STAND. COM. REP. NO. 3912

Honolulu, Hawaii

RE: H.C.R. No. 70

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.C.R. No. 70, H.D. 1, entitled:

"HOUSE CONCURRENT RESOLUTION REQUESTING THE DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT, AND TOURISM TO CONVENE A SPORTS WAGERING WORKING GROUP TO CONDUCT AN ANALYSIS OF THE POTENTIAL LEGALIZATION AND REGULATION OF ONLINE SPORTS WAGERING IN HAWAII,"

begs leave to report as follows:

The purpose and intent of this measure is to request the Department of Business, Economic Development, and Tourism to convene a Sports Wagering Working Group to conduct an analysis of the potential legalization and regulation of online sports wagering in Hawaii.

Your Committee received testimony in support of this measure from DraftKings Inc. and Sports Betting Alliance.

Your Committee received comments on this measure from the Department of Business, Economic Development, and Tourism and SidePrize LLC d/b/a PrizePicks.

Your Committee finds that a robust illegal sports betting market thrives in the absence of a legal, regulated framework. Your Committee further finds that by channeling sports wagering activity into a responsible, regulated, and legal market, the State stands to gain millions of dollars each year in additional tax revenue. This measure requests the convening of a Sports Wagering Working Group to analyze the benefits and impacts of legalization and regulation of online sports wagering in the State.

Your Committee has amended this measure by:

(1) Clarifying that the Sports Wagering Working Group is requested to submit a report on its analysis, including any findings, recommendations, and proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026, rather than the Regular Session of 2025; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 70, H.D. 1, as amended herein, and recommends its adoption in the form attached hereto as H.C.R. No. 70, H.D. 1, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Energy, Economic Development, and Tourism,

________________________________

LYNN DECOITE, Chair