Missouri Digital Betting Initiative Faces Legal Challenge

Missouri Digital Sports Betting Initiative Faces Legal Hurdle Amidst Growing Support

Missouri’s efforts to legalize digital sports betting have hit a significant roadblock, as a new legal challenge threatens to derail the initiative. Despite this, the push for statewide mobile wagering continues to gain momentum, with strong backing from both major sports teams and betting companies. Explore how this legal battle could impact the future of sports betting in Missouri and what it means for the voters.

The Legal Challenge: A Battle Over Voter Certification

The latest development in Missouri’s sports betting saga revolves around a lawsuit filed in Cole County Circuit Court. This lawsuit questions how the state’s secretary of state certified the sports betting initiative, which was set to appear on the ballot after proponents collected enough verified signatures. At the heart of the dispute is the method used to determine which voting districts the signatures belong to.

Missouri requires that a proposal gather verified signatures from 8% of voters in six of the state’s eight congressional districts. However, the lawsuit alleges that the secretary of state’s office used outdated district boundaries from before the 2020 redistricting to certify the signatures, but then applied the new districts to determine where voters currently live. This discrepancy could invalidate signatures that, while from valid voters, no longer correspond to their original districts under the new boundaries.

Additionally, the lawsuit claims that some of the collected signatures are invalid, further complicating the initiative’s path to the ballot. If the court rules in favor of the plaintiffs, it could potentially prevent the initiative from being presented to voters in the upcoming election.

Political and Industry Responses: Campaigns Move Forward Despite Litigation

Despite the looming legal battle, proponents of the digital sports betting initiative are pressing forward. St. Louis Cardinals President Bill DeWitt III has publicly dismissed the lawsuit as “completely without merit,” emphasizing the strong public support for the measure. According to DeWitt, Missourians have clearly expressed their desire for the initiative by signing the petition in large numbers, and he remains confident that it will appear on the ballot in November.

This legal challenge was anticipated by many in the political sphere. Stephanie Bell, a lawyer specializing in election and gaming law, noted that the certification of ballot measures often opens the door to litigation. She pointed out that while the legal issues are being resolved, campaigning for the initiative will continue. With the first voting windows for certain groups opening just ten weeks before election day on November 5, there is little time to waste.

The stakes are high for the backers of the initiative. DraftKings, one of the largest digital wagering companies in the U.S., has already contributed $3.5 million to the campaign. The company’s investment underscores the significance of Missouri’s market potential, especially given that it’s one of the last states in the region yet to legalize sports betting.

The Push for Statewide Mobile Wagering: A Divided Industry

The proposed initiative would allow for statewide mobile wagering, a move that is strongly supported by digital betting companies and Missouri’s professional sports teams. Under the initiative, platforms would generally need to be tethered to existing casinos or professional sports venues, with two standalone mobile licenses also available.

Supporters argue that legalizing digital sports betting would be beneficial for Missouri, bringing in much-needed revenue and providing fans with a convenient way to engage with their favorite sports. Kansas City Chiefs President Mark Donovan has been a vocal advocate, spending significant time lobbying in Jefferson City. He believes that sports betting is “good for the state” and “good for fans of the sport and other sports.”

However, the initiative has not garnered universal support, particularly among the state’s brick-and-mortar casinos. The proposal’s framework of allowing one digital skin or platform per casino company contrasts with previous bills that had broader casino backing. These earlier proposals would have allowed each physical casino to host up to three digital skins, which would have favored larger operators with multiple locations in the state, such as Caesars Entertainment and Penn Entertainment.

Missouri’s Regional Betting Landscape

Missouri finds itself increasingly isolated as one of the few states in its region without legal sports betting. Of its eight bordering states, only Oklahoma has yet to legalize any form of wagering. Nebraska offers in-person betting only, while the other six states, including Illinois, Iowa, and Tennessee, allow both in-person and digital betting. This regional dynamic adds pressure on Missouri to act, as residents cross state lines to place bets, depriving the state of potential revenue.

Missouri’s digital sports betting initiative faces a critical juncture as legal challenges threaten to block its path to the ballot. While proponents remain undeterred, the outcome of this legal battle could have far-reaching implications for the future of sports betting in the state. As campaigns press forward and court proceedings unfold, Missouri’s voters may ultimately decide whether the state will join its neighbors in legalizing digital wagering, or if it will continue to grapple with legal and political hurdles that keep sports betting out of reach.