Albany, NY – New York is making another push to legalize online casinos, with a bill reintroduced in the 2024 legislative session. Senator Joe Addabbo, who has long championed the expansion of online gaming in the state, is leading the effort, hoping to succeed where previous attempts fell short.
The bill, labeled SB 856, mirrors a proposal from 2023 that aimed to legalize and regulate online casino games such as slots and table games. The legislation also seeks to expand New York State lottery services by enabling residents to purchase lottery tickets online.
Online Casino Legalization Back on the Table
New York has been inching closer to legalizing online casino gaming for some time. Last year, a similar bill was introduced but did not make it through the legislative process. Senator Addabbo’s renewed effort comes as the state faces significant budget challenges, with projections showing deficits of $4.3 billion next year and $8 billion by 2025.
“We’re preparing to enter a new legislative session at a time when our state is facing a looming budget deficit of great proportions,” Addabbo said. “The potential $1 billion in annual tax revenue from regulated igaming is something New York simply can’t afford to overlook.”
Details of the Proposed Legislation
The proposed bill includes several key provisions:
- Legalization of Online Casino Games: The bill would allow for the legalization of online slots and table games, making these games accessible to New York residents through licensed operators.
- Expansion of Lottery Services: The legislation also proposes expanding the state’s lottery services, allowing residents to buy tickets online.
- Licensing and Regulation: The bill stipulates that operators of retail casinos, racinos, and sportsbooks in New York would be eligible to apply for online gaming licenses. A one-time $2 million licensing fee would be required, and gaming revenue would be taxed at a rate of 30.5%.
Tax revenue generated from online gaming would be directed to the state’s Lottery Fund, which supports education initiatives. Addabbo argues that this new revenue stream could be critical for the state as it navigates its budgetary challenges.
Economic Impact and National Implications
New York’s online sports betting market has already proven to be a lucrative venture, generating $861 million in tax revenue in 2023 alone. Expanding into online casinos could potentially double this revenue, providing a substantial boost to the state’s finances.
If passed, the bill would place New York alongside other states like New Jersey, Pennsylvania, and Michigan, which have already legalized online casino gaming. This move could also set the stage for broader acceptance of online casinos across the country, as other states observe New York’s approach.
“We have a real opportunity to not only address our budget concerns but also to position New York as a leader in the online gaming industry,” Addabbo stated.
As the legislative session progresses, all eyes will be on New York to see if this renewed effort will finally bring online casinos to the Empire State.