Ohio small businesses want piece of sports betting action
CANTON – Ohio’s legislature is expected to legalize sports betting before football season begins, and a contingency of small business owners hope to get in on the action.
Members of the Ohio Fair Gaming Coalition visited Canton Tuesday to pitch the idea of having the Ohio Lottery Commission involved with sports betting. Coalition members said the 2,100 Keno kiosks located in businesses around the state could be used for taking bets on games.
“We just want, literally, a little piece of the pie,” said David P. Corey, executive vice president of the Ohio Coin Machine Association, which holds annual statewide pool and darts tournaments at the Memorial Civic Center.
Ohio’s casinos and racinos anticipate getting 95% of the sports betting business when it become legal in Ohio, Corey said. The coalition would like to see small businesses — restaurants, bars, bowling alleys and convenience stores — have the chance to offer sports betting.
Jan Walther, owner of Walther’s Cafe and a coalition member, would like to offer sports betting at his restaurant.
“We want to keep our money in our counties,” Walther said during the press conference. “We want to get people into our stores.”
The Ohio Senate has taken the lead on efforts to legalize sports betting, with Sen. Kirk Schuring, R-jackson Township, serving as chairman of the Senate’s select committee on gaming.
Schuring has said he plans to introduce a bill before the end of April. Indications are action would be taken before the Ohio legislators recess this summer.
State legislators have been kicking around potential bills for three years. Debate as centered on how sports betting would be regulated. A Senate bill that died without a vote had the Ohio Casino Control Commission monitoring sports betting. The Ohio House passed a bill last May placing sports betting with the Ohio Lottery Commission, but that bill died in the Senate.
Sports betting involves gambling on the outcome of games between professional sports teams, and maybe college teams. Several of Ohio’s professional sports teams have offered testimony in gaming committee hearings.
Hall of Fame Resort & Entertainment Co, which is developing the Hall of Fame Village powered by Johnson Controls, has an interest in sports betting. In March, Michael Crawford, president and chief executive officer, said the company has been lobbying state officials to legalize sports betting.
State officials favor idea of sports betting
At this point Gov. Mike Dewine and leaders of both legislative chambers have said they favor legalized sports betting in Ohio. Schuring has indicated it is a matter for creating a bill that will work.
Greg Beswick, who leads the Fair Gaming Coalition, said he believes Schuring has done a good job in recent weeks corralling the issue and working toward an effective bill.
Beswick and coalition members insist, however, that the Ohio Lottery Commission be involved in some fashion. They believe the lottery can help small business owners such as Walther get in on the action.
They also cite residual spending helping business, with customers who play Keno or other lottery games spending money to buy food, drinks or other items.
Walther said half of his revenue is generated by the Keno machine in his restaurant. While his overall business dropped last year because of the coronavirus pandemic, Walther said he still saw an increase in his Keno revenue.
“It’s amazing how much lottery Keno we did,” Walther said. “It helps our business.”
Walther believes sports betting would have a similar effect. The coalition members said Keno kiosks could be used to place the bets.
It’s anticipated that people betting on sports events at restaurants and bars generally would be making small wagers on the outcome of a game. Anyone wanting to make a large wager likely would go to a casino or use an app to make the bet, coalition members said.
Corey said he has testified before the Senate’s Gaming committee on behalf of the Ohio Coin Machine Association and bowling alley operators around the state. He suggested sports betting could be shared by the casino commission and the lottery commission, similar to how the lottery commission manages video lottery terminals in Ohio’s racinos.
Coalition members are concerned that placing sports betting with casino commission will mean sports betting only will be available in the four cities that currently have casinos. If the lottery commission is involved, coalition members said, the wealth can be spread throughout the state.
Beswick also pointed out that lottery commission profits are used to help cover school expenses in Ohio.
The coalition also announced plans for a digital advertising campaign aimed at state legislators and urging support for a bill that has the lottery commission involved with sports gaming.
Reach Edd at 330-580-8484 or edd.pritchard@cantonrep.com On Twitter: @epritchardrep