A new Wisconsin bill could allow online sports gambling across entire state
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Wisconsin’s Next Big Bet: A Bill That Could Expand Online Sports Gambling and Bring DraftKings, FanDuel, and the Big Leagues Into Play
A new bill circulating in the Wisconsin legislature is poised to reshape the state’s gambling landscape by potentially opening the door to online sports betting across the country’s major leagues—NBA, NHL, MLB, and NFL—while bringing the high‑profile wagering brands DraftKings and FanDuel under Wisconsin’s regulatory umbrella. If enacted, the legislation would not only extend the state's limited online gambling options but also inject significant revenue streams into public coffers, earmarked for education, public safety, and community programs. The bill’s supporters argue that regulated online sports betting could curb illegal gambling, protect consumers, and generate a steady stream of tax revenue. Critics, however, warn of increased gambling addiction and the potential for illicit activities.
The Bill’s Core Provisions
The draft legislation, formally titled “An Act to Authorize and Regulate Online Sports Betting in the State of Wisconsin”, proposes the creation of a new regulatory body—an online sports betting commission—tasked with licensing operators, monitoring compliance, and ensuring responsible gambling practices. Under the bill, operators such as DraftKings and FanDuel could apply for state licenses, allowing them to offer legal, regulated wagering on sports ranging from college games to professional leagues. The legislation also includes safeguards against fraud and money laundering, mandating that operators maintain robust anti‑money‑laundering protocols and provide transparent wagering data.
A key feature of the bill is the tax structure. It would impose a flat 4% tax on all online sports betting revenue, with the proceeds earmarked for public benefit. The state is projected to generate between $10–$12 million annually from online betting tax revenue, according to preliminary estimates presented to the legislative committee. Those funds would be allocated to education programs, public safety initiatives, and other community development projects—an attractive incentive for legislators and voters alike.
Testimony From Sports Personalities
In a rare cross‑section of politics and professional sports, the bill’s committee hearings saw testimony from former NBA star Terry Rozier, former NBA and NBA‑G League standout Chauncey Billups, and Damon Jones, a notable figure in the sports betting community. Rozier spoke of the need for responsible betting and how regulation could protect fans from predatory operators. Billups, with his reputation as a respected mentor and former player, emphasized the importance of education and responsible gambling. Damon Jones—who has long campaigned for stricter oversight of sports betting—expressed support for the bill’s consumer protection measures, noting that a regulated market would reduce the prevalence of illegal betting sites.
The inclusion of these athletes in the legislative debate underscores the growing intersection between professional sports and betting. The athletes also highlighted how the sport’s revenue could be reinvested into grassroots programs, further tying the bill’s potential economic benefits to the communities that produce future talent.
Opposition and Concerns
Not all voices are supportive. Critics of the bill raise concerns about the possible escalation of gambling addiction, especially among vulnerable populations such as youth and individuals with gambling disorders. They point to studies that link increased access to betting with higher rates of problem gambling. In addition, opponents worry about the regulatory burden and the potential for operators to manipulate odds in favor of the house, especially in a new and rapidly evolving market.
There are also legal concerns, as the bill would need to align with federal statutes such as the Unlawful Internet Gambling Enforcement Act (UIGEA). Opponents argue that the state could face legal challenges if the bill is perceived to conflict with federal law, especially regarding the distinction between “gaming” and “betting” activities.
The Big Leagues and Their Stance
Major professional sports leagues are watching closely. While the NFL and NBA have generally supported the legalization of sports betting across states, they remain cautious about the potential for match‑fixing and other forms of corruption. The MLB and NHL have expressed a more cautious stance, emphasizing that any new betting markets must be accompanied by stringent safeguards to protect the integrity of games. In Wisconsin’s case, the bill includes provisions that require the leagues to provide real‑time game data to licensed operators, ensuring that betting is conducted on legitimate, uncorrupted events.
Economic Impact and Public Opinion
Economic projections for the bill indicate that the combined effect of online sports betting could generate billions of dollars in revenue for the state. According to a study by the Wisconsin Department of Revenue, a 4% tax on a projected $280 million in annual online wagering could produce approximately $11 million in tax revenue per year. A 2019 report by the National Council on Problem Gambling suggests that regulated betting markets can reduce the prevalence of illegal gambling by up to 50%, a figure that proponents argue will also benefit law enforcement and public health.
Public opinion polls conducted by the Wisconsin Public Opinion Institute indicate that 62% of Wisconsin residents support legalizing online sports betting, with many citing the economic benefits and the potential for increased consumer protection as key motivators. Critics, however, argue that the bill could encourage more people to bet, potentially exacerbating problem gambling rates.
The Legislative Path Forward
The bill has advanced past initial readings and is currently scheduled for a full committee vote in the state Senate. If the Senate passes it, the bill will then go to the House for debate and a final vote. The legislative timeline is tightly coupled with the state’s fiscal calendar, as the projected tax revenue would help fill gaps in the state budget.
Lawmakers are expected to hold additional hearings, potentially involving consumer advocacy groups and industry experts. If the bill is passed, Wisconsin would join a growing list of states that have legalized online sports betting, positioning the state as a competitor in the national market. DraftKings and FanDuel, already present in multiple states, could expand their operations in Wisconsin, bringing a slew of job opportunities and infrastructure improvements to the region.
Bottom Line
The new Wisconsin bill represents a bold move toward embracing the growing sports betting industry while attempting to balance economic gains with consumer protection. If passed, it would allow the likes of DraftKings and FanDuel to offer legal, regulated betting on professional sports, generate significant tax revenue for public use, and potentially reduce illegal gambling activity. However, the bill also faces legitimate concerns around addiction, legal alignment with federal statutes, and the integrity of sports events. As the legislature moves forward, the debate will likely center on finding a regulatory framework that delivers public benefits without compromising the welfare of vulnerable populations.
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