Ohio Lawmakers Advocate for Legal Online Casinos by 2025

Three Ohio House Republicans have recommended that the state legalize online casinos and iLottery, highlighting the potential benefits for Ohio’s economy. Representatives Jay Edwards, Jeff LaRe, and Cindy Abrams tly submitted a letter emphasizing the “net benefit” of such an initiative.

“While the state should proceed with caution and care with any expansion of this magnitude, with the right regulatory framework, these types of gaming can thrive with nominal impact to our current system,” the representatives stated.

Their letter is part of a broader study Commission Report on the Future of Gaming in Ohio (pdf) released on July 12. This report, consisting of 354 pages, includes written testimonies from hearings conducted by the commission, which met four times, including a session on online casinos in February.

Legalizing Online Casinos: A Future Prospect?

The letter from the House Republicans suggests the potential introduction of Ohio’s first online casino legislation next year. They see “tremendous potential” in legalizing online casinos and iLottery.

“Looking at other states who have implemented either or both iLottery and iGaming, we see significant increases to tax revenues generated with greater participation but also that in-person sales continued to increase,” the letter elaborates.

The representatives pointed out that more than 25 states already offer online gambling.

The Path Forward: Recommendations and Caution

Despite some resistance from brick-and-mortar gaming facilities and lottery retailers, who fear possible cannibalization, the Ohio House Republicans argue that legalizing online casinos and iLottery could significantly boost the state’s tax revenues and attract more participants to the market.

“While we understand their hesitation to expand due to an uncertain impact, we believe that iLottery and iGaming could be a net benefit to the state of Ohio. These tax revenue benefits to the state and funding that could be provided to our K-12 education system cannot be overlooked,” they stated.

However, they also cautioned that any future gaming expansion must be done carefully to protect the existing system and guard against potential threats to personal data security.

“With ongoing domestic and foreign threats to everyday Ohioans’ data, these platforms provide another avenue for hackers to gain access to someone’s personal records. Further, any expansion of gaming must be done so with caution to the current framework in mind. Allowing iGaming would have an impact on the current casinos and VLT’s that exist throughout this state. Any implementation of iGaming must not come at a cost to these entities,” they warned.

Varied Perspectives on Online Gambling

Senator Nathan Manning, co-chair of the study commission, expressed a favorable view of online casinos but stopped short of a full endorsement. He emphasized the need for caution due to the accessibility and potentially addictive nature of online gambling.

“Other states have shown that these online products are very popular to the consumer and they also bring in substantial revenue to the state. However, we must proceed with caution, as some of these products may need more vetting since they are more easily accessible to the consumer and could potentially have more addictive qualities,” Manning said.

In contrast, Senators Al Landis and William DeMoraopposed the move towards online casinos and iLottery, citing concerns about the impact on local businesses and the potential for increased gambling addiction.

“We cannot risk the position of these critical institutions by making them irrelevant, with Ohioans who want to gamble turning to their phones instead of ing brick-and-mortar stores. Introducing iGaming in the state will further impede their ability to compete in the market, thus leading to decreased future investments,” DeMora argued.

Economic Potential and Legislative Considerations

House Representative Bride Rose Sweeney, the minority party member on the study commission, took a neutral stance. She highlighted the Ohio Legislative Service Commission’s projection that online casinos could generate between $500 million and $650 million in annual tax revenue.

“While these dollars would be a game-changer for addressing the state’s childcare crisis or many other worthy endeavors, caution and thoughtful implementation are warranted as iGaming may have adverse effects on Ohio businesses and workers if done poorly or through a rushed process,” Sweeney noted.

Sweeney suggested that any iGaming expansion should be tied to brick-and-mortar casinos to ensure it benefits the existing industry and its workforce.

“Any expansion of iGaming should proceed in a way that acknowledges and respects the current industry that has invested in our state to create thousands of good-paying union jobs, strengthen our local economies, and generate much-needed revenue for local governments and public education,” she concluded.

Source:

Ohio Republicans recommend state legalise igaming, igamingbusiness.com, July 16, 2024.