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August 19, 2019

Montana Lottery and licensed sportsbook partners could be the operators

Montana's governor to decide on two sports betting bills

Montana's governor to decide on two sports betting bills
The governor Steve Bullock would favor the state lottery model bill because it’s within his administration. If he vetoes both bills, legislators will have to begin the process anew.
United States | 04/24/2019

If Gov. Steve Bullock signs both bills, legal sports betting kiosks run by the lottery and contracted sportsbooks could sit side-by-side, offering different types of betting. Large companies showed interest in running sportsbooks in Montana, including William Hill and MGM. A third option still to be voted would provide limited parimutuel-style sports wagering at horse tracks and off-track betting facilities.

M

ontana Gov. Steve Bullock now has two sports betting bills on his desk. With the sponsors supporting each other’s Montana sports betting bills, S 330 and H 725 received final legislative approval last week.

The House bill (H725), which authorizes the Montana Lottery to operate sports betting, passed the Senate. Senate President Mark Blasdel, who sponsors S 330, rose to speak in support of H 725 prior to Tuesday’s vote. A follow-up vote sent it to the governor on third reading.

“Myself and the sponsor of this bill spoke about these bills before and we agreed that we think both should go forward,” Blasdel said. “I think competition creates opportunity as far as what products are out there, but it’s also better to keep it on an even playing field for the bettors and the taverns to have choices. I think this is just as good a product as the one that is in my bill, and so I’d like to see both of them go through.”

The House passed an amended version of S 330 on Monday by a vote of 90-9. The Senate’s Montana sports betting bill gives licensed gambling operators in the state a choice of sportsbook partners. The Senate is expected concurred with the changes by the end of the week, according to Legal Sports Report.

In Montana, gambling is incorporated into liquor licenses issued by the state. There are about a thousand bars, restaurants and taverns in the state offering video gaming terminals with slot-like play, video poker and keno, as well as lottery kiosks.

The minimum gambling age in Montana is 18, which would continue for sports betting. Each Montana sports betting bill allows for mobile and online play only within the confines of the gaming facility. By passing both bills, legal sports betting kiosks run by the lottery and contracted sportsbooks could sit side-by-side, offering different types of betting.

Blasdel said three or four prominent companies expressed interest in running sportsbooks in Montana, including William Hill and MGM. Their machines would include a more complete array of sports betting options, including in-game wagering.

The biggest difference between the two bills is the time at which the programs could be initiated. The lottery bill would get legal sports betting up and rolling within six months, while June 2020 is the target date for the other model.

Neither bill includes any of the provisions that professional sports leagues like MLB and the NBA have been lobbying for. Sportsbooks will not be required to purchase official data from the leagues to set their bets, pay a private tax to the sports leagues, or share their data with the leagues. Additionally, the leagues are guaranteed no right to ask the operator to exclude certain types of bets.

If Bullock does veto both bills, legislators will have to begin the process anew. The third option for Bullock is to not act at all, letting the bills pass into law without his signature after 10 days.

For sports betting, Blasdel indicated that odds on outcomes of single games would be similar to other models but the terminals would push parlay bets at longer odds to casual bettors interested in the possibility of turning a little money into a lot.

“If the lottery version is the only game in town, people who aren’t satisfied with that product will have nowhere else to turn,” Blasdel said. “With both models in place, the sports bettor will have more options to choose from and it will keep the odds more in check.”

“A sports bettor is a different type of gambler. They look at the odds, and if the odds are not realistic then they’ll search for other avenues to place their bets. The reality is there’s so much already happening on the black market, and if they don’t come into the light they’ll stay doing what they’re doing,” he added.

Blasdel also said he’s spoken with Bullock directly on the topic, and that the governor favors the lottery bill because it’s within his administration. “We’re trying to get the governor to understand there’s opportunity for all of them here, and that will ultimately be better for the sports bettor and the state,” Blasdel said.

There is a third Montana bill involving sports betting, H 475, which would provide limited parimutuel-style sports wagering at horse tracks and off-track betting facilities. Blasdel explained that money bet would go into a pool and odds would rise or fall as if placing an exacta bet. It is in the Senate after passing the House, and Blasdel indicated that he will support its passage.

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