Missouri's path to legalizing sports betting has hit a roadblock following the rejection of emergency rules by Secretary of State Denny Hoskins. The Missouri Gaming Commission (MGC) had initially aimed to launch the market by June 2025, but this timeline has now been pushed back to at least fall 2025. The delay stems from Missouri’s strict legal criteria for emergency rulemaking, which require regulations to address an immediate public health, safety, or welfare issue. As a result, the commission must now follow the standard regulatory process, including a public comment period, before moving forward. This setback could mean Missouri misses out on key revenue opportunities during the early weeks of the 2025 NFL season.

Why the Emergency Sports Betting Rules Were Rejected

Missouri's Legal Criteria for Emergency Rules: The rejection was based on Missouri’s stringent requirements for emergency rulemaking, which only allow such regulations when they serve an urgent governmental interest.

Public Health and Safety Standard: Emergency rules must demonstrate that they prevent an immediate threat to public health, safety, or welfare.
No Compelling Justification: Hoskins determined that the proposed sports betting framework did not meet these standards.
Directive for Standard Rulemaking: As a result, the MGC must proceed with the standard legislative process, extending the timeline significantly.
This means that the commission cannot begin licensing applications until late summer 2025, further delaying Missouri’s entry into the legal sports betting market.

Revised Timeline for Missouri's Sports Betting Launch

Regulatory Delays Shift Expected Launch to Fall 2025: Due to the procedural requirements now in place, Missouri’s legal sports betting market is facing a prolonged rollout.

Public Comment Period: The MGC’s proposed licensing rules are expected to take effect on August 30, 2025.
Application Processing: Regulatory agencies typically require 60 to 90 days to process and approve sports betting licenses.
Projected Launch Date: With this timeline, Missouri sportsbooks are unlikely to be ready for the start of the 2025 NFL season on September 4 but should be operational before the December 1, 2025 deadline.
This delay could significantly impact potential revenue from early-season betting activity, which is one of the most lucrative periods for sportsbooks.

Financial Impact: Missouri Could Miss Out on Billions in Wagering Activity

Sports Betting's Growth in the U.S.: The delay means Missouri will likely miss a crucial revenue window during the early months of its sports betting rollout.

NFL Season Drives Wagering Activity: In September 2024, the first full month of the NFL season, total sports betting handle across the U.S. reached nearly $14 billion.
Seasonal Surge in December: By December 2024, the handle had climbed to $15 billion, reflecting the growing demand for legalized sports betting.
Missouri's Lost Opportunity: If Missouri had launched sports betting as originally planned in June 2025, the state could have capitalized on early-season NFL betting activity and generated substantial tax revenue.
While sportsbooks are still expected to go live before December 2025, the delay represents a missed financial opportunity for the state.

Uncertainty Over Digital Skins and Licensing Structure

Potential Reinterpretation of Missouri's Sports Betting Laws: Beyond regulatory delays, another challenge has emerged regarding digital sportsbook licenses, commonly known as skins.

Initial Interpretation: The Missouri Gaming Commission originally interpreted the state’s sports betting law as allowing one digital sportsbook license per physical casino location.
Industry Acceptance: This framework was well received by major gaming operators like Caesars Entertainment and BetMGM.
Possible Revisions: However, a potential reinterpretation of the law could change the licensing landscape, leading to additional regulatory hurdles.
If the MGC is forced to reconsider its stance on digital sportsbook skins, Missouri could face further delays and industry resistance.

Comparing Missouri’s Rollout to Other U.S. States

Missouri’s delayed approach stands in stark contrast to other states that have rapidly embraced legalized sports betting.

New York’s Success: Since launching mobile sports betting in January 2022, New York has consistently led the nation in monthly betting handle, generating billions in revenue.
Ohio’s Recent Entry: Ohio launched sports betting in January 2023 and quickly surpassed $1 billion in monthly handle within its first few months.
Missouri’s Competitive Disadvantage: With neighboring states like Kansas and Illinois already benefiting from legalized sports betting, Missouri risks losing potential tax revenue to cross-border betting activity.
To remain competitive, Missouri must streamline its regulatory processes and ensure sportsbooks can go live without additional obstacles.

Will Missouri Meet Its New Timeline?

The rejection of emergency sports betting rules has forced Missouri into a lengthier regulatory process, delaying the industry’s launch until at least fall 2025. With sports betting growing rapidly across the U.S., Missouri’s delays could cost the state millions in lost tax revenue from early NFL wagering.

While regulators are now targeting an operational launch before December 1, 2025, challenges related to licensing applications and potential legal reinterpretations could further complicate the timeline. To avoid falling behind, Missouri lawmakers and regulators must work efficiently to finalize the framework and bring sports betting to market without further delays.