The Oklahoma Senate has narrowly passed Senate Bill 585, advancing legislation that would legalize sports betting in the state through tribal casinos while carving out a special role for the NBA's Oklahoma City Thunder.
In a significant departure from previous tribal-focused proposals, SB 585 would grant the Oklahoma City Thunder a license to offer mobile sports betting throughout much of the state, including in the Oklahoma City metro area. The team would be allowed to operate outside tribal lands, though revenue from the Thunder's sportsbook would be shared among participating tribes under the state's Model Tribal Gaming Compact.
The bill initially failed by a single vote before Sen. Bill Coleman, the legislation's sponsor, called for reconsideration. On the second attempt, it passed with 25 votes in favor, 21 against, and several abstentions, meeting the minimum threshold required for passage.
Under the proposal, each of Oklahoma's 38 federally recognized gaming tribes would be allowed to operate retail sportsbooks and accept online wagers within their tribal lands. The Oklahoma Horse Racing Commission would oversee the market's regulation.
The bill sets a 10% tax rate on sports betting revenue, which Coleman estimates could generate approximately $20 million annually for the state. The tribes would keep a portion equal to the state payments from sports betting revenue.
The legislation now moves to the Oklahoma House, which has already advanced its own sports betting bills that differ significantly from the Senate version:
House Bill 1047 would allow tribal gaming compacts to be amended to include sports betting with tribal exclusivity
House Bill 1101 would send the decision to voters, bypassing potential opposition from Gov. Kevin Stitt
Gov. Stitt has consistently opposed granting tribes exclusive control over sports betting, arguing it creates an unfair monopoly.
"That's not transparent, that's not a fair deal," Stitt has said. "They're sovereign nations, they're a separate government coming in and hiring lobbyists to come say what's good for their nation, not what's good for the taxpayers of Oklahoma."
The governor has previously advocated for a more open-market model that would allow non-tribal entities such as the state lottery and racetracks to operate sportsbooks. The Thunder provision in SB 585 may represent an attempt to secure his approval by allowing a non-tribal betting operation under tribal oversight.
The Oklahoma Indian Gaming Association (OIGA) has not publicly commented on SB 585 specifically, though Chairman Matthew Morgan has previously stated that tribes will "attempt to be inclusive of other stakeholders within the parameters of the law."
OIGA released its policy positions on sports betting earlier this week, expressing support for bills introduced by Rep. Ken Luttrell and Sen. Dave Rader, which differ from the Thunder-inclusive approach in SB 585.
According to Morgan, any acceptable sports betting legislation must meet three key requirements:
It does not breach current compacts
It utilizes the compact supplement outlined in existing agreements
The economics make sense for both the state and tribes
"We believe that the language offered stays true to our guiding principles and puts forth a position that has broad tribal support," Morgan said in a statement. "While we are not finished having our internal discussions around potential future forms of gaming, we think that our proposed language is a great first step to bring legal sports betting to our gaming customers."
Despite reports of a potential meeting between the Thunder and OIGA next week, an OIGA spokesperson told Legal Sports Report that no such meeting is currently scheduled.
The bill's future remains uncertain as it heads to the House, where lawmakers will need to reconcile it with their own sports betting proposals before any legislation can reach the governor's desk.