The Golden State will cast ballots this year on the issue of legalizing online wagering – sports betting rules – iGB.
The state’s electorate will cast their votes in November on a proposition that would permit online sports betting in California, but the proposition comes with a hefty $100 million licensing fee.
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Californians will vote this year on whether to legalize online gambling
Flutter’s CEO, Peter Jackson, confirmed that the proposition will be on the ballot in November, which is supported by Flutter’s FanDuel brand as well as DraftKings and BetMGM, and has gathered more than 997,139 signatures, the required number.
“We are very hopeful about the situation in California,” he stated. “Clearly, this step is not straightforward, but we are pleased to be on the ballot.”
These signatures still need to be verified, but reports indicate that the proposition has enough signatures and it is expected to be a formality. If the proposition appears on the ballot and is approved by a majority of voters, it will become law.
The proposition is named the “California Legalize Sports Betting and Homeless Prevention Fund Initiative (2022)” because 85% of the tax revenue will be allocated to reducing homelessness. Under the proposition, sports betting will be taxed at a rate of 10%.
Online sports betting will be accessible to “qualified betting entities” and tribal operators, who can collaborate with online platform providers.
Indigenous groups managing gambling operations and digital platform providers would need to pay a $10 million authorization charge, whereas “eligible gaming entities” would have to pay $100 million.
A rival proposal — the California Legalize Sports Betting Initiative — has also secured enough signatures to qualify for the ballot. The initiative was put forth by 18 Native American tribes, but would permit in-person wagering at tribal properties and racetracks.
Jackson pointed out that if both measures were approved by voters, both could come into effect, permitting indigenous groups to offer retail betting, and both tribes and commercial operators who pay licensing fees to operate online.
Two other proposals — one from three California cities that have card rooms and another tribal measure that would allow online betting — have not yet gathered enough signatures.
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