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Missouri Voters Approve Digital Sports Betting

By Will Brown Contributor Updated: 11 November 2024

Will Brown Contributor

William Brown is a Content Writer with strong expertise in US and global gambling industry trends. Having covered the local sports betting market since the repeal of PASPA in 2018, William approaches his gambling guides with passion and diligence. He is a keen player of online slots, blackjack, and a regular sports bettor.

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After years of failed attempts to legalize digital sports betting in Missouri in the legislature, voters have approved digital sports betting by a razor-thin margin. The passing of Amendment 2 indicates that each casino location in the state is entitled to apply for a digital betting license.

The measure, which required a vote to amend the state constitution, passed by a 14,000-vote margin, or half a percentage point. Proponents of the change included FanDuel and DraftKings, who collectively poured $40 million to lobby for the change in what was the state’s most expensive initiative campaign.

This was despite a $14 million opposition campaign by Caesars. It takes 30 days for constitutional amendments to become law in Missouri, so the first legal bets could theoretically take place from December 5. However, the Missouri Gaming Commission will likely need time to establish a regulatory framework for the new gaming sector.

Online Casino Retailers and Sports Leagues Win Big

Up to 22 digital betting platforms could be launched in Missouri under Amendment 2. The measure permits each of the state’s 13 brick-and-mortar casinos and seven professional sports teams to apply for licenses. It also stipulates that two stand-alone mobile licenses can be claimed by operators with no physical presence in the state.

Bill DeWitt III, the President of the St. Louis Cardinals, issued a press release in the wake of the vote praising the measure’s passing. “Missouri has some of the best sports fans in the world and they showed up big for their favorite teams on Election Day,” DeWitt said. DeWitt was instrumental in getting the initiative on the ballot and had long complained about legislative inaction on the matter.

The state’s professional sports leagues are also eligible to create retail betting locations near their stadiums. The win was a particular boon for FanDuel and DraftKings after several long and arduous national legalization campaigns. Both companies last failed to pass similar initiatives in Florida and California in 2022.

Profits from sports betting will be taxed at 10%, though operators can claim deductions on promotional offers and federal taxes. It’s expected that $21.8 billion will be wagered during the first five years after legalization, with state revenues expected to hover around $134 million. These funds are to be earmarked to fund state education programs.

Voters Reject New Casino in the Ozarks

Another gambling expansion measure put to voters for a new casino on the Osafe River at the Lake of the Ozarks was less successful and was defeated by a 52%-48% margin. Amendment 5 sought to allow for new casinos on or near artificial bodies of water, with current laws requiring casinos to be located along the Missouri and Mississippi rivers.

The measure was backed by Bally’s Corp and the Osage River Gaming and Convention Committee (OGCC). Its defeat is a huge blow for the OGCB, who had been working to get the matter on the ballot since 2009. However, the initiative was repelled by the Osage Nation, which had opposed its passing while trying to build its own casino in the nearby Miller County.