A bill heard this week in the Maine legislature would legalize tribal online casino gaming, but there is opposition from several corners.
LD 1164 would grant Maine’s four federally recognized tribes, the Wabanaki Nations, the right to offer online casino. Each would get one license to contract with an operator, the same set-up as online sports betting.
The Wabanaki already offer online sports betting through in-state partnerships with DraftKings and Caesars. The latter works with three of the four tribes and DraftKings has the other sports wagering skin.
The bill has bipartisan support from both chambers as well as a non-voting representative for the Wabanaki Alliance attached as one of nine sponsors.
That rep, Aaron Dana of the Passamaquoddy Tribe, told the Veterans and Legal Affairs Committee on Monday that the Wabanaki want to be given the opportunity to participate in an industry “that already benefits other [tribes] across the country.”
A similar proposal passed through the Senate after multiple amendments but was voted down in the House 75-70. After that failure, the 2025 bill raises the proposed iGaming tax to 16% from 10% and dedicates a higher proportion of tax revenue to the Gambling Control Unit, as well as gambling addiction prevention and treatment.
Casinos oppose idea of ‘monopoly’
Two of the proposal’s biggest opponents are Churchill Downs’ Oxford Casino and PENN Entertainment-operated Hollywood Casino Hotel & Raceway Bangor, who objected to the idea of an online gaming framework they said would be tantamount to a tribal monopoly.
“This bill would create a gaming monopoly for the Wabanaki Nations with little economic benefit to Maine,” Oxford Casino representative Dan Walker told the committee.
“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,” added Chris Jackson on behalf of Hollywood Casino. In written testimony, Jackson noted that Maine’s tribes would “undoubtedly” partner with out-of-state operators who have not invested in Maine.
Maine Gambling Control Board Chair Steve Silver showed solidarity with the casinos in his own written testimony, urging lawmakers to include Oxford and Hollywood Casinos.
He also noted that the bill’s proposal to put online casinos regulation directly under the authority of the director of the Gambling Control Unit “violates Maine law and renders the Board effectively useless.” Silver’s Board currently regulates slot machines and table games at the state’s two licensed casinos.
Rival operators banging on door
While DraftKings and Caesars joined the Wabanaki in supporting the proposal, other operators that are on the outside looking in at Maine urged lawmakers to amend the bill.
FanDuel’s Senior Manager of State Government Relations Michael Ventre stressed that he was also testifying on behalf of colleagues at BetMGM and Fanatics by voicing opposition to a model that would risk continuing to limit market access to those operators’ rivals.
“As written, this bill would mirror Maine’s existing online sports betting framework that has limited the market to just two operators despite the ability to have up to four…” he wrote. “One operator currently has around 90% of the entirety of the state’s market share. The lack of legitimate choice for the consumer can encourage individuals to seek alternative methods outside of the regulated marketplace.”
The rival sportsbooks implored Maine’s lawmakers to amend the bill to either allow other operators to join the market or allow tribes to partner with more than one commercial gaming brand.
No vote was taken on Monday. A work session is expected to be held as a next step.