The Maine House of Representatives approved a bill legalizing online gaming.
It passed by an 85-59 margin during the legislature’s special session. As a result, the bill now heads to the Senate for another vote.
The bill would legalize online casinos, which include poker. The legislation would give the state’s four federally recognized tribes control of the state’s new industry industry.
The tribal groups already have exclusive rights to mobile sports betting in Maine. LD1164 would add online gaming to that and sets the tax rate for online gaming at 18%. Tribal leaders see the legislation as an additional way to shore up their financial status.
“We know how to do this the right way,” said Rep. Brian Reynolds, the tribal representative for the Houlton Band of Maliseet Indians. “We’ve seen how the regulation of sports wagering has worked in Maine quietly, efficiently, with no disruption to local communities. iGaming will be no different. We are asking for the chance to build.”
The Gambling Control Unit would receive 2% of revenue for administrative expenses and another 2% would head to the Gambling Addiction Prevention and Treatment Fund. Additional funds would be earmarked toward other state funds including the Maine Dairy Stabilization Fund, Opioid Use Disorder Prevention and Treatment Fund, Emergency Housing Relief Fund, and more.
However, the plan has received considerable pushback.
Maine’s two brick-and-mortar casinos, Hollywood Casino in Bangor and Oxford Casino in Oxford, opposed the bipartisan bill. Furthermore, Gov. Janet Mills has also promised to veto the legislation.
The bill stalled out during the normal legislative calendar. Given the opposition, the bill faces long odds to become law during the special session.
State Warns About Sweeps Operators
The bill’s passage in the house comes after the Maine Gambling Control Unit issued a letter on June 9 deeming sweepstakes illegal in the state.
“We strongly encourage everyone to avoid these websites; however, patrons who choose to engage with these unlicensed platforms do so at their own risk,” the MGCU noted in the letter. “The Gambling Control Unit cannot provide assistance or intervention in cases of disputes regarding winnings or other account issues arising from participation in illegal iGaming.”
Sweepstakes casinos have faced growing criticism among lawmakers in recent months. Montana became the first state to ban sweepstakes casinos, while one of the largest sweepstakes operators, VGW, exited the New York market.