Maryland Introduces Bill to Legalize iGaming

07.01.2025

Maryland may soon join the growing list of states considering the legalization of iGaming. House Bill 17 (HB 17), introduced by Delegate Vanessa Atterbeary, lays out a comprehensive framework for regulating online gambling. However, before the legislation can take effect, a constitutional amendment is required, meaning voters will have the final say through a referendum scheduled for November 2026.

Key Details of HB 17

The proposed legislation aims to regulate online gambling under the oversight of the Maryland Lottery and Gaming Control Commission. If approved, the commission would be responsible for issuing licenses to qualified operators and ensuring the industry adheres to strict regulatory standards. The bill also provides for interstate agreements, allowing Maryland to partner with other jurisdictions to expand online gambling opportunities while complying with state-specific restrictions.

In recognition of potential impacts on land-based gaming facilities, HB 17 establishes a Video Lottery Facility Employee Support Fund. This fund is designed to assist employees who may face job displacement due to the introduction of iGaming, ensuring a safety net for affected workers.

Focus on Education and Voter Approval

The bill’s central aim is to generate additional revenue for Maryland’s education system. The bulk of iGaming revenue would be allocated to the Blueprint for Maryland’s Future Fund, which supports public education initiatives across the state. To emphasize this goal, the referendum question that voters will see in 2026 is framed as follows:

“Do you favor the expansion of commercial gaming in the State of Maryland to 11 authorize Internet gaming for the primary purpose of raising revenue for education”

By linking iGaming expansion to funding for education, the bill’s sponsors aim to gain public support by emphasizing the tangible benefits the revenue could bring to schools and students.

Defining iGaming in Maryland

HB 17 includes detailed definitions of terms related to online gambling, such as “iGaming,” “iGaming licensee,” and “iGaming operator.”

It also specifies requirements for licensing, responsible gambling measures, and revenue allocation. Additionally, the bill establishes a framework for ongoing research and reporting on the impact of iGaming on Maryland’s economy and residents.

The bill is set for its first reading on January 8, 2025, kicking off what is expected to be a thorough review process. While HB 17 lays out a clear path for regulating iGaming, its fate ultimately lies in the hands of Maryland voters.