For the second time in a little more than three years, lawmakers in Maine have passed legislation authorizing online and retail sports betting in the state and have sent the measure to Governor Janet Mills for her signature.
Unlike the previous attempt at legalizing sports betting, the Democratic governor is expected to sign the bill into law. Her signature of LD 585 would make Maine the 33rd US state with legal sports betting.
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What the Sports Betting Bill Says
Sports betting is a component of LD 585, a broader tribal sovereignty bill called the “Tribal-State Collaboration Act” that involves the four federally-recognized tribes in the state:
- Houlton Band of Maliseet Indians
- Mi’kmaq Nation
- Passamaquoddy Tribe
- Penobscot Nation
Under LD 585, each of the tribes would be eligible for one Maine mobile sports betting license, for a total of four mobile licenses. The licenses would have a four-year term and a fee of $200,000. The tribes would have the option of either partnering with a third-party platform operator or running their own sports betting operations.
The bill would also make available 10 retail sportsbook licenses, which would have a term of four years and cost $4,000. Commercial tracks, casinos, and off-track betting (OTB) facilities — including the Oxford Casino Hotel and the Hollywood Casino & Raceway Bangor – would be eligible for the retail licenses. Supplier licenses would have a $40,000 fee.
The bill empowers the Director of the Gambling Control Unit, an office within the Department of Public Safety, with regulating the conduct of sports betting in Maine. The Director would also adopt rules governing the practice. Platform operators would be required to secure a management services license, which has an initial fee of $40,000, through the office as well.
Maine would levy a 10% tax on sports betting revenue under the measure. Bets on sporting matches involving Maine-based colleges and universities would be prohibited. Wagering on a game or match that is part of a larger tournament in which a collegiate team from Maine is participating would be allowed — so long as a Maine team is not participating in the actual game or match being wagered on.
LD 585 passed the state House of Representatives and the Senate in April. It was subsequently referred to the Special Appropriations Table — the last step in the legislative process before a bill goes to the governor for their signature. The bill was taken from the table and sent to Mills on Monday.
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Lawmakers, Mills Have Sparred Over Sports Betting Since 2020
Maine lawmakers and Mills have tangled over sports betting in the state for more than three years.
Lawmakers first took up the issue in January 2019 when they introduced a bill, LD 553, that would have allowed mobile sports betting. Both houses of the Maine Legislature passed the bill in June of that year and the measure went to Mills for her signature.
Mills vetoed LD 553 in January 2020, at the start of that year’s legislative session. In a letter explaining the reasoning behind her move, the governor said she was “unconvinced” that the majority of Maine residents supported sports betting and urged further research into the idea. “Before Maine joins the frenzy of states hungry to attract this market, I believe we need to examine the issue more clearly,” Mills wrote.
While sports betting advocates were able to marshal enough support in the state Senate to override Mills’ veto the next month, their effort came up 10 votes short in the House of Representatives.
During the 2021 legislative session, lawmakers at one point were considering five bills that would have allowed sports betting: LD 1352, LD 1527, LD 1532, LD 1404, and LD 1405. The bills differed over whether sports betting should be tied to a land-based facility.
Ultimately, lawmakers decided to advance LD 1352. The House and Senate both passed the measure in June 2021 and it was subsequently placed on the same Special Appropriations Table, but LD 1352 stalled and never got past that point. It remains active, despite not clearing the hurdle.
