Minnesota lawmakers are once again debating how online sports betting should be handled in the state. A new proposal, Senate File 978 (SF 978), has been introduced by Senator John Marty, with support from Senators Scott Dibble and Erin Maye Quade. The bill aims to legalize online sports betting, but with some of the toughest consumer protection rules in the country.
Unlike other proposals, SF 978 is built around the idea that sports betting can be harmful if not tightly controlled. Senator Marty has made it clear that if Minnesota allows betting, it should focus on public health, not profits. The bill takes a strong stand against what it calls “predatory” online sports betting practices.
One of the most important parts of the Minnesota SF 978 bill is its licensing structure. The bill allows the Commissioner of Public Safety to issue up to 11 mobile sports betting licenses. These licenses would only be available to Minnesota Indian Tribes, giving tribal nations full control over mobile online sports betting in the state. This approach supports tribal gaming rights while limiting the number of operators.
The bill also proposes a very high tax rate. SF 978 sets a 40% tax on net betting revenue, which is much higher than other Minnesota proposals that suggest rates between 20% and 22%. This would make Minnesota’s online sports betting tax one of the highest in the country. Supporters say the high tax helps reduce aggressive marketing and limits the growth of harmful betting behavior.
Advertising rules under SF 978 are said to be very strict. The bill bans push notifications that encourage betting. It also blocks sports betting ads on school grounds and at school-related events. Betting companies would not be allowed to use terms like “risk-free” or “free play,” which critics say can mislead people into thinking there is no danger in betting.
Another major feature is mandatory gambling responsibly with betting limits. Online gambling platforms would be required to let users set personal limits on losses, deposits, and time spent on betting apps. These tools are meant to support responsible gambling in Minnesota and help users stay in control.
The bill also includes clear exclusions. Betting on college player prop bets and youth sports would be banned. This rule is meant to protect young athletes and keep amateur sports free from gambling pressure.
SF 978 strongly links sports betting revenue to public support programs. Under the bill, 50% of all tax revenue would go directly to problem gambling services. This includes funding for a 24/7 gambling helpline, treatment programs, and grants for families affected by gambling addiction.
This level of funding is higher than most other sports betting bills across the country. Supporters say it shows that the bill puts people first, not betting companies.
SF 978 is not the only sports betting bill in Minnesota. Another proposal, SF 757, introduced by Senator Matt Klein, takes a more traditional approach with lower taxes and fewer limits. The contrast between the two bills highlights a major debate at the Capitol.
Senator Marty argues that sports betting is a “predatory industry” by nature. He believes that if legal sports wagering in Minnesota moves forward, it must be tightly controlled to prevent harm. His bill reflects a public health-focused model rather than a market-driven one.
The bill has been formally introduced and sent to the State and Local Government Committee for review. Lawmakers will now debate whether its strict rules are realistic or too limiting for the market.
As discussions continue, SF 978 is shaping the conversation around mobile sports betting regulations in MN. Whether it passes or not, it sets a clear message: consumer protection is becoming a central issue in the future of Minnesota sports betting in 2026 and beyond.
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