Will Kansas Pull the Plug on Sportsbooks?
Kansas sports betting’s fate hangs in the balance. The state House and Senate passed a chunky budget bill, SB 125, mostly signed by Gov. Laura Kelly, but she nixed sections 72(b) and 73(f). Those vetoes, which didn’t get enough votes to override yesterday, tie the Kansas Lottery’s hands-on negotiating sports betting contracts.
A Shaky Scene in Topeka
Now, a fresh budget tweak could slam the brakes on license renewals, putting the whole market at risk. “If (big if) this were to happen it would be one of the most shocking moves in US sports betting history. None of the 39 states to approve sports betting have rescinded sportsbooks,” Ryan Butler pointed out on X.
The new amendment to SB 125 throws a curveball: no Kansas Lottery funds can go toward new deals or extensions with sportsbook operators in fiscal years 2025 or 2026.
That means when current licenses, tied to lottery gaming facility managers, expire, betting could grind to a halt. Butler flagged this as a big deal, noting the Senate’s already on board to ditch renewals, and the House is chewing it over today. If it sticks, Kansas might flip from a $1.85 billion betting market in its first year to zilch, a move no other of the 39 betting states has pulled.
What’s Holding Steady (for Now)
Not everyone’s hitting the panic button yet. Cited by iGB, Jeremy Kudon from the Sports Betting Alliance, told Alex Gold of 96.5 The Fan that top companies like FanDuel, DraftKings, and BetMGM aren’t sweating immediate shutdowns. “Most contracts with the lottery run well into 2027,” Kudon said, calming fears of a sudden blackout.
Butler echoed that on X, suggesting these three apps look safe for now, though smaller players’ status is not clear. Kansas has six mobile sportsbooks live today, and they’re still taking bets, $7 million in state revenue last year says they’ve got traction.
The clock’s ticking. If licenses lapse without renewals, operators could go dark one by one. “Access to Kansas’ legal sportsbooks are now in jeopardy,” Butler posted, hinting at a slow bleed rather than a quick kill.
Kudon’s take offers some breathing room, but the veto session’s last gasp today could lock in a path that’s tough to unwind. X chatter calls it “a wild twist,” especially with Missouri’s market gearing up across the border.
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