Odds of Legal Sports Betting in Minnesota Higher Than Ever

Sports Betting Legislation Returns to Minnesota

Despite initial progress, Minnesota’s sports betting bill failed to pass in 2024. While hopes were high for its approval, it became clear that the legislative process would take more time. However, the momentum built during earlier discussions is expected to carry over into the next session.

Following Missouri’s successful sports betting legalization via referendum, Minnesota is now seen as a likely contender to join the growing list of regulated sports betting states. Despite potential hurdles along the way, Land of 10,000 Lakes remains a frontrunner for legalization.

In May 2024, bipartisan agreements were reached, paving the way for future discussions about legal sports betting in Minnesota. However, the legislative session ended before finalizing details or securing necessary votes. Neither party prioritized sports betting during that session, which hindered progress.

May Agreement Remains Key

The May agreement, granting tribal casinos exclusive rights to operate sports betting, remains central to ongoing discussions. Senate Commerce Committee Chair Senator Matt Klein confirmed that this framework is still in play for 2025 negotiations.

Challenges persist, however. The Running Aces racetrack, which has previously opposed the bill, may continue to do so. Although Running Aces President Taro Ito proposed collaboration with tribal operators, it remains unclear if the current framework will gain their approval.

Additionally, political leadership changes pose uncertainties. A new Republican leader must replace sports betting advocate Pat Garofalo, which could influence legislative dynamics.

Consumer Protection at the Heart of Proposed Legislation

The final structure of Minnesota’s sports betting bill remains uncertain. However, based on previous discussions, key provisions such as tribal exclusivity are expected to stay intact.

Taxation on sports betting operators is another significant topic. Senator John Marty proposed a 40% tax rate, aiming to fund educational and addiction support programs. Another proposal suggests allocating 10% of tax revenue to horse racing initiatives and smaller tribal entities that might not benefit as much from online partnerships.

Senator Marty also emphasizes consumer protection, advocating for stringent measures to mitigate gambling harm. Proposals include:

• Banning college sports betting and live betting.
• Deposit limits of $500 per day and $3,000 per month.
• Session limits, capping playtime at four consecutive hours.
• A “red flag law” allowing family members to report problem gambling behaviors to regulators.

In advertising, restrictions would prohibit promotions targeting individuals under 21 and ban marketing on public properties, including sports stadiums.

Will 2025 Be the Year for Minnesota Sports Betting?

The focus on legalizing sports betting in Minnesota is expected to intensify in the next legislative session. The May agreement provides a promising foundation, but finding a balance acceptable to all stakeholders will be essential.

Could 2025 be the year Minnesota finally legalizes sports betting? While caution is warranted, the outlook is more optimistic than ever.