Maine lawmakers are now taking active steps towards legalizing online casino gambling through the reconsideration of Legislative Document 1164. The bill is currently labeled as ‘unfinished business’ but would, if passed, create an economic opportunity for Maine’s tribes through internet gaming.
Key Takeaways
- Maine’s internet gambling bill is being revisited after being tabled by the Joint Veterans and Legal Affairs Committee
- The bill would legalize iGaming by granting control to the Wabanaki Nations
- Online casino gaming would be taxed at 16% per the bill
The reconsideration of LD1164 occurs with Maine during its first special session, with June 18 as the day of adjournment. The bill had been tabled in April after having passed unopposed through the Joint Veterans and Legal Affairs Committee with a legislative hold for further consideration.
The legislation sets forth the specific framework for implementing internet gaming in Maine. The framework's most prominent element is the Wabanaki Nations, Maine's four federally recognized tribes.
All of the tribes would be governed by the terms of LD1164, with each tribe able to have a single partnership with one of the iGaming operators. The plan connects the expansion of internet gambling with the tribes directly, similar to the existing regulatory scheme of legal online Maine sports betting, which is also connected with state's federally recognized tribes.
From their financial standpoint, the bill would charge casino internet gaming in Maine with a tax rate of 16%. These new businesses would be regulated via the state's current agency, the Gambling Control Unit, which already supervises sports betting.
Though more traditional casino-type wagering is governed by the state's Gaming Control Board, which reflects the regulatory split for gambling features.
Casino operators lobby against measure
As they did with a similar iGaming bill voted down last year, the Wabanaki Nations publicly support LD1164 because they believe it is an economically beneficial opportunity. However, Maine's current retail casino operators have stiffly opposed the bill.
Churchill Downs, which operates Oxford Casino, and PENN Entertainment, which manages Hollywood Casino Hotel & Raceway Bangor, have actively opposed the bill.
They are most concerned with its structure, stating it would provide the Wabanaki Nations with a "monopoly" in the online gambling sector and potentially jeopardize existing casino properties.
Besides the casino retail industry, bigger casino and sports betting corporations also lobbied for amendments to the bill. Operators BetMGM, FanDuel, and Fanatics lobbied for amendments permitting tribes to contract for more than one partner for their interests in iGaming.
While the controversy continues, Maine's Gaming Control Unit published a public notice about illicit internet casino gaming in the state. The agency's director, Milton Champion, reminded residents that no internet casino, iGaming, or sweepstakes website has been licensed for Maine operation.
