Sports betting under fire in Maryland, and more

Welcome to iGB’s State of the Union, where we delve into the most significant North American sports betting developments from the past week and cover intriguing stories that may have caught your attention.

Maryland’s Mixed Outlook for Gambling

In a recent budget proposal presented by Maryland Governor Wes Moore, the outlook for the gambling industry appears less favorable. The proposal unveiled on March 20 does not account for revenue from online casinos and includes a significant increase in the sports betting tax rate.

Governor Moore’s previous indication of potentially doubling the tax on wagers from 15% to 30% has evolved. His latest proposal suggests a new tax rate of 20%, which aims to generate an additional $32 million (£24.6 million/€29.6 million) in tax revenue for fiscal year 2026, amidst a looming $3 billion deficit facing the state.

If enacted, Maryland will join a growing trend, becoming the third state within two years to elevate its betting tax rate. Ohio initiated this trend when Governor Mike DeWine implemented a hike from 10% to 20% following the launch of wagering in July 2023. Although he proposed another significant increase to 40% this year, it did not garner sufficient support. Illinois also introduced a sliding scale for betting taxes last July, taxing top-tier operators at 40%, a notable increase from the previous rate of 15%.

This legislative session has seen multiple betting bills put forth. However, proposals related to online casinos, historical horse racing, and a ban on sweepstakes-style games have yet to gain traction, as the state legislature is set to adjourn on April 7.

Arkansas Proposes Significant Gambling Expansion

An ambitious bill introduced in Arkansas on March 19 aims to broaden the state’s gambling framework by legalizing digital casino gaming and sports betting, while also prohibiting sweepstakes-style games. The proposed HB 1861 mandates that all “interactive gaming” platforms be linked to existing brick-and-mortar casinos and also permits “name, image, and likeness” drawing games.

This bipartisan initiative has attracted substantial support, featuring 14 co-sponsors and a referral to the house judiciary committee for further consideration.

Since Arkansas voters approved both retail and digital sports betting during the November 2018 election, in-person wagering commenced in July 2019, with the first online bets accepted in March 2022. The push to incorporate online casino operations has proven contentious, with Saracen Casino advocating for expansion while Oaklawn Racing Casino expresses opposition, citing concerns about public policy.

Saracen’s Chief Marketing Officer, Carlton Saffa, noted, “Our obligation to Arkansas citizens is to manage risk effectively, ensuring that only licensed operators engage in this space. Legalizing this market could generate significant revenue.” In contrast, Oaklawn’s General Manager, Wayne Smith, has called the proposed expansion “bad public policy.”

Due to the passing of introduction deadlines for both houses, the future of the bill remains uncertain, with the Arkansas legislature scheduled to adjourn on April 16.

New York’s Legislative Push Against Unregulated Sweepstakes

A recent bill aiming to prohibit unregulated sweepstakes platforms in New York has progressed successfully, clearing the Senate Racing, Gaming and Wagering Committee. Senate Bill 5935 outlines penalties for operating such games. This legislative move comes in response to actions taken by Connecticut lawmakers, who recently suspended a sweepstakes company’s license.

Senator Joseph Addabbo emphasized the need for stringent regulation, citing recent incidents in neighboring Connecticut where High5Games faced significant repercussions due to its misleading marketing practices targeted at vulnerable populations. “We are compelled to eliminate illegal, unregulated gaming sites in New York,” said Addabbo, as he advocated for the bill during the committee meeting.

Missouri University Considers Ban on Betting on School Teams

As Missouri regulators finalize rules for launching legal digital sports betting by this fall, the University of Missouri’s administration is deliberating a proposal to prohibit students, staff, and faculty from wagering on university sports teams. This measure is consistent with prohibitions enacted by other universities, such as Saint Joseph’s University and Purdue.

“This aligns with policies adopted by several universities across the country,” asserted Tom Warhover, Chair of the Missouri Faculty Council.

Missouri voters approved retail and digital sports betting in the November 2024 ballot, with the Missouri Gaming Commission mandated to launch wagering by December 1.

NCAA’s Campaign Against Harassment in Betting

As March Madness unfolds, the NCAA has launched a public service campaign reminding bettors to “draw the line” against harassment toward college athletes post-bet losses. This initiative aims to foster a respectful environment during this peak betting season.

Highlighting the importance of respectful engagement with athletes, the NCAA’s message emphasizes that “only a loser would harass college athletes after losing a bet.” The campaign features a video promoting awareness of the harassment faced by players and officials from bettors.

Betting Markets Now Available for NWSL

In a progressive move, sportsbooks including BetMGM and FanDuel are now offering betting markets for the National Women’s Soccer League (NWSL). Abelson Sports announced the provision of odds for the league on March 19.

The NWSL represents the highest level of professional women’s soccer in the United States, comprising teams across 14 cities. Abelson Sports previously established itself in the women’s soccer betting space, offering markets for events in the English Women’s Soccer League and the UEFA Women’s Champions League.

Two Canadian Provinces Issue Request for Wagering Operator

On March 17, the Atlantic Lottery Corporation (ALC) and British Columbia Lottery Commission (BCLC) jointly issued a request for proposal (RFP) in search of a sports betting operator. Their goal is to secure a single provider capable of delivering technology, trading, and risk management solutions. Following the decriminalization of single-event sports betting by the Canadian parliament in 2021, only Ontario has launched legal digital sports betting and online casinos, with Alberta expected to follow suit in early 2026.

This RFP invites participation from other provinces, including Loto Quebec. The ALC RFP submission deadline is April 24, while the BCLC version erroneously notes March 24, which may be an administrative error given the unusually tight timeframe.

Proposal for Federal Ban on College Prop Bets

A new federal legislation aimed at banning prop bets on college athletes was introduced on February 25. Known as the PROTECT Act (HR 1552), this proposal is more targeted than previous attempts, such as the SAFE Bet Act and the GRIT Act. Congressman Michael Baumgartner publicized the bill via social media, highlighting concerns about the potential exploitation of student-athletes amidst rising harassment incidents.

“This legislation seeks to protect the welfare of student-athletes and uphold the integrity of college sports,” Baumgartner stated. The legislative landscape has evolved significantly since the Supreme Court’s 2018 decision, which overturned the Professional and Amateur Sports Protection Act, leading to the legalization of sports betting in 39 states, with operations currently live in 38.