Sports betting: Calif. racing backs long shot on Nov. ballot

Two ballot initiatives that would legalize sports betting in California are long shots to be approved by voters in November. Proposition 26 would allow for in-person sports wagering at the state’s tribal casinos and at four racetracks. Prop 27 would legalized online sports gambling. The campaign spending for both propositions is the most for a proposition in history. The previous record was $220 million spent on a 2020 ballot measure in which Uber and Lyft helped pass a measure that kept drivers as “gig employees”

Prop. 26 would allow on-site sports betting at California tracks. The racing industry supports the measure. It's trying to block passage of Proposition 27. If it passes, operators would be taxed 10 percent of gambling revenue with 85 percent earmarked for homelessness and mental-health support programs. To receive a sports-betting license under Proposition. 27, an operator must pay $100 million and be licensed in 10 other jurisdictions. If Proposition 26 passes and Prop.27 passes it will be a matter of discussion. Thoroughbred Owners of California chairman Gary Fenton says they're in talks with racetracks partners.

The financial impact of sports betting in California is unclear. In New Jersey, the maturing market ballooned to $10.9 billion in 2021. Monmouth Park has both a retail sportsbook on site managed by Caesars Entertainment and an online wagering platform. Daruty is not optimistic that either of California's sports-betting measures will pass. He thinks it's going to be a struggle for both. The company that operates Monmmouth has been able to generate more money for operations and purses.