Retail Sports Betting Expansion Laws & Regulations

South Dakota Lawmakers to Focus on Retail Betting Expansion

By Lisa Spencer Senior Editor Updated: 01 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 has been revealed that lawmakers in South Dakota will not be pushing for the legalization of online sports betting despite the successes experienced by others states that have legalized it. However, they will be focusing on the expansion of retail sports betting with a bill that would allow for this to be offered in other places in addition to the city of Deadwood.

A new bill, SB209, has been introduced by Senator Ryan Maher, but it is not designed to legalize sports betting in South Dakota. Instead, the bill aims to expand opportunities and increase the number of places where retail sports betting can be offered within the state.

While many will be disappointed that there is no inclusion of online betting, it will mean a greater range of options when it comes to in-person betting.

Require Contracts with Deadwood Casinos

As part of the regulations under the new bill, all venues that are licensed to serve liquor would be eligible to apply for a betting license. However, those located outside the city of Deadwood would need to partner with a Deadwood casino that already has a license.

According to reports, sports betting would most likely be offered at such establishments via self-service kiosks which could be set up at places such as restaurants, bars, and clubs across the state.

An amendment to the bill read:

Any sports wagering may only be conducted on the premises of a licensed gaming establishment as approved by the commission within the city of Deadwood or within the interior of a licensed affiliate business.

It went on to state that all operations that were authorized by the commission would need to install and maintain equipment that had been approved by the commission. This would ensure that all bets were placed at licensed premises only within the city.

Challenges Ahead for the Bill

The bill is expected to face various challenges, as previous bills have already done. Last year, Bill HJR5006 failed, which meant any hopes of legalizing online sports betting at that time were dashed.

Retail sports betting in the state was approved in 2019, but this was a close call with regard to votes, with 58 percent of voters supporting it. In-person betting then became available at a number of casinos in Deadwood over the course of 2021.

There is stiff opposition to the expansion of sports betting in the state, with those opposing sports betting claiming that the state has the third-highest rate of gambling addiction in the country. Among those opposing sports betting is Rep. John Mills.

According to Mills, gambling debts were out of control, with men often accruing debt of $55,000-$90,000 and women clocking up gambling debts of around $15,000. Mills has already spoken out about these problems, adding that he is ashamed of the state for relying on gambling.

Gambling addiction has become a huge issue in many states across the country, with many stating that there is not enough support for those with gambling addiction issues.