Online Gaming Bill Hits Roadblock in Maine
A proposed bill in Maine aimed at legalizing online casino gambling has failed to advance.
LISTEN TO THIS ARTICLE:In a unanimous decision, the Joint Veterans and Legal Affairs Committee voted to table LD 1164 on April 7, indicating a decisive conclusion to its progression.
If passed, the legislation would have allowed each of Maine’s federally recognized Wabanaki Nations tribes to partner with an operator to offer online casino games through a single license.
The proposed bill would have also shifted the regulation of mobile slots and table games from the Maine Gambling Control Board to the Gambling Control Unit, which already regulates mobile sports betting and fantasy sports.
The measure builds on a previous legislative effort to regulate online gaming in Maine in 2024. The bill passed in the Senate with multiple amendments but was rejected in the House by a vote of 75-70. While it proposed a tax rate of 10%, LD 1164 increases the rate to 16%.
The bill’s regulatory provisions mirror Maine’s existing sports betting framework, within which the tribes operate. Three of the tribes partner with Caesars Sportsbook, while the fourth tribe has an agreement with DraftKings.
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Broader Resistance from Stakeholders
If approved, the tribes would have easily added online casinos to their services using their current partnerships. Interestingly, this was why the bill met with opposition from other sportsbooks like FanDuel, Fanatics, and BetMGM. They argued that the tribes’ existing partnerships would create an uneven playing field.
Additionally, the operators asked lawmakers to amend the bill to allow more operators to join the market or allow tribes to work with multiple operators.
The bill also encountered resistance from other stakeholders, such as Churchill Downs, PENN Entertainment, Maine Gambling Control Board Chair Steve Silver, the state’s medical association, and religious bodies.
The Joint Veterans and Legal Affairs Committee said that it received several questions and testimonies regarding the bill, which focused on a breakdown of casino revenue streams, an economic impact assessment of the bill, a study on retail gaming impacts from NAAiG, and a legal review assessing whether tribal-exclusive iGaming would violate the state constitution.
Several witnesses also cited the prevalence of illegal gaming in Maine as a significant concern.
It should be noted that there are probably lots of things that are happening illegally, and that is not always a reason to authorize the activity,” she added. “That was pointed out by people who did submit follow-up information as well as at the public hearing … We were told that there are states that are pursuing other pieces of legislation to increase enforcement of actors who are operating illegally within the state.
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