Despite being one of the most conservative states next to Tennessee against organized gambling, the fever to legalize casinos in The Heart of Dixie has gone up a notch. In an effort to forward the agenda, Alabama representatives Chris Blackshear and Andy Whitt put forth two bills to sanction a state lottery and retail casinos. These bills and proposed amendments also introduce the prospects of legalizing sports betting and an official state gaming commission to oversee licenses and all gambling activities.
Alabama's state constitution must first be amended for these bills to become law ultimately. That's the purpose of the first bill submitted to the legislation to address. But even if the state constitution amendment survives, it must still go to Alabama's voters to ultimately decide. Without this crucial approval from residents of The Heart of Dixie to amend the constitution for gambling to become a reality, the second bill submitted becomes null by default.
Representatives Whitt and Blackshear's second bill is over 100 pages and defines the terms and language of setting up an Alabama Gaming Commission or Division of Gaming, similar in other successful gambling markets like Pennsylvania and Michigan. The second bill also lays out the framework for a potential state lottery.
When Alabama Voters Can Decide the Matter
Before Alabama voters can vote, these proposed measures must receive at least a three-fifths majority of Alabama's House and Senate. Assuming that happens, the earliest the measure can be placed on the public docket would be November of this year. However, while there is optimism that these measures can pass, this isn't the first time that Alabamans have been presented with the prospect of casinos. Despite passionate campaigns, the ultra-conservative state turned down the measures in Alabama's general election of 1999.
Another caveat of the potential vote on amending Alabama's constitution is that there's a chance that bingo halls will no longer be able to operate after January 1, 2027. Furthermore, approving the constitutional amendment might also mean losing the ability to make changes to Alabama's constitution about local gambling measures in the future.
What Happens If These Gambling Measures Pass
If Alabamans have a change of heart about gambling and the measures pass, it's projected that ten casinos would open across counties such as Macon, Greene, Mobile Counties, and Birmingham. Should these measures become law, there are also plans for Tribal lands such as Poarch Creek to get a casino.
Assuming casinos open in The Heart of Dixie, whether or not legal legal online casinos in Alabama become a reality is a whole different matter. Also, if Alabama legalizes the state lottery, it might throw a monkey wrench in those plans because the bills explicitly prohibit electronic lottery games, including online scratcher games. Neither bill currently addresses the prospects of online gambling in the state.
How Alabamans Would Benefit from Gambling Winnings
If casinos, sports betting, and the state lottery become official, Alabama financial experts are predicting potential gambling revenues at about $800 million or higher. Revenue from the lottery would go to education projects and endeavors, such as school or college scholarships, to low-income individuals or those suffering from poverty. Interestingly, Alabama would tax net casino revenues with a 24% marginal tax rate and net sports betting revenue at 17%.
Gambling earnings from sports betting and casinos would go to Alabama's trust fund. The winnings would fund for healthcare, including mental health, and upgrades and repairs to Alabama's roads and critical infrastructure. Potential casino licenses would start at $ 5million, but a cap has yet to be set. Also, current bingo halls and raffle draws would have to register with Alabama's Gaming Commission officially, should it come into existence.
