Legislators and Regulators Convene to Shape Online Casino Law

The first panel will feature legislators, the second panel regulators and the third panel suggestions from private industry.

“What we plan to do at the conference is provide an overview of the top-line issues we’re working on for the model legislation,” NCLGS President Shawn Fluharty, a West Virginia delegate, told PlayUSA. “Then we’ll produce a final version of the legislation to have in place before legislative sessions begin in the fall and winter.”

Online casino topics will include cannibalization, tax rates and the best number of licenses and skins.

NCLGS blueprint could help states legalize online casino

Since announced at the last NCLGS meeting in Fort Lauderdale, Florida, in January, the iGaming Model Legislation Committee has met virtually several times.

“We’ve held committee meetings the past few months, stakeholder meetings, just as we would with typical legislation,” Fluharty said. “We’ve had input from experts within the industry, regulators in states with legal iGaming and international input from the UK to try to get a structural framework in place to produce some best practices.”

Rhode Island became the seventh state to legalize online casino in 2023, joining Delaware, New Jersey, Pennsylvania, West Virginia, Michigan and Connecticut. But online casino legalization efforts stalled with no states passing legislation in 2024.

“I think legislators and regulators alike are looking for an opportunity to peel back the layers of what has been successful in other states,” Fluharty said. “We need to have better collaboration between regulators and legislators, so what better conference to put forward legislative framework for iGaming than one where legislators and regulators do collaborate?”

The next wave of online casino legalization will start in the coming years. Fluharty said NCLGS can help by providing a legislative blueprint for iCasino.

The iGaming Model Legislation Committee won’t release its final report at the conference. Committee members will incorporate suggestions made during the conference and, in the coming months, release a draft of the model legislation for a 30-day public comment period.

“Hopefully we can produce a framework that our members can use to bring back to their districts and have a model of what iGaming legislation looks like going forward,” Fluharty said. “In some states, legislators have had difficulty passing iGaming legislation. Maybe this can serve as a catalyst.”

Other topics at national legislative conference

The four-day NCLGS conference, which begins Wednesday, also includes discussions on responsible gaming, Pennsylvania’s gaming success, skill games, NCAA player protections in sports wagering, protecting sports bettors and Indian gaming.

The online casino model legislation panels will take place Thursday.

More than 40 legislators from 18 states and Puerto Rico are scheduled to attend the conference.

Spectrum Gaming Group serves as executive director of NCLGS, which has been meeting since 1995.

By Mathew Credell