Maryland Sen. Ron Watson has introduced legislation to legalize online casino games such as blackjack and poker for a third straight year, but the proposal faces local opposition from those who say it could hurt retail casino revenue, according to WBOC.
Key Takeaways
- Sen. Ron Watson introduced SB 855 in another attempt to legalize iCasino gaming in Maryland.
- The proposal would allocate iGaming revenue to education programs, the Maryland Lottery and Gaming Commission, and problem gambling initiatives.
- Worcester County officials and Ocean Downs Casino oppose the bill, citing concerns about local economic impact.
Sen. Watson framed the proposal as a way for Maryland to generate new revenue without raising taxes or fees. Lawmakers are currently facing a projected $1.5-billion deficit, and Watson argues iGaming could help close part of that gap.
The bill outlines several revenue allocations. One percent would support problem gambling programs, while another 1% would go to the Maryland Lottery and Gaming Commission. Five percent would be directed to local education authorities, with the remaining revenue supporting the state's Blueprint for Education initiative.
However, the bill faces opposition, particularly in Worcester County. Ocean Downs Casino and county officials argue moving casino games online could reduce visits to physical gambling venues.
"Maryland's gaming industry was built to support jobs, tourism, and local communities," Bobbi Jones, general manager of Ocean Downs Casino, told WBOC. "iGaming shifts gambling to phones and living rooms while putting those jobs and community investments at risk. That's not the direction Maryland should take."
The Worcester County Commissioners sent a letter to lawmakers in Annapolis outlining its opposition. Local officials say Ocean Downs has played an important role in supporting community programs since opening in 2011, estimating that the casino contributed $46 million to local initiatives over that period, including funding for police vehicles and technical education programs.
SB 855 passed its first reading and now sits before the Budget and Taxation Committee. If approved and signed into law, the measure would take effect July 1.
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Virginia online casino bill delayed
While Maryland lawmakers debate online casino expansion, Virginia legislators have slowed momentum for similar legislation. Earlier this week, the Virginia Senate Finance and Appropriations Committee voted 10-4 to continue House Bill 271, effectively delaying the proposal until the 2027 legislative session.
The committee's decision followed a 4-0 vote by the Senate Resources Subcommittee earlier that day to continue the bill. The legislation would have created a Virginia Gaming Commission to regulate all forms of gambling in the state.
The argument for a new commission is that it would consolidate all oversight functions currently performed by multiple agencies. However, some lawmakers doubt the need for a new agency, given the Virginia Lottery already runs several gaming operations.
Related online casino legislation remains under review. House Bill 161 and Senate Bill 118 are both in a conference committee as lawmakers attempt to reconcile differences between the proposals.
Both versions include a proposed 20% tax rate on adjusted gross revenue generated by online casinos. The bills differ on how revenue would be allocated, including funding for responsible gambling programs and measures intended to address potential impacts on existing casinos.
