Maine Native American Tribes Seek Exclusive Control over Online Gaming and Poker Operations
Maine's online gaming bill, titled "An Act to Create Economic Opportunity for the Wabanaki Nations Through Internet Gaming" (HP 769), has made significant strides in the state legislature, aiming to formalise and regulate online gambling while empowering tribal economies. However, its future remains uncertain as Governor Janet Mills has expressed intentions to veto the bill.
The bill, if passed, would grant the state’s four federally recognised tribes—the Passamaquoddy, Penobscot, Houlton Band of Maliseet, and Aroostook Band of Micmacs—exclusive privileges to operate online gaming within Maine, effectively creating a tribal monopoly on iGaming. This move is driven by concerns over Maine’s illegal online gambling market and the ongoing economic crisis faced by the Wabanaki tribes.
Commercial casinos in Bangor and Oxford, including the Hollywood Casino, have expressed opposition to the bill, fearing that online gaming would cannibalise their land-based gaming revenues. On the other hand, the tribes, led by Rep. Aaron Dana, a member of the Passamaquoddy Tribe, support the bill due to issues of fairness and the opportunity to participate in the industry.
If enacted, the bill would give Maine tribes control over the state’s legal online casino market, potentially reducing the illegal gambling market by providing a regulated tribal iGaming alternative. This exclusivity could strengthen tribal gaming enterprises by allowing them to expand beyond physical casinos into the lucrative online space. However, it might also limit market competition by excluding non-tribal operators, concentrating online gaming revenues with the tribes.
The bill is expected to generate significant economic benefits for the tribal communities. Increased tribal revenues could positively impact employment and infrastructure within the tribes. Statewide, the legalization and regulation of online gambling could increase tax revenues, though the rate and how revenues are shared remain points of contention.
Despite legislative approval, Governor Mills is expected to veto the bill, creating uncertainty around its final enactment. The bill has encountered opposition in the Senate, including a stalemate over tax rates on iGaming revenue. Prior to its approval, the bill was shelved by the Veterans and Legal Affairs Committee earlier in the year but was revived due to growing concern over Maine’s illegal online gambling market.
In 2023, the casinos paid $70.1 million in taxes to the state, according to the American Gaming Association. The Maine Indian Claims Settlement Act (MICSA) of 1980 affords the tribes a narrower version of sovereignty, not including the right to organise gaming on their lands. The legislation passed in 2022 handed exclusivity on mobile sports betting to the Wabanaki tribes, setting a precedent for this current bill.
The outcome of this bill will have significant implications for both the gaming industry and the tribal communities in Maine. As the bill awaits the governor's decision, stakeholders remain hopeful for a positive resolution that balances economic growth, fairness, and regulatory oversight.
- The bill, if passed, would grant exclusive privileges to the state's four federally recognized tribes for operating online gaming within Maine, potentially creating a tribal monopoly on iGaming.
- Commercial casinos in Bangor and Oxford, including the Hollywood Casino, have expressed opposition to the bill, fearing that online gaming would cannibalize their land-based gaming revenues.
- The bill, if enacted, would give Maine tribes control over the state’s legal online casino market, potentially reducing the illegal gambling market by providing a regulated tribal iGaming alternative.
- If the bill generates significant economic benefits for the tribal communities, increased tribal revenues could positively impact employment and infrastructure within the tribes.
- Despite legislative approval, Governor Mills is expected to veto the bill, creating uncertainty around its final enactment and potentially impacting the gaming industry and tribal communities in Maine.
