Virginia Online Casino Bills Pass Through Senate And House On Second Attempts
By Drew Ellis
Published:
Virginia online casino legalization is slowly making progress with lawmakers, but it hasn’t been easy.
Still, things took a positive step forward on Monday when Senate Bill 118 passed through the Virginia Senate.
The bill needed two votes to pass, as an initial 19-20 defeat changed to a 19-17 pass later in the day when three Senators declined to vote the second time around.
Something similar occurred on Tuesday with House Bill 161, as an initial vote on the House of Delegates floor saw the bill rejected 46-49. But, just an hour later, it passed rather easily, 67-30.
Each bill now moves to the other chamber to be discussed. In order for either to become law, both must pass the same identical bill.
Three Senators Allow Bill to Pass
Online casino legalization hasn’t been without plenty of debate in Virginia.
SB 118, along with companion House Bill 161, have both suffered voting defeats on their way toward passing. However, alterations to each bill in regard to responsible gaming measures as well as legalization deadline pushbacks have helped.
When it comes to SB 118, Sen. Schuyler VanValkenberg (D-72) initially voted no in Monday’s vote on the bill. However, they made a motion to reconsider, and VanValkenburg joined Sen. Bill DeSteph (R-20) and Sen. Stella Pekarsky (D-36) in declining to vote to allow the bill to pass.
SB 118 now moves on to the House of Delegates, which subsequently passed HB 161 on Tuesday after a failed first attempt.
HB 161 currently calls on passage in the Virginia House and Senate in both 2026 and 2027 before iGaming would become legal.
Right now, SB 118 would have legalization come this year, but an official launch couldn’t come until July 1, 2027. The House Bill also lists a July 1, 2027 launch date.
What VA Online Casino Legalization Includes
Both bills that are being considered have many of the same details in terms of license fees and tax rates.
As it stands, there would be a 15% tax on adjusted gross revenue for any online casino operators. The land-based casinos would each receive up to three online casino licenses. That includes the current three operating land-based casinos as well as two opening later in the year.
Each retail casino operator would have to pay a $2 million platform fee. Then, the online operators would each pay a $500,000 licensing fee. Licenses would last five years, with a renewal option at half the price once the five years is up.
Tax revenue would see 89% go to the Virginia General Fund until Jan. 1, 2030. It would then receive 95%. Until that date, 6% of the revenue would go to the Internet Gaming Hold Harmless Fund. The remaining 5% would go to a Problem Gambling Treatment and Support Fund.
Drew Ellis has experience covering the gambling industries in North America and around the world. Decades of media experience provide him with the background to handle the complexities of different gambling laws and policies around the United States and North America. Ellis has primarily focused on online and retail casino news since 2021. Prior to working in the gambling industry, Ellis spent over 20 years in the newspaper industry, covering sports and the gambling. His work for The Mt. Pleasant Morning Sun and The Oakland Press was recognized with awards by the Associated Press and other media organizations. Drew has also contributed to the Detroit Free Press and the Associated Press.
