Wisconsin Sports Betting Just Legalized Online Wagering

Wisconsin sports betting is never going to be the same.

Earlier this week, Assembly Bill 601 passed through The Badger State’s Senate and is now on its way to Governor Tony Evers. The initiative, which earned a 21-12 approval rating in the vote, would make online sports betting in Wisconsin legal, ending a years-long attempt to bring mobile wagering to the region.

Although AB 601 continues to face staunch opposition, Governor Evers is among those who has voiced support for Wisconsin sports betting online in the past. Assuming that he does, the state will need to renegotiate gaming compacts currently in place with tribal nations. That isn’t expected to be an issue given the conditions of AB 601.

Most notably, tribes retain Wisconsin sports betting exclusivity as part of the new law. Online operations would be limited to the state’s 11 tribes, much to the dismay of retail sportsbooks hoping to crack The Badger State’s mobile market.

Wisconsin Sports Betting Expansion is Drawing Inspiration from Florida

For anyone wondering, the legalization of Wisconsin sports betting online will not require public-voter approval. It would be a different story if this was amending the terms of the state’s constitution. By limiting the rollout to tribal operators, though, Wisconsin is merely adjusting gaming compacts already in place.

If this sounds familiar, it’s because a similar process played out for online sports betting in Florida. The Seminole Tribe’s interpretation of its exclusive gaming compact with The Sunshine State has changed everything for its peers.

At first glance, these agreements only allow for sports betting on tribal property. Branching out to online operations is supposed to require a constitutional amendment. However, the Seminoles argue that their online sports betting app is an extension of tribal property, because that’s where the servers operating it are located.

To be sure, when this interpretation initially surfaced, it faced a ton of push-back. The Seminole Tribe even needed to shudder all Florida sports betting services for an extensive period of time. After years of litigation, though, they have essentially emerged victorious. This has set the stage for online sports betting operations across the USA to follow a similar blueprint.

That brings us back to Wisconsin sports betting expansion. This would not be taking place without the precedent set in The Sunshine State. And if it’s successful, AB 601 may end up setting an even more important example than the one it’s replicating.

This Could Have Huge Ramifications on Other States

Florida’s sports betting structure is unique because it only features one tribal agreement. Machinations get harder when incorporating a handful of different tribes.

This effectively explains why Wisconsin is renegotiating gaming compacts. While tribes could theoretically just take it upon themselves to expand operations, they’d need to be united in their approach. Such centralization is harder to accomplish across 11 tribes.

A more formal solution was always going to be the answer. It is a lot easier to get 11 tribes on the same page when this exact scenario is explicitly spelled out in the gaming compact.

Other states that have yet to broaden their sports betting reach face similar challenges. If Wisconsin’s passage of AB 601 gets through Governor Tony Evers, it will establish an even more concrete blueprint for them to follow.

Wisconsin May See Serious Political Fallout

Entering the vote on Wisconsin sports betting expansion, plenty of Senate republicans were against the idea not only of mobile wagering, but the vote itself. As noted by WISN-TV, “Senate Majority Leader Devin LeMahieu and Senate Minority Leader Dianne Hesselbein reportedly put together a deal to pass both the sports betting bill and a separate bill related to the University of Wisconsin and name, image and likeness.”

Although this allowed AB 601 to get across the finish line, certain party members aren’t happy. Some even believe this agreement will cost Senator LeMahieu his job.

“I hope the majority leader doesn’t go there,” Republican Senator Chris Kapenga told WISN 12 before the vote. “I think it’s very dangerous for him if he does go there, so I just hope it doesn’t happen. Historically, usually a majority leader does not come back if he breaks the rule of 17. So I hope the majority leader takes that into account as he looks at it.”

As it just so happens, multiple media outlets reported that Senator LeMahieu will not be seeking reelection next term. This doesn’t mean AB 601 is totally home-free, but it’s pretty close.

Indeed, opponents of Wisconsin sports betting do not have many other avenues to explore. They could try appealing to Governor Evers. Emphasis on try. His preexisting support for sports betting is well-known.

Getting enough Republican party members on board to do anything may also be a challenge. We may be dealing with a vocal minority here. Even if the Senate vote was a coin toss, the Wisconsin House of Representatives unanimously passed AB 601 without discussing it.

At this point, then, it looks and sounds and feels like Wisconsin sports betting online is barreling toward legalization. Rather than a matter of if, it’s become an issue of when. And as for the when, well, that appears to be the next step: the announcement of a launch date.

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