Maryland has legalized sports betting. Governor Larry Hogan signed a bill to make both online and retail (in-person) sports wagering legal on Tuesday, an action which was entirely expected considering state lawmakers passed the legislation last month by overwhelming margins. Under emergency authorization, the law can take effect immediately, but no sportsbooks are expected to go live until the fall because all of the regulations still need to be settled and operators must earn licenses.
Maryland follows Arizona, New York, South Dakota, and Wyoming as the fifth state to legalize sports betting last year. More than half the states have legalized the pastime, even if not all of them have sportsbooks up and running just yet.
The state’s sports betting industry has the potential to be very busy. The law authorizes as many as 60 online sportsbook licenses. While licenses still need to be issued, some businesses and locations are already on the list. The state’s three professional sports stadiums – M&T Bank Stadium, Oriole Park at Camden Yards, and FedEx Field – can offer sports wagering. Laurel Park, Pimlico Race Course, the state fairgrounds, and some off-track betting venues can, as well. Other places like sports bars, minor league stadiums, and small businesses can also apply for online betting licenses. Particular attention will be paid to minority- and women-owned businesses.
Another 30 retail sportsbooks could be permitted, as well. Maryland would end up being one of the only states to allow brick-and-mortar betting at non-gaming locations. Though nearly 100 sportsbooks licenses could end up being doled out, this is less than the unlimited number of licenses on an earlier version of the bill.
The state has six commercial casinos, some of which have already announced sportsbook operator partners, and the rest of which are expected to do so. Barstool Sportsbook, BetMGM, DraftKings, FanDuel, TwinSpires, and William Hill are already confirmed or likely to be confirmed as casino partners. None of the casinos or the listed major brands are expected to have any licensing problems.
Other brands could partner with small businesses, but licensing could take longer because of the lack of a track record of those businesses.
Sports betting revenue will be taxed at 15% and is expected to generate $20 million annually for the state.
As mentioned, a lot still needs to be done before any sportsbooks – retail or online – can launch. August or September is the target, though, as both the state and the betting operators will want to get things up and running in time for football season, the hottest betting time of the year.
