In 2013, long before the current sports betting expansion, New York passed the New York Gaming Economic Development Act. The law authorized the development of four casinos, each of which would be allowed to conduct sports betting – subject to it being legal under federal law.
So, when the Supreme Court overturned the Professional and Amateur Sports Protection Act in May 2018, New York was ready to go. Except it hasn’t – at least as far as mobile sports betting goes.
Although in-person legal sports betting became possible when two of the four commercial casinos launched sportsbooks in July 2019, it is still illegal to wager online, unlike the neighboring states of Pennsylvania and New Jersey, which have been reaping the benefits of mobile sports wagering since the Garden State approved its legalization in June 2018.
At one point, New York Governor Andrew Cuomo appeared to be holding up authorization to all legal sports betting due to an outstanding dispute between some of the New York tribal casinos and the state about how much gambling tax payment was owed. While this issue has been partially resolved, some tribal casinos are still ineligible to apply for sports betting permits.
Governor Cuomo is now on board to expand sports betting in New York to online platforms. But the differences now stand with the state legislature who have to pass bills in order to legalize online sportsbooks in NY.
The regulator is the New York State Gaming Commission, which started working on regulations in May 2018, when Acting Executive Director Ron Ochyrm said:
Commission staff has long been working on regulations that would effectuate sports gambling under the existing statutory language. Staff anticipates being able to provide a draft for your review in the near term
The gaming commission approved regulations governing legal sports betting in early June 2019. The four commercial casinos and some mid-state tribal casinos were deemed eligible to apply for in-person sports betting licenses.
Other regulations state that bets can be made on sports such as professional football, basketball, baseball, hockey, and soccer, as well as non-New York college sports. But legal sports wagers cannot be placed on New York college teams, nor collegiate events that take place in the state.
New York state legislature attempts to pass new laws in 2019
The state legislature remained undecided as to whether to pass new legislation on sports betting. In 2018 there was a debate over whether the sports leagues should receive an “integrity fee.” The fee is supposed to compensate the leagues for additional measures they may take to ensure fair games. In reality, it was more of an attempt to grab a piece of the pie.
The key issue left is the legalization of mobile and online sports betting. Current legislation restricts casinos to in-person sports betting only on the premises. Since most sports betting around the world and in the U.S. is now conducted online, this is a major issue.
New Jersey bettors wagered more than $3 billion on sports in the 12 months since it was legalized in June 2018 and more than 80% of New Jersey’s sports bets are placed online – a high percentage of which are made by residents of New York. New Jersey’s FanDuel Sportsbook said that 25% of its registered accounts belong to NY residents.
With the nearest on-site New York sportsbook over an hour and a half away from New York City, it is unlikely that Big Apple sports bettors will make the trek regularly to place a bet in person when they can zip over the New Jersey border and use a mobile app.
Pennsylvania has seven state-wide mobile sportsbooks in operation and can also benefit from Empire State sports betting dollars from neighboring bettors in southern New York.
The New York state constitution is a problem
New York has online sports betting for horse racing, so in principle there should be no objection to mobile sports wagers. But, of course, that’s not how state politics works.
To enable legislation to allow mobile sports betting, New York would need to do one of two things:
- Pass a constitutional amendment which would delay online sports betting until 2021 at the earliest.
- Designate sports betting as a game of skill, evading the constitutional provisions against gambling.
In France, sports betting is considered to be a game of skill, as is poker. The French regulatory system doesn’t authorize games of luck except the lottery.
New York also has legal online Daily Fantasy Sports (DFS). The law to enable DFS also defined the activity as a game of skill. This is currently the subject of a legal challenge going through the NY court system.
The second option was deemed the best choice to speed up the legalization of online wagering and State Senator Joseph Addabbo filed SB18 in January 2019 with the intent of legalizing online poker. The bill defines poker as a game of skill to avoid the need for a constitutional amendment.
Assemblyman Gary Pretlow said that he would also support a sports betting bill in January 2019. The bill would be the same as the text of the bill he introduced in 2018. Pretlow is Chairman of the Assembly’s Racing and Wagering Committee, so he is the man to watch in the state’s lower chamber.
Hopes for the legalization of mobile sports betting were high in early 2019, particularly in light of the catastrophic condition of the state’s finances. Revenues from legalized sports betting were expected to be included in the state budget which is finalized in March.
Unfortunately, efforts to usher a 2019 bill legalizing mobile sports betting through the legislature before the end of June’s session were unsuccessful.
The bill passed the Senate but was left hanging in the Assembly at the session’s end. Regardless, had the bill successfully passed the legislature, it likely would have stalled at the desk of New York Governor Andrew Cuomo. Cuomo had stated that he did not expect legal mobile sports betting to be legalized in 2019.
New York Mobile Sports Betting Efforts 2020
Senator Joseph Addabbo was quick to carry over the momentum from 2019 into 2020. Addabbo is the chair of the NY Senate Racing, Gaming, and Wagering Committee and on the very first meeting of the year the committee passed a bill and referred it to the Senate Finance Committee.
The bill, NY SB 17, contained certain provisions that were not attractive to potential sports betting operators, but amendments were made throughout the legislative session. The main takeaway is that it would have legalized statewide mobile sports betting apps in N.Y. and would not require in-person registration.
When Addabbo passed it swiftly through his committee he was trying to get Governor Cuomo to add it into his state budget proposal. However, Cuomo only added a slight expansion to retail sports betting at the state’s casinos and not mobile sports betting in N.Y.
The budget wasn’t finalized until later in 2020, however, it seemed as though the Governor was still not completely on board with the idea of legal online sports betting in N.Y.
New York casinos authorized to launch sports betting
The four state-licensed, commercial casinos in upstate New York have each appointed a sports betting partner and have on-site sportsbook facilities that are currently operational. These are:
- The Rivers Casino & Rush Street Gaming, in Schenectady, opened on July 16, 2019.
- Tioga Downs & FanDuel,in Nichols. opened on July 19, 2019.
- The del Lago Casino & DraftKings, in Seneca County, opened on August 23, 2019.
- The Resorts World Catskills Casino & Bet365, in Monticello, opened on September 5, 2019.
Over and above these, the Oneida Indian Nation has entered into a partnership with Caesars Entertainment. Under the terms of the deal, the Oneida launched Caesars-branded sportsbooks in their central New York casinos during the Summer of 2019.
The Oneida Indian Nation New York sportsbooks are located as follows:
- Turning Stone Resort Casino, Oneida County, opened on August 1, 2019.
- Yellow Brick Road Casino, Madison County, opened on September 4, 2019.
- Point Place Casino, Madison County, opened on August 1, 2019.
The Saint Regis Mohawk Nation announced in July 2019 that it planned to open an on-site sportsbook at its Akwesasne Mohawk Casino in Franklin County on the Canadian border by late summer or early fall 2019.
That casino eventually accepted its first sports wager in late November of 2019. The Sticks Sports Book and Grill is currently under construction at that venue. Once it is completed, the casino will have a better viewing area to watch all the games that gamblers bet on.
The Seneca Nation has also completed the process of offering legal sports betting at its three Western New York casinos in Buffalo, Niagara Falls and Salamanca.
The tribe has launched a sportsbook at Seneca Buffalo Creek Casino, Seneca Allegany Resort & Casino, and Niagara Resort & Casino. Their N.Y. sportsbooks opened despite an outstanding revenue-sharing dispute with the state.
New York Mobile Sports Betting Efforts 2021
In a shocking turn of events, Governor Cuomo announced at his state of the state address in January the support of legal recreational marijuana and online sports betting in New York.
Despite being opposed to the idea for years, the impact COVID-19 closures have had on the state budget call for revenue to come from all possible sources. But, Governor Cuomo has announced he’d like to have a single operator marketplace like the state lotto, rather than doing it through the state casinos.
This is unlike the bills that Senator Joseph Addabbo and Assemblyman Gary Pretlow filed in the state legislature. Senate Bill 1183 and Assembly Bill 1257 are the exact same and would require online sportsbooks in New York to tether to a retail casino similar to how it works in New Jersey.
The state legislature has until June 2021 to figure out which path they’d rather take for the state’s sports betting market.
The State Assembly did include mobile sports betting within the New York fiscal budget in March, pointing to favorable signs that a bill will be passed this year.
New York Sports Betting FAQs
What is the legal sports betting age in New York?
In order to bet on sports in New York, you will have to be 21 years old or older.
Can I use my phone to bet on sports inside of a NY sportsbook?
Yes, certain sportsbooks in New York will have mobile sports betting apps that you can only use while you’re inside the premises. As soon as you leave the casino the apps they provide will not accept any wagers.
When Will Mobile Sports Betting Apps in New York Launch?
This will largely depend on how state lawmakers want to legalize and regulate that aspect of the industry. If they are able to avoid making a change to the state constitution, the soonest online sportsbooks in NY could launch would be 2022.
Lawmakers would have to pass a bill in the first half of 2021. After that regulations will have to be published and licenses will have to be awarded to the entities that operate online sports betting in NY. The regulatory process will most likely take the entire second half or 2021 to do.
Can I bet on the Syracuse Orange in New York?
Unfortunately, betting on collegiate sports teams or players that are based within New York are not allowed by state law. Collegiate sporting events that take place in New York are also not allowed. You can bet on those teams and events if you travel to neighboring states such as Pennsylvania or New Jersey.