Ohio could be the first state in the United States to allow sports wagering licensees to partner with an unlimited number of online sportsbook partners. SB 176 would enable unlimited Ohio online sportsbook partners.
The Senate Select Committee on Gaming approved various provisions of the Ohio sports betting bill. Also, they supported the amendments after a 15-minute hearing. Lawmakers introduced a bill that would have two types of sports wagering licenses.
Type A license will include state entities such as racinos and casinos. Type B licenses will be for retail sportsbooks. Also, a total of twenty licenses will be available for each type of sports betting license according to the market leader in sportsbook software.
According to the sports betting bill, licenses will cost $1 million each with a validity of three years. Also, the tax rate will be ten percent of the revenue. According to a pay per head sportsbook provider, both Type A and B licenses will allow unlimited sportsbook partners.
The state will not vet the partnerships signed by the sports betting license holders. According to sports betting bookie software reports, Senator Nathan Manning co-sponsored the bill. He noted that Type A licensees must subcontract their mobile sports wagering apps to a partner. Also, they can have an unlimited number of partners.
States with legal sports betting capped the number of online sportsbooks. Thus, Ohio would have a much more competitive sports gambling industry. Also, the approved amendments would allow existing casinos and racinos to apply for type B licenses. Companies that are applying for a Type A license needs to have a presence in Ohio to qualify.
Lawmakers removed the first-come, first-serve wording in the application process for Type B licenses. The current version of the bill will award licenses based on the strength of the bids.