New York lawmakers adopted an annual budget without including two sports betting measures, one of which dedicated additional tax money toward problem gambling services.
A second gambling-related item would have permitted proposition bets on NY sports betting award futures. That was also excluded from the 2024-25 state budget approved last weekend.
State Sen. Joseph Addabbo, D-Queens, told Legal Sports Report (a sister site of PlayNY) that both proposals would have a second life in the post-budget session.
Tax on NY sports betting could have added $3M for problem gambling
Addabbo, chair of the Senate Racing, Gaming and Wagering Committee, is the prime sponsor of pending legislation that will dedicate either 1% of taxes collected from sports betting revenue or $6 million, whichever is greater, to gambling education, addiction and resource services.
Under current state law, $6 million is allotted to similar efforts.
Addabbo’s proposal, S8439, ties the amount of problem gambling funding directly to the success of the state’s massive sports betting market.
Online sports gambling in NY generated $898.5 million in taxes from April 2023 to March 2024, according to data from the NY State Gaming Commission. Under Addabbo’s 1% proposal, nearly $9 million could have gone toward problem gambling services in the Empire State in that timeframe.
Lawmakers could have incorporated language into the fiscal budget that would have dedicated additional problem gambling funding and accomplished comparable objectives.
Addabbo told LSR he was surprised those funds did not make the final budget.
“To me, that was a no-brainer,” he said.
Sportsbook prop bet issue still in play
NY is one of a handful of states that does not permit prop wagers on awards futures, which includes betting on annual accolades such as league MVP or Rookie of the Year.
Addabbo says that, too, will get another look in the coming weeks.
“Prop bets, we’re going to look at. I’m always more confident in my side (the Senate) than the Assembly side, but we’ll look to do prop bets post-budget as well.”
