In a victory for sports betting operators and the state’s general fund, Senate Bill 354 has been withdrawn from consideration in the Louisiana legislature.
The proposal, Senate Bill 354, introduced by Senator Katrina Jackson-Andrews, aimed to ban “proposition bets”, wagers on specific in-game events that do not determine the final outcome, to protect athletes from harassment and market manipulation.
The Fiscal Reality of Prop Betting
While the bill was framed as a responsible measure for sports integrity, a devastating fiscal note ultimately killed the initiative. Analysts projected that banning prop and micro-bets would result in an annual loss of nearly $40 million in state revenue.
Senator Jackson-Andrews, who serves on the Senate Finance Committee, admitted that the budget impact was too significant to ignore:
“I try to bring very responsible legislation, and I believe this piece is a responsible piece of legislation, but also, serving on [the Senate] Finance [Committee], understanding that if this bill moves forward, we will have to find that $15m for the state general fund”.
Funding Vital State Programs
Beyond the $21 million hit to the General Fund, the ban would have stripped $17 million from critical public programs. The Behavioral Health & Wellness Fund, the Postsecondary Inclusive Education Fund, and the SPORT Fund were all at risk. The SPORT Fund alone, which provides essential support to NCAA Division I athletes at public universities, faced a $9.4 million annual shortfall.
Data from the Louisiana Gaming Control Board illustrates the market’s reliance on these wagers: prop bets currently account for 40% of all online wagers in the state. While the Senator intends to revisit the issue in the future, the current fiscal reality ensures that prop betting will remain a legal staple of Louisiana’s sportsbooks for the foreseeable future.
