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Minutes for SB322 - Committee on Federal and State Affairs
Short Title
Authorizing any gaming compact regarding sports wagering to include provisions governing sports wagering outside the boundaries of Indian lands.
Minutes Content for Mon, Mar 27, 2023
Jason Long, Office of the Revisor of Statutes, gave an overview of the bill. SB322 would allow for any gaming compact concerning sports wagering to allow an Indian tribe to conduct sports wagering under the same conditions as state-owned casinos, and not be limited to sports wagering within the boundaries of the tribe's Indian lands. (Attachment 1)
The Chairman called for proponent testimony.
Proponent Oral Testimony
Russ Brien, counsel for the Prairie Band Potawatomi Nation, spoke as a proponent of the bill. He gave a background of the Nation and its economic impact on the state. He stated refusal to negotiate over inclusion of statewide remote sports wagering in a compact violates the state's obligation to negotiate in good faith pursuant to federal and Kansas law. He said the Governor's office is concerned current statutory provisions prohibit a compact for remote sports wagering where wagers are received on the Nation's reservation at its gaming facility. (Attachment 2)
Will Lawrence, Chief of Staff, Governor Laura Kelly, spoke as a proponent of the bill. He stated they have been negotiating with Prairie Band Potawatomi Nation since sports wagering passed in Kansas, and once they negotiate a compact, it comes back to the legislature for approval. He said all the bill does, is allow the governor's office to continue to have conversations regarding the compact. There was no written testimony provided.
The Chairman called for opponent testimony.
Opponent Oral Testimony
Whitney Damron, on behalf of Kansas Entertainment, LLC, the owner of Hollywood Casino at Kansas Speedway, spoke as an opponent of the bill. He stated the non-tribal casino owners would be at a competitive disadvantage because the Tribes would not be required to collect or impose taxes or fees. He asked that there be a delay in order to allow for the proponents and representatives of the casino managers to meet and consider changes to the legislation to ensure all providers are operating on a level playing field. (Attachment 3)
Kevin Fowler, counsel for the Kansas Crossing and Kansas Star Casinos, spoke as an opponent of the bill. He stated SB322 is inconsistent with the state's longstanding gaming policies, and would disrupt the framework for sports wagering in Kansas. He said elimination of the requirement that all sports wagering beyond the boundaries of Indian lands must be owned and operated by the state, would violate the Kansas Constitution and subject the state to litigation. (Attachment 4)
Chris Reedy, General Counsel, Boot Hill Casino and Resort, spoke as an opponent of the bill. He stated Indian Tribes are not entitled to more than the level playing field they agreed to in the gaming bill passed during the 2022 legislative session. He said SB322 allows Tribes to engage in Indian sports wagering throughout the entire state, which would create an unfair competitive advantage to the Tribes, as they are allowed to keep 10% more revenue than casino managers. (Attachment 5)
The Chairman opened for questions and answers.
Following questions and answers, the Chairman closed the hearing on SB322.
