- New York’s iGaming hopes are likely dead for 2024
- Sen. Joseph P. Addabbo Jr. said he would be open to continuing discussions later this year
- Language included to earmark more funding for problem gaming services, allow betting on league awards
Unless a miracle occurs, New York’s iGaming hopes for 2024 are likely dead.
The New York Senate released its one-house budget proposal late Monday evening and did not include iGaming language in its legislation. Sen. Joseph P. Addabbo Jr. (D-15) introduced iGaming legislation earlier this year and previously told Sports Betting Dime it would not move forward unless included in the budget.
However, the proposed budget did include language to allow for sports betting on league awards and earmarks 1% of online sports betting revenue for problem gambling addiction services.
A vote on the Senate’s budget proposal will take place this Thursday.
No iGaming Yet Again
While this likely ends hope for legalized iGaming in the state for 2024, Addabbo Jr. did tell Sports Betting Dime he would be open to discussing legislation again after the budget process is completed.
This is the second straight year Addabbo Jr. introduced an iGaming bill in the state. His newest bill, S8185, attempted to legalize iGaming and iLottery in the state. His iGaming bill included online slots, table games, live dealer games, and a 30.5% tax rate. Most states average between 15% to 18% for their iGaming tax rates.
Addabbo Jr. has trumpeted iGaming’s potential revenue stream as a way to help bridge New York’s looming budget deficit. There is a predicted $9 billion shortfall in the upcoming budget, and with no federal help on the way, iGaming could go a long way for the state, Addabbo Jr. previously told Sports Betting Dime.
He estimated New York could see upwards of $1 billion in iGaming revenue if legalized. New Jersey, Pennsylvania, and Connecticut currently have robust and successful iGaming programs, Addabbo said, and New York is losing revenue over its borders as people flock to those states to participate.
However, the bill was again not included in the Senate one-house budget and will likely not move forward this year.
Props Bets on League Awards?
However, the Senate one-house budget proposal did include gaming language. The document proposes that New York sports betting be expanded to allow prop bets on award futures, such as an MVP or rookie of the year award. The state currently prohibits these types of bets for sports betting customers.
Additionally, the budget proposal earmarks additional funding to help combat New York problem gaming. The proposal earmarks 1% of New York online sports betting revenue to fund problem gaming addiction services.
For the 2022/2023 fiscal year, New York reported $743,983,359 in online sports betting revenue. This would translate to $7.43 million to fund problem gaming addiction services if the proposal is approved.
The Senate recently released its budget proposal for the upcoming fiscal year, and one notable absence from the plan is any mention of legalizing online gaming in New York. This decision comes as a disappointment to many advocates and industry stakeholders who have been pushing for the state to join the growing number of jurisdictions that have embraced iGaming.
New York has long been seen as a potential powerhouse in the online gaming industry, given its large population and strong existing gambling market. Proponents of iGaming argue that legalizing and regulating online gambling would not only generate significant revenue for the state but also provide consumer protections and combat illegal offshore gambling sites.
However, despite these arguments, the Senate budget proposal does not include any provisions for legalizing online gaming. This decision is likely due to a combination of factors, including concerns about the potential social impacts of expanded gambling, as well as the complicated political dynamics at play in Albany.
While the absence of iGaming in the Senate budget proposal is a setback for advocates, it is not necessarily the end of the road for online gambling in New York. The budget process is still ongoing, and there is still a chance that iGaming could be included in the final budget agreement. Additionally, there are separate bills in the Assembly that could potentially pave the way for online gambling in the state.
Overall, the exclusion of iGaming from the Senate budget proposal is a disappointing development for those who see online gambling as a potential boon for New York. However, the issue is far from settled, and there is still hope that online gaming could become a reality in the Empire State in the near future.
