The Senate Tax Committee advanced legislation authored by Senator Matt Klein (DFL – Mendota Heights) to legalize Sports Betting in Minnesota. This was the second time the bill has been heard in Taxes, after making a stop last year. The hearing focused on changes to tax rates and revenue disbursements.
Senator Aric Putnam (DFL – St. Cloud) offered an amendment that made several major tax and revenue related changes, which were adopted by voice vote. The tax rate was changed to 20% on net revenues from sports betting. Revenues as a result of that change would then be dispersed to:
(1) 20% for tax relief for charitable gaming organizations,
(2) 10% for treatment and awareness programs for problem wagering,
(3) 15% for Explore Minnesota Tourism for large sporting events,
(4) 5% to the Minnesota Racing Commission for racetracks,
(5) 5% for the Minnesota State High School League for youth sports and activities,
(6) and the remainder to the general fund.
Senator Klein said: “The changes made in Senate Taxes Committee today have made this a better bill for Minnesotans. I am thankful for the committee’s thoughtful consideration of this legislation and willingness to work toward the best balance of needs and interests.
“As a result of this work, we are now able to support our allied charities who engage in gaming so they can continue the good work they do for our state. We are also able invest in the state high school league’s ability to foster participation in a wider array of activities, attract more large sporting events to Minnesota, and continue to focus efforts on problem wagering awareness.”
SF1949 passed the Senate Taxes Committee as amended and was referred to the Senate Finance Committee.
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