Virginia Online Casino Senate Bill Advances Following RG Additions
By Drew Ellis
Published:
A few days after being voted down in a subcommittee, Senate Bill 118 passed through the Senate General Laws and Technology Gaming Subcommittee after all.
SB 118 would see online casinos legalized in the state of Virginia.
After losing a 4-3 vote last week, the bill added more responsible gaming measures to become more appealing. The new version of the bill had a 9-6 passing vote this time around.
It now moves to the Senate Finance and Appropriations Committee. Should it pass there, it will be sent to the Senate floor to be considered.
What SB 118 Includes for VA Online Casinos
SB 118 was introduced by Sen. Mamie E. Locke (D-23), a senator that has been pushing for online gambling expansion in the past.
This bill would grant the three land-based casinos to offer iGaming licenses to operators once legal. Each casino would be granted up to three licenses to give.
Two other retail casinos that will be opening later in 2026 would also be eligible to supply online casino gaming through operator partnerships as well.
Each casino would need to pay a $2 million platform fee, while each approved operator would be subject to a $500,000 licensing fee.
These licenses would last for five years before being able to renew at half the cost.
The bill calls for a 15% tax on the adjusted gross revenue of each online casino operator.
A Problem Gambling Treatment Fund would receive 5% of the tax revenue, while an iGaming Hold Harmless Fund would get 6% until January 2030. The remainder would go to the Virginia General Fund, which would be 89% until 2030, then jump to 95%.
Added RG details include a strategic implementation plan from the online casino operators to better identify at-risk gamblers. That includes the use of automated triggers to identify and manage accounts with potential issues, as well as levels of intervention and education provided to the at-risk players.
Previous Version Voted Down
Late last week, SB 118 received a 3-4 vote of defeat, with one abstention, in the same subcommittee.
Despite the setback, many of those opposed or those that didn’t elect to make a vote, still believe iGaming in Virginia was eventually going to happen.
Many feel that Virginians are already online gambling illegally, without the state receiving any of the benefits. They would like to see Virginia be able to regulate the industry and pile in more tax revenue for the state.
Gambling addiction and gambling-related crime concerns have been a driving force behind the pushback against VA online casinos. These issues will likely remain a major talking point as this bill looks to move further through the Senate.
Another bill that passed through the subcommittee last week was SB 195, which would establish a Virginia Gaming Commission. That could be a key step for gambling expansion in the state. Currently, the Virginia Lottery oversees any kind of legal online gambling in the state, but may not be equipped to properly oversee legalized online casinos.
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.