A proposal to legalise online casino gaming in New York gathered fresh support in Albany this week, with Senate finance committee leadership signalling willingness to include an iGaming framework in the revenue package for the 2027 fiscal year.

The shift in tone follows a series of industry-sponsored fiscal impact studies that put first-year tax revenue from a regulated online casino market in New York between $475 million and $810 million, depending on the tax rate.

What the bill would do

Senator Joseph Addabbo's S2614 would authorise the state's existing licensed casino operators, plus up to three additional mobile-only operators, to offer online slots, table games and live dealer products. The proposed gross gaming revenue tax is 30.5 percent, lower than the 51 percent rate on mobile sports betting.

What is different this year

The same bill failed to advance in both 2023 and 2024. Two factors appear to have changed the calculus. First, the state's forecast for mobile sports betting receipts has softened as the market matures, creating an incentive to diversify gaming revenue. Second, union objections over employment impact at brick-and-mortar casinos have been addressed with mandatory revenue-sharing obligations for the parent licensees.

"The job protections were the missing piece in 2023," one senior legislative staffer said. "With the union side settled, you have a path that did not exist before."

Timing

The budget must be adopted by June 30. Industry lobbyists expect a floor vote before then, with implementation and first licences not earlier than the third quarter of 2027.