North Carolina has made $2 billion in sports bets. Where does the money go?
After a bipartisan sports betting law took effect earlier this year, North Carolina’s state universities have begun receiving promised funds for their athletic departments.
A portion of the taxes paid by betting operators go to UNC System schools, as well as gambling addiction programs and other state funds.
How much has been bet?
Legal mobile, online and live sports betting for this fiscal year began March 11. The North Carolina State Lottery Commission reported:
$1.902 billion in wagers made by players in North Carolina since March.
That rises to $2.232 billion when including both paid wagers and promotional wagers.
And $1.943 billion has been paid as winnings to players.
How much has been raised in taxes?
Senate Bill 347 outlines that betting operators are taxed at 18% of gross wagering revenue.
It was unclear how much in taxes had been collected so far. The lottery commission referred requests for those figures to the state Department of Revenue, which said it would not have complete data about tax collections for the year ending June 30 until after it received another set of payments.
Where does the money go?
According to the commission’s website, tax proceeds are first distributed as follows:
Up to $300,000 in grants will go to the athletic departments at 13 state universities.
$1 million will go to youth sports.
$2 million a year will go to the Department of Health and Human Services for gambling addiction and treatment services.
$1 million will go to the North Carolina Youth Outdoor Engagement Commission, with grants up to $5,000 to cover team travel costs and grants of up to $25,000 to attract amateur sporting events.
Of any remaining tax proceeds:
20% will be distributed evenly among 13 state universities to support collegiate athletic departments.
30% to a new North Carolina Major Events, Games and Attractions Fund to foster job creation and investment in the state.
50% to the state’s general fund.
The 13 state universities receiving money include:
Appalachian State University
East Carolina University
Elizabeth City State University
Fayetteville State University
NC A&T State University
NC Central University
UNC Asheville
UNC Charlotte
UNC Greensboro
UNC Pembroke
UNC Wilmington
Western Carolina University
Winston-Salem State University
Alex Gary, the director of athletics at Western Carolina University, said the department has received allocations for April and May and an allocation for June is forthcoming.
“We are very grateful for the assistance that the NC state legislature is providing to our athletic program,” Gary wrote in an email.
Licensed operators are:
bet 365 NC
BetMGM NC
Caesars Sportsbook
DraftKings NC
Fanatics Betting and Gaming
FanDuel NC
ESPN BET NC
Underdog Sports
Several of the operators did not respond to emails asking about trends and proceeds last week.
This story was originally published July 15, 2024 at 10:00 AM.