South Dakota Lawmakers Push for Online Sports Betting Vote in November
South Dakota lawmakers introduced Senate Joint Resolution 504 (SJR 504) on Jan. 23 that seeks a constitutional amendment to allow statewide online sports betting. The proposal would go before voters in November’s general election if successful.
SJR 504 would amend Article III, Section 25 of the state’s constitution to allow people outside of Deadwood to place online wagers. The retail casinos in Deadwood are currently the only places in the state where people can legally wager.
Under the amendment, any platform offering statewide wagering must partner with a Deadwood casino. Their servers would also have to be located in Deadwood.
The resolution proposes that 90% of the resulting tax revenue would go to property tax relief. South Dakota is a low-tax state, with no state income tax. Lowering property taxes for residents would help preserve this perception. Deadwood directs gambling tax revenue toward the preservation and restoration of the historic city.
After its first reading, SJR 504 was sent to the Senate Taxation Committee.
Resistance in South Dakota
South Dakota voters supported a previous sports betting-related measure. A proposal to introduce retail sportsbooks exclusively in Deadwood got 58% support in 2020. Retail sportsbooks launched the following year in the city famous for being a boomtown during the American Gold Rush.
However, several bills to roll out statewide online wagering have been met with resistance. Last year, Senate Joint Resolution 507 sought a constitutional amendment with bi-partisan support. It failed to progress, with concerns about addiction being a big stumbling block.
Similar Gambling-Related Referendum Pushes
Other states are pushing to have public votes in 2026 on legalizing sports betting, too. South Dakota’s neighbor, Nebraska, is in a similar position. Retail sportsbooks opened in June 2023, but online operations are not allowed.
Supporters are now seeking sufficient petition signatures to place the issue on the ballot.
WarHorse, which operates two casinos in the state, is working with the Sports Betting Alliance (SBA) on this plan. The signatures of about 125,412 registered voters are needed by early July to get onto November’s ballot.
While mentioning sports betting, U.S. Senator Tommy Tuberville indicated he would support a public referendum to introduce a state lottery in Alabama if he becomes governor. The former Auburn football coach is the favorite to win the gubernatorial office in November. He believes it should be up to voters whether they want a lottery. Alabama is one of just five states without one.
As other states are also considering expanding gambling through constitutional amendments, SJR 504’s progress will determine whether South Dakota voters will get the final say on statewide online sports betting or whether the issue remains confined to Deadwood for another election cycle.
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