A joint committee of Massachusetts legislators held its first hearing on online casino legislation earlier this week.
The Joint Committee on Consumer Protection and Professional Licensure met to discuss online casino legislation in Massachusetts on Monday. The bills would allow operators to offer games like slots, roulette, craps and other table games on mobile apps.
The arguments from both sides were similar to those heard in other states that have considered online casino legalization. Opponents largely expressed their concerns about potential increases in problem gambling and in-person wagering cannibalization.
“You should consider this policy with eyes wide open,” problem gambling expert Brianne Doura-Schawohl said. “It may result in more harm than good.”
Illegal online casino rampant
Proponents brought the argument that online casinos are already available, just unregulated, for Bay State residents.
“Online casino gaming is already happening in Massachusetts, just not in a legal, regulated, or taxed environment,” DraftKings Government Affairs Manager David Prestwood said.
FanDuel representative James Hartman said the unregulated operators are taking up to $7 billion a year.
Prestwood noted that the seven legal iGaming states are eliminating the illegal operators while bringing in new tax dollars, and that Massachusetts could see up to $275 million in tax revenue.
Details on MA bills
The committee heard two bills: Sen. Paul Feeney’s S235 and Rep. Daniel Cahill’s H332. Legislators did not take action on either bill Monday.
Both bills would allow the state’s three casinos to partner with up to two operators. The Massachusetts Gaming Commission could also award two untethered licenses.
The licenses carry a $5 million fee for a five-year term. Operators would pay a 20% tax on revenue.
New England online casino push
Massachusetts is the latest state in New England to begin discussing online casino legalization. Earlier this session, New Hampshire briefly considered iGaming legislation.
Maine lawmakers passed an iGaming bill; however, it must still pass the appropriations table and survive a potential veto from Gov. Janet Mills.
Connecticut has offered online casino since late 2021.