Rhode Island Bill Would Expand Online Sports Betting In 2026
Ocean State legislators want to open the playing field to as many as five mobile sportsbooks by mid-2026
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Rhode Island lawmakers have submitted a bill that has the potential to expand the mobile sports betting market in the state starting in mid-2026.
Four Democrat senators — John Burke, Frank Ciccone III, Todd Patalono, and David Tikoain — submitted SB 748 last week, and it was moved to the upper chamber’s Labor and Gaming Committee.
It proposes the Rhode Island Lottery, which oversees gaming in the Ocean State, “shall not renew any existing sports-wagering vendor contracts in effect” after July 1, 2026, and “shall issue an open invitation to applicants for sports-wagering vendor contracts and then shall award at least (5) individual sports-wagering vendor contracts.”
Bally’s has a de facto monopoly on mobile sports betting and internet casino gaming in Rhode Island, where it also has two brick-and-mortar casinos. It launched sports betting there in November 2018 prior to its rebranding from Twin River in 2020 and took its first mobile wagers in the state in September 2019.
Bally’s recently marked its one-year anniversary for iGaming in Rhode Island, having launched that gaming vertical March 5, 2024.
Looking to emulate Washington DC?
The proposed bill could be seen as Rhode Island looking to copy the success Washington D.C. had expanding its marketplace last summer. Mobile sportsbooks DraftKings and Fanatics both launched operations in addition to holdover retail operators FanDuel, Caesars, and BetMGM entering the digital space.
The DC Lottery had originally contracted with Intralot to provide odds for GambetDC, but the platform was universally reviled by bettors and forced the district council to come up with a better solution. The expansion paid off as handle surged 171.3% from 2023 to $460.9 million and contributed to an increase of more than $3.2 million in tax receipts to nearly $11.8 million.
International Games Technology (IGT), which operates through Bally’s Twin River and Tiverton venues, pays a 51% tax on sports betting revenue for its virtual monopoly, and the state has collected close to $110 million in taxes since launch.
Wagering, though, has stagnated with surrounding states Massachusetts and Connecticut launching sports betting in recent years. The $483.7 million in accepted wagers in the Ocean State last year was up 4.9% from 2023, but that is also 9.2% off the peak of $532.6 million in 2022.
Additionally, improved bettor performance in 2024 resulted in a 5.5% decline in revenue to $38.1 million. That led to $1.1 million less in tax receipts.
There is no outcry over Bally’s mobile sports betting platform similar to Intralot in Washington D.C., but there is reason to believe a larger number of operators could provide a boost in wagering, especially if the nation’s two marketplace leaders FanDuel and DraftKings set up shop.
Leaving iGaming alone
To its credit, Bally’s more than absorbed the decline in sports betting tax revenue with its iGaming suite. The new gaming vertical has generated $14.4 million in tax receipts in its first 11 months, and total monthly drop reached a record $103.6 million in January.
The state also did its part in setting proper tax rates, placing a higher levy on slot revenue at 61% compared to 15% for table games. As a result, more than 92% of tax derived from iGaming — $13.2 million — has come from slots.
