No dice: Alabama leaders double down on culture wars while lottery remains in limbo

As Alabama lawmakers charge ahead with a culture war playbook of school prayer, religious symbolism, and anti-LGBTQ policies, one of the state’s most pressing debates—gambling and the lottery—remains quiet.

Despite growing public demand and warnings from even Republican leaders that inaction could have political consequences, there’s been little movement on the issue in the opening weeks of the 2025 legislative session.

Instead, lawmakers are focused on social battles that critics say are designed to fire up the base, ignoring the state’s deeper challenges like rural hospital closures and an overcrowded prison system.

“I do think we so often come in with this sledgehammer reaction approach to things that really require nuance,” said Rep. Marilyn Lands, D-Huntsville. “We want smaller government and less government involvement in our businesses. But then, over-and-over again, we pick and choose the issues we think the government needs to come in and take control of in our schools, in our libraries and our homes.”

House Speaker Nathaniel Ledbetter, R-Rainsville, who led last year’s failed attempt at a comprehensive gambling and lottery package, has already tamped down expectations. He said Thursday that nothing is coming out of the House, signaling that unless the Senate takes the lead, Alabama’s lottery debate could be kicked down the road again.

Last year’s comprehensive gambling package fell one vote shy of passage in the Alabama Senate. Had it been approved; the proposal would have likely gone to the public for a vote last year. Legalizing gambling in Alabama requires the passage of a constitutional amendment.

But with the 2026 elections looming, even some GOP leaders acknowledge that delay comes with risk. “People want it,” Ledbetter said. “If you poll it, it’s one of the top issues. Think there will be repercussions.”

Go to voters

While casino gambling remains controversial, there is a widespread view that a lottery proposal needs to go before voters for consideration.

Even Donald Trump Jr. weighed in last year, urging the Alabama Senate to give the voters a chance to weigh in on legalizing gambling and lottery.

Alabama is one of only five states that does not have a statewide lottery. Meanwhile, surrounding states continue to bring in billions of dollars in fresh revenue each year. In Tennessee, more than $500 million in lottery proceeds are funneled toward education annually, with $18 million going toward crucial after school programs.

“I think we’ve left a lot of money on the table,” said Lands, aware of the boon Tennessee’s lottery means for education. “I’ve seen the amount of money that lottery system has funded in their education program, and I absolutely would love to see that come back up (in Alabama).”

Since voters last had a chance in 1999, various efforts have come and gone. Before last year, the legislature last took a crack at a lottery and gambling bill in 2021. But lawmakers say it’s an issue continuously discussed, year after year.

Senate President Pro Tem Garlan Gudger, R-Cullman, said at the beginning of session that the focus of lawmakers includes the Alabama Values agenda – “protecting Alabama families and values.” But he also said gambling remains a possibility and fretted over the lost revenue to surrounding states that provide a lottery.

“I think we’re leaving a lot of money on the table where it’s going to other states,” Gudger said. “That’s my personal opinion. How we handle that, as a Senate body, I’ll be doing what the majority of this body wants.

Alabama State Sen. Chris Elliott, R-Josephine, who was one of the “No” votes on the gambling and lottery proposal last year, said there is “always a chance” that a new package will emerge as the session continues given the close vote from a year ago.

He said he believes members are wary of the negotiations last year and that the details of any legislation will be crucial.

Elliott said he voted against last year’s proposal because of concerns about widespread electronic casino gambling, the inclusion of language aimed at Medicaid expansion and public transportation, and what he called other “gimmicks.”

The comprehensive plan was also opposed by the Poarch Band of Creek Indians, a powerful player in Montgomery whose Creek Enterprises owns and operates three casinos on tribal land.

“Are we losing money to other states? Yes,” Elliott said, referring to the lack of a statewide lottery while all surrounding states have it. “Should we do something about that and put a clean lottery on the ballot? Yes. But the gaming and special interests on all sides, and frankly the Legislature, want to load things up (into a comprehensive bill) that is untenable.”

Early bills

So far, no comprehensive lottery or gaming bill has been introduced, though some smaller bills have surfaced:

• Rep. Jim Hill, R-Moody, is sponsoring HB47 this session that calls for a constitutional amendment to support a non-commercial lottery consisting of paper raffles and bingo for charities.
• Rep. Matthew Hammett, R-Dozier, is backing HB41 that includes penalties for operating illegal gambling in Alabama.
• Rep. Parker Moore, R-Decatur, supports HB268, which exempts lottery proceeds from state income taxes.

Moore said his bill is aimed at providing exemptions to Alabama residents who win an out-of-state lottery from paying state income taxes. There is currently no way to track how much income tax someone pays from their winnings from an out-of-state lottery.

“We are not willing to allow people to play it in our state, why would we tell someone to pay a tax on it,” Moore said.

Political pressure

Moore said his district, which abuts the Alabama-Tennessee border, supports giving the public a vote on whether to legalize gambling and lottery. He said the lack of an opportunity to vote on the issue is one of the top questions he hears from constituents.

“Not everyone in my district is for it or against it,” Moore said. “But they are overwhelmingly supportive of having their voices heard. They are getting frustrated because we are not allowing it.”

Jess Brown, a retired political science professor at Athens State University and a longtime observer of Alabama state politics, said lawmakers face political risk by not taking another whack at getting a statewide lottery proposal before voters ahead of the 2026 elections.

He said the lack of a lottery could be more of a factor in both Democratic and Republican primaries than it has been since former Democratic Gov. Don Siegelman made it a big issue in the late 90s. Voters last got to decide on a statewide lottery in 1999, defeating a constitutional amendment by a 54.2%-45.8% difference at a time when 37 states operated lotteries.

But the lack of new revenue from a statewide lottery, since 1999, is in the billions. The Public Affairs Council of Alabama (PARCA), in a 2020 report, estimates lottery revenue between $270 and $386 million.

“If I was advising a candidate running for governor, even in a Republican primary, it’s the first thing I’m talking about in how the Alabama Legislature has engaged in an act of gross financial malpractice by letting this many years go by without having the benefits of lottery revenue as they have had in other states,” Brown said.

Others are frustrated over the lack of a focus on gambling and lottery, as well as other bigger picture needs such rural health care, while the Legislature follows through with a values-driven agenda.

“The fact we can’t get a gambling bill (passed) when other states have one is totally ridiculous,” said Patricia Todd, co-chair of Alabama Equality and a former Democratic member of the Alabama House. “We would have the money to provide funding for public education.”

Alabama Values

Todd, the first-ever elected LGBTQ member of the Alabama Legislature, said she is troubled that anti-LGBTQ issues such as banning drag queen performance at libraries and schools, is consuming the Legislature’s time.

“We are getting attacked at all levels from the federal and state governments on these kinds of things and it’s never ending,” Todd said. “We just want to live our lives and have them focus on the real issues like prison overcrowding, lack of healthcare services, and unemployment.”

Proponents of the legislative agenda say that lawmakers are simply responding to the request of the constituents in a deep red state where President Donald Trump won 65% of the vote, including some counties where his backing was 90% or higher.

“My perception of ‘Alabama Values’ seems to be a return to common sense,” said Greg Davis, president of the Alabama Citizens Action Project (ALCAP), which has long opposed legalized gambling.

Some of the early agenda items reflect the president’s wishes. State lawmakers have introduced a package of bills aimed at illegal immigration, which is hallmark issue for the Trump presidency.

They even introduced a bill requiring local and state entities rename the “Gulf of America,” just like Trump did with an executive order last month.

“I think all the issues we take up are important for the people we serve, regardless of what it is,” Ledbetter said. “Certainly, the members who have those bills, it’s important for them and our state. I think we set the trend when it comes to issues like that. Alabama is a state we are proud of and are proud of the people in it.”

He added, “Everyone has their critics. You respect their opinion, but we’ll move on what we are doing.”