Minnesota voted against the legalization of sports betting at racetracks

Minnesota Racetracks Won’t Get Sports Betting Licenses

By Lisa Spencer Senior Editor Updated: 18 March 2023

Lisa Spencer Senior Editor

As a Senior Editor at Betting.US, Lisa Spencer is a valuable member of our expert team. With a Master’s degree in Applied Mathematics, Lisa is adept in gambling theory and analyzing odds. She contributes by writing online sportsbook reviews and finding competitive markets to help our readers make an informed choice.

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It was recently confirmed by state lawmakers in Minnesota that racetracks will not be getting licenses for sports betting. It has now been reported that they are, however, looking at some sort of compromise that will give racetracks in the state the chance to benefit as a result of gaming expansion in Minnesota.

According to Senator Matt Klein, who introduced bill SF 1949, its purpose was to provide the state’s Indian tribes with justice with regard to exclusive rights to gaming. He said that this exclusivity was not up for discussion even though the bill was still not finalized. Klein said:

Protecting that exclusive right to gaming as it expands into new areas is essential to continuing that work in the state of Minnesota. Members, I believe we know that this bill is a work in progress, but one principle which is not open for amendment or discussion is tribal exclusivity over these wagering licenses.

In a nutshell, this means that places like racetracks will not be able to benefit from getting a sports betting license because of this exclusivity.

Looking at the Options

Previous bill author, Senator Roger Chamberlain, had been pushing for licenses for racetracks, but he was not re-elected last year. Another similar bill was put forward by Rep. Zach Stephenson last year, which also gave exclusivity to tribes.

Stephenson recently spoke at a House Committee meeting about the importance of this exclusivity with tribes. He stated that the capabilities and scales of the state’s tribes were much larger and more robust, so they were far more able to deal with sports betting.

At present, the Minnesota House is said to be working with the racetracks to try and reach a compromise. Rep. Brad Tabke has been given the job of trying to get support from the racetracks, as it is claimed that without this, a bill won’t pass. He said that amendments to the bill are being looked at but were not yet ready.

Some Senators Won’t Support a Bill

A number of senators have said that they will not support a bill if racetracks are left out. This could pose huge issues, which is why the House now has to look at possible solutions in order to get a bill passed.

Matt Klein said that the bill could not and would not move forward without full support and that he wanted a solution in place by the time the bill went to the State and Local Government Committee.

Klein has already made a number of amendments to his bill. Among these was the ability to tax promotional credits, eliminating the delay between depositing funds and being able to use them, and excluding proposition bets on college athletes.

One change has been made by Stephenson in the House of Judiciary, Finance, and Civil Law Committee to his bill. This related to the addition of a requirement that would see operators share sports betting data with the University of Minnesota. He said this would allow research to ensure the integrity of sports betting and to help improve services for problem gambling.