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Wisconsin Senate passes bills to legalize online sports betting, establish college athlete NIL rules

The UW-Madison football team plays at Camp Randall Stadium on Sept. 24, 2024. A bill enabling student athletes to make money from their name, image and likeness is advancing in the state Senate.(Photo by Baylor Spears/Wisconsin Examiner)

In two narrow votes, the Wisconsin Senate on Tuesday passed bills to legalize online sports betting in the state and create a set of rules for managing name, image and likeness deals for University of Wisconsin athletes. 

Both bills were passed and sent to the desk of Gov. Tony Evers despite opposition within both party caucuses. 

Sports betting

After initially appearing to be on the legislative fast track upon its introduction last fall, the sports betting bill faced strenuous opposition and only  passed on the last day of normal floor of activity in both the Assembly and Senate. 

The bill passed the Senate 21-12 but divided both Democrats and Republicans. Only nine Senate Republicans voted in favor of the bill. Three Democrats joined nine Republicans in voting against the bill. The Republicans who opposed the bill said they were concerned about the consequences of the availability of frictionless sports betting in people’s pockets. 

Sen. Steve Nass (R-Whitewater) said that the bill would be responsible for “family disintegration” across the state. Nass, who is not running for re-election, said in a statement that the passage of the sports betting bill was one of the reasons why he believes Republicans will not have a Senate majority in the next session. 

“Lost productivity, addiction treatment, bankruptcy, increased demand for social services, criminal justice costs and diminishing household savings far exceed any revenue benefit in the state,” Nass said. 

Under the Wisconsin Constitution, gambling is only allowed on the property of the state’s Native American tribes. It’s been legal to place bets on sports in person at tribal casinos in Wisconsin since 2021. 

The sports betting bill models Wisconsin’s program after Florida’s online sports betting law, which allows online gambling if the servers hosting the bets are located on tribal land. 

The state’s tribes have been supportive of the bill, arguing that it allows them to keep pace with the expansion of sports betting in neighboring Illinois and the emergence of quasi-sports betting prediction sites such as Kalshi and Polymarket. 

Several Democrats said Tuesday they were supporting the bill because it would help the tribes. 

“I really think that this moment is about a collective assertion of tribal sovereignty and the preservation of exclusivity that the tribes have fought for decades to protect,” Senate Minority Leader Diane Hesselbein (D-Middleton) said. 

Name, Image and Likeness 

Just days before the start of the 2025 NCAA men’s and women’s basketball tournaments, the Senate passed a bill that would establish rules for managing name, image and likeness deals for collegiate athletes. 

The bill passed with no debate in a 17-16 vote with six Democrats joining 11 Republicans to vote in favor of the bill. 

College athletes have been eligible for NIL payments since a 2021 U.S. Supreme Court decision. NIL has upended college sports, with major programs such as UW-Madison’s football team being pushed to line up large amounts of money to attract recruits. 

UW-Madison Athletic Director Chris McIntosh said at a public hearing on the bill last week that its passage is necessary to retain the school’s athletics competitiveness. 

The bill would provide $14.6 million annually in state funds to go towards debt service for the maintenance costs of UW-Madison’s athletic facilities. It also includes $200,000 annually in state funds for debt service for maintenance costs of the UW–Milwaukee Klotsche Center as well as $200,000 for the UW-Green Bay soccer complex. The purpose is to free up funds that the UW can use to provide students with opportunities for NIL agreements.

The bill also prohibits NIL contracts that conflict with school policies or provide money in exchange for athletic performance, as well as those that require student athletes to endorse alcoholic beverages, gambling, banned athletic substances or illegal activities or substances. It also includes a requirement that student athletes disclose third-party NIL deals they enter. 

UW schools will also be able to contract with organizations that can help student athletes find NIL opportunities.

A controversial provision of the bill creates a sweeping exemption for UW NIL agreements from the state’s open records law. The provision has raised concerns among open government advocates in the state. 

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Wisconsin Assembly passes bills on online sports betting, college athlete endorsements

The Wisconsin Legislature is considering a bill to legalize online sports gambling. (Getty Images)

The Wisconsin Assembly on Thursday passed bills to legalize online sports betting and add state regulations for University of Wisconsin athletes receiving money for their name, image and likeness rights. 

Both bills passed with no or little debate and the NIL bill passed with just a single no vote. They will now be sent to the state Senate. 

Last fall, Republican lawmakers introduced the online sports betting bill with a lot of momentum. A public hearing on the measure just days after the bill’s introduction. 

The Wisconsin constitution requires that any legal gambling be managed by the state’s federally recognized Native American tribes. Under current law, people can place sports bets in person at tribal casinos but online sports bets — a market that has grown exponentially as legal sports gambling has spread across the country — remained prohibited. Under the bill, Wisconsin would follow a legal framework first established in Florida that would allow online sports betting if the infrastructure to manage the bets is housed on tribal land. 

The sports betting bill was introduced and hearings were held in both chambers of the Legislature in rapid succession, but the bill did not come up for a floor vote until the last day of the Assembly’s schedule. 

The Assembly passed the bill with bipartisan support despite objections from lobbying groups representing the country’s largest online sportsbooks. The state’s tribes have supported the legislation, arguing that the proliferation of live betting markets on websites such as Kalshi and the ease with which many Wisconsinites can cross the border to Illinois where online sports bets are legal, has damaged their business. 

The NIL bill adds regulations for how University of Wisconsin schools manage payment to collegiate athletes. The NCAA officially allowed collegiate athletes to be paid for appearing in advertisements or commercial products such as video games in 2021. 

Under the bill passed Thursday, student-athletes will be allowed to hire agents to represent them and individual universities can facilitate NIL agreements on behalf of their athletes. Students will not be allowed to endorse tobacco products, alcohol or illegal activities. Some records related to NIL agreements will be exempt from the state’s open records law “when competitive reasons require confidentiality.”

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