Alabama Senator Merika Coleman introduced a bill this week that would allow voters to decide on whether the state should authorize casinos, sports betting, or a state lottery.
Key Takeaways
- Alabama Senator Merika Coleman introduced SB257, which would allow state voters to decide if they would like a lottery, sports betting, or casinos.
- The bill would need approval from three-fifths of senators and representatives before heading to voters.
- Some lawmakers said prior to the 2026 legislative session that a lottery bill was unlikely to receive serious consideration.
Coleman said that a gambling expansion bill had been in the works since the Powerball lottery jackpot amassed $1 billion, according to AL.com. She also added that, for her constituents, the desire for a lottery ranked second among important issues for voters.
Coleman, a member of the Alabama Senate’s General Fund committee, also noted the state currently faces a revenue shortage and that the bill could be a potential source of revenue to help combat it.
“We have some major deficits that are coming up next year with DHR, Medicaid, other social services that people are relying on us in the state of Alabama to be able to help them move to self-sufficiency and in some cases health care,” she said. “And it is our responsibility as lawmakers to do what we can do in order to provide those services. And so this is my contribution to trying to get this revenue here without putting a tax on the citizens of the state of Alabama.”
Senate Bill 257 (SB 257) was introduced Feb. 3 and needs approval from at least three-fifths of the House and Senate before it can proceed to voters. SB 257 allows voters to decide on various gambling expansion amendments, including a lottery, online sports betting, casinos, a gaming compact with the Poarch Band of Creek Indians, and a state gambling regulator.
Some Alabama lawmakers, including Senate president pro tempore Garlan Gudger and House Speaker Nathanial Ledbetter, said any gambling bill introduced during the current legislature is unlikely to move much.
This comes after previous attempts to expand gambling in the state over the years ultimately fell short.
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Hawaii bill could legalize mobile sports betting
Hawaii is also poised to push gambling legislation in 2026. Senate Bill 3303 has put mobile sports betting back on the table, as the state remains one of only two without any form of gambling.
The bill was introduced by Senator Dru Kanuha last week. If approved, it would authorize sports betting through only licensed mobile apps and digital platforms. However, it would ban physical betting and kiosks.
A similar bill was almost passed last year after moving through the Senate and House, with different tax rates. However, once it got sent to a conference committee, no agreement could be made despite Governor Josh Green stating he would not veto a betting bill.
The state would require at least six sports wagering licenses to be granted, with each operator paying a $500,000 initial fee and be subject to a 15% tax on all adjusted gross sports wagering receipts.
