The Iowa Racing and Gaming Commission wants to take action against unregulated gaming operators in the state, including sweepstakes casinos and offshore websites.
A bill filed in December would give Iowa gaming regulators the ability to send cease-and-desist orders and obtain injunctive relief “against a person offering games of chance, gambling, sports wagering, or illegal sweepstakes.”
The legislation would also allow similar action for those offering horse betting and fantasy sports in the state without a license.
The Iowa Legislature runs from next Monday through April 21.
Sweeps bans still a focus in ’26
Iowa is not the only state still looking to take action on sweepstakes casinos.
The Indiana House has multiple choices available in its Public Policy Committee, including regulating sweepstakes casinos or banning them. Representatives from the Indiana Gaming Commission told the committee Tuesday they would have issued cease-and-desist letters already if it was possible.
Maine and Virginia also have active legislation right now to ban sweeps.
Sweepstakes have been shut out of multiple states, including California most recently as of Jan. 1 and New York a few weeks before that.
Commission hears of scams regularly
IRGC Administrator Tina Eick told the Iowa Capital Dispatch the commission regularly hears from residents that they have been scammed by illegal online casino or sports betting operations.
“When Iowans gamble on unlicensed platforms, they’re putting their money and their personal information at serious risk,” Eick told the Capital Dispatch. “So we’re trying to be proactive here.”
The commission and the state’s Department of Public Safety issued a notice in September about illegal gambling.
Iowa was an early mover in regulated online sports betting, launching its first operators in August 2019. Legislators have attempted to legalize online casino in the past but there was no bill to legalize in 2025.
