New circumstances have arose that may see Delaware lawmakers approve sports betting for the state. The nearby state of Maryland has now voted to create five slot machine facilities that would most certainly compete with Delaware’s three racinos that use slot revenue to stay afloat. A new governor has also been appointed that may help legislation get passed.

Analysts have now stated because of Maryland’s new slot facilities, Delaware will need sports betting to stay in business. Larry Klatzkin of Jefferies & Co. has stated that legalized sports betting at just one racino, Dover Downs would provide an extra $26.3 million in tax revenue each year.

Klatzkin also mentioned that the new governor, Jack Markell, seems to be more supportive of adding sports betting as the state budget are facing a $200 million shortfall. Klatzkin also mentioned that Maryland would not have their slots running for about two years but 50% of Delaware’s customers come from Maryland so the impact would be great.



- 2008-11-26