Wisconsin taxpayer associations say that the state's online sports betting plan is unconstitutional
WILL is representing the Brown County Taxpayers Association and Citizens Defending Liberty. These Wisconsin taxpayer organizations say that they are committed to ensuring the state government follows the law. They argue that operating Wisconsin's online sports betting through servers located on tribal land is an unconstitutional expansion of gambling.
It was 33 years ago, they point out in their lawsuit, that Wisconsin voters amended the state Constitution to prevent future gambling expansion. This new expansion, with lawmakers enacting Act 247, comes without another voter-approved constitutional amendment.
The suit further notes that Wisconsin’s Constitution states that “the legislature may not authorize gambling in any form” except for a handful of approved exceptions listed in the Constitution. These exceptions include the state lottery, bingo and raffles, and pari-mutuel betting. Mobile sports betting is not among the options.
In their
statement of claim, lawyers argue that Wisconsin's constitution prohibits this action. The legislature cannot accomplish indirectly what it cannot do directly.
“Thirty-three years ago, Wisconsinites expressed through a constitutional amendment that the Legislature may not expand gambling in any form," WILL Associate Counsel
Kirsten Atanasoff said in a statement. "Neither lawmakers nor Governor (Tony) Evers are allowed to flout that constitutional limit. This lawsuit ensures that elected officials remain accountable to the people of Wisconsin by upholding the constitutional limits the people themselves called for.”
Here's how Wisconsin online sports betting will work
Wisconsin’s state constitution makes almost every form of gambling illegal unless it takes place on sovereign tribal land within state lines. Wisconsin has offered retail sports betting since 2021. However, the placing of bets must happen at the state’s tribal casinos. Under the new law, all online and mobile sports betting will be moving through servers with locations on tribal land. As long as the person placing the wager is within the boundaries of the state, the bet will be legal.
The industry calls this a hub-and-spoke model. A similar setup operates online sports betting in Florida. All of the servers in the state have locations on land under the control of the Seminole Tribe.
There's no date set for the launch of online sports betting. Wisconsin Governor Tony Evers is preparing to negotiate tribal gaming compact amendments to cover this new form of betting.
Taxpayer groups are seeking to shut down online sports betting
The taxpayer groups are making no bones about the objective of their lawsuit. This suit seeks to stop statewide mobile sports betting from launching.
Along with Governor Evers, Wisconsin Secretary of State Kathy Blumenfeld, Administrator of the Wisconsin Division of Gaming John Dillett, and Indian Gaming Audit Director for the Office of Indian Gaming and Regulatory Compliance Jessie Dushek are named as co-defendants in the suit.
The defendants have 45 days to respond to the allegations.
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