Indiana will likely become the seventh state to ban sweepstakes casinos as a prohibition bill passed through a conference committee Monday.
Now, both chambers of the legislature must pass the bill, HB 1052, which would then head to Governor Mike Braun for approval. Indiana’s advancement comes as multiple state legislatures moved on sweepstakes casino ban legislation last week, including Mississippi and Maine.
Last week, the Indiana Senate approved HB 1052, 37-8. It added an amendment, however, related to tobacco and electronic cigarette wholesalers, necessitating the conference committee. The committee met for a few minutes Monday to make minor adjustments to the bill before sending it back for final votes by both chambers.
The House approved the prior version of the legislation, 86-12, earlier this month.
Along with banning sweepstakes operators, the bill also gives the Indiana Gaming Commission more authority to act against unlicensed operators.
The recent wave of legislative movements comes after six states banned sweepstakes operators last year and a handful of state regulators sent cease-and-desist letters. The legislative surge continues this week as there will be hearings on prohibition bills in Florida and Tennessee.
Mississippi Senate passes sweepstakes ban, again
Last year, the Mississippi Senate became the first US legislative chamber to advance a sweepstakes casino prohibition bill. It was never enacted, however, after the House added online sports betting language to the bill, a divisive issue between the two chambers.
This year, the Senate again unanimously passed SB 2104 to ban online sweepstakes casinos. The bill makes running or promoting sweepstakes casinos a felony with penalties of up to $100,000.
Last year, the Mississippi Gaming Commission also sent a round of cease-and-desist letters to sweepstakes operators.
Maine sweepstakes casino bill moves
The Maine Joint Committee on Veterans and Legal Affairs passed LD 2007, 8-2, following a work session last week.
Senator Craig Hickman introduced the sweepstakes prohibition bill in December. The bill now heads to the Senate floor.
Maine is also the latest state to see online casinos legalised. In January, Governor Janet Mills allowed a bill to go into law granting the state’s four tribes iCasino exclusivity.
Bill blocking Chicago tax takes step forward
The Illinois House Gaming Committee unanimously advanced HB 4171, 15-0, last week. The bill aims to block cities from implementing their own taxes on sports betting.
Chicago instituted a sports betting tax at the beginning of the year. The Gaming Committee’s chair, Rep Dan Didech, introduced the bill after Chicago Mayor Brandon Johnson proposed the 10.25% on sports betting tax generated within the city.
Didech also filed a bill to end Illinois’s per-wager tax implemented last summer. That new fee came after Illinois already increased taxes on sportsbooks in 2024, creating a tiered rate of 20% to 40% based on revenue.
Other hearings, votes on the docket
- Lawmakers in Alaska will hold a hearing on Wednesday on a bill legalising online sports betting. The bill, HB 145, would allow up to 10 sportsbooks in the state.
- Washington legislators, meanwhile, could vote on a bill, SB 6137, to allow in-state college betting. The bill would also allow bettors on tribal land to access multiple sportsbooks, rather than just the tribe’s partner.
- A South Dakota House committee on Wednesday will discuss a bill, SJ 504, to legalise statewide online sports betting. The Senate passed the legislation earlier this month, 23-10. If it passes the House, it will end up on the 2026 ballot for South Dakota voters. South Dakotans previously approved sports betting in 2020, but it is limited to in-person wagers at casinos in Deadwood.
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/innovation/legislative-roundup-sweepstakes-casino-bans-progress/
