Lawmakers in both chambers of the Maine legislature approved a bill to legalize online casino gaming in the state, but there is no guarantee that Gov. Janet Mills will sign it.
After the Senate passed LD 1164 on Monday, the House re-approved it on Tuesday evening. It has now been sent to the special appropriations table, pending enactment.
LD 1164 would legalize online casino gaming exclusively for the federally recognized Wabanaki tribes, allowing each of the four tribes to partner with a third-party operator. That is a similar set-up to the state’s digital sports betting market, where three tribes are partnered with Caesars and the other contracts with DraftKings.
The original proposal was for online casino gaming to be taxed at 16%, but that rate was raised to 18% in a Senate amendment after the bill looked like it might falter in that chamber. The tax revenue would be used to fund services to address gambling addiction programs, substance use disorder, emergency housing relief and veteran housing.
The bill faced a significant level of pushback and concern throughout the legislative process. Caesars, DraftKings and the tribes supported the bill, but the likes of FanDuel and other major online operators, PENN Entertainment and National Association Against iGaming (NAAiG) member Churchill Downs, as well as senior leaders at both the Maine Gambling Control Board and the Maine Gambling Control Unit (MGCU) all either opposed the legislation.
Where does Gov. Mills stand?
Even before senators passed the bill on Monday, they tried to reject it, but failed to do so in a 17-18 vote. The Senate ultimately approved the bill without a roll call. The House then passed it on Tuesday with a roll call in an 87-60 vote, with dozens of representatives voting against it.
The bill has gone before the 13-member appropriations table in what is standard procedure for any bill with fiscal or budgetary implications. Legislation frequently dies on the table before reaching the governor’s desk.
Even if it gets to Mills’ desk, she may well veto it. Maine’s Department of Health and Human Services opposed the bill during its public hearing and although Mills’ office didn’t present an official stance, Wabanaki leaders have said the governor is not particularly keen to sign it, as reported by the Maine Morning Star.
Mils has vetoed other gambling bills in the past. In 2020, two years before she signed off on legalizing sports betting, she killed the idea after lawmakers had approved it. And in 2021, she kiboshed a proposal that would have allowed the Wabanaki tribes to open casinos or other gambling businesses on their lands.
Lawmakers could override a potential veto from the governor, but only by a two-thirds vote. The opposition it has faced in both chambers would suggest it will come up short of that number.
