North Carolina Budget To Change Sports Betting Licensing Process

North Carolina Budget To Change Sports Betting Licensing Process
Fact Checked by Thomas Leary

North Carolina lawmakers are set to proceed Thursday with a state budget that will radically change the nascent North Carolina sports betting law. Votes are expected in both the House and Senate on Thursday and Friday before sending the two-year spending package to Gov. Roy Cooper. 

Legislative leaders finally reached an agreement on Tuesday evening after weeks of negotiations, which toward the end became contentious after some House Republicans balked at a plan to legalize commercial casinos and allow video lottery terminals statewide.

While those gaming matters were eventually removed from the bill, the updates to the sports betting law became public earlier this week when WRAL-TV in Raleigh received a draft copy of the bill.

What Changes In North Carolina

Labeled as “technical corrections,” the budget item strikes out the requirement the North Carolina Lottery Commission approves up to 12 NC sports betting app operators in the state. In its place, lawmakers will now require the commission to approve sports betting operators if they have “a written designation agreement” with an approved partner.

Those partners include professional sports teams, companies that either own or operate a golf course that hosts an annual professional golf tournament or an auto racing track, NASCAR and professional golf tours with annual events in the state. As written, that would allow the Carolina Hurricanes, Carolina Panthers, Charlotte Hornets, FC Charlotte and North Carolina Courage to partner with an operator. It would also allow both the Charlotte Motor Speedway and the North Wilkesboro Speedway to seek deals with operators. 

Charlotte’s Quail Hollow Golf Club, which hosts the PGA Tour’s Wells Fargo Championship, and Greensboro’s Sedgefield Country Club, which hosts the PGAT’s Wyndham Championship, would also be eligible to partner with an operator. With NASCAR and the PGA Tour itself also eligible, that would give 11 entities the ability to offer an agreement deal to a sports betting operator.

The changes also list a Major League Baseball team as those eligible to partner with an operator. There currently is no MLB team based in North Carolina. However, the league has expressed an interest in expanding in the coming years, and Charlotte has been mentioned as a potential candidate for a franchise.

Impact Uncertain

It remains to be seen if the changes will impact when statewide sports betting can start. Lawmakers did not alter the 2024 launch window that opens on Jan. 8 and runs through mid-June. It also does not impact the tax rate or the actual cost of the license. The lottery did not comment Wednesday when asked about the proposed changes.

At least one operator blasted state lawmakers for making the change. Sporttrade CEO and Founder Alex Kane noted on X (formerly Twitter) that the sports betting law passed three months ago called for operators to have direct access to licenses.

“Now the leagues will get to control and monetize who gets a license,” he posted. “This would statutorily impose private business as the gate-keepers to tax and control who enters the state.”

At this stage, the changes to the sports betting law are almost certain to take effect. North Carolina is one of the few states that does not give the governor line-item veto authority. That means Cooper would be unable to reject only that portion of the budget bill, subject to the legislature voting to overturn that veto.

Stick with BetCarolina.com for all legislative updates out of the state, and we're also home to incoming North Carolina sportsbook promos when the times comes.

quote

Author

Steve Bittenbender
Sports Betting Expert & Insider

As a writer and analyst for BetCarolina.com, Steve not only covers gaming news and developments in North Carolina but also provides insights into what they mean for bettors, licensed operators and the state. A veteran journalist with 25 years of experience covering sports, politics and business, Steve has reported on the gambling industry intently over the past five years.

Cited by leading media organizations, such as: