Joseph Addabbo Takes Another Run at New York iGaming

A familiar iGaming proposal is back in Albany as lawmakers reset for a new session. With major casino licensing decisions now settled, attention is returning to whether New York should allow real money online casino play inside its regulated gaming system.

Good to Know

• New York has not legalized iGaming despite multiple attempts
• The proposal ties online casino revenue directly to education and workforce programs
• Governor support remains the biggest hurdle

Fourth Attempt Brings iGaming Back to the Agenda

Joseph Addabbo has reintroduced legislation to legalize real money online casinos in New York, marking the fourth straight year he has pushed the issue. Senate Bill S02614 mirrors the proposal filed last session and would authorize online casino gaming alongside online lottery sales.

The bill has once again been sent to the Senate Racing, Wagering, and Gaming Committee, which Addabbo chairs. On the Assembly side, Carrie Woerner filed a companion measure, Assembly Bill A06027, keeping the effort aligned across both chambers.

Momentum stalled last year while the state focused on awarding three downstate casino licenses. Those licenses went to Bally’s, Resorts World, and Hard Rock, each carrying a $500 million price tag. The process delivered $1.5 billion to the state and cleared a major policy backlog. Addabbo now argues the timing allows lawmakers to revisit online casinos without competing priorities.

He has positioned the proposal as an extension of New York regulated gaming model rather than a shift in direction. Addabbo previously helped lead the effort to legalize mobile sports betting, which launched in 2022 and has since become a major revenue source.

Tax Structure Budget Impact and Political Reality

The proposal sets a 30.5 percent tax rate on iGaming gross gaming revenue. Funds would flow primarily to education, while a small portion supports a dedicated program aimed at casino workers and responsible gaming efforts. The bill directs 0.025 percent of iGaming tax revenue into a fund for employee training, health initiatives, and responsible gaming education, with a guaranteed minimum of $25 million per year.

Compared with other states, the rate sits above New Jersey but near Pennsylvania and below the 51 percent tax applied to New York mobile sports betting. Addabbo has acknowledged the structure could change through negotiation, noting past gaming legislation rarely passes in its original form.

“Most items in my bill are a starting point,” Addabbo told Gambling Insider.

The bill also includes upfront license fees designed to deliver immediate budget relief. Casino operators and video lottery terminal facilities would pay $2 million for licenses, while third party platform providers would face a $10 million fee.

“This is purely a fiscal item,” Addabbo said. “We can get upfront money in this budget with license fees. I’m looking to help the state fiscally.”

New York mobile sports betting already shows the revenue potential lawmakers continue to weigh. The state collected $996.8 million in receipts during the first nine months of the current fiscal year and is tracking ahead of budget projections. Since launch, sports betting has generated nearly $4 billion.

The path forward depends heavily on Kathy Hochul. The governor has not included iGaming in prior budget proposals and faces a re election campaign. Lawmakers are watching her upcoming State of the State address for clues on whether online casinos could factor into revenue planning.

“But in the end, if the governor doesn’t want the revenue, if the governor doesn’t want to help people with addiction, if the governor wants to still see our money go to another state, then we don’t do it,” Addabbo said. “I don’t know what rational governor would want to do that.”

FAQ

What does the New York iGaming bill allow

The proposal would legalize real money online casino gaming and online lottery sales.

How would iGaming revenue be used

Most funds would support education, with a dedicated portion for workforce training and responsible gaming programs.

Why has the bill not passed yet

Governor support remains uncertain, and prior legislative sessions prioritized casino licensing over iGaming.

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