Lawmakers in South Carolina Present Yet Another Proposal for Legalizing Sports Gambling
South Carolina Set to Join the Sports Betting Landscape
South Carolina is poised to join the growing list of states offering legal sports betting, with a bill introduced in the state legislature that could see between eight and twelve online platforms operating in the state.
The bill, known as HB 5277, establishes a Lottery Commission Sports Wagering Advisory Council to advise on best practices and provide administrative and technical assistance. Entities approved for a sports betting license would pay a $500,000 annual license fee and a non-refundable application fee.
The proposed tax rate on adjusted gross sports betting revenue is 10%, with 80% of the revenue allocated to the education lottery account, 15% to the general fund (for transportation, roads, public buildings), and 5% to the Department of Mental Health for problem and responsible gaming programs.
Bettors must be at least 21 years old to participate in the activity. Professional athletes are not allowed to bet on a sport or athletic event overseen by their sports governing body, such as an NFL player betting on NFL games.
The bill allows for betting on professional sports, college sports, and esports. If passed, South Carolina would join more than 30 states that have legalized sports betting in some form since the Supreme Court overturned the Professional and Amateur Sports Protection Act in 2018.
So far in 2022, no states have legalized sports betting, though bills are moving through multiple state houses, including in Kansas, Minnesota, and Missouri. In Missouri, legislation was introduced in late 2022, and an expected market opening is anticipated in late 2025 after regulatory framework is completed.
Michigan is fully live with legal sports betting since 2021, with growing market activity and strict regulation. Neighboring North Carolina has in-person betting at two tribal casinos, and an online sports betting bill is working its way through the state legislature. Georgia has tried and failed to legalize wagering in each of the last three sessions.
The bill in South Carolina is sponsored by Rep. William Herbkersman (R) and Rep. Todd Rutherford (D). Cryptocurrency, digital currency, and foreign currency could serve as funding options in the bill. Entities such as professional sports franchises, PGA Tour event hosts, and promoters for national stock car auto racing events can apply for a sports betting license.
West Virginia initially considered requiring the use of official league data but abandoned the idea during the legislative process. The council will consist of nine members, three each appointed by the governor, Senate president, and speaker of the House.
Only a handful of states, including Michigan and Illinois, have an official league data provision in their sports betting laws. Bettors in South Carolina can look forward to a regulated and safe sports betting market if HB 5277 is passed.
- South Carolina, following the footsteps of over 30 states, is on the verge of legalizing sports betting, as HB 5277 has been introduced in the state legislature.
- If passed, the bill would establish a Lottery Commission Sports Wagering Advisory Council, which would advise on best practices and provide assistance in administering and technical aspects.
- Entities approved for a sports betting license in South Carolina would pay an annual license fee of $500,000 and a non-refundable application fee.
- Under the proposed policy, the tax rate on adjusted gross sports betting revenue would be 10%, with revenues primarily allocated to education, general fund, and problem gambling programs.
- In terms of what sports can be bet on, the bill allows for betting on professional sports, college sports, esports, and more, provided that professional athletes do not bet on a sport or event governed by their own sports bodies.
