Gambling Legalization Is Once Again a Hot Topic in Alabama

The legalization of gambling activities in Alabama is once again in the sights of lawmakers in the state. New efforts are likely to come during the upcoming 2024 legislative season and debate on the topic starts once again amid fears of the negative impact of the illegal gambling sector. Commercial gambling is restricted in Alabama but according to lawmakers, there is a blooming illegal sector.

Nathanial Ledbetter, an Alabama House speaker along with State Rep. Andy Whitt are two lawmakers that support changes to the existing gambling regulations. The duo supports the creation of a gambling regulator that would address the rising concerns related to the growing illegal gambling sector in Alabama.

A recent report released by AL reveals that Whitt shared his concerns about the statewide availability of illegal gambling options. He outlined that Alabama “is saturated with all forms of illegal gambling.” Such illegal offerings include not only slot machines but scratch-off tickets, among other prohibited activities, he warned. “When a person can walk into a convenience store that is only a few blocks from our State’s Capitol and purchase a scratch-off ticket, then yeah, we have a big problem,” outlined Whitt.

Ledbetter also highlighted the growing problem related to illegal gambling, acknowledging that the time has come for lawmakers to fix this issue. He supported the regulation of gambling, explaining that Alabama also needs to fix the existing problem with illegal gambling offerings.

“It’s no longer about gaming, but fixing the problem we got. I think the fact of the matter is we’ll reduce gambling tremendously if we pass something to regulate.“

Nathanial Ledbetter, House speaker in Alabama

The State Is Losing on Gambling Tax Revenue

According to Ledbetter, the state is currently losing the battle against illegal gambling. He warned that such operations are widely spread and can be found across the state.

The duo supports not only the establishment of a gambling operator but the creation of a lottery as well. The last time residents in Alabama were asked to vote for or against a lottery in the state was more than two decades ago. Moreover, Ledbetter said that neighboring states offer lottery gambling, which results in money flowing out of the state. “We are losing money for our kids,” he said.

Despite the benefits legal gambling can bring by tax revenue and reducing the share of the black market, opponents of the activity warned about the dangers of gambling. The Alabama Citizen’s Action Program (ALCAP), a group that opposes the legalization of gambling, deemed the arguments of the two lawmakers as a “smokescreen.”

ALCAP’s president, Greg Davis, admitted that while illegal gambling is spread in the state, the legalization doesn’t guarantee that such activities would be discontinued. He was skeptical about the possible gambling legalization, explaining that individuals and companies that currently offer illegal gambling may continue doing so despite the regulation.