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Minnesota Sports Betting Expected to Launch in 2023, Lawmakers Predict

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The Journey of Minnesota Sports Betting Legislation

In recent years, the conversation around Minnesota Sports Betting has evolved significantly, culminating in pivotal legislative moves aimed at legalizing sports wagering within the state. Representative Zack Stephenson played a crucial role in this journey, voicing optimism at the outset of Minnesota’s 2023 legislative session about the prospects of passing a sports betting bill. This optimism was not unfounded, as Minnesotans, like their counterparts in over 30 states, were eager to engage in sports wagering within a legal and secure marketplace.

As of late 2025, Minnesota had not legalized sports betting; multiple attempts in 2022–2025 (including HF 778/ HF 2000 and several Senate companion bills) passed the House or advanced in committee at times but failed to become law, leaving Minnesota as one of the states without a legal sportsbook market.

Stephenson’s proposed legislation, known as HF 778, initially sought to bring sports betting to the forefront of Minnesota’s gaming landscape in 2022. Despite its passage in the House, the bill encountered obstacles in the Senate, primarily due to a divergence of interests between tribal gaming entities and those advocating for sports betting at horse racing tracks. The contention centered around how sports betting could be inclusively implemented, balancing the interests of the state’s tribal entities, which had historically been cautious about expanding gambling, and other stakeholders eager to introduce sports betting at racetracks and through national sportsbooks.

The Compromise and Stakeholder Interests

Key points of disagreement that repeatedly blocked bills were control of online/mobile betting (with several proposals granting exclusive licensing to Minnesota’s 11 federally recognized tribes), tax rates and revenue splits for state and charitable gaming, and provisions affecting horse racing; those stakeholder conflicts (tribes, racetracks, lawmakers) were central to negotiations in 2022–2025.

A potential compromise loomed on the horizon in 2023, signaling a shift towards a more inclusive approach to sports betting legislation in Minnesota. The dialogue around this compromise highlighted the complex interplay between generating revenue for the state, safeguarding consumer interests, and respecting the autonomy and economic well-being of tribal gaming operations. At the heart of these discussions was the acknowledgment of Minnesota’s substantial budget surplus, which underscored the argument that sports betting legalization was not merely a fiscal strategy but also a move towards modernizing the state’s gaming industry in alignment with national trends.

Local tribes and racetracks emerged as key players in the debate over sports betting in Minnesota. The state’s GOP Senate Majority Leader Jeremy Miller underscored the necessity of including racetracks in any sports betting legislation, a stance that reflected the broader sentiment among certain legislative factions and stakeholders. Conversely, the Minnesota Indian Gaming Association (MIGA) advocated for a model that positioned tribal-owned casinos and mobile platforms at the center of Minnesota’s sports betting ecosystem. MIGA’s stance was rooted in a vision to extend sports betting offerings in a manner that benefitted Minnesotans while safeguarding the economic and social contributions of tribal gaming operations.

Representative Zack Stephenson and Senator Matt Klein were among the lawmakers who sponsored companion bills in 2023 (HF 2000 and SF 1949) to legalize retail and online sports betting, with proposals often centering on tribal exclusivity for mobile wagering.

The Path Forward

The evolution of sports betting legislation in Minnesota reflects a broader narrative of negotiation, stakeholder engagement, and the pursuit of a regulatory framework that aligns with the state’s economic, social, and cultural landscape. As of 2025, the journey towards legalizing sports betting in Minnesota has been marked by significant milestones, including legislative compromises, robust discussions around consumer protection, and the strategic involvement of tribal and non-tribal stakeholders. The collective efforts of lawmakers, tribal entities, and other key players have underscored a commitment to fostering a sports betting environment that resonates with Minnesota’s values and aspirations.

Despite periodic reports of near-deals and draft compromises, the Minnesota Senate rejected study or legalization proposals in 2025 (including committee deadlocks and votes against bills), which resulted in no legalization during that session. Coverage from credible outlets in 2025 noted policy concerns raised by opponents — including worries about problem gambling and the social impacts of expanding online wagering — and proponents argued the state was losing tax revenue to neighboring states and unregulated markets.

In the grand scheme of things, Minnesota’s approach to sports betting legalization serves as a compelling case study in balancing economic interests with social and cultural considerations. As the state navigates the complexities of integrating sports betting into its gaming ecosystem, the lessons learned and the strategies employed offer valuable insights for other jurisdictions grappling with similar challenges. The story of sports betting in Minnesota is far from over, but the groundwork laid in recent years provides a promising blueprint for the future of gaming in the North Star State.

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