They’re not just watching the corn stalks pop up in rows in Hawkeye State. Iowa sports betting continues to rise as its revenue does, taking the casino numbers with it, as was the case last month. The 19 casinos in the state generated a combined adjusted gross income of $159.9 million, according to data from the Iowa Racing and Gaming Commission.
As a result, play on poker, slots, and table games generated $32 million in taxes for the state. However, sports betting was big. Thanks in large part to March Madness betting, nearly $209 million of the total amount wagered in Iowa during the month of March was placed on mobile sportsbooks. IRGC data also shows that physical sportsbooks contributed nearly $24 million.
That means that almost 90% of the money wagered on sports lawfully in Iowa for the month came through mobile sports betting. And sportsbooks made $17.5 million in income after payouts, which is an increase of $5 million from the $12.5 million made in February.
According to sports betting laws, Iowa’s sports betting tax is currently 6.75%, but unlike other states hoping to benefit from tax money from sports betting, Iowa has nowhere to raise rates. The state general fund receives all tax money.
New Sports Betting Legislation Being Considered
The big March numbers come at a time when lawmakers are considering a new sports betting measure that could benefit all of Iowa’s 99 counties.
According to the Sioux City Journal, the legislation that state legislators are considering would provide funds from sports gambling profits for quality-of-life enhancements to all 99 of Iowa’s counties – including, for the first time, the 15 counties that have state-licensed casinos.
The plan would disperse around $23 million that has accrued in a state fund since sports betting became permitted in Iowa and was subject to a 7% tax. All 99 counties would get the funds, along with any future profits from sports betting, for regional endowments that support local quality-of-life enhancements like emergency response services.
The proposed legislation, House File 710, has already made its way through the legislative process in the Iowa House. It passed the full chamber with a unanimous, 99-0 vote. It is now eligible for consideration in the Iowa Senate.
The support is only expected to grow now that the March revenue report is out.
Iowa’s April Sports Betting Numbers Could Dip
So far in the fiscal year 2023, Iowans have spent nearly $2 billion on sports betting. And while analysts say the market for gamblers is still strong, that spending is expected to slow down a bit in the coming months.
“We’re getting into the summer. We will expect maybe a little decline in the summer, as the baseball season and NBA basketball isn’t as popular for Iowans,” Brian Ohorilko, administrator of the Iowa Racing and Gaming Commission said, but that remains to be seen.
*Bookmakers Review will continue to track the numbers coming out of Iowa this month and provide a full report.
Calculators
