House in Alabama endorses measures for casinos, lotteries, and sports betting
The Alabama House of Representatives passed House Bill 151 in August 2025, proposing the legalization and regulation of sports betting, casinos, and a state lottery. If approved by the Senate, the bill could bring significant changes to the state's gambling landscape.
The bill, presented by Chris Blackshear and Andy Whitt, outlines the formation of an Alabama Gaming Commission to oversee wagering, as well as a Gaming Enforcement Division to monitor all gaming activities and combat illegal wagering.
Legal Online and Retail Sportsbooks
If passed, the bill would establish regulated sports betting in Alabama. Currently, bettors in the state rely on offshore sites or informal wagering, as no licensed online sportsbooks operate legally within the state. Legal online and retail sportsbooks would be authorized if the bill passes in the Senate.
Casinos and State Lottery
The proposal includes provisions to legalize casinos, but detailed regulatory frameworks or tax specifics related to casinos were not outlined in the publicly available bill summary. The bill also proposes initiating a state lottery, which is currently absent in Alabama. No specific tax rates or revenue allocation formulas for the lottery have been publicly detailed yet.
Tax Rates and Regulatory Bodies
The available information does not specify the tax rates for casinos, sports betting, or the lottery in the proposed Alabama bill, nor does it clearly identify the regulatory agency that would oversee operations. The regulatory oversight and tax structures may be finalized during Senate deliberations or in subsequent legislation.
Revenue Projections
There are no publicly detailed projections of revenues from the state lottery, casinos, or sports betting within this bill or the recent legislative discussions. However, the Legislative Services Agency projects the state could generate up to $900 million from the lottery, casinos, and sports betting.
The bill also urges the governor to initiate negotiations for a compact with the Poarch Band of Creek Indians, which could contribute additional revenue to the state's gaming trust fund.
Pending Senate Approval
Pending Senate approval, the gaming trust fund, designated by HB 152, would receive 95% of the casino-style gaming tax revenue. A portion of the sports betting tax revenue will support law enforcement, while some funds are also intended for mental health care.
In summary, Alabama is poised to potentially legalize and regulate sports betting, casinos, and a lottery pending Senate approval of HB 151. However, specifics on taxes, regulatory bodies, and revenue projections have not been publicly established or disclosed as of August 2025.
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The bill, if approved by the Senate, would establish legal online and retail sportsbooks in Alabama, offering an alternative to offshore sites or informal wagering. The proposal also includes the legalization of casinos and the introduction of a state lottery, both of which are currently absent in Alabama. The bill, however, does not specify the tax rates for casinos, sports betting, or the lottery, nor does it clarify the regulatory agency that would oversee operations. Pending Senate approval, the gaming trust fund would receive a significant portion of the casino-style gaming tax revenue, with a portion of the sports betting tax revenue supporting law enforcement and mental health care.