First Hearing Underway for Proposed Sports Betting in Alaska
A proposed bill for online sports betting in Alaska, HB 145, has gotten its very first hearing with the House Labor and Commerce Committee. If it passes, it will effectively legalize sports betting in the state, serve as a revenue source, and even dissuade Alaskan users from accessing illegal sports betting, which is already happening, according to GeoComply.
A proposed bill to legalize online sports betting in Alaska took its first step forward this week as the House Labor and Commerce Committee held a hearing on HB 145, introduced by Representative David Nelson. The legislation aims to bring regulated online sports wagering to the Final Frontier, a move supporters argue would curb illegal activity, generate tax revenue, and modernize Alaska's gambling laws.
HB 145: a framework for legalized sports betting
House Bill 145, introduced in March, outlines a framework for establishing a regulated online sports betting market in Alaska. Under the proposal, as many as 10 operators would be licensed to offer sports wagering to residents and visitors, with no requirement to be tied to existing land-based gaming operations. The bill sets a license fee of $100,000 per operator and proposes a 20% tax on adjusted gross sports betting revenues.
This is a market that already exists in Alaska - we're just not benefiting from it, Rep. Nelson said during the hearing. "Alaska needs more diverse sources of revenue, and legalized sports betting is a simple solution," he added.
Strong demand despite legal barriers
Testimony from John Pappas, geolocation service GeoComply's senior advisor, provided striking data on Alaskans' interest in sports betting. Between the 1st of January, 2024, and the 1st of May, 2025, the geolocation service logged 126,933 attempts from within Alaska to access legal sportsbooks in other states. All attempts were blocked.
Pappas also revealed that GeoComply detected 23,000 unique online sports betting accounts originating from Alaska, marking a 60% increase compared to the prior year. These numbers clearly demonstrate a substantial and growing consumer demand for legal sports betting in the state, Pappas said. Without a legal option, Alaskans are turning to illegal operators, exposing themselves to potential fraud and unregulated betting environments, he continued.
Addressing the black market
Rep. Nelson emphasized the risk posed by the continued use of illegal sports betting sites. He argued that legalization would not only protect consumers but also generate revenue for the state.
Thousands of Alaskans are currently betting through illegal operators. By legalizing the market, we can ensure safer betting environments and collect taxes that help fund public services, Nelson said.
The bill also includes provisions designed to protect both residents and visitors. Licensed operators would be permitted to accept bets from anyone physically located in Alaska, including seasonal workers and tourists, helping the state capture additional tax revenue from non-resident bettors.
Key provisions of HB 145
If passed, HB 145 would establish the following regulatory parameters:
Limit of 10 online sports betting licenses
Applicants must operate in at least three other US states
$100,000 license fee per operator
20% tax on adjusted gross sports betting revenue
Minimum betting age set at 21
Permits betting on college sports and the Olympics
Credit card deposits allowed
Daily fantasy sports remain unregulated
Licenses would be awarded by the Alaska Department of Revenue based on applicants' projected gross revenues, operational experience, and anticipated tax contributions.
No vote yet, but momentum builds
Although no votes were taken during the committee hearing, HB 145 received a generally favorable reception, with lawmakers expressing interest in further examining the potential benefits and regulatory challenges of legalized online sports betting.
The bill marks a notable shift in Alaska's historically cautious approach to gambling. If it advances, Alaska would join the growing list of US states that have embraced online sports betting as a source of revenue and consumer protection.
This is an opportunity to regulate something that is already happening and make it work for Alaska, Nelson concluded. The legislation now awaits further discussion and potential amendments before it can move to a vote.