The state of New York was slow to get into the online sports betting industry, but it didn’t take long for it to become the leader in this industry. There are only a handful of states that currently offer online casino gambling, and New York is not yet one of them.
The success of online sportsbooks has some lawmakers in the state wondering whether or not they should introduce another iGaming option. It is going to take a new law in the state in order for online casinos to be legalized, but that process was just recently started.
Casino gambling has proven to be successful in New York, but there aren’t any casinos located in or around New York City. This new online casino bill in New York would also allow for a new casino to be built downstate, and that is a move that could end up generating some support.
All Eyes on the Governor
For the third straight year, Senator Joseph Addabbo has introduced a bill that would legalize online casino gambling in the state of New York. That bill was introduced on Thursday, but it could actually be shut down before it even gets on the Senate floor.
Governor Kathy Hochul is going to present her budget to the General Assembly on Tuesday, and she will get to decide whether or not to support this bill. Hochul has been non-committal to online casino gambling in the past, but there is hope that she will come around at some point.
Addabbo is expected to challenge the opinion of the governor, and he is going to point to the money that will be lost if this bill is not considered. New Jersey is a state that has online casino gambling, and residents can simply travel across state lines in order to get in on the action.
While there are now 38 states with some form of legalized sports betting, there are only a handful of states that have decided to legalize online casinos. It has become a bit harder to regulate this industry, and that is a concern in the state of New York.
Budget Deficit Declining
Most states tend to look to gambling to help decrease a budget deficit, but that’s not a major concern in the state of New York. The state was staring at a budget deficit of close to $9 million just a few years ago, but the new figures are likely to be less than $4 billion.
Sports betting has taken out a huge chunk of that deficit as this state is now the biggest sports betting market in the country. Online casino gambling will have the same impact, but it could also create some issues with politicians.
The proposed tax rate for this online casino bill is sitting at just over 30%, and that’s much lower than the current tax on sports betting. There could be up to 231 licenses available if this bill were to pass, but a much smaller amount than that would even be considered in New York.