Online Casino Effort in New York Resumes With Sen. Addabbo Again Leading the Way

New York Sen. Joe Addabbo speaks at a conference
Photo by Alex Weldon/Bonus News

Senator Joseph Addabbo, D-Woodhaven, is again trying to bring legal online casinos and online lottery to New York. Yesterday, Addabbo, a long-standing champion of New York online casino legalization efforts, introduced Senate Bill S2614, which would permit “interactive gaming and interactive lottery gaming in the state of New York.”

Specifically, the bill—closely resembling Addabbo’s last attempt—aims to “amend the racing, pari-mutuel wagering and breeding law, in relation to interactive gaming.” It also seeks to ”amend the tax law, in relation to interactive lottery gaming.”

As with his previous attempts, Sen. Addabbo argues that online casino revenue could fund Gov. Kathy Hochul’s 2025 policy initiatives.

Thus far, however, Hochul has been resistant to online casino legislation despite its likely boost to New York’s coffers. While open to gambling legalization generally, Hochul has indicated she is unwilling to address online casinos during the ongoing downstate casino licensing process.

The bill is now before the Senate Racing, Gaming And Wagering Standing Committee, which Addabbo chairs.

Attempt to speed up downstate licensing failed in 2024

For his part, Addabbo has expressed concerns about the delay with downstate licensing.

In an attempt to address the leisurely pace, Addabbo introduced Senate Bill S9673 last May. The effort intended to speed up the downstate casino licensing process by helping the New York State Gaming Commission (NYSGC) “multitask.”

Unfortunately for Addabbo, although SB9673 passed the New York State Legislature on June 7, 2024, Hochul vetoed the proposed legislation on Nov. 22.

Fortunately, however, in June 2024, the New York State Gaming Facility Location Board unanimously approved June 27, 2025, as the application deadline. The board also set Dec. 31, 2025, as the deadline to select the winning licensees but has provided leeway to extend selection into 2026.

Although Addabbo previously told Bonus he preferred a codified timeline, he was happy to see deadlines in place. Still, a month later, he said he would reintroduce a 2025 bill to set the downstate deadlines in stone.

On Aug. 29, 2024, he said:

You need to codify — statutorily — deadlines.

Union Opposition presents added challenges

Even with the deadlines, the chances of legalizing New York online casinos are heavily dependent on who is awarded the downstate licenses.

Typically, land-based casino operators are protective of their jurisdictions. Even among those open to online casinos, there’s substantial disagreement over whether licensing should tie to existing operators, allow untethered operations, or permit a mix of both.

However, land-based casinos aren’t the only threat to New York online casinos; employee unions also play a role.

For instance, despite including a $25 million annual fund to train and retain New York retail casino employees in Addabbo’s 2024 bill, it failed. The unwavering opposition of the New York Hotel Trades Council (HTC) was a major contributor to that failure.

Previously, Bhav Tibrewal, HTC’s political director, told Bonus that HTC believed iGaming would cannibalize retail casino revenue and cause job losses.

Addabbo has since said that a compromise, like guaranteed job security, could help bypass such opposition.

All it will take, he told Bonus, is the willingness to address the related concerns.

I know that New York can be the model for other states, as we work towards groundbreaking, legal language to not only protect union casino jobs from any cannibalization, but also witness employment growth at those brick-and-mortar sites.

Addabbo’s 2025 bill shares similarities with his 2024 effort

Like his proposed 2024 legislation, SB2614 allows one skin per license for a 10-year term. The bill also provides for live dealer games as long as they stream from a New York-based studio.

Live gaming studio means a physical location in New York state that utilizes live video streaming technology to provide authorized  casino games to a player’s interactive gaming device or multi-use computing device.

In line with last year’s bill, Addabbo’s 2025 offering calls for a 30.5% tax on gross gaming revenue.

For the privilege of conducting interactive gaming in the state, interactive gaming licensees shall pay a tax equivalent to thirty and one-half percent of base taxable gross gaming revenue derived from interactive gaming. Interactive gaming tax revenue shall be separately maintained and returned to the state for deposit into the state lottery fund for education aid.

Further, promotional deductions cannot “exceed 1.75 percent of the total amount of all interactive gaming wagers” placed monthly.

As noted above, besides online casinos, the bill looks to implement an online lottery offering.

According to the bill’s text, “Interactive lottery gaming” is defined as:

Wagering on authorized lottery games online by any system or method of wagering, including, but not limited to, communication through internet websites, accessed via a mobile device, tablet or laptop or desktop computer, and mobile device applications. An interactive lottery game shall include any lawful lottery game authorized by the commission including joint, multi-jurisdiction and out-of-state lottery games, daily number games, lotto games, quick draw and instant cash.

Responsible gambling protections figure prominently

Responsible gambling requirements are also heavily featured in SB2614.

Some of the requirements include:

  • $11 million annually for problem gambling education and treatment
  • No less than $25 million for employee training, responsible gaming training, and education
  • Daily, weekly, and monthly self-exclusion limits

Also, the bill’s text stipulates that licensees must submit a problem gambling plan subject to the approval of the NYSGC.

Additionally, in a separate statement shared on Tuesday, Addabbo addressed the issue of sweepstakes casinos, many of which operate unregulated in New York.

To close this loophole, I will work to ban or incorporate Sweepstakes Casinos in the state, akin to current laws in Michigan, Idaho, and Washington, and I will push for iGaming as a safe, effective alternative for online casino enthusiasts.

Addabbo noted that his primary job is to protect New York citizens.

By addressing the Sweepstakes Casinos issue and allowing a regulated iGaming casino option, we are demonstrating our commitment to protecting New Yorkers, dealing with gaming addiction, while adding tax revenue beneficial to all state residents.

Notably, SB2614 blocks entities offering games illegally to New Yorkers from obtaining an online casino license.

An unlicensed entity offering games or contests that require a license or temporary permit issued by the commission under article thirteen or fourteen of this chapter within the previous three years of the effective date of this article shall be ineligible to receive an interactive gaming license.

About the Author

Robyn McNeil

Robyn McNeil

Robyn McNeil (she/they) is a Nova Scotia-based writer and editor, and the lead writer at Bonus. Here she focuses on news relevant to online casinos, specializing in responsible gambling coverage, legislative developments, gambling regulations, and industry-related legal fights.
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