Online Casino Gaming Legislation Reintroduced in New York

With the New Year comes new legislation proposals, and in New York, an effort is being made again to legalize online casino games. Senator Joe Addabbo promised last year that legislation would come in 2024, and he has held to that promise. SB 856 seeks to legalize iGaming with slots and table game options in the Empire state. It’s the same bill the senator introduced last year that failed to gain any ground within the Legislature.

Details of SB 856

The language of the bill lists details regarding casino gaming services, including allowing retail casinos, racinos, and online sports betting providers to apply for licensing. The market would be wide open for all types of operators, with a one-time licensing fee of $2 million. Services would be taxed at 30.5%.

Tax revenues from casino games would go through the Lottery Fund, which helps to support education needs. The bill would also allow the state lottery to sell tickets online. This would open the lottery industry to more sales and increase overall revenues.

Online gaming is already doing well in New York, as sports betting generated over $860 million in tax revenue for 2023. Allowing table games and slots, plus lottery sales online, would boost the overall online earnings drastically to the positive.

Continuing to Support iGaming

Senator Addabbo has long been a supporter of iGaming. In New York, the Senator is the chairman of the Senate Committee on Racing, Gaming, and Wagering. He has tried to expand iGaming into the state for quite some time but has also supported the subject in other states and across the nation.

In December 2023, Addabbo wrote a piece for the City and State New York that showed why the state cannot afford to lose out on the $1 billion projected annual revenues from iGaming. Funding from the federal government is leaving in the post-Covid era, and the state has major budget deficits. Due to deficits, as much as $4.3 billion will be needed in 2024 and as much as $8 billion in 2025.

Addabbo feels the first step to solving budget deficits is to add more iGaming options. If the state can pass the legislation, it would help New York stay in competition with neighboring states such as New Jersey, Pennsylvania, Connecticut, and Delaware, all of which offer online casino gaming services.