The South Carolina Sports Wagering Act, also known as Bill 3625, is a bipartisan sports betting bill that is trying to gain legislative traction in a state whose governor, Henry McMaster, has been an outspoken opponent of gambling in the Palmetto State.
Under Consideration
The latest salvo at getting sports betting legislation passed in South Carolina was launched by Representative Chris Murphy, who introduced HB 3625, the South Carolina Sports Wagering Act. The bill has bipartisan support with co-sponsors, Republican Representative Heath Sessions and Democrat Representative J. Todd Rutherford.
Should the bill pass, it would establish the South Carolina Sports Wagering Commission, a nine-member board that would govern the sports betting industry and enforce regulatory mandates. A maximum of eight sports betting licenses would be issued to companies already operating in at least five other states. Those operators would be taxed at 12.5% on their adjusted gross revenues.
In addition to sports betting, daily fantasy sports would also be included and thus governed by the South Carolina Sports Wagering Commission.
Tax revenues on sports betting profits would be distributed as follows:
- 82% to the general fund
- 10% to the general fund to be distributed quarterly to each local government in the state on a per capita basis, as determined by population based on the last census
- 5% to the Department of Mental Health to oversee one or more grant programs with organizations to provide treatment services for individuals with problem gambling
- 3% to provide for the administrative and operating expenses of the South Carolina Sports Wagering Commission
Hurdles to Overcome
The success of sports betting in South Carolina’s neighbor to the north has many crossing state lines to put their hard-earned money into the pockets of North Carolina. According to GeoComply, there were more than 10,000 registered sports betting accounts in South Carolina on Monday, December 22nd, with registered and licensed sports betting operators that are active in other markets.
Moreover, during Week 16 of this past NFL season, GeoComply reported more than 77,000 geolocation checks from South Carolina residents, a 536% increase in geolocation checks in the state compared with Week 16 of last year.
Therefore, the desire is there, but lawmakers have expressed concern on more than a few items relating to sports betting. First, there is the matter of college sports betting, specifically schools located in South Carolina. The bill currently submitted allows South Carolina sports programs to be included on sports betting menus.
Moral and Social Considerations
There is also the moral dilemma that many Bible Belt legislators must contend with, even though those objections are no longer as frequent nor as loud as they once were. Lastly, there is the question of gambling addiction and the financial toll it could take on vulnerable members of the community.
Previous attempts at sports betting legislation have not been successful in South Carolina, and the legislature has not set a date as to when this bill will be heard. However, there appears to be more support than ever for sports betting legislation, but only time will tell if that’s enough this time around.
