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Legal gambling remains relatively unchanged in Indiana and Wisconsin, following a consistent pattern over the past few years. Nevertheless, there have been recent developments in two Michigan border areas that could potentially impact the state’s sportsbooks.
The US state of Ohio and the province of Ontario, Canada are the two jurisdictions in question. Their legislative actions will have implications for gamblers residing in these areas. Furthermore, the sports betting industry in Michigan may also face certain repercussions.
The recent news in these two Michigan border territories
Canada’s Parliament passed a bill on Tuesday that ends the ban on single-event betting in the country. Presently, the only legal way to place sports bets in Canada, except on sovereign tribal lands, is by combining multiple events in a parlay. As a result, the regulated market in Ontario is currently very small.
It is now the responsibility of the provincial government to oversee the implementation of regulated sports betting in Ontario. David Phillips, the COO of Ontario’s Alcohol and Gaming Commission, has expressed his anticipation for sportsbooks to be operational by the end of this year.
The commission is the probable regulatory authority for sports betting in the province, making Phillips’ prediction significant. However, while a major obstacle to legal wagering in Ontario was eliminated, lawmakers in OH took a different approach.
Clock running out on late Ohio sports gambling efforts
The state’s current legislative session seemed to be nearing its end without any progress on gambling expansion. Despite holding 15 hearings on the topic of legalizing sports betting, it appeared that these efforts would yield no results. However, there is hope for a clearer understanding of the situation in the upcoming fall.
According to PlayOhio.com, there was a late push to include sports betting as a gambling option in the southern state. The Senate approved bill H29 on Thursday, suggesting that sports betting could have been introduced as early as the following week. Originally focused on veteran identification cards in the Buckeye State, the bill had the addition of sports betting.
The bill is unlikely to meet the June 30 deadline set by lawmakers, according to a report from Legal Sports Report on Friday.
If the current effort to expand gambling stalls, there is still a possibility for the House to revisit the matter in September when it reconvenes. However, at present, there is optimism for the expansion of gambling. Regardless of the outcome, this will significantly affect sports betting apps in Michigan.
What does this all mean for Michigan sports betting?
Currently, there is no immediate threat to MI sportsbooks from this news. The only potential concern lies in the possibility of future competition. Even if Ontario expedites the launch of sportsbooks and the last-minute action by the OH legislature proceeds, it will still take several months before residents in those areas actually start placing bets.
It is likely that Ontario will pass provincial statutes during the summer, followed by regulators focusing on compliance and licensing. MI sports betting apps can expect minimal competition from the “Great White North” until late this year or possibly early 2022.
The timeline for Ohio could be extended even further. If the legislature reaches an agreement and Governor Mike DeWine of Ohio approves, the timeline for the launch of sportsbooks in Ohio would likely be similar to Ontario’s, if not later. However, even when sportsbooks in Ohio and Ontario become operational, it is reasonable to question the extent of their impact on the sports betting scene in Michigan.
Are Ohioans, Ontarians coming to MI to bet?
The extent to which individuals from Ohio or Ontario are placing wagers at MI sportsbooks remains uncertain due to the lack of concrete research. Since the launch of MI sportsbooks, it is likely that only a small number of Ontarians have been engaging in this activity. This can be attributed to the prevailing restrictions imposed by the Canadian COVID-19 pandemic, which discourage cross-border travel into the United States.
In addition to Michigan, Ohioans have multiple alternatives for engaging in legal betting. Online sports betting apps are also available in Indiana, Pennsylvania, and West Virginia. Hence, individuals residing closer to these states are more inclined to cross their borders rather than traveling to Michigan.
Furthermore, it is highly likely that individuals from Ohio who engage in online betting on offshore platforms will persist in doing so instead of traveling to place legal wagers. Consequently, the introduction of sports betting in Michigan border territories may not significantly impact the market within the state. Regardless, it will take some time before any measurable effects of these circumstances can be determined.
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