New Hawaii Bill Would Legalize Online Casinos

The Aloha State is preparing to take another swing at legalizing gambling.

Hawaii Senate President Ron Kouchi has introduced SB 1507 into the state legislature. The bill would legalize online casinos and allow the Hawaii Lottery and Gaming Corporation to create and develop the industry's framework. 

Proponents of the bill believe the state could benefit from its thriving tourism industry. The bill would allow operators to offer Hawaiin-themed games and prizes, giving the market a unique feel compared to those in the continental US.

If passed, the bill would also legalize sweepstakes games, allowing players to gamble without making real money wagers.

The state’s distance from the rest of the country means a tourism bump won’t come from legal gambling. However, supporters hope the Hawaii-themed games will help encourage visitors to place wagers while on the islands. 

SB 1507 is the latest bill attempting to legalize some form of gambling in the state. Previous attempts have not come close, with concerns over the industry's social impact continuing to serve as a road block.

Sports Betting and Fantasy Bills Also Proposed

While SB 1507 only focuses on legalizing online gambling, two separate bills were proposed to legalize sports betting and daily fantasy sports. All three industries continue to face uphill battles toward legalization in Hawaii. 

Unlike other states, Hawaii is one of North America's most popular vacation destinations. That means it generates significant tax revenue from tourism, making gambling revenue less attractive than in other markets. As a result, many lawmakers and residents fear the bump in revenue is not worth the dangers associated with the industry.

The hope is that breaking these bills up will give them a better chance to pass. Online casinos remain rare in the US, but sports betting and daily fantasy games are available in most states. That could make it easier to pass either of those two than online gambling.