State Sen. Ron Watson believes the best route for legalizing online casinos in Maryland begins with education.
Watson spoke at the National Council of Legislators from Gaming States conference last week.
He called for a marketing campaign to educate his fellow lawmakers in the Maryland General Assembly on the benefits of iGaming.
“All we do is introduce the bill, but you need a whole team behind this type of legislation, and I’m suggesting a marketing team to really make this happen.”
Opponents used campaign to stall iGaming legislation
A bill to legalize Maryland online casinos passed the state House earlier this year, but it stalled in the Senate. Because iGaming legislation would require voter approval, lawmakers are not expected to take up the issue again until 2026.
In the last legislative session, lawmakers heard lengthy arguments on both sides of the issue. For example, some retail casino operators voiced fears that iGaming would reduce their profits. Studies have shown that those concerns are unfounded.
Casino employees told lawmakers they would lose their jobs if online casinos were available in Maryland. Unfortunately, the cannibalism arguments won over lawmakers in the Senate, Watson said.
“Material was put under all the legislators’ doors each and every day leading up to the vote to ‘not take our jobs.’ It was on television. They had a campaign. They had a campaign, and they were willing to put money behind this campaign to fight this initiative.”
Watson, a longtime advocate of online casinos, said proponents need that same type of campaign to give lawmakers a truer picture.
“We need to treat it like a campaign.”
Some lawmakers naive about iGaming
Most legislators are not gambling experts. That was clear in the last legislative session when a lawmaker asked an industry expert what the hours of online gaming were.
There are several misconceptions about the industry, Watson said, so making sure lawmakers are properly informed is critical.
“Don’t try to convince an 80-year-old legislator who doesn’t know what Twitter and Facebook and Instagram is about iGaming. You can’t do that.”
Watson calls for high tax on online casinos
Taxes were also discussed at the NCLGS conference.
Watson supports a high tax on online casino revenue. He was a strong proponent of House Bill 1319, which would have placed a 55% tax on iGaming revenue.
That would have been the largest tax on online casino revenue in the US. Watson said a high tax rate is necessary for passage.
“The thought that you can have iGaming taxed at a regular rate as anyone else will not pass the muster in a state legislature, at least not in Maryland.”
That 55% tax will probably remain when lawmakers revisit the topic.
