Rhode Island Casinos Seek More State Money as Smoking Ban Discussions Linger
Posted on: May 29, 2025, 10:59h.
Last updated on: May 29, 2025, 11:49h.
- Rhode Island’s two casinos primarily benefit the state
- Bally’s, which runs the casinos, is seeking more promotional tax money
- Bally’s Lincoln and Bally’s Tiverton offer slot-like video lottery terminals
Rhode Island’s two commercial brick-and-mortar casinos want more money from the state to promote their gaming operations, which primarily benefit the state government.
Rhode Island-based Bally’s Corp. maintains a monopoly on in-person casino gambling with Bally’s Lincoln and Bally’s Tiverton. The bulk of the casinos’ revenue, however, is allocated to the state.
The Lincoln and Tiverton casinos direct 60% of their slot-like video lottery terminal revenue to the Rhode Island General Fund. The state additionally collects 15.5% of table game win, and another 1% is reserved for each casino’s host community.
With lawmakers in Providence mulling legislation to force both Bally’s Rhode Island casinos to go smoke-free, the gaming operator says the state must do more to ensure its businesses remain profitable and continue providing critical tax money for the government.
Rhode Island Casino Marketing Pact
Since the Lincoln and Tiverton casinos significantly benefit the state — Rhode Island receives more than $350 million annually from their operations — the state provides Bally’s with an annual marketing subsidy. The allotment currently totals around $4 million per year.
Bally’s, which strongly opposes House Bill 5464 and Senate Bill 188 — statutes that would require the elimination of tobacco smoking indoors on the gaming floors — says it needs more promotional funds from Providence to keep its properties competitive amid the looming regulatory threat.
Bally’s has successfully lobbied state Senate Majority Leader Frank Ciccone (D-Providence) and Sens. David Tikoian (D-Lincoln), Hanna Gallo (D-Cranston), and Louis DiPalma (D-Tiverton) into authoring and sponsoring legislation to raise its annual marketing benefit.
Senate Bill 1112 would bring the two casinos into a single “Consolidated Marketing Program” and raise the cap on how much annual money the state could provide the gaming properties. SB1112, according to projections from the Rhode Island Department of Revenue, would increase the annual marketing allocation by about $2.75 million to approximately $6.75 million.
The casino marketing apportionment is currently calculated based on the state’s gambling revenue receipts but cannot increase by more than 3% in a given year.
Smoking Worries
Though HB5464/SB188 haven’t passed a committee in their respective chambers, Bally’s remains on edge about a possible smoking ban. Bally’s reps have testified that smoking is key to keeping the properties competitive, as Rhode Island has benefited from casino smoking bans in neighboring Massachusetts and Connecticut.
Mohegan Sun and Foxwoods, being tribal casinos operating on sovereign lands, can dictate their laws regarding indoor smoking. Both properties, however, made the voluntary choice to go smoke-free in the wake of the COVID-19 pandemic.
Bally’s estimates that a smoking ban would lead to $20 million a year in fewer gaming tax dollars for Rhode Island.
During a February interview, Bryan Hayes, the senior vice president of gaming operations at Foxwoods, told Casino.org that the verdict regarding the Mashantucket Pequot Tribal Nation’s decision to make its gaming floors free of secondhand smoke is still out. Hayes explained that Foxwoods “hit a recovery period” post-COVID that made an “apples-to-apples comparison” futile.
Last Comment ( 1 )
Lincoln is a smoke pit! Employees have gotten cancer and have died from second hand smoke. Bally’s would rather have gamblers and employees die than lose money. Uneducated, risk takers smoke. Smoking lobbyists will give politicians anything than lose that dirty cigarette.