Senator Sonny Borrelli (R-Lake Havasu City) introduced SB 1525, which proposes the establishment of sports betting at tribal sportsbooks.
A tribe that is authorized to operate sports betting would be allowed to operate wagering at kiosks in premises that have a bar license.
The state taxes machine gambling at a 6.75% rate.
Arizona voters would have to pass the in a referendum for it to be legalized.
SB 1525 is likely to face scrutiny for its proposal to allow sports betting at operations outside Indian land.
The Indian Gaming Regulatory Act states that Indian gaming is restricted to reservation land or land in trust by tribes.
Last year Senator Borrelli proposed a similar bill that offered tribes exclusive rights to operate sports betting machines within their own casinos as well as at remote locations.
State tribal leaders vehemently opposed the legislation and the bill failed.
Arizona has 25 Class III casinos operated by 16 tribes.
The current gaming compact between the tribes and state expires in 2023.
A three-year extension period will follow where the two sides can renegotiate the compact.
By gaining exclusive rights to sports gambling by 2023, Arizona’s tribes would hold greater bargaining rights when renegotiation talks come around.
