The 30th-largest, 24th-most populous state encompasses the southeastern region of the United States. It borders the Gulf of Mexico and Florida to the south, Mississippi to the west, Tennessee to the north, and Georgia to the east.
Settlements in Alabama are among the oldest in America, dating back to the Spanish explorations and, in later stages, to the French expansion.
Such a long span, institutionalized by the admission to the Union in 1819, makes The Yellowhammer State renowned for several interesting facts.
A civil rights movement, which played a remarkably significant part in the nation’s history, was instigated by Rosa Parks in Montgomery. The town is also known for the first civil aviation school in the U.S., founded by the Wright Brothers. The Cotton State is home to the first windshield wipers in the world, the first successful surgical heart in America, and the first state to declare Christmas a legal holiday. Alabama hosts the largest cast-iron statue globally, constructed in 1904, presenting Vulcan, the Roman god of fire, standing 56-foot tall atop a 123-foot pedestal.
And, if you’re into Sweet Home Alabama song by Lynyrd Synyrd — there is an actual home in Bessemer, built by H.W. Sweet in 1906, going by the same name.
Usually recognized by farming and agriculture in the 19th century, contemporary Alabama’s economy is diversified, based on banking, aerospace, health care, mineral extraction, education, retail, technology, and automotive industries.
These verticals contributed to a $231 billion gross product in 2019, equaling 1.1 percent of the U.S. annual GDP.
Somewhat not surprisingly…
…the most religious state in America, and the one with the longest constitution among any of the fifty states, has restrictive gambling laws and modest gaming history.
Legal Framework
In 1901, all forms of games of luck and skills were constitutionally prohibited. The ban even includes lotteries, making the state one of only six in America with such a clause.
Several attempts to legalize the lottery fell short in the last thirty years, leaving only charitable organizations to operate traditional bingo and raffle games under stringent conditions.
However…
…in 1971, the Alabama Supreme Court ruled pari-mutuel wagering at horse and dog tracks as constitutional since the outcome solely relies on the animals’ skills.
Accordingly, cities with 300,000 inhabitants and more can utilize horseracing and greyhound racing as long as most of their population approves it at the referendum.
All gambling devices are banned in the state — including electronic bingo — making brick-and-mortar activities prohibited.
The only exclusion to this rule is three land-based casinos run by the Poarch Band of Creek Indians, legally operated by the Indian Gaming Regulatory Act. Under the current legal framework, the tax for casino activities is 18 percent of GGR.
As of 2020…
…there are no state-regulated onshore iGaming operators.
The online gambling activities are unlawful, even as some interactive offshore operators accept punters from Alabama.
Although sports betting silver linings might be in the cards — as the state legislators introduced HB 336, the most recent bill which would allow for retail and mobile wagering — all efforts are suspended until further notice due to pandemic.
Licensing
If such legislative efforts gain traction and establish a foothold in the future, it would create the Alabama Sports Wagering Commission as a state regulator of land-based and mobile sports betting.
The HB 336 bill would allow four licenses in total, permitting the Poarch Band of Creek Indians to develop two new casinos outside their tribal lands. Such legalized activities would enable wagering agreements with other entities and set a tax rate of 10% of the gross win.
In a parallel development…
…related to potential licensing regulators, the Poarch Band of Creek Indians made an additional push in March 2020, seeking to enter a compact with Alabama, which would establish a full-fledged casino gambling scene.
The effort would establish the Alabama Gaming Commission to license and regulate new casinos — featuring blackjack, roulette, other table games, and sportsbooks — including dog tracks, lottery, and bingo operations.
Advertised prominently on television and online as Billion Dollar Plan, this initiative estimates that gambling activities would generate $350 million in annual revenues. An additional $750 million would coffer the state budget via licensing fees and economic development.
Following in the footsteps of other states in America, the Billion Dollar Plan seeks to create gambling revenue streams for tax appropriations, fueling purpose-made public funds citing that Alabama net lottery revenues would go toward education.
On the whole…
…complicated legal intricacies driven by conservative state views on gambling may see years of debate over gaming and sports betting legality, including ensuing licensing, extend well into the future.
Players’ Protection
In light of such a restrictive framework and almost non-existing gambling market, one might argue the protection of patrons in Alabama is absolute.
On the other hand…
…players who might face gaming issues have to rely on the confidential National Problem Gambling Helpline, available 24/7.
Even so, if any of the existing legal initiatives come to fruition, we wouldn’t be surprised to see Alabama’s market enhanced with all-around initiatives to offer systematic solutions and health-related assistance, including gambling help and educational programs to raise awareness among players.
Considering the enormous economic impacts of legalized gambling and sports betting markets, if The Yellowhammer State opts for such a move, presumably, it would be committed to all preemptive measures necessary for a well-balanced gambling environment.
Final Notes
Most certainly, we’ll have to wait a bit more, perhaps even longer, to see Alabamans freely enjoying any gaming activities other than those already allowed for.
But…
…since there are offshore online hubs that accept players from The Cotton State, we highly advise you to do your due diligence carefully if you’re resident, for you are liable to local laws regardless of the chosen venue.
Other than that, we hope to see you approach such adventures of chances and choices prudently and responsibly, as the only feasible way to have a good time and great fun, which is what gambling is all about.
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