Senate Fails to Reach Agreement on Oklahoma Sports Betting Bill

Another attempt to legalize Oklahoma sports betting has officially failed. 

This past week, Senate President Pro Tempore Lonnie Paxton confirmed what many already expected: Legislators for The Sooner State were unable to reach an agreement on a sports wagering bill. The news means that it will be another year, at minimum, before sports betting in Oklahoma gets the green light.

Of course, following numerous failed attempts at legalization over the better part of a decade, many are wondering whether that’s enough time for an enduring status quo to reverse itself. The concern is fair. Ever since the Supreme Court of the United States overturned the Professional and Amateur Sports Betting Act back in 2018, the sports betting discussion has remained front and center in The Sooner State. Yet, progress on the subject remains minimal, if not outright stagnant. 

And so, with another failure in the books, the question is the same as ever: What happens next?   

A Lack of Consensus Remains Biggest Issue to Oklahoma Sports Betting Legalization

From the moment Oklahoma sports betting legalization dialogue began nearly a decade ago, there has been a glaring lack of consensus among key stakeholders. This is mostly painted as an issue between Governor Stitt and tribal nations. That is to some extent true. Their working relationship is tenuous at best, and contentious at worst. 

At the same time, while the dynamic between Governor Stitt and tribal nations is a primary problem, it’s not the only one. As Colleen Wilson writes for Fox 25 in Oklahoma, the sheer number Oklahoma sports betting bills on the table is ominous by itself:

“In late March, the Senate approved three sports betting-related bills, including one Oklahoma City Thunder-specific proposal, in a business and insurance committee. Senator Bill Coleman (R-Ponca City) had been leading the charge in negotiations between state lawmakers, tribes, and Oklahoma's only pro-sports team. Senator. Paxton said Senator Coleman came to him a few days ago and said there were issues with some of the parties involved, and they couldn't come to an agreement. His Thunder bill would have allowed the team to obtain a gaming license in Oklahoma to allow in-person and mobile sports betting. In late March, Senator Coleman had said the Thunder had agreed to meet with the Oklahoma Indian Gaming Association.”

Having multiple bills up for consideration is unprecedented. But it can be a harbinger of misalignment. Most notably, the lack of collaboration on a singular initiative ruined attempts to legalize sports betting in California a couple of years ago. Now, this situation isn’t the same, because The Golden State put two separate measures on an electoral ballot. That gave way to mass amounts of counter-campaigning. Still the same idea does apply. The appearance of three Oklahoma sports betting proposals suggests The Sooner State needs more alignment.  

Governor Stitt’s Relationship with Oklahoma Tribes Remains at the Heart of It All

Of course, while a multitude of factors drive the outlook of Oklahoma sports betting, Governor Stitt remains at the heart of it all. The inability of him to find a working middle ground with tribal nations and other state leaders is basically prohibitive to legalization. As Wilson reports: 

“No stranger to hostile negotiations with the tribes over gaming and motor vehicle compacts, the Governor said early on he wasn't a fan of any sports betting bills that Oklahoma lawmakers were considering. The Governor said he felt left out of the process. ‘None of those bills that have moved off the Floors of the House or Senate have got my input on them. Matter of fact, they have excluded the governor of the state of Oklahoma from these discussions,’ he said during a press conference on March 26th.”

The genesis of this discord isn’t a mystery. Governor Stitt has previously tried to push sports betting legalization without widespread tribal collaboration. Years ago, he even attempted to renegotiate gaming compacts with certain tribes. The move was seen as underhanded. Oklahoma has the third most tribal nations in the United States (39). Most correctly believe sports betting legalization will require a level of input and collaboration from pretty much every single one of them. 

Can the Tenor of Sports Betting Discussions in Oklahoma Ever Change?

Some continue to hold hope that the direction of Oklahoma sports betting talks can change. This is not unfounded. Things change quickly in the industry, and in states considering gambling legalization.

Still, there is a massive gap between what tribes are pushing for, and what Governor Stitt wants. Tribal nations believe they should retain gaming exclusivity when it comes to sports betting. Stitt, on the other hand, advocates for a broader market. 

Both sides have their own set of ers. Many believe tribal nations are owed exclusivity because of the current gaming compact. Others recognize that Stitt’s path capitalizes on the profuse rise of online sports betting in the United States. Allowing commercial operators to enter the market invariably means more tax revenue, a factor more than a handful of policymakers matters more than anything.

Those same people also tend to argue that retail-only wagering won’t amount to enough regulation. Without Oklahoma online sportsbooks, they say, residents will continue to use betting sites that are not covered under the United States’ consumer protection laws. And if people are going to use online sportsbooks anyway, why not keep that money in the state?

This is not an unprecedented issue, either. In fact, it is a fundamental question pretty much every state has needed to answer. And while both sides have fair points, the tone of discussions in Oklahoma leans more hostile. That mostly feels like a Governor Stitt problem. Whatever it is, though, it contributes to an uncertain Oklahoma sports betting timeline.

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