In New York, sports betting continues to set new records across the board, but the state’s constitution may need to be amended if the legal counsel deems the amendments necessary. However, the 51 percent tax rate will remain unless a strong argument is made, with iGaming being a top priority.
Will an Amendment be Necessary on Wagers Markets That are Prohibited?
The sportsbook operators in the Empire State have expressed their concerns about the 51 percent tax rate based on revenue. Becoming profitable in the short term has been a tall task because these companies cannot keep most of their revenue to use for things like marketing campaigns, free bets, and others.
Sen. Joe Addabbo brought up the idea of adding more betting markets in the state to generate more revenue moving forward. Despite that, any changes to the state constitution will be a three-year process.
Adding more wagering options such as MVP, Cy Young, or Coach of the Year will be available by 2025 if the process goes through now. Currently, the state has a few restrictions which include in-state collegiate betting.
In addition, anything wagers that require a vote are off-limits. However, these types of markets are available in neighboring markets like New Jersey and Pennsylvania, which is a quick drive for many.
Why Expanding the Market is an Important Venture?
More markets will lead to more revenue moving forward. That is one reason why iGaming could be a top priority during this year’s legislative session.
Betting on Aaron Judge for MVP or Brian Daboll for Coach of the Year could generate more interest as the preseason odds for every selection will be plus odds for the most part. Generating more monthly revenue will benefit education and youth programs across the state.
Since a constitutional amendment needs to be enacted in consecutive legislative sessions, the process will have to begin now. If it comes to fruition, a public vote will take place during the next election cycle (November 2024).
There is a chance that no changes will be required for this to happen. The NYS Gaming Commission could potentially incorporate these types of markets into online sports betting.
New York Could Introduce iGaming
With the introduction of additional betting markets, New York could be joining the iGaming market. Neighboring states that border the Empire State already offer casino and online casino options. For example, Connecticut offers 500 different types of games users could play to win money; ranging from slots to roulette.
Members of the Commission have searched for suitable locations to build commercial casinos in the New York City and Long Island area. The closest casino to NYC is located in upstate New York, which is about 30 minutes from Manhattan.
Sen. Joe Addabbo believes that the online casino market is inevitable. However, there might be some rules in place to mitigate problem gambling.