Ohio Could Repeal Sports Betting, Seeks Ban on Credit Cards to Fund Accounts

If signed into law, a bill proposed last week by Ohio Republicans would make the state the first to rescind online sports betting.

House Bill 971 (HB 917), also known as the “Save Ohio Sports Act,” proposes drastic alterations to sports wagering in the Buckeye State, including making that form of wagering available only a brick-and-mortar casinos. Rep. Jonathan Newman (R-Troy) says Ohio schools — the supposed beneficiaries of online sports wagering in the state — don’t come out ahead with that form of betting.

The state approved sports betting in 2021 with internet wagering launching there on Jan. 1, 2023. Gov. Mike DeWine (R-OH) openly expresses regret over signing related legislation, calling it his biggest mistake in his time leading the state.

Ohio Could Take Hard Line on Internet Sports Betting

If it becomes law, the Save Ohio Sports Act could make the state significantly less attractive to operators.

Not only would it do away with the higher margin online model, the bill proposes barring some of the wagers that are significant profit and revenue generators for operators. The bill’s authors pitch eliminating live wagering, parlays and player propositions. They also propose scrapping wagering on college athletics — something that could go over like a lead balloon when Ohio State football is in season.

Other provisions include capping the maximum wager size at $100 and limiting bettors to eight wagers in a 24-hour period. The bill is the latest example of Ohio taking a hard line on sports wagering. The state previously raised taxes on sports betting and last year, politicians there filed a bill pitching another 2% tax hike aimed at raising $200 million for school sports and other extracurricular activities.

Separately, the Ohio Casino Control Commission (OCCC) is close to finalizing a rule that would ban online sportsbook operators from accepting credit cards as account-funding tools. FanDuel and DraftKings, the two largest U.S. internet sportsbooks, already prohibit customers from using credit cards to fund their accounts.

Several other states, including Connecticut, Illinois, Massachusetts, Tennessee and Vermont, bar the use of credit cards on internet sports betting sites and apps.

Who Wins if Ohio Scraps Online Betting?

Projecting “winners” if Ohio pulls the plug on online sports betting is somewhat difficult due to moving parts. From a revenue standpoint, the state stands to be a loser because, by some estimates, 90% of regulated sports bets in this country are placed on mobile devices.

Should Ohioans maintain devotion to sports wagering in a retail-only model, operators of the state’s brick and mortar casinos could benefit. That group includes Boyd Gaming, Caesars Entertainment, JACK Entertainment and Penn Entertainment. By number of properties, Penn is the largest operator in the state.