Indiana state Rep. Ethan Manning has long been an advocate for legalizing online gambling as a way to combat the black market.
Manning said, “We know that we have a very large black market for iGaming now. And we know that, by bringing it into the light, we can add consumer protections and do a lot of things with responsible gaming that we’re not able to do right now.”
His bill, HB 1536, would have allowed internet gambling as well as an online lottery and live studio games. It also would have allowed licensees to have three online skins for casino gambling and up to 36 online gambling sites through 12 current casino and racino licensees.
However, for the third consecutive year, the bill went nowhere. Manning, chairman of the House Public Policy Committee where the bill was assigned, never brought the measure up for a hearing in this legislative session because he said lawmakers and the public need to be better educated about the importance of legalizing online gambling.
But observers pointed to the bleak fiscal note written by the Office of Fiscal Analysis and Management that accompanied HB 1536. State Senator Jon Ford, who sponsored unsuccessful online gambling bills in the previous two sessions, said, “I think what really changed the entire conversation was the horrible fiscal analysis.” It said studies indicated up to 30 percent of internet casino gaming revenue is “displaced from existing casino revenues.” The analysis noted that percentage could be even higher since Indiana is a more saturated market with 10 casinos and two racinos.
Ford added people believe black market internet casino gaming isn’t a factor in Indiana, which adds to the lack of urgency in legalizing online gambling.
Bar and tavern owners and veterans and fraternal organizations also opposed Manning’s bill who want to offer video gambling if the state allows internet gambling.