Is legalized sports gambling coming to Florida?
Odds are better than ever after talks on key issues appear to come to an agreement
TALLAHASSEE — As Florida’s legislative session winds down, a perennial issue has moved to the forefront — a sweeping gambling deal that would bring legalized sports betting to Florida.
Gov. Ron DeSantis and the Seminole Tribe of Florida have reached a consensus on key issues, and a major agreement will be announced in “short order,” one lobbyist with knowledge of the talks said. The Legislature would most likely take up the issue during a special session next month or in the summer.
Closed-door talks have been ongoing about an elusive agreement involving players in Florida’s complicated gambling landscape. Sources in the governor’s office told the News Service of Florida that the deal could be signed as early as Friday morning. It would then need legislative and federal approval.
House Speaker Chris Sprowls opened the possibility of a special session with an agreement close to being reached.
“Once we actually get to see the words on the page, I anticipate there may be a special session to address those issues,” he said.
Getting to the finish line, though, will involve jumping numerous political and legal hurdles, and the waning days of Florida’s legislative sessions often abound with speculation that a gambling deal will be done.
Another lobbyist familiar with the negotiations cautioned that more work is needed. Florida’s 60-day legislative session ends on April 30.
“I’d bet it will be vetted a little more thoroughly,” he said. “Lots of complicated moving parts. Likely an interim committee and next session issue, in my opinion.”
The lobbyists spoke on the condition of anonymity because they were not authorized to speak on the record about the ongoing negotiations.
The political players are holding their cards close to the vest. A DeSantis spokesman did not respond to a request for comment. Katie Betta, a spokeswoman for the Senate President Wilton Simpson, said he had no comment about reports of an imminent deal.
The Seminole Tribe issued a statement that it is “committed to a mutually-beneficial gaming compact” with Florida.
“The tribe wants to express our sincere thanks to Gov. DeSantis, Senate President Simpson, House Speaker Sprowls and many others who have worked hard to negotiate a historic agreement that cements our partnership with the state for decades to come,” said Marcellus Osceola Jr., chairman of the Seminole Tribe of Florida.
A deal would be a significant accomplishment for DeSantis as he heads into reelection next year. His predecessor — now-U.S. Sen. Rick Scott — failed to broker a sweeping gambling agreement.
The deal is said to allow sports betting at the state’s pari-mutuel facilities, which include horse racing tracks and jai-alai arenas, and professional sporting venues with bets running through the Seminole Tribe of Florida. The Seminoles would be able to expand casinos into full Las Vegas-style operations with craps and roulette, while pari-mutuels would be able to offer designated player card games without running afoul of gambling regulations.
The Seminoles would get three new casinos on tribal lands, including one in Hollywood where the tribe operates the guitar-shaped Seminole Hard Rock Hotel & Casino.
The deal also addresses the portability of gambling licenses, a lobbyist familiar with the talks said. That could allow a casino at the Fontainebleau Resort in Miami Beach, which is owned by billionaire real estate mogul Jeffrey Soffer. Eric Trump, former President Donald Trump’s son, has also expressed interest in converting Trump National Doral into a gambling destination.
Two gambling experts who follow the industry say they think Florida is close to finally reaching a gambling consensus that could pave the way for legal sports betting.
“It’s closer than it has ever been,” said Daniel Wallach, a sports gaming attorney based in Hallandale Beach. “Eventually, these things break through.”
One big question is whether the deal would allow for mobile sports betting at home or whether sports bets would have to be placed in a casino or sporting venue, said Bob Jarvis, a professor at Nova Southeastern University.
“The state clearly wants to solve this problem,” he said. “There is a way forward, but there are a lot of moving parts.”
If a deal is approved, Florida would receive a windfall of new revenue, potentially bringing in $500 million up to $1 billion of new annual revenue.
In 2019, the Seminole Tribe quit a long-standing revenue-sharing agreement it had with the state, which granted the tribe exclusivity on lucrative blackjack and other banked card games at its casinos. The tribe ended payments amid concerns that designated player card games, which include a hybrid of three-card poker, violated the exclusivity terms.
The Seminoles have been withholding roughly $350 million in annual payments. Although the pandemic damaged Florida’s economy, billions of dollars in federal stimulus payments to the state have alleviated some of the pressure for leaders to find new revenue sources.
Any deal will meet stiff resistance from gambling opponents. The No Casinos anti-gambling group contends the Legislature does not have the power to approve sports betting.
Amendment 3 stipulated that a citizens’ initiative requiring at least 60% support from voters is “the exclusive method of authorizing casino gambling” in Florida. That has been a stumbling block for those wanting to legalize sports betting in Florida.
Others, though, have a different legal opinion and argue the Legislature does have the power to approve sports betting.
If the deal is approved by Florida, federal approval would also be required, as outlined by the Indian Gaming Regulatory Act.
Wallach said he thinks Florida’s deal could face issues because the Indian Gaming Regulatory Act covers gambling on tribal lands and would not permit mobile sports betting that takes place elsewhere.
“The state is going all-in on a legally suspect framework,” he said, adding that litigation would make legal sports betting unlikely in Florida in 2021.
Jarvis disagreed. If Florida can approve the deal soon, it should get federal approval, and legal sports wagering could start as soon as the fall, he said.
Apart from a gambling deal, legislation is advancing that could end harness racing at the Isle Casino Racing Pompano Park. Those bills could be pushed to a special session if the governor signs a gambling deal, Sprowls said.
The legislation would allow casinos to operate card games without also having to run quarter horse or harness races or jai alai matches. That is known in industry jargon as “decoupling.” The state’s two thoroughbred tracks — Gulfstream Park in Hallandale Beach and Tampa Bay Downs — would still be required to offer live racing.
Pompano Park is the only harness racing track in the state.