Maine iGaming Bill Would Allow Tribes to Operate Online Casinos

^{This ferry boat in the Casco Bay outside of South Portland, Maine, is called the Wabanaki, named after the tribes who wield significant influence in the state. (Image: Robert F. Bukaty / AP)}

Maine legislators have introduced a bill that would allow the Wabanaki Nations tribes to operate online casinos in the state, reviving an effort that failed to pass last year.

The four tribes of the Wabanaki Nations are already authorized to offer online sports betting, with sites having been live in Maine since November 2023.

Second Bid for Online Casino Gaming in Maine

Last year, an online casino bill made it through the Maine Senate, but lost a tight 74-71 vote in the Maine House. The new version of the bill has raised the tax on online casino revenue to 16 percent, up from 10 percent last year, and has more money earmarked for gambling addiction services.

The legislation, known as House Bill 1164, has been titled “An Act to Create Economic Opportunity for the Wabanaki Nations Through Internet Gaming.” Supporters of the bill pointed to the economic benefits when speaking in favor of the legislation during its first hearing, which took place on March 31. 

“Today we stand united with the Wabanaki Nations in support of LD 1164,” Joseph Tyrell, regional vice president of government relations for Caesars Entertainment, told legislators. “This legislation is a responsible path to create economic opportunity for Maine’s federally recognized tribal nations through a strong state regulatory framework under the Gambling Control Unit.”

DraftKings Government Affairs Manager Matt Scalf also spoke in favor of the bill.

“Regulating online gaming provides new revenue for the state and other stakeholders while setting consumer protections and regulating an illegal activity that is flourishing across the country,” Scalf said. “Legalization of online gaming creates an opportunity to open new doors and fund important legislative priorities.”

It’s no coincidence that Caesars and DraftKings were among those speaking in support of the legislation. All four Wabanaki tribes offer online sports betting in Maine; three are partnered with Caesars, while the fourth is partnered with DraftKings. 

Casinos, Rival Operators Speak Against Bill

The bill has opponents on several fronts. The two land-based casinos in the state – Oxford Casino, which is operated by Churchill Downs, and Hollywood Casino Hotel & Raceway Bangor, operated by PENN Entertainment – would be cut out of online gambling under the language of the bill, which gives the Wabanaki Nations a monopoly in the state.

“Passage of this bill, to be clear, would constitute the greatest single expansion of gaming in our state’s history without the vote of the people of Maine,” lobbyist Chris Jackson said on behalf of Hollywood Casino in written testimony. “It would threaten facilities in Bangor and Oxford.”

The Maine Medical Association spoke out against the bill, citing increases in gambling addiction in other states after regulating online gambling. FanDuel also spoke out against the bill, arguing that rather than creating a free market, the legislation would allow Caesars and DraftKings to expand their control of the iGaming industry in Maine to include online casinos.

“One operator currently has around 90 percent of the entirety of the state’s market share,” wrote FanDuel Senior Manager Michael Ventre, who also spoke on behalf of Fanatics and BetMGM. “The lack of legitimate choice for the consumer can encourage individuals to seek alternative methods outside of the regulated marketplace.” 

But the Wabanaki Nations say that the bill will simply give their people the same opportunities afforded to other tribal groups.

“For the Passamaquoddy Tribe and all the other Wabanaki communities, this is about fairness and the ability to participate in the industry that already benefits others across the country,” said Rep. Aaron Dana, a non-voting House member representing the Passamaquoddy Tribe. 

The bill has been referred to the Committee on Veterans and Legal Affairs in both the Maine House and Senate. No committee vote has been scheduled for the bill in either chamber at this time.