Native American tribes in Minnesota have a thing or two to be excited about. All 11 of them will be able to start offering online sports betting thanks to a new House Bill that passed with approval through the State House.
Minnesota Musters Support for Tribal Gaming
House Bill 778 will now regulate gambling laws in the state and enable stakeholders to set up shop and capitalize on the sustained interest for sporting events, and associated betting activity, that has been taking place across the state border for most of the part.
Originally, the bill was looking only into private partners but later was changed to include and shift the focus to tribal casinos. Essentially, the state will have two master sports betting licenses which will be split between the tribes which will team up in two camps, and then issue licenses to interested parties. The bill specifies that at least two tribes must join together to apply for a master’s license.
Sublicensing will be awarded for a nominal fee of $2,125. Each sublicense will be allowed to have an interactive gaming platform, which is where established gaming companies in the United States come in handy. While tribes will push for online gambling, they will also be given a particular incentive to attract more in-person gamblers.
House Bill 778 explicitly states that any bets placed in person on a tribal property will not be subject to any tax. Meanwhile, any bets placed on tribal land will have to meet a 10% tax levy. Mobile betting licenses will cost $6,000 for tribes, accounting for just the application fee.
A Few Last Hurdles to Clear as Well
If the process goes well, then stakeholders may apply for a full mobile license which will cost them $38,250. Once a license is awarded, it may be renewed at a rate of $8,500. House Bill 778 is still not out of the woods though. Passing the House of Representatives does not clear it in the Senate, and then, there is the governor’s office.
The 11 tribes operate a total of 19 properties, but only 11 online gaming licenses will be issued. More details are forthcoming as Senate is up next.