Ohio Governor Mike DeWine has announced he opposes online casino gambling despite a lucrative mobile sports betting market underway since its inception in 2023.
Veto On the Table
Governor Mike DeWine has stated he is reluctant to use his veto power, but also stated that the option is a possibility when it comes to two iGaming bills that could reach his desk. DeWine doubled the mobile sports betting tax from 10% to 20% within six months of its launch and tried to double it again this year, but the legislature denied that request.
The two iGaming bills on the docket include Senator Ethan Manning’s Senate Bill 197 and Representative Brian Stewart’s House Bill 298, with both calling for a $50 million license fee, with a $5 million renewal fee, and up to 11 licenses tethered to the state’s casinos and racinos.
DeWine Cites Addiction Concerns
Despite the projected tax windfall online gaming would bring to the Buckeye State, DeWine has vehemently opposed it and stated as much recently.
“I’m not for it,” he said. “Basically, to put a casino in everybody’s hands, 24-7, I think is probably not a great idea, and I think it will cause more pain and suffering in regards to addiction as far as gaming addiction, so I’m just not for it.”
When asked if he would veto such a bill if it crossed his desk, DeWine stated, “Well, I don’t usually use the ‘V’ word,” DeWine said. “But I’m very much against this, so.”
However, when the discussion turned to legalizing video lottery terminals (VLTs) that are prevalent in restaurants and bars in Ohio, DeWine was less adamant, saying, “I will look at everything individually,” before adding, “I think we probably have enough gambling in the state already.”
The Economic Perspective
Mark Stewart, head of the National Association Against iGaming, is also the vice-president of the Cordish companies, a casino operator that has two land-based casinos in Pennsylvania, and stated his opposition to it despite his company operating an iGaming platform in Pennsylvania.
“To build two casinos, we employ over 3,000 people, and we invested a billion dollars in Pennsylvania. We’re supporting literally thousands of small businesses every day. On the iGaming side, we needed to hire one person, and we invested $500,000,” Stewart said.
Legislative Support
Online casino gambling is only licensed for outside operators in seven states, including New Jersey, Delaware, West Virginia, Pennsylvania, Michigan, Connecticut, and Rhode Island. In addition, Florida’s Seminole Tribe, through its Hard Rock Bet app, has a compact with the state that grants exclusivity over mobile gaming and online casino gambling in the state.
Concerns Over Addiction and Cannibalization Slow Expansion
Despite iGaming providing far greater monetary returns for the operators and, by default, the states that tax those revenues, fears of addiction and cannibalization of land-based casino business have given legislators cause for pause in those states considering it.
Addiction is a touchstone issue for DeWine, but several Ohio legislators support the measures. Representative Stewart has advocated for it publicly and even sponsored one of the two iGaming measures (HB 298), stating:
“We already have table games, we already have slots, and we already have online gambling. House Bill 298 would simply blend the two and allow virtual slot machines and virtual table games alongside online sports betting,” Stewart said two months ago.
Republican Representatives Jay Edwards, Jeff LaRe, and Cindy Abrams also issued a joint statement that read, “While the state should proceed with caution and care with any expansion of this magnitude, with the right regulatory framework, these types of gaming can thrive with nominal impact to our current system.”
