Minnesota’s Sports Betting Hopes Die Again

Another Year, Another Flop

Despite early buzz that a deal was close, bridging divides among tribes, racetracks, and pro teams, opposition hardened, sinking hopes for the fourth straight year.

The leading bill, SF 757, spearheaded by Sen. Matt Klein, tanked in its first committee with a rare 6-6 vote on February 13. Another key proposal, SF 3414, also stalled, as did a late push for a study.

Sen. Matt Klein’s SF 757 was the session’s big hope. Introduced early in 2025, it aimed to legalize retail sports betting at tribal casinos and mobile wagering statewide, giving Minnesota’s 11 gaming tribes exclusive rights to in-person bets and partnerships with online platforms like DraftKings.

The bill, backed by tribes, Canterbury Park, Running Aces, and pro teams like the Vikings, seemed poised to break the stakeholder gridlock that doomed prior efforts. It proposed a 22% tax on net mobile betting revenue, with funds split for charitable gaming relief (40%), tribal equalization (15%), and addiction services (8.5%).

But on February 13, 2025, the Senate State and Local Government Committee deadlocked 6-6, halting SF 757.

SF 3414’s Stumble

A second major bill, SF 3414, co-authored by Sens. Jeremy Frentz and Klein, hit the Senate on April 22, 2025. It mirrored SF 757’s framework, allowing up to 11 tribal licenses for retail and mobile betting, plus 11 platform licenses at $250,000 initially and $83,000 annually.

The bill covered sports, esports, college events, and fantasy contests, banning youth sports, horse racing, and peer-to-peer betting exchanges. It barred prop bets on college sports, injury wagers, and live-game penalties, mandating addiction hotline displays in ads and offering deposit limits and self-exclusion.

A 22% tax would fund charitable gaming, tribal aid, and youth sports. But on April 23, a motion to pull SF 3414 from the State and Local Government Committee failed, leaving it dead in the water.

Opposition’s Heavy Hand

Opposition, led by figures like Sen. John Marty, crushed the bills. Marty’s SF 978, a rival bill, pushed 50% of revenue to addiction services, versus Klein’s 8.5%, and tougher ad rules, but it, too, fizzled in committee.

At a January hearing, Marty spotlighted gambling’s social harms, especially online betting’s addictive pull. Sen. Erin Maye Quade pitched banning live in-game bets, calling them “the most addictive form.”

Sen. Steve Drazkowski slammed SF 3414’s licensing fees, arguing $250,000 upfront stifles competition. Critics also worried about predatory practices by national sportsbooks and the hit to charitable gaming, which funds community programs.

A Study That Never Was

A last-ditch effort to keep the conversation alive also flopped. In May lawmakers proposed a study to evaluate sports betting’s impacts and deliver recommendations.

The Senate Taxes Committee, led by Sen. Ann Rest, shot it down on May 12, during a Rules and Administration Committee debate.

Rest called the idea “too preliminary,” questioning its structure and need. With no bills or studies moving forward, Minnesota joins states Missouri, where 2025 sports betting efforts also died.