Two years ago Maine lawmakers passed a bill legalizing sports betting, only to have Governor Janet Mills veto it.
The governor hasn’t changed but the legislature is nevertheless looking at the issue again. The Veterans and Legal Affairs Committee April 30 heard about four competing gaming bills.
Proponents argue that Maine residents are already betting heavily on sports. Their bills would just regulate that activity and protect consumers, while collecting some tax on it.
One of the proponents, Rep. Tim Roche, told colleagues, “You are having people come into your state, New Hampshire, and they are making all the money, and we are losing a lot. Like tomorrow, we are going to lose a lot of money because the Kentucky Derby is tomorrow, and people are going to drive to New Hampshire to make a bet.”
Although all four bills would legalize sports betting, each takes a different approach on what to do with the tax revenue, from putting it in the general fund to helping harness racing.
Neighboring New Hampshire last year collected $11 million in taxes from $300 million in sports wagers. The State Lottery expects that number to grow.
Roche believes Governor Mills can be persuaded to be on board this time because her veto was related to not allowing bets on state college teams or marketing to children.
State Senator Louis Luchini, who introduced the bill that was vetoed, said, “Sports betting can’t be marketed towards kids. That was a big issue for the Governor and rightfully so.” He has reintroduced his bill but with safeguards on marketing to minors.
Said Roche, “I think she’s going to be OK with this because the guidelines are better, lessons learned so to speak from the one two years ago.”
Luchini predicts the four bills will be merge into one bill during committee hearings.
Both Roche and Luchini don’t predict large amounts of revenue for the state but figure it all should go to the Granite State.
Luchini said, “I think sports betting could generate some revenue for the state of Maine. It’s not going to be a huge revenue generator.” He favors a “tethered” model that would allow mobile sites to set up anywhere if they met licensing guidelines and regulations.
The owners of the two casinos in Maine, including the Hollywood Casino Hotel & Raceway, favor the untethered scenario where sportsbooks would be linked to brick-and-mortar locations, such as casinos and off-track betting sites.
Roche said, “We have to embrace this now because it’s just what it is, it’s the future of sports. Revenue is going out of the state.”
Luchini’s bill would allow the state’s federally recognized tribes to participate. “This bill would hopefully give equity to the tribes that they’ll be able to hopefully conduct a form of gaming here in the state of Maine,” he said.
