In a significant move to expand gaming, Alabama lawmakers are set to introduce legislation next month that includes provisions for tribal casinos with slot machines and table games, sports betting, and a state-run lottery. This comprehensive gaming package is being prepared for the 2024 legislative session beginning on February 6, as reported by sources close to the matter in Montgomery.
The bill aims to transform the state’s gaming landscape, particularly for the Poarch Band of Creek Indians, the only federally recognized tribe in Alabama. The proposed legislation would upgrade their current facilities in Atmore, Montgomery, and Wetumpka from Class II bingo to Class III casinos offering Las Vegas-style gambling. It also opens the possibility for the tribe to develop new casinos in strategic locations, including Birmingham and various counties.
In addition to casino gaming, the bill seeks to legalize both in-person and online sports betting. The Poarch Creek Indians, along with other commercial operators, would be eligible to apply for online sports betting licenses. The management and licensing would fall under the purview of a new state body, the Alabama Gaming Commission.
The lottery component is another critical aspect of this legislative package, as Alabama remains one of the few states without a state-run lottery. According to a 2020 report by Governor Kay Ivey’s Study Group on Gambling Policy, the introduction of a lottery, Class III casino gaming, and sports betting could significantly boost the state’s revenues, with estimates ranging from $200 million to $400 million annually. The report also suggests the potential creation of approximately 19,000 jobs.
Revenue generated from tribal casino operations and sports betting taxes would be directed towards the state’s General Fund Budget, while lottery revenues would support public education.
However, the path to this gaming expansion is not straightforward. The Alabama Constitution currently prohibits all forms of commercial gambling, which means that state voters would need to approve an amendment through a statewide ballot referendum. A simple majority vote would be sufficient for the amendment to pass.
Recent polling indicates strong public support for the introduction of a lottery, with over 70% of likely voters in favor. There is also considerable support for casino slot machines, table games, and online sports betting.
Proponents of the bill argue that it would not only increase gaming options but also curb illegal gambling by introducing stricter penalties for unlawful operations, elevating the charge from a misdemeanor to a felony and increasing financial penalties.
This comprehensive gaming bill, if passed, would mark a significant shift in Alabama’s approach to gaming, providing new entertainment options and revenue streams while addressing current illegal gambling issues.
