Hawaii lawmakers nearly passed sports betting legislation last year despite being a perceived long shot, and now legislators are taking another crack at it.
Lawmakers introduced SB 3303 and HB 2570 last week in an effort to legalise sports betting. Committee hearings on the bills are still to be scheduled.
Among the House sponsors is Rep Daniel Holt, who has championed sports betting for several sessions and helped guide a proposal through both the House and Senate last year. The bill fell short when the chambers could not agree on a final version in conference committee. Governor Josh Green said he would not veto a sports betting bill if one reached his desk.
“It is what it is, and we just got to work harder next year, try to answer the questions that the rest of the members and the public has and see if we can capture this tax revenue that we much need for our state,” Holt said last year.
This year’s legislation faces a potential hurdle in a gambling expansion study committee that was formed last year. Hawaii is one of two states, along with Utah, that does not have any form of legal gambling.
Hawaii sports betting study group
The Legislature formed the Tourism and Gaming Working Group to examine potential gambling expansion in Hawaii. It is required to submit recommendations by late this year or early 2027.
The 24-member panel includes lawmakers, law enforcement officials and gaming industry representatives.
In addition to sports betting, the group is set to examine if a casino should be included as part of a 98-acre New Aloha Stadium Entertainment District.
The group met last month and largely discussed the illegal gambling activity in the state. Department of Law Enforcement Director Mike Lambert estimated there is up to $800 million illegally gambled annually in the state.
The group plans to meet each month through September.
2026 Hawaii sports betting legislation
The companion bills introduced this year would require the state to issue at least six sports betting licences. Each would carry a $500,000 fee for the initial five years.
The state would tax sports betting revenue at 15%.
There are various other components, including a ban on betting on youth sports and collegiate events involving Hawaii-based teams.
Last year’s bill would have allowed four sportsbooks and carried a 10% tax rate. Prior to passing the House, however, lawmakers stripped the tax rate. The Senate added it back in and a final agreement was not reached before the conference committee adjourned.
Other Hawaii gambling bills
The first gambling bill introduced in Hawaii this year was a bill to prohibit gambling in the Aloha Stadium District.
There is also a bill aiming to prohibit prediction markets from operating in the state. Rep Scot Matayoshi introduced HB 2198 after more than $488,000 was traded on prediction markets relating to Green’s annual State of the State address. Matayoshi chairs the House Consumer Protection & Commerce Committee.
Also in play is HB 1945, which would allow gambling on cruise ships in Hawaiian waters at a 20% tax.
Pat Evans
Pat covers the legislation and regulation of online gambling in North and South America, having covered the US sports betting industry extensively since 2019.
Original article: https://igamingbusiness.com/sports-betting/2026-hawaii-sports-betting-push-begins/
