- South Dakota now has legal sports betting with the signing of Senate Bill 44 into law by Governor Kristi Noem on Thursday.
- Deadwood gaming facilities, as well as tribal gaming facilities in the state, will be able to launch retail sportsbooks beginning in the summer all goes smoothly and they have received licensure to do so.
- It is expected that over 20 sports wagering operators will be opening in South Dakota.
PIERRE, S.D. – South Dakota officially has a legal sports betting industry of its own as of Thursday. Constituents voted to legalize the pastime in November 2020 for the town of Deadwood and tribal gaming locations statewide, giving the Legislature the task of approving the rules and regulations for the activity during the 2021 session.
Senate Bill 44 was introduced to the Senate in January. It passed out of the Senate on February 9 where it was moved to the House. Its first House reading took place on February 10, receiving final approvals on March 4. On March 10, the bill was delivered to Governor Kristi Noem’s desk where it was signed into law on Thursday.
The law will be enacted on July 1 in South Dakota but operators will need to wait on the South Dakota Gaming Commission to present a solid set of rules and regulations before they can go live.
What Will South Dakota’s Sports Betting Market Look Like?
There are more than 20 locations in Deadwood that could expand their businesses to house sportsbooks, not including the tribal establishments throughout the state who are eligible for licenses. Retail sports wagering is the only type of betting that was made legal through this bill. Disputes on mobile sportsbook platforms led to that entire section of the market getting rescinded from any legal draft for consideration.
All professional sporting events will be open for wagers and minimal collegiate events will also be offered. No college prop betting is allowed from any school nationwide nor will any South Dakota schools be seeing betting lines on this or their games as the law prohibits it. Any person affiliated with the sports world when it comes to wagering on matchups will be excluded from betting to ensure the integrity of the games remains in place.
One brighter point to the legislation for sports betting enthusiasts will be the crossover seen for funding a sportsbook account. Advanced deposit sports betting can be done at gaming venues which allow gamblers to use the money they’ve deposited into their casino account for gambling on sports with the sportsbook that is available at the particular casino.
A 9% tax rate on all GGR will be seen on sports betting activity in South Dakota that will aid the state in some much-needed funding as it comes back from COVID-19 losses.
On Wednesday, David Wiest, the deputy secretary of the state Department of Revenue, said that he and his department wanted “a good solid system in place” that Senate Bill 44 will bring to the South Dakota sports betting industry.
Although the bill has now become law, the South Dakota Commission on Gaming will be holding a public hearing on June 16 to go over the final rules for the structure of the sports betting industry of the state before businesses can become official.
However, South Dakotans and visitors of Deadwood should get ready, because the summer months are right around the corner and it will come bearing the gifts of vacations and legal sports betting. A launch of the industry should take place this summer for South Dakota after operators become licensed to go live with their sportsbooks.
Christina has been writing for as long as she can remember and does dedicated research on the newly regulated sports betting market. She comes from a family of sports lovers that engage in friendly bets from time to time. During the winter months, you can find Christina baking cookies and beating the entire staff at Mario Kart…the N64 version of course.