North Carolina Universities To Split $10.7 Million In Sports Betting Revenue

Sports betting has been legal in North Carolina since March 2024. The industry has been thriving in its first few months of existence. According to the North Carolina State Lottery Commission, gamblers wagered $1.9 billion from March to June. Adding in promotional funds, the state total wagers topped $2.2 billion. That was good enough for $10.7 million to be split between the state’s public universities. This is twice as much as university athletic directors thought they would have.

North Carolina law states that sports wagering companies must pay an 18% tax on their gross wagering revenue. State agencies like the Lottery Commission, Department of Health, and North Carolina Amateur Sports split the proceeds. Thirteen of the state’s public universities are set to revive 20% of the remaining tax revenue. That includes a base amount of $300,000. The universities include Appalachian State, East Carolina, Elizabeth City State, Fayetteville State, NC A&T, NC Central, UNC Asheville, UNC Charlotte, UNC Greensboro, UNC Pembroke, UNC Wilmington, Western Carolina and Winston-Salem State.

Sports betting revenue has overwhelmed athletic directors in North Carolina

For their first year of sports betting, athletic directors in North Carolina estimated they would get around $300,000. After the industry has been thriving, thirteen universities will each get about $820,000. This is much needed for smaller schools whose athletic departments struggle to financially support themselves. Athletic departments at N.C. State and UNC-Chapel Hill will not receive any money it was determined they have multiple sources of revenue that smaller schools do not have available. The provision against N.C. State and UNC-Chapel Hill may have changed earlier this year if the legislature had passed. Each of the universities would have received $930,000 next year.

The North Carolina General Assembly estimates it will send over $26 million in sports betting proceeds to the UNC System. Each of the 13 schools will receive at least $2 million. Jenifer Haygood is the Chief Financial Officer for UNC System. She said there will be a mechanism in place to monitor how the universities spend the funds.