Maryland Lawmakers Kick Off 2025 With New Online Casino Bill
A New Push for Online Casino Regulation in Maryland
Delegate Vanessa Atterbeary pre-filed House Bill 17 (HB 17) as Maryland lawmakers reopened their 2025 session. The bill aims to legalize and regulate online casino gaming under the Maryland State Lottery and Gaming Control Commission (MSLGCC). Existing video lottery operators and licensed sports betting facilities will be eligible to apply for online casino licenses, with an initial licensing fee set at $1 million. Renewals every five years will cost 1% of an operator’s average annual revenue. Additionally, the MSLGCC can issue up to five licenses to new applicants meeting specific criteria.
Maryland’s approach emphasizes flexibility for operators. They can deduct promotional play revenues ranging from 20-35% over their first five years. The tax breakdown is similarly detailed: online slots revenue will face a 55% tax, while live-dealer table game revenue will be taxed at 20%. Proceeds are earmarked for various state programs, including education reforms, regulatory expenses, horse racing funds, and grants for small, minority-owned, and women-owned businesses.
Exploring Cost-Saving Opportunities in Online Gambling
With Maryland’s proposed online casino bill setting up a regulated framework, understanding how players can optimize their spending becomes essential. The bill outlines a 20-35% deduction in promotional play revenues for operators, signaling potential promotional offers that players might leverage. Current platforms often feature special deals like deposit matches or spin bonuses, similar to the approach seen with WOW Vegas promo, enhancing player value and minimizing upfront costs.
Beyond Maryland, various established operators provide cost-saving methods to attract players. These include loyalty rewards, capped loss programs, or seasonal promotions. Carefully comparing platforms for such offerings could help gamblers reduce risks while staying within budget. New players are particularly encouraged to take advantage of first-time deposit bonuses and free spins, which can significantly stretch their gaming budgets while providing additional entertainment value. Additionally, reading platform reviews can guide players to the most lucrative deals and safest options.
Social Equity and Problem Gambling Safeguards
The proposal highlights social equity considerations, offering application guidelines targeting operators from economically disadvantaged areas. In addition, 1% of all generated tax revenue will be allocated for responsible gambling initiatives. These funds will support measures like deposit and loss limits, cool-off periods, and self-exclusion tools. Self-assessment questionnaires will also be implemented.
The bill’s emphasis on responsible gambling reflects broader concerns about potential harm from expanded gaming access. Delegate Atterbeary previously stated that gamblers vulnerable to addiction will find avenues to participate regardless, necessitating concrete safeguards within the legislation.
Beyond legislative measures, community organizations may play a pivotal role in promoting responsible gambling. Partnerships between gaming operators and addiction support groups could expand awareness campaigns and provide resources for at-risk individuals. Such collaborations strengthen the commitment to minimizing the societal impact of online gambling.
Integration and Licensing Structure
The proposal enables cross-state agreements for internet gaming, including online poker. Licensed operators will contribute to racetrack renewals and horse racing purses. Combined, these measures integrate online offerings with Maryland’s existing gaming infrastructure.
Licensing terms limit participation to vetted applicants, ensuring operational transparency. Applications will be open to existing operators, and small gaming entities can apply under equity-based criteria, increasing market competition while safeguarding consumer trust.
By encouraging competition and maintaining strict regulatory oversight, the state ensures that the benefits of legalization are broadly distributed. This model could serve as a blueprint for other states considering similar measures. Adding further emphasis on technology-driven oversight, Maryland plans to use advanced monitoring systems to maintain fairness and transparency in the industry.
Revenue Goals Versus Opposition
Proponents argue for legalization as a response to Maryland’s $3 billion budget deficit. Projections show that online casino gaming could bridge this gap: iGaming revenues are expected to add $769 million in their first full year, growing to $1.4 billion annually by the fifth year. Neighboring Virginia, which is also exploring online casino legalization, offers a point of competition.
Despite these projections, opposition persists. Union representatives for casino employees fear job displacement, while smaller casino operators worry about competition from digital platforms. These concerns halted last year’s similar legislation in the Maryland Senate, even though it passed the House.
Supporters counter these concerns by emphasizing the broader economic benefits. By redirecting revenue to state-funded programs, Maryland could alleviate budget pressures and expand resources for underserved communities. Additionally, efforts to retrain casino employees for digital roles may address concerns about job displacement, making the transition smoother for affected workers.
Economic Context and Next Steps
Maryland’s existing casinos experienced mixed fiscal results going into 2025. In December 2024, revenue totaled $164.1 million, a slight 0.9% decline year-over-year. Within this, MGM National Harbor reported revenue growth, while Horseshoe Casino Baltimore saw pronounced losses. These trends underline the need for new revenue sources as traditional gaming environments continue fluctuating.
House Bill 17 received its first reading in the House Ways and Means Committee this January. Its supporters hope to navigate prior legislative hurdles as debates proceed throughout the session. Meanwhile, the bill reinforces Maryland’s gaming framework and positions it competitively among states entering the online casino market.
Conclusion
House Bill 17 represents Maryland’s bold move to modernize its gaming industry, blending innovation with careful regulation. By addressing key issues such as social equity, responsible gambling, and economic sustainability, the bill aims to create a balanced framework that benefits all stakeholders. While challenges remain—including opposition from unions and small operators—proponents argue that the potential economic and social benefits far outweigh the drawbacks.
As Maryland takes these steps toward online casino legalization, it sets a precedent for other states grappling with similar questions. If successful, the initiative could not only bolster state revenues but also redefine the role of gaming in modern economies, proving that growth and responsibility can go hand in hand. With the legislative process underway, the outcomes of HB 17 will undoubtedly influence future discussions about the evolution of gaming nationwide.