Maine lawmakers revive online gambling bill with exclusive Tribal Rights

Maine’s legislature has reignited the conversation around online gambling with the reintroduction of LD 1164, a bill that would legalise online casino gaming through the state’s four federally recognised tribes, the Wabanaki Nations.

The proposal, which was previously tabled in April, has now advanced out of the House Veterans and Legal Affairs Committee during a special legislative session. This signals renewed momentum for regulated online gambling in the state.

Under LD 1164, the Wabanaki Nations would have exclusive rights to offer online casino games such as poker, blackjack and roulette by partnering with licensed gaming operators

This structure mirrors the arrangement that currently allows the tribes to operate online sports betting in Maine, a market that has already seen significant engagement from residents since its launch in late 2023.

The bill proposes an 18% tax on online gambling revenue, with projections estimating $1.8m in state tax revenue for the 2025-26 fiscal year and $3.6m in 2026-27.

Funds generated would be allocated to several state initiatives, including gambling addiction prevention, veteran housing and opioid use treatment.

Additionally, a portion of the tax revenue would support the Gambling Control Unit for administrative oversight.

Supporters, including tribal leaders, argue that legalising and regulating online gambling would redirect profits from illegal offshore operators to benefit Maine communities.

Chief William Nicholas Sr. of the Passamaquoddy Tribe emphasised that Mainers are already participating in online gaming.

“The lost business opportunity for a legal and state regulated entity is in the tens if not hundreds of millions of dollars per year,” he said. “Those revenues should be benefiting Mainers, not shadowy offshore companies or whoever runs the many apps that are currently available for illegal internet gaming.”

However, the proposal faces opposition from commercial casino operators and some local business groups, who warn that the expansion could divert significant revenue from physical casinos and impact jobs.

The Oxford Hills Chamber of Commerce estimates potential losses of up to $67m (~£49m) for state casinos and the elimination of about 400 jobs if online gambling is legalised. Critics also argue that such a substantial expansion of gaming should be subject to a public vote.

If enacted, LD 1164 would mark a significant change in Maine’s approach to gambling, granting the Wabanaki Nations exclusive rights to online casino gaming and potentially reshaping the state’s gaming industry for years to come