projections, I think $22.5 million is probably a minimum,” Koenig added.
While voting on HB 606, several lawmakers explained their “no” votes.
Rep. Daniel Elliott (R-Danville) said while he is a “big believer in personal responsibility,” he would not be voting in favor of HB 606.
“I think the appropriate way to deal with this issue and all issues of gaming in Kentucky and gambling is through a constitutional amendment. That I would support,” Elliott said.
Rep. David Hale (R-Wellington) said he was voting “no” on the bill because he does not like that the purpose of the bill is to generate revenue and that it would hurt vulnerable people.
Rep. Rachel Roberts (D-Newport) voted “yes” on HB 606. She said she was proud to co-sponsor the measure.
Rep. Cherlynn Stevenson (D-Lexington) also voted in favor of HB 606. She said the bill is “without a shadow of a doubt” the issue she has received the most phone calls and emails about in her four years in the House, with 99% of those messages being in favor of sports betting in Kentucky.
HB 606 cleared the House by a 58-30 vote. It will now go before the Senate for consideration.
