- The question of whether New York should allow online casino gaming would be reopened by new legislation.
- Lawmakers are balancing worries about how it would impact current gambling businesses against the possible financial benefits.
ALBANY – New York lawmakers have put forward fresh legislation to make online casino gambling legal statewide. It's the fourth year running that bills like this have come up in the state legislature. Senator Joe Addabbo is at the front of the effort to get it passed.
Addabbo submitted Senate Bill 2164 back on January 7. A similar bill, A6027, was introduced by Assembly member Carrie Woerner. Online slots, table games, live dealer options, and poker tournaments would all be accessible from anywhere in New York according to the suggestions.
The latest legislative push comes after the downstate casino licensing process was completed in December. According to Addabbo, New York loses about $1 billion a year to nearby states like New Jersey, Pennsylvania, and Connecticut that have allowed legal online blackjack and other casino games.
What the Bill Would Allow
The legislation would allow commercial casinos, tribal gambling businesses, mobile sports betting companies, and video lottery facilities to file for online casino licenses. A single branded online casino platform may be operated by each license holder. Gaming servers would need to be housed at licensed facilities located within New York.
A 30.5% tax rate on gross gaming revenue is established under the bills. This percentage is among the highest proposed rates for internet casino operations in the country, but it is far less than the 51% sports betting tax in New York. Each operator must pay $2 million in initial license fees. A $10 million licensing fee applies to independent platform providers.
Programs for health, economic development, responsible gaming, and workforce development are all included in the revenue allotment. The law requires these specified purposes to receive at least $25 million in funding annually.
The law has been opposed by the Hotel and Gaming Trades Council, which expressed concerns about possible job losses and lower profits at conventional casino sites. Advocates cite Pennsylvania and New Jersey as examples of states where physical casinos have continued to operate profitably after New York blackjack sites and other online gambling choices became accessible.
If the bills pass, online casinos won't launch right away. After being allowed by lawmakers in 2021, mobile sports betting in New York took many months to launch before going live in early 2022. The same technical compliance tests, licensing procedures, and regulatory processes will be applied to online casino companies.