Maine Reintroduces Online Gambling Bill
Previously Tabled Proposal Gets New Life In Special Legislative Session
Online gaming may be back on the agenda for legislators in Maine after a bill passed out of the House Veterans and Legal Affairs Committee.
Legislators tabled LD 1164 in April, but revived it during the legislature’s special session. The bipartisan effort would give the state’s four federally-recognized tribes the ability to offer online casino gambling, including poker.
However, Gov. Janet Mills previously said she would veto the bill.
Passamaquoddy Tribe at Motahkomikuk chief William Nicholas Sr. told the committee through a statement that Mainers were already gambling online. A legal and regulated route could provide tax revenue for the state.
“The lost business opportunity for a legal and state regulated entity is in the tens if not hundreds of millions of dollars per year,” he said. “Those revenues should be benefiting Mainers, not shadowy offshore companies or whoever runs the many apps that are currently available for illegal internet gaming.”
Tax Revenue To Fund Several Government Projects
The plan calls for taxing online gaming at 18%. The Gambling Control Unit for administrative expenses would receive 2% and another 2% would head to the Gambling Addiction Prevention and Treatment Fund.
Other amounts between 1% and 5% would be earmarked for the Maine Dairy Stabilization Fund, Opioid Use Disorder Prevention and Treatment Fund, Emergency Housing Relief Fund, Maine Veterans' Homes Stabilization Fund, Fund for Health Maine, and School Revolving Renovation Fund.
A fiscal note attached estimates that the bill could bring in $1.8 million for the state in fiscal year 2025-26 and another $3.6 million in fiscal year 2026-27
Bill Faces Serious Headwinds
The bill faces some significant opposition, including from Maine’s health sector and others concerned with possible gambling addiction as a result of adding more legalized gambling.
“Internet gambling is a format that can be isolating, and isolation is a risk factor for poor health outcomes,” Maine Center for Disease Control and Prevention Puthiery Va noted in written testimony to the committee. “Electronics, including computers and cellphones, are also isolating and addictive devices, and for that reason there are public health concerns about increasing access to gambling in such a manner that allows for play at all hours with opportunity for impulsive and problem gambling behavior.”
Other opponents include Churchill Downs and Penn Entertainment, which operate commercial casinos in the state. The fiscal note also warns of potential lost revenue at the state’s casinos.
“The introduction of internet gaming may reduce revenues from existing casino operations by shifting consumer spending,” the fiscal note says.
Lawmakers considered the issue in 2024 as well, but a bill failed in the house in a 74-71 vote and 20-14 in the Senate, according to the Portland Press Herald.
If Maine indeed added online poker and joined the Multi-State Internet Gaming Agreement, the shared liquidity compact would cover an additional 1.4 million people. A few other small-population states may soon see online poker go live. Rush Street Interactive announced recently that the company is bringing its BetRivers product to West Virginia and Delaware.
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