Delaware Lawmakers Move to Break BetRivers’ Monopoly on Sports Betting

Less than six months after the state’s foray into online sports betting, lawmakers are considering broadening the field to include more operators.

Legislative Push for Expansion

The House Administration Committee has recently advanced House Bill 365, a proposal aimed at expanding the sports betting market beyond its current single-operator setup.

HB 365 stems from recommendations made by a legislative study group convened last year, which suggested that opening the market to more competitors could increase state tax revenues.

The legislative study group, initiated by Rep. Frank Cooke through a resolution last year, was crucial in shaping this new bill. Rep. Cooke chaired this bipartisan committee, which included four members who collectively examined the potential benefits of a more competitive sports betting environment.

Details of House Bill 365

HB 365, sponsored by Rep. Cooke and Rep. William Bush, proposes allowing each of Delaware’s three casinos to partner with up to two online sportsbooks.

This change would dismantle the current monopoly held by BetRivers, which began offering online sports betting services in January following a request for proposals issued by the Delaware Lottery last year.

Under the new bill, sports betting revenue would be taxed at 18%, with an additional 1.5% allocated to support horse racing purses.

Proponents of the bill argue that a competitive market structure will lead to increased tax revenue and more robust economic benefits for the state.

The introduction of multiple operators is expected to foster competition, leading to better services and more attractive betting options for consumers. This, in turn, could drive higher participation rates and generate greater overall revenue.