Here's why Wisconsin is delaying its latest sports betting proposal
The complex sports betting landscape in the United States has just gotten another twist as the state of Wisconsin pushes back on its latest attempt to advance sports betting in the state. Here’s what happen, and what residents might expect next.
Proposal AB 601, which addresses the legalization of online sports betting in the state of Wisconsin, was introduced in October and was unanimously approved by the Committee on State Affairs. It was then set to await a vote on November 19. However, Assembly Majority Leader Representative Tyler August has put a pause on that process as various lawmakers have raised concerns.
August said that there was “no rush” to push the proposal through, and that she’d made the decision to table it after speaking with other lawmakers who “brought up some points that [she] hadn’t considered yet.” Despite the delay, August did assure residents that a vote would come next year. But what exactly is that vote about, and where is this all going for the state?
A fight for control of Wisconsin’s sports betting
While the state’s Assembly Republicans have decided to delay the sports betting vote, it’s not actually due to the state being against its legalization. In fact, it’s in some ways the opposite. August stated that the state actually must legalize online betting sites in order to raise its revenues while also removing the pending threat of prediction markets that are on the rise.
“If we leave a grey area in state law, national prediction platforms will fill it without our compact framework, Wisconsin oversight, or Wisconsin consumer safeguards,” August said. “While we debate a narrow clarification that keeps wagering inside Wisconsin’s compact system, large national platforms are racing to roll out ‘prediction market’ apps that let users trade real-money contracts on sports, politics, and economic data.”
AB 601 proposes that online sports betting in the state would be controlled by Native American tribes, inspired by the current model in the state of Florida. The Ho-Chunk Nation and the Forest County Potawatomi are proponents of the proposal.
Online sports betting is continuing to grow in popularity across the United States.
However, the broader Sports Betting Alliance has opposed AB 601, since this would not allow some of its members to operate in Wisconsin’s marketplace without handing over most of their revenues to in-state tribal partners.
Potawatomi Hotel & Casino’s CEO Dominic Ortiz argued back that the Sports Betting Alliance doesn’t want a partnership because its members want “control” of the state of Wisconsin and its betting markets. Ortiz pushed forward the idea that regulating betting should come to the state through its tribal constituencies.
Will Wisconsin’s sports betting proposal be approved?
While these ongoing disagreements have caused a delay, August has stated that he believes AB 601 will eventually pass when the vote finally happens. The bill will be circling back in 2026, at which time August believes there will be at least 50 votes from GOP lawmakers, and with likely support from Democrats as well.
Pressure is only growing for states like Wisconsin to make legal in-state betting. Some other states where sports betting and related activities are already legal are continuing to see huge revenues from the practices. That’s money that other states are leaving on the table, money that could be put towards any number of in-state uses.
Wisconsin Governor Tony Evers voiced early support for the bill and confirmed his willingness to sign it, though he called having the state’s tribes prominently involved “the ultimate goal,” even saying that it was “the most important thing” to have those tribes “[be] the ones in charge.” That’s something that may not sit well with outside providers who’ll surely want to keep the majority of revenues for themselves.
These are the US states that currently allow online sports betting:
- Arizona
- Arkansas
- Colorado
- Connecticut
- Delaware
- Florida
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- New Hampshire
- New Jersey
- New York
- North Carolina
- Ohio
- Oregon
- Pennsylvania
- Rhode Island
- Tennessee
- Vermont
- Virginia
- Washington, D.C.
- West Virginia
Sports betting is only continuing to grow in the United States. As the practice continues to break revenue records each year, many states see this as another source of revenue. Whether it’s mainstream markets like those around football and basketball, or growing niche markets such as those seen in esports betting, the industry is rocketing forward with each passing month and year. It looks as though states that lag behind in joining in on the revenue parade are only losing money in doing so.
Featured image credit: Visit Milwaukee
Olivia has worked in media ever since graduating from college, with her coverage ranging from traditional newspaper reporting to digital coverage of all things gaming, online betting, and nerd culture. She has traveled around the world pursuing that coverage, from the far coasts of the United States to the busy downtown core of Tokyo, Japan. Olivia’s favorite games include Overwatch and Super Smash Smash Bros, and she has been published at Esports Illustrated, Inven Global, EsportsInsider, Upcomer, and elsewhere.
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