Ohio Online Gambling Bill Filed, Casino Resistance Remains

For yet another legislative session in the Ohio General Assembly, legislation aiming to expand legal online gambling to the internet has been introduced.

This week, state Senator Nathan Manning (R-North Ridgeville) introduced Senate Bill 197, which aims to legalise and tax internet gambling. If passed, this bill will permit online casinos to operate slots and interactive table games, such as poker, along with online parimutuel wagering and iLottery activities.

The legislation will further allow the four brick-and-mortar casinos in Ohio — Jack Cleveland, Hollywood Columbus, Hard Rock Cincinnati, and Hollywood Toledo — as well as the seven licensed video lottery racinos, to apply for iGaming licenses in one coordinated platform.

Of the total tax revenue generated from iGaming, 99% would go to the Ohio General Fund, while only 1% would be allocated to the state’s Problem Gambling Fund.

Bipartisan Support

Only seven states have legal iGaming currently. Over several legislative sessions, Ohio lawmakers have been attempting to join the ranks of Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, and West Virginia in allowing residents to gamble online.

Senator Manning’s bill has received backing from Senate President Rob McColley (R-Napoleon) and House Speaker Matt Huffman (R-Lima), both advocating that expanding casino gambling online could yield substantial new revenues for the state. Additionally, Democrats are open to exploring new online gambling avenues, complementing existing internet sports wagering.

“Certainly, other states have illustrated that when these funds are channelled into often underfunded programs, it provides a much-needed assistance. We should definitely consider this,” said Minority Leader Nickie Antonio (D-Lakewood).

Republicans, commanding a supermajority in the Senate and holding a strong grip on the House (65-34), believe that public sentiment surrounding online gambling has shifted.

“The public opinion towards these matters has evolved compared to a decade ago. Ohioans seem to be seeking more freedom regarding how they spend their recreational time and money,” noted McColley.

Speaker Huffman further commented on the public’s evolving perspective, noting that awareness of how iGaming could avert tax hikes has changed minds.

Casino Opinions

Opinions among land-based casino operators are mixed regarding the impact of iGaming on their businesses. Some companies, such as MGM Resorts, Boyd Gaming, and Penn Entertainment, which operate six out of Ohio’s eleven casinos and racinos, are supportive of expanded online gambling opportunities.

However, Jack Entertainment, the oldest gaming operator in Ohio, staunchly opposes iGaming. The company operates Jack Cleveland and Jack Thistledown.

Similarly, Churchill Downs has expressed concerns regarding online casinos, arguing that they threaten traditional gaming establishments. Churchill Downs holds a 50% stake in Miami Valley Gaming, a harness race track and racino in Turtlecreek.

Senate Bill 197 has been referred to the Senate Select Committee on Gaming for further evaluation.

Summary

As Ohio’s legislators debate the merits of online gambling, the introduction of Senate Bill 197 marks a significant step towards potential change in the state’s gambling laws. With substantial support from some, yet notable resistance from established casino operators, the future of iGaming in Ohio remains uncertain but filled with opportunity and challenges alike.