Although the bill was prepared for discussion, its sponsor, Senator Mamie Locke, requested that the Senate Subcommittee on Gaming postpone its review
Virginia’s plan to make online gaming legal has hit a snag, as lawmakers decided they needed more time to assess its effects.
Virginia Senator Postpones Debate for Further Refinement
Senator Mamie Locke from Hampton introduced Senate Bill 827, which aims to give the Virginia Lottery Board the power to license casino operators for internet gaming. However, for now, the bill has been set aside to allow for more research and tweaking reported the Virginia Mercury.
Senator Locke has stressed that the bill aims to create a controlled and safe market for online gaming in the state. Though the bill was ready for talks, Locke asked the Senate Subcommittee on Gaming to delay its review. She said they need more time to make sure the plan tackles all issues well and confirmed plans to bring back the bill to consider by 2026.
The bill lays out a system that makes operators pay a $1 million fee to apply and a 15% tax on what they earn. The money raised would go to Virginia’s General Fund (97.5%), with 2.5% going to the Problem Gambling Treatment and Support Fund. Local governments would also gain from this plan.
Online Gaming Bill Faces Scrutiny Over Effects on Lottery and Casino Revenues
While the bill offers a chance to generate new income, concerns have come up about how it might affect the state’s current funding methods. The Virginia Department of Planning and Budget cautioned that online gaming could decrease money coming from the Lottery Proceeds Fund and School Construction Fund by pulling activity away from regular lottery sales and physical casino gaming. A financially related study by the Virginia Lottery predicted that if the bill becomes law, it would have a negative effect on state revenues overall.
Virginia stepped into online gambling by making sports betting legal in 2020, which has brought in a lot of tax money. People who support the bill say that online casinos, with games like slots, table games, and live dealer options, could boost the state’s income. However, some lawmakers and casino owners are still unsure. They worry that online gaming might hurt the profits of brick-and-mortar casinos.
Even with these concerns, research from other places shows that online gaming often helps land-based casinos instead of hurting them. States like Maryland and Louisiana are also trying to make online casinos legal showing that digital gaming platforms are growing all over the country.
Virginia’s current plan sees its four existing casinos, including Caesars Virginia and Hard Rock Bristol taking charge to set up online gaming. While the state keeps looking into this, key players will try to balance possible money gains with the need to handle industry and community concerns well.
