Indiana lawmakers may consider legalizing online casinos next year, and the National Council of Legislators from Gaming States could aid their efforts.
The NCLGS, made up of lawmakers from across the US, is preparing model legislation that states could use to produce their iGaming regulations.
The group hopes to create a clear set of guidelines by the end of the year, just in time for 2025 legislative sessions.
States like Indiana, which seems poised to legalize online casinos, could use the guidelines as a blueprint to create successful legislation.
Online casinos a top priority of NCLGS
Until Indiana online casinos become a reality, Hoosiers can participate in sweepstakes and social casinos for free. While they don’t use real money, players can earn prizes that, in some instances, can be redeemed for real dollars.
According to its website, the NCLGS “is a proactive participant in educating legislators on gaming issues, in the development of public policy related to state-authorized gaming, and, where consensus exists, in representing the states before Congress and the executive branch of the federal government on states’ rights issues relating to gaming.”
The group has made iGaming a priority as more states consider adding online casinos to their gambling menus. NCLGS member West Virginia Del. Shawn Fluharty said iGaming “model legislation” is the group’s main focus.
Group urges states to adjust guidelines to fit their needs
The NCLGS is creating model legislation to help advance iGaming talks in states across the country. An early draft is reportedly more than 100 pages long. The group wants to whittle that down to 20 or 30 pages, NCLGS founder Steve Geller told PlayUSA.
“We got so much input, we just couldn’t get everything done. Then, the decision was made that we were going to spend hours at this meeting on iGaming, so we could take that input and get the first draft out in the next two to three weeks.”
The group aims to have the guidelines in place a month before its winter meeting in December, so members have time to consider them before official enactment, Fluharty said.
“We realize it’s a hard process. I think the results show that it’s a hard process and there’s not the same effect as we have with sports betting, so we’re looking at this very carefully and getting ideas from everybody.”
The NCLGS intends for its model legislation to be just that: a model. Members of the group understand that every state will take a different approach when considering online casinos.
That’s why lawmakers in states like Indiana must make adjustments as they see fit, Geller told PlayUSA.
“We fully recognize that each state and jurisdiction has a unique gaming sector with disparate interests and concerns. Remember, this is a model, and we’re expecting it will be amended in the different states.”
NCLGS model could help ease corruption concerns
Many gaming experts expect online casinos to be legalized in Indiana in the near future. Lawmakers suspended consideration of iGaming this year due to a scandal involving an Indiana legislator and a gaming company.
In 2025, the Indiana General Assembly will probably be looking for ways to create an iGaming industry that includes safeguards against corruption. The NCLGS’ model legislation should help ease those concerns.
The model could also speed up the process, avoiding lengthy debate on contentious issues. For instance, the NCLGS model currently suggests states set a tax rate on iGaming between 15% and 25%. That’s in line with four of the seven states that offer online casinos.
Model should help focus debate
Maryland provides an example of how the iGaming debate can get out of hand. Contradictory input can overwhelm lawmakers trying to understand the impact online casinos would have on other gambling interests in the state.
In hearings earlier this year, Maryland lawmakers heard from representatives from the state’s retail casinos on whether to add iGaming. Some were adamant iGaming would siphon money from their retail casinos, while others were confident that online casinos would increase their profits.
Lawmakers then must decide which arguments are grounded in fact. The NCLGS model is aimed at providing lawmakers with the most current information concerning online casinos so they can make informed decisions.
That could be pivotal in Indiana. When debate on iGaming commences, lawmakers will hear from stakeholders across the gaming spectrum. Some will offer sound arguments, while others will try to muddy the issue in hopes of delaying online casinos in the Hoosier State for another year.
The NCLGS model hopes to be something lawmakers can look to when deciding if iGaming is right for their state.
