Upcoming Match-ups

Election Day Likely Last Chance for Legalized California Sports Betting Until 2024

Robert Linnehan

by Robert Linnehan in Sports Betting News

Updated Nov 8, 2022 · 6:24 AM PST

Los Angeles Lakers forward LeBron James reacts in the second quarter against the Cleveland Cavaliers
Mar 21, 2022; Cleveland, Ohio, USA; Los Angeles Lakers forward LeBron James (6) reacts in the second quarter against the Cleveland Cavaliers at Rocket Mortgage FieldHouse. Mandatory Credit: David Richard-USA TODAY Sports
  • Election day in California means the final chance for two sports betting ballot initiatives
  • Two propositions to legalize retail and online sports betting in California to be decided today
  • If neither pass, 2024 may be next chance to legalize California sports betting 

Today could be the last gasp chance for the legalization of California sports betting in 2022.

After a long journey, and by far the most expensive proposition cycle in California election history, voters will flock to the polls today to determine the fate of two sports betting ballot initiatives in the Golden State.

Polls open at 7 a.m. in the state and close at 8 p.m.

California Sports Betting Initiatives

The two propositions will appear on today’s ballot for California voters.

Prop 27, the “California Solutions to Homelessness and Mental Health Support Act,” aims to legalize California online sports betting for operators partnered with California Tribes. Prop 27 calls for a 10% tax on online sports betting, with 85% of tax revenues going to programs to help solve homelessness and those that support mental health. The remaining 15% of the tax revenues would be earmarked for California tribes not partnered with an operator.

It’s joined by Prop 26, “Tribal Sports Wagering Act,” which would legalize retail sports betting for California Tribal Casinos and four state racetracks. It would also expanding gaming opportunities for tribal casinos.

Both will appear on the ballot and California voters will be asked to vote “yes” or “no” on each question. If either of the measures receive more than 50% “yes” votes, they will be approved and go into effect in 2023.

But what happens if both get approved by voters? Will both go into effect? Here’s where things get a little tricky. According to the constitution of California, if there are two voter initiatives on a ballot that are in direct conflict with each other and they are both approved by voters, the initiative that has the highest amount of votes will go into effect.

As it’s written, the “California Solutions to Homelessness and Mental Health Support Act” claims it is not in direct conflict with any retail sports betting measure that may appear on the ballot.

The wording in the online sports betting initiative declares if both are approved by California voters then each measure can go into effect in 2023. The claim that the measures are not in direct conflict with each other will likely be a heated point of contention if both initiatives are approved.

If both are approved, but the online initiative receives more votes than the retail initiative, both will go into effect. However, if both pass and the retail sports betting initiative receives more votes, the backing California tribes would likely take the result to court and seek to declare the online sports betting measure to be in direct conflict with their retail measure.

Uphill Battle for Either to Pass

DraftKings CEO Jason Robins and FanDuel CEO Amy Howe both expressed hope that Prop 27 would still be approved in November during conversations at the recent Global Gaming Expo meeting in October, but if not that momentum from 2022 would carry over into 2024 for another potential California online sports betting initiative.

Both have said that Prop 27 seems to be trending towards not being approved this year.

Voter polls have the props trending in the wrong as well. According to the results of a recent poll from the Public Policy Institute of California (PPIC), only 26% of surveyed voters would vote yes for Prop 27,  67% would vote “no” and 8% are unsure. The share voting “yes” has decreased since a the PPIC released a mid-September poll in which 34% of respondents said they would vote yes for the online sports betting initiative.

Younger aged voters, those between 18 and 44 years of age, are far more likely to vote in favor of Prop 27. 41% of respondents in that age group said they approve of the initiative, while only 19% of those surveyed over the age of 45 support the measure.

For the first time, the PPIC asked surveyed voters their opinions on Prop 26, the “Tribal Sports Wagering Act,” which would legalize retail sports betting for California Tribal Casinos and four state racetracks. According to the survey, if the election were held today only 34% of respondents would vote in favor of Prop 26, 57% would vote no, and 9% are unsure.

A majority of respondents across all regions and demographic groups, except for likely voters between the ages of 18 and 44, would vote no on Prop 26, according to the survey.

Findings in the PPIC report were based on a survey of 1,715 California adult residents.

Author Image