Hawaii Casino Bill Dead, iGaming and Sports Betting Face Long Odds

Posted on: February 17, 2025, 03:44h. 

Last updated on: February 17, 2025, 04:37h.

Devin O'Connor @CasinoorgDevinO Read More
Expertise: Asia Pacific Gaming, Commercial Gaming, Legislation, Politics.
  • Hawaii is mulling sports betting but a push for casinos is dead
  • Legislation to authorize iGaming and an online lottery remain active
  • Currently, Hawaii has no legal forms of gambling

Hawaii casino legislation has been folded on by a Senate committee in Honolulu.

Hawaii casino bill iGaming sports betting
The odds are long that sports betting will come to Hawaii and its many resort destinations like Kaanapali Beach in Maui (pictured). Legislation to authorize casinos has already been defeated. (Image: Shutterstock)

Last week, the Hawaii Senate Committee on Commerce and Consumer Protection folded on Senate Bill 893. The legislation, filed in January by state Sen. Majority Leader Dru Kanuha (D-Hawaii County), sought to allow two commercial casinos in the New Aloha Stadium Entertainment District and the other at the Hawaii Convention Center.

The Senate committee, however, decided to “indefinitely defer” the bill after fielding robust opposition that included comments from the state Department of Commerce and Consumer Affairs and Attorney General Anne Lopez. Committee Chair Lynn DeCoite (D-Maui County), who is sponsoring legislation to allow for sports betting in the island state, announced after the Feb. 13 meeting testimony was largely one-sided against bringing Las Vegas to Hawaii that the committee was shelving SB 893.

There was overwhelming opposition to this bill from the testifiers. For those who supported the bill, I considered and appreciated your points of view,” DeCoite explained.

“But for those reasons, I am deferring this bill indefinitely,” she continued. “Casino gambling has not always been a favorite subject. Regardless of if we’re flying to Las Vegas or any other place, we’ve always had our challenges here in Hawaii.”

As DeCoite concluded, there was a roaring applause in the committee chamber from those who opposed the casino bill. SB 893 suggested imposing a 15% flat tax on casino revenue, money that would have been primarily used to fund K-12 public education.

iGaming, Sports Betting Clings to Life

The Hawaii casino bill is dead for 2025. The odds are good that a similar fate will find legislation to authorize online casino gaming and sports betting.

Senate Bill 1569 — sponsored by DeCoite along with five Democratic and one Republican cosponsors — would authorize online sportsbooks and tax their gross proceeds at a rate of 10%. The bill would specify that sports betting “shall not be considered games of chance or gambling.”

SB 1569 cleared the Senate Economic Development and Technology Committee earlier this month with a unanimous 5-0 vote. It’s now set for consideration in DeCoite’s Commerce and Consumer Protection Committee.

While DraftKings, BetMGM, the Sports Betting Alliance, and Boyd Gaming submitted written testimony in support of SB 1569 ahead of the Commerce and Consumer Protection Committee’s consideration, the City of Honolulu Police Department, AG Lopez, Deputy Attorney General David Williams, and many Hawaiians have expressed hostility to the sports betting statute.

As for iGaming, Senate Bill 1507 would authorize online casino gambling. Introduced solely by Sen. President Ronald Kouchi (D-Kauai County), the measure would authorize online slot machines, table games, poker, and instant lottery games. SB 1507 has been directed to the Senate Economic Development and Technology Committee but has not yet fielded a review.

Gaming Laws Unlikely

Hawaii has no legal form of gambling, as everything from charitable gaming and parimutuel wagering to lottery and tribal gaming are prohibited. Only Utah can also stake that claim.

Many Hawaiians who do want legal gambling blame politicians for being in cahoots with lawmakers in Nevada. Hawaii is a major feeder market for Las Vegas, with Sin City informally referred to as Hawaii’s “Ninth Island.”

Las Vegas is home to the largest population of native Hawaiians outside of Hawaii. Many Las Vegas casino resorts have island-inspired cocktails and Hawaiian food joints featuring Aloha specialties.