Could Hawaii really become the 40th U.S. state to legalize sports betting in the next few weeks?
The push to authorize sports wagering has now been approved in both chambers after Rep. Daniel Holt’s HB 1308 passed the Senate by a 15-10 (five of those ayes coming with reservations) vote on Tuesday. It now returns to the House for concurrence.
The House already passed the but bill, given major amendments have been made to the bill, including the restoration of the proposed 10% tax rate and $250,000 license fee that were opposed and scrubbed in the House Finance Committee in February, it needs approval a second time before leaving the legislature. The department that would have regulatory oversight has also been changed.
But let’s presume that the House does concur and sends the bill to Gov. Josh Green’s desk before the Aloha State’s legislative session ends on May 2. Would he sign it?
Green cites public betting support, acknowledges revenue potential
The legal sports betting push has met opposition from several corners throughout its legislative journey this year, including from governmental departments such as the Attorney General’s office. But Green certainly has an open mind.
Last October, he told Hawaii Public Radio that “the larger questions remain about gambling and sportsbook, so I want to be at least at the cutting edge of that.”
Last week, before the full Senate approved the sports betting proposal, he suggested that the expansion of gambling would have the support of state residents as long as profits were used for community projects.
“The legislature is being cautious, and that’s smart,” Green told KHON2. “But it was interesting to see. We got a survey or poll of people and about two out of three in our state wanted to do gaming as long as the monies went to an important set of projects, mostly housing…”
“If the legislature passes it to me, I’ll strongly consider letting it become law,” he said on Island News this week. “It probably would become law because, frankly, we need revenues, and people are doing it [already] … If it’s in our interest for us as people, we’ll strongly consider it.”
All eyes on new stadium project
Green was speaking about another bill, SB 891, which would establish a gaming working group within the Department of Business, Economic Development and Tourism to assess how legal gambling might strengthen Hawaii’s economy. That bill passed in the Senate with strong support and has progressed through second reading in the House.
SB 891 would also examine the potential that legal gambling might offer for funding and activities at the New Aloha Stadium Entertainment District, a proposed project at the University of Hawaii expected to cost up to $400 million.
Green said that potential gambling revenue “would certainly unlock the key to building a bigger and more beautiful stadium and entertainment district.”
“We have the $400 million,” he added. “We really would like to have $800 million to build a modern stadium as a part of this district, and that’s why people are talking about gambling, which I’m neutral on right now.”
KHON reports that the construction contract must be signed by June to avoid losing state funding. HB 1308 would legalize sports betting effective July 1.
Could ‘sports tourism’ play a key role?
While he may be neutral on gambling, Green is an advocate for boosting Hawaii’s sports tourism industry. Last October, he told Skift.com that he intends to ensure the state hosts pre-Olympics events, and he also has his eyes on NFL games.
“I would love to see some regular season football games here, rather than perhaps in Europe or other markets, once we have our stadium done,” he said at the time. “It would be smart to do them in Hawaii if I can get a proper stadium built.”
Hawaii, a destination with strong tourism links to West Coast hubs such as Las Vegas and Los Angeles, already has connections with the California sports market. Per Island News, Hawaii’s Procurement Office recently approved a measure that could facilitate a direct partnership with the LA Rams, and the Hawaii Tourism Authority (HTA) reportedly believes the Rams consider Hawaii part of their regional market.
Last year, the HTA signed a contract with the NBA’s LA Clippers, which included Honolulu hosting a preseason game against the Golden State Warriors, both teams holding Hawaii training camps and the Clippers holding numerous community events in the state.
Green added to Skift.com that Hawaii wants to offer visitors a more “immersive” experience that encourages them to stay longer and put money into the state’s communities. Perhaps more Hawaii-hosted sports, and the ability to bet on them, could be part of that allure.
