Connecticut has become the sixth state in the US where online gaming casinos are legal, and also the seventh state to have regulated poker online. Governor Ned Lamont signed house bill 6451 on Friday, May 28 after it received support in the state senate, with an overwhelming vote margin of 28-6. Of all the senators, three Democrats and three Republicans voted against the bill, expressing fears over addictive gambling.
In a public statement released by the Governor’s office, the Governor described the signing as the beginning of an era.
“By signing this bill into law, Connecticut is now on the cusp of providing a modern, technologically advanced gaming experience that will be competitive with our neighboring states and positions us for success into the future. Today, we celebrate the result of months of hard work and dedication toward an agreement that is best for the residents of Connecticut and the respective tribal members.” Governor Lamont said.
The idea of legalizing online gaming casinos in Connecticut started in 2011 when former Governor Daniel P. Malloy advised state legislators that regulation of online casinos and online poker is worth looking into.
Legal Framework For the New Bill
The legal framework of the new bill shows that only the two tribes of the state, the Mashantucket Pequot and Mohegan tribes will be licensed operators, operating out of their Mohegan Sun and Foxwood casinos, although they will be regulated by the Department of Consumer Protection.
The Connecticut Lottery Corporation (CLC) will also be a beneficiary of the law, offering selected online games. This won’t cover online poker though. The corporation can own 15 retail sportsbooks across the state, 25 miles away from each of the two casinos. The lottery is expected to partner with Sportech, for many of these brick-and-mortar games.
With the framework, it is expected that there will be a swift approval from the Federal Government, as Federal tribal gaming laws including court proceedings have barred tribes from operating online gaming casinos or own a casino outside a tribal territory, except they are regulated under the state.
All that remains is the confirmation by the US Department of Interior.
The Future of Online Casinos in Connecticut
Online gaming casinos are expected to provide up to 80% of the state’s sports revenues with an estimated population of 600,000 taking advantage of this law. The law is projected to generate a minimum of $30 million in a fiscal year, with estimates seen to rise above $80 million by the year 2026. As for taxes, 18% in gross revenues will be remitted in the first five years, followed by a 2% rise in the next five years after with 13.75% on sports betting.
With the deal struck between the government and the two tribes, each casino will pay $500,000 each year towards programs for gambling addictions, while the lottery commission will contribute $1 million.
A new feature will also be added to every online gaming casino website, where there will be reminders to show the amount of time spent on the site, credit limits, and an option to go off at once.
Rep. Maria Horn, D-Salisbury, who led the passage commented on the safeguards:
“There are to be clear displays on your phone, whatever device you’re using to do online gaming, clear displays of the amount of time spent, means to initiate a break at play and display the amount of money available, as well as self-exclusion programs,” Horn said, describing them as a way to “hopefully catch addictive behavior before it goes too far.”
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