Apr 15, 2025 - News

Changes to sports gambling could bring big money to UNC and N.C. State

Zachery Eanes

CHAPEL HILL, NC - NOVEMBER 30: North Carolina Tar Heels wide receiver Nate McCollum (6) stiff arms North Carolina State Wolfpack place kicker Collin Smith (90) during the college basketball game between the North Carolina Tar Heels and the North Carolina State Wolfpack on November 30, 2024 at Kenan — UNC wide receiver Nate McCollum (6) stiff arms N.C. State place kicker Collin Smith (90) during the college football game between the Tar Heels and Wolfpack last year. Photo: Nicholas Faulkner/Icon Sportswire via Getty Images

North Carolina may soon double the state's tax on sports betting operators and, for the first time, include N.C. State and UNC-Chapel Hill in the list of universities that receive the revenue, per a budget proposal Senate Republicans are advancing this week.

Why it matters: The change would generate an estimated $133 million in additional revenue over the next two years, of which the state's two biggest public universities would receive $56 million each.

Driving the news: The measures are tucked within the Senate's more than 400-page bill that the chamber's leadership unveiled Monday. The legislation is expected to pass next week.

The budget proposal also calls for UNC and N.C. State to play every UNC System school in men's and women's basketball at least twice by the 2039-2040 season, with one of the games being an away game for UNC and N.C. State.

State of play: The state collected roughly $131 million in taxes from sports betting in its first year, The Associated Press reported.

In its first year, 13 of the state's public schools received money from that tax — excluding UNC, N.C. State and the UNC School of the Arts.

The big picture: The influx of money comes as both UNC and N.C. State prepare to spend significantly more money on sports in the coming years and begin to share revenue with players.

UNC, with the hiring of Bill Belichick, has committed to spending tens of millions of dollars on its football program, and it's continuing to add resources to its basketball program.

And N.C. State's recent hire of Will Wade came with the promise that the school would spend money to compete in basketball.

N.C. State declined to comment to Axios on the budget proposal.

UNC has not yet responded to a request for comment.

Zoom in: UNC, for its part, has admitted it needs to find new sources of revenue as it spends more on sports.

To keep up with increased football spending and revenue sharing with players, the school will need to boost revenue by about $50 million, according to an analysis by Axios and The Assembly.

Go deeper: UNC's big financial bet on football and Bill Belichick

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Changes to sports gambling could bring big money to UNC and N.C. State

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