Chavdar Vasilev is a gambling news writer with several years of experience in the iGaming industry. He started creating promotional content but soon found he loved reporting on the industry itself. Since then, he’s delivered...
Read Full BioRhode Island’s attempt to end its single-operator online sports betting model has failed, as the House declined to advance legislation that would have opened the market to multiple sportsbooks.
Senate Bill 748, sponsored by Sen. Frank Ciccone, proposed ending IGT’s exclusive contract and expanding the market to 3–5 sportsbooks as early as 2026.
The Senate passed Ciccone’s bill in early June with a 30-3 vote. However, once it reached the House, it never received a committee hearing. The legislative session ended on June 21, effectively killing the effort for the year.
House’s Rejection Is Not a Surprise
The bill’s failure in the House does not come as a surprise to many.
In May, House Speaker K. Joseph Shekarchi stated that he’s not interested in discussing market expansion this year, as the IGT contract doesn’t expire until 2026. He told the Rhode Island Current:
“There is no need to adopt legislation this year because the state is under contract with the current vendor for another year.”
IGT and Lottery Opposed Expansion
The House’s lack of interest could also be attributed to opposition from IGT. The company claimed that bringing more operators to the state wouldn’t necessarily increase revenue for Rhode Island.
In a Senate testimony, IGT Senior VP Joe Bertolone stated that the Rhode Island model outperforms neighboring states with multi-license systems.
The Rhode Island Lottery, which oversees sports betting, also had some concerns. Director Mark Furcolo questioned whether invalidating the extension option for the IGT contract might violate state laws. He added that the lottery doesn’t have the capacity to manage five operators.
Still, Furcolo signaled a willingness to consider alternatives. Later, he informed the legislative committee overseeing the state’s gambling sector that the lottery intends to issue a request for information (RFI) in early 2026.
Market Expansion Aligned With a Spectrum Gaming Report
The Senate approval of the bill came on the heels of a Lottery-commissioned Spectrum Gaming Report.
The report recommended that Rhode Island award four to six mobile sportsbook licenses to align with other New England states. Still, it also highlighted that the state must lower its 51% tax to attract potential licensees effectively. Notably, Ciccone’s bill did not propose any tax adjustments.
In addition to the 51% tax on gross gaming revenue, the IGT-powered Sportsbook Rhode Island pays a 17% server hosting fee to Bally’s Corporation.
Rhode Island’s tax is the highest in the US, along with New York and New Hampshire. However, given that New York is the biggest market in the country, most top operators have agreed to pay that.
Meanwhile, New Hampshire negotiated the rate with DraftKings for a market monopoly. Additionally, the state offers DraftKings various tax breaks.
