Bill Proposes Operator-Friendly Market
The House bill under consideration appears to focus on creating a competitive market for residents. It would allow for up to eight mobile sportsbook licenses, which fits the size of the market. That would allow industry giants like FanDuel and DraftKings to launch their sportsbooks while also leaving room for smaller, niche operators.
H3625 would set the operator tax rate at 12.5%, which is well below the national average. While many states have been pushing their rates to 20% or higher, others believe a lower rate will mean lower costs and more bonuses for bettors.
Senate Also Considering Sports Betting
Senators Tom Davis and Matt Leber have proposed SB 444 in the state’s upper chamber. The bill, carried over from the Senate’s previous session, is now being considered by the Labor, Commerce, and Industry Committee.
The bill would impose high licensing fees of $1 million (including renewal fees), but a low tax rate of 12.5%.
The two chambers being aligned on the tax rate is a positive sign, but legalization in 2026 remains unlikely.
Governor Remains Opposed to Industry
While the House and Senate are considering bills to legalize sports betting, South Carolina’s top lawmaker isn’t supportive of the effort.
Governor Henry McMaster has been vocal in his opposition to expanding any form of gambling in the state. He vehemently fought against an effort to bring a commercial casino to the state, repeating his stance against all forms of gambling.
While McMaster is in his final year in office, his departure may not help industry proponents. Former Republican AG Alan Wilson and US Rep. Nancy Mace are expected to be the top candidates to take over. The former is openly opposed to sports betting, while the latter has not provided much opinion.
While the Democrat who earns the nomination may support the industry, it's unlikely the party will win the election. South Carolina has had just two Governors from the party since 1975, serving a combined 12 years.