Just before the University of Connecticut’s and the University of South Carolina’s wins in March Madness, Louisiana issued a major change to college sports betting. Starting August 1, 2024, Louisiana’s Gaming Control Board (LGCB) will ban prop bets in wagering on college sports. “Prop bets” (short for proposition betting) refers to wagering on the occurrence (or non-occurrence) of an event that is unrelated to a game’s outcome. For example, how many points Caitlin Clark or Donovan Clingan scored in the championship game.   

The bulletin states that, “[a]ny proposition or ‘prop’ bet on an individual athlete’s performance or statistics participating in a college sporting event” is “NOT approved and is NOT permitted.” The bulletin further acknowledges the practical challenges associated with implementing these changes, but all “Sports Betting Operators shall use their best efforts to comply.” The consequence for a non-complying Sports Betting Operator is suspension.      

This change comes in the wake of calls from NCAA president Charlie Baker for states to ban prop bets. Although LGCB chairman Ronnie Johns stated that the change had been a long time coming. Johns states the purpose of the ban is to “protect the integrity of sports betting as well as the safety and integrity of college athletes.” In Arizona, the legislature banned proposition bets in collegiate sports by statute. A.R.S. 5-1315(A)(2). 

For those not immersed in the world of sports betting, college athletes have seen an increase in harassment from bettors when their performance causes a slew of gambling losses. Baker was recently quoted stating that 1 in 3 student athletes have been harassed by bettors. By contrast, Montana Lottery Director Bob Brown indicated that Montana, which only has two large universities, does not have the same harassment problems that would require it to ban prop bets. Montana is supportive of those states seeking to protect their athletes, but submits that Montana is not one of them. 

Prop bets account for a major source of sportsbook, and therefore state gambling, revenue. Montana, for example, has one gambling service provider — the Montana Lottery, which had a March 2024 handle of $196.31M. Now that the NCAA has spoken, each state is being called on to make its own judgment.