The decision to keep the industry out of the hearing in front of the state senate finance committee was by design. In his comments before testimony began, Marty acknowledged that the state has been struggling with whether or not to legalise.
But he also said that no previous hearing had “focused on harm”. While “harm” may not have been a focus in previous hearings, problem and responsible gambling advocates testified many times.
Marty also suggested that sports betting “is currently legal in Minnesota”. He said betting with friends or strangers is legal. But “sports bookmaking where a corporate entity can come in and profit off of your betting” is not legal. He went on to qualify gambling addiction “as powerful as any opioid or any other addiction”.
Industry rebuffed
Testimony from recovering addicts was poignant today and the figures provided by academics and problem and responsible gambling advocates were compelling. But not one gambling operator was invited to testify and, according to sources, they were told they were not welcome.
The iDevelopment and Economic Association (iDEA) confirmed that their request to offer comment was rebuffed, according to spokesman John Pappas. He said Marty’s office told the online gambling industry trade association, “we’re interested in hearing about the harms, not the benefits”.
“Apparently Senator Marty does not want to have a serious conversation about gaming and the media circus he had today did a disservice to every constituent in the state of Minnesota,” gaming consultant Brendan Bussman, principal at B Global, told iGB. “If the senator believes everything in the constructed hearing he held today, I hope that he brings a bill that does away with the lottery and charitable gaming. Because if he believes everything he heard today, that should be his only response. And that is going to take millions of dollars away from education and local communities in the state.”
“Disrespectful” to Minnesota lawmakers
Fanatics Betting & Gaming head of government affairs Brandt Iden had a similarly visceral reaction to the one-sided hearing. Iden, a former Michigan state representative, crafted an online sports betting and gambling bill in the state that passed in 2019.
“I was disappointed to see what happened in Minnesota today,” Iden told iGB. “Setting aside the arguments either for or against, the testimony presented, my larger concern was the lack of complete policy discourse and debate on the issue.
“As a former lawmaker and committee chairman, I know full well that the chair retains the ability to limit testimony in any fashion they wish. However, frankly, I think a media stunt like this does disservice to the institution and is disrespectful to colleagues who were duly elected to represent their communities, engage in thoughtful political debate on both sides of an issue and ultimately make their own decisions as to what’s best for their constituencies.”
Fanatics is a member of the Sports Betting Alliance (SBA), which lobbies for legal online wagering and casino. BetMGM, DraftKings and FanDuel are also part of the SBA. The organisation joined the chorus of industry frustration today.
“It’s also worth noting that Senator Marty, a longtime opponent of sports betting, did not include the perspective of Minnesota sovereign tribal nations who are key stakeholders in gaming in the state,” the SBA’s Minnesota spokesman Blois Olson said in an email. “In fact, he did not permit anyone to testify who did not share his perspective. Not responsible gaming experts, industry representatives, or experts in the dangers of the thriving illegal sports betting market in Minnesota.”
Issue has bi-partisan support
The hearing was among the first in 2025 in Minnesota, where legal sports betting has traditionally had bi-partisan support. Senator Matt Klein (DFL) and Representative Zack Stephenson have long been pushing for legalisation. Stephenson came close to brokering a deal last session. Among the interests in Minnesota gambling are its 11 federally recognised tribes and charitable gaming. The tribes, which have exclusivity for gambling in the state, did not participate in the hearing as mentioned.
Though no legal gambling bills have been filed in Minnesota yet, Klein has promised one.
On the Republican side, senator Jeremy Miller also continues to push for legalisation. He said on social media that he is “committed to working together to get a sports betting bill passed here in Minnesota as quickly as possible”.
It’s time to get a sports betting bill passed here in Minnesota. Let’s work together and get it done! pic.twitter.com/TePloqFD89
— Jeremy Miller (@jeremyrmiller) November 7, 2024
Neither is on the finance committee, but both have been negotiating and educating on sports betting for several years. However, passing any legislation in Minnesota this year could be tricky. Following the November elections, the senate is evenly split 33-33 between parties with one vacant seat. The Democratic-Farmer-Labor (DFL) Party has a 70-64 majority in the house.
Illegal gambling available in Minnesota
As in other states, Minnesotans can access online sports betting or gambling illegally. During the hearing, anti-gambling representatives said the illegal market grows when legal gambling is allowed. But industry representatives say that a legal market provides consumer protections unavailable elsewhere.
“Online sports betting is already happening right now in Minnesota,” the SBA’s Olson said in a statement. “But instead of using regulated and government approved products, Minnesotans are forced to use offshore and unregulated websites that brazenly flout gaming laws meant to protect consumers, ensure responsible play and prevent minors from gaining access. In fact, some unregulated platforms have been shown to actively target minors.”
Ills of gambling listed
During the hearing, academics testified about how gambling addiction can lead to criminal tendencies, domestic violence, suicide and a decline in credit scores and increase in debt. According to the National Council for Problem Gambling (NCPG), about 1% of Americans “meet the criteria” for severe addiction. The NCPG also estimates that 2%-3% have “mild or moderate” gambling problems.
The NCPG did not testify at the hearing, though its board president, Susan Sheridan Tucker, did testify on behalf of the Minnesota Alliance on Problem Gambling.
Les Bernal, the national director for the group Stop Predatory Gambling, called legal gambling “predatory” gambling and a “con”. He went on to call legal gambling “highly addictive, but it is also a highly fraudulent and manipulative financial scheme” that is always a losing bet.
Bernal was among eight anti-gambling representatives to testify.
