Sports Wagering Big Business for Kentucky

Sports betting is thriving in the Commonwealth. 

During a special meeting of the Kentucky Horse Racing and Gaming Corporation Dec. 10, director of sports wagering Hannah Simms said that since sports wagering was made legal in September 2023 and through October of this year, $2.9 billion worth of bets have been placed in Kentucky. This figure reflects retail and online wagering and has brought in $46.1 million in state excise taxes. October 2024 accounted for $274.9 million, which generated $2.9 million in state excise taxes. 

Pari-mutuel wagering division resource manager Melissa Combs-Wright said the numbers comparing October 2024 to October 2023 are also favorable. With $17.3 million bet, there was a 2% increase year over year. Meanwhile, Commonwealth tracks saw $7.5 million in simulcast wagers and historical horse racing was up $819 million, up 12% from October 2023. She noted that total advanced deposit wagering handle was $298 million. 

Combs-Wright said that for fiscal year 2025, which covers July 1 through Oct. 31 of this year, line wagers totaled $25.8 million, simulcast $30.7 million, HHR $3.3 billion, which is up 10% from the same period a year ago. She added that ADW betting equaled $111 million. 

The KHRGC unanimously approved the renewal of the nine sports wagering service provider licenses active in Kentucky: Caesars Sportsbook, FanDuel, BetMGM, Circa Sports, DraftKings, Fanatics, bet365, ESPN Bet, and Kambi. The KHRGC also approved the initial license for Prime Sports Kentucky. 

The advance deposit account wagering licenses for next year were also approved. 

Also on the docket for the KHRGC was the voluntary implementation agreement with the Horseracing Integrity and Safety Authority and the Horseracing Integrity and Welfare Unit for 2025. 

The agreement with HISA and HIWU is set to expire Dec. 31, but an agreement to continue the relationship needed to be executed by Dec. 13. Travers Manley, KHRGC senior vice president of gaming, said that the proposed agreement "has similar terms and conditions" as the one currently in place, noting some of the changes are reflected in how the KHRGC is referenced. 

As lawsuits challenging the constitutionality of HISA/HIWU are still ongoing, HISA said it needed additional time to "review the agreement and would not be in a position" to sign it. Manley said that in order to have an agreement in place before Friday's deadline, it was recommended the KHRGC approve that concord. The KHRGC did so without any objections or abstentions. 

"The agreement may be terminated immediately if HISA is found unconstitutional or a court...restrains HISA or HIWU from operating," Manley said. 

Also Tuesday, the KHRGC also approved a request by Turfway Park for $18,885 for backstretch improvement.