Rhode Island Senate Votes 30-2 to Open Sports Betting to Three to Five Operators

A Decisive Senate Victory

On June 4 Rhode Island’s Senate overwhelmingly approved Senate Bill 748, sponsored by Majority Leader Frank Ciccone, to expand the state’s online sports betting market.

The 30-2 vote clears the way for three to five new operators, ending International Game Technology’s (IGT) monopoly via Sportsbook Rhode Island.

Originally pitched for at least five licenses, the bill was amended after Rhode Island Lottery’s concerns, settling on three to five by January 31, 2026, when IGT’s contract lapses. Ciccone called it “a way of cleaning up” the market to boost options for bettors.

Since legalizing sports betting in 2018, Rhode Island has relied solely on IGT’s Sportsbook Rhode Island, launched online in 2019. Residents wager $38 per adult annually, half Massachusetts’ rate, and bet $2.6 billion total, yielding $113.3 million in taxes.

DraftKings testified, “A marketplace with multiple choices for players leads to a better player experience, operators are forced to innovate.” The bill bars renewing IGT’s deal, opening bids for operators like FanDuel and BetMGM, currently accessible only across state lines.

Tax Revenue Debate

Rhode Island’s 51% sports betting tax rate, the nation’s highest, plus a 17% host fee to Bally’s, nets $17.44 per person, outpacing Connecticut’s $9.78 multi-operator model.

IGT’s Joe Bertolone argued, “The Rhode Island model outperforms many of its regional peers.” Critics, including Senator John Burke, see untapped potential, citing a 19% tax revenue drop since 2023.

A Spectrum Gaming report suggested four to six operators could lift the $483.7 million 2024 handle.

The bill faces hurdles in the House, where Representative Matthew Dawson’s companion bill, H6048, awaits action before the June 30 session end.

House Speaker K. Joseph Shekarchi questioned its necessity, citing IGT’s 2026 contract term. Lottery Director Mark Furcolo warned that managing multiple vendors could strain resources and breach contract clauses.

IGT cautioned that lower taxes to attract operators might shrink state revenue, despite higher wagering. Responsible gaming concerns linger, with Ciccone’s separate bill proposing penalties for underage betting.