West Virginia Legalizes Sports Betting

The state of West Virginia is sixth in a row to legalize sports betting, after its Governor, Jim Justice, signed Senate Bill 415, which authorizes gambling within the state’s borders. Following regulatory legislations of Connecticut, New Jersey, Mississippi, Pennsylvania and New York, wagering will from now on be legal on pro and collegiate sports at five gaming facilities. Betting will be subject to a total of a 10% taxation rate and under the responsibility of West Virginia Sports Lottery Wagering Act.

Asking the Legislature to partner with major sports league is what the Governor plans to do next, according to the local newspaper. Justice expects that the US Supreme Court will rule in favor of sports wagering, which could enable the state’s efforts to address further provisions of the legislation. The Court’s decision on sports betting might develop beneficial and strong relationships with associations such as NBA or MLB, adds Justice.

The Professional and Amateur Sports Participation Act (PASPA) is currently being reviewed by the legislators. However, in order to gain full constitutional validity, several options must be considered. Starting with the legality of New Jersey’s law act, since there are no actual grounds to repeal federal regulations, the Court can either fully exclude other states from it or annul the entire ban. However, due to the Commerce Clause, which requires Congress to legislate federal statutes, it is highly unlikely that a 229-year-old tradition of overturning amendments as little as 4 times will be broken.

By developing a regulated sports betting market within the state’s borders, sport groups would also receive a cut of an estimated $15bn income! Major League Baseball and National Basketball Association are lobbying for a 1% integrity fee on sports wagering, whereby West Virginia Finance Committee rejects such proposals. Nevertheless, Governor Justice has scheduled a special session that would provide relevant modifications to the law, allowing sporting associations to protect their integrity.

In the final analysis, representatives of sporting organizations believe that the amended statute will benefit West Virginia’s citizens, thanks to a potential growth of revenues in the period.