A committee of lawmakers in Maine approved legislation to legalize online casinos, sending the bill to Governor Janet Mills for approval.
Bill LD1164 proposes to legalize online casinos through Maine’s four tribes: the Passamaquoddy Tribe, Penobscot Nation, Houlton Band of Maliseet Indians, and Milkmaq Nation. The tribes are collectively known as the Wabanaki Nations, and the bill is titled, “An Act to Create Economic Opportunity for the Wabanaki Nations Through Internet Gaming”.
Gov. Mills, however, has been reluctant to approve any expansion of gambling in the state. Maine sports betting was approved only after months of negotiation and following Mills vetoing initial legislation.
“I think it’d be a safe bet to say I don’t see her readily signing it,” said Steve Silver, chair of the Maine Gambling Control Board.
Lawmakers split in votes on the bill
Although the bill has now been sent to the Governor’s desk, it has faced a lot of opposition in votes throughout the legislative process. On June 16, a vote in the Senate failed to gain the required two-thirds majority to carry the bill forward. A motion to kill the bill narrowly failed in a 17-18 vote. The bill was then amended to raise the proposed tax rate on online casinos from 16% to 18%.
This gained some traction, and the bill made it onto the Special Appropriations Table in the House, where it was voted in favor by a margin of 87-60. This marks a shift from last year when lawmakers voted against a proposal to legalize online casinos in Maine in a 70-75 vote.
Gov. Mills has already vetoed 5 bills this year, however, and with a lot of opponents in the House and Senate, would feel under no pressure to sign this into law. It may need another legislative session before enough lawmakers and Mills are convinced that increasing gambling options is in the state’s best interest.
Tribes support the bill, retail casinos oppose
The Wabanaki Nations support the legislation, which would expand their current agreement to offer sports betting in the state. Unlike many states, the Maine Indian Claims Settlement Act (1980) restricts the tribes from running casinos on tribal lands.
Instead, the state has two licensed casinos run through private companies, Hollywood Casino and Oxford Casino. Unsurprisingly, they have voiced disapproval of legalizing online casinos through the Wabanaki Nations.
Oxford Casino representative Dan Walker stated, “This bill would create a gaming monopoly for the Wabanaki Nations with little economic benefit to Maine.”
The Oxford Hills Chamber of Commerce estimates that legalizing online casinos could result in up to $67 million in lost revenue for the two operators and eliminate approximately 400 jobs.
Maine Gaming Control Board Chair Steve Silver commented, “Oxford and Hollywood Casinos employ nearly 1,000 Mainers. Legalizing iGaming without permitting them to participate will lead to job cuts — I am willing to bet on it.”
Bill could bring money back to Maine from overseas
Chief William Nicholas Sr. of the Passamaquoddy tribe backs the bill to benefit Mainers and reduce the impact of illegal gambling websites. He commented: “The lost business opportunity for a legal and state-regulated entity is in the tens if not hundreds of millions of dollars per year.”
Unregulated gambling generated far more revenue than legal platforms last year in the US, at $67 billion compared to $23 billion. Offshore casinos are easily accessible from states with or without legal casino gaming.
“Those revenues should be benefiting Mainers, not shadowy offshore companies or whoever runs the many apps that are currently available for illegal internet gaming.”
The bill estimates the 18% tax would generate $1.8 million in the 2025-26 fiscal year, bumping up to $3.6 million in 2026-27. That figure may not be enough to convince Gov. Mills to sign off on the legislation. She has just over a week to decide on the 117 bills that have made it to her desk for this legislative session.
Adam is an experienced writer with years of experience in the gambling industry. He has worked as a content writer and editor for five years on sites such as Oddschecker, CoinTelegraph and Gambling Industry News, bringing excellent knowledge of the world of sports betting and online gambling. Adam focuses on emerging stories in the ever changing landscape of betting in the US. Read the latest on prediction markets, changing legislation, and sweepstakes.
