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Hawaii Advances Sports Betting as States Revisit Gambling Laws

Hawaii lawmakers advance HB 2570 to legalize online sports betting, while Indiana moves to ban sweepstakes casinos and Maryland reintroduces online casino legislation amid ongoing regulatory debates.
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Hawaii Gaming Control Commission

Branimir Ivanov | Senior News Contributor

Updated: Feb 19, 2026

States Reassess Gambling Regulations

State lawmakers across the United States and Canada are revisiting gambling policy this session, with proposals ranging from online sports betting legalization in Hawaii and Wisconsin to sweepstakes bans in Indiana and online casino expansion in Maryland. The flurry of activity reflects a broader recalibration of gaming regulation as jurisdictions weigh consumer demand, tribal interests, tax revenue and concerns over problem gambling.

In Hawaii, the House Economic Development and Technology Committee advanced HB 2570 by a 5-3 vote last week, moving the state one step closer to potentially legalizing online sports betting. The approval came despite substantial opposition testimony from the state attorney general’s office, the Honolulu Police Department and the Department of Commerce and Consumer Affairs.

HB 2570 would authorize at least six online sportsbooks and impose a 15% tax rate. The bill’s unusual effective date of “1 July 3000” is designed to allow further legislative refinement before implementation.

The proposal must still clear two additional House committees before reaching the chamber floor. If passed, it would proceed to the Senate. Lawmakers are also awaiting the findings of a separate gambling study committee scheduled to conclude later this year.

The renewed push follows a near miss in 2024, when a legalization measure reached conference committee but failed to produce a final compromise. Governor Josh Green previously indicated he would have signed the bill had lawmakers reached agreement.

Representative Daniel Holt, who authored last year’s legislation, saw disagreements emerge over the tax rate, licensing fees and regulatory oversight. The House initially stripped out a proposed 10% tax and $250,000 license fee before the Senate restored those provisions, ultimately stalling negotiations.

 

State/Province Legislation Status Key Details
Hawaii HB 2570 – Online Sports Betting Advanced in House Committee 6 sportsbooks, 15% tax, effective date placeholder
Wisconsin AB 601 – Tribal Mobile Sports Betting Ongoing discussions Tribal-only vs. commercial participation debate
Indiana HB 1052 – Sweepstakes Casino Ban Passed Senate Committee Increases Gaming Commission enforcement authority
Maryland HB 518 / SB 761 – Online Casino & Prop Bet Rules Introduced / Reintroduced Bans prop bets, credit card funding; online casino to voters
Washington SB 6137 – In-State College Betting Passed Senate Allows tribal casinos to offer bets on local college teams
Quebec Online Gambling Market Reform Proposal Under consideration Advocates for private operator licenses, independent regulation

Wisconsin Tribal Mobile Betting Discussions Continue

In Wisconsin, discussions over mobile sports betting remain unresolved. Assembly Bill 601, introduced last year, would allow tribes to operate online sportsbooks. Though tabled previously, House leadership has signaled that talks are ongoing in the 2026 session. Democratic Governor Tony Evers supports allowing tribal operators to expand into mobile wagering. Some Republican lawmakers, however, have advocated for the inclusion of commercial entities alongside tribal operators, exposing a key policy divide over market structure.

Sports betting in Wisconsin is currently limited to retail wagering at tribal casinos under amended compacts. In Indiana, lawmakers are moving to prohibit sweepstakes casinos, which have proliferated in regulatory gray areas across multiple states. HB 1052, which passed the House earlier this month, cleared the Senate Public Policy Committee unanimously last week.

Committee Chairman Ron Alting, a sponsor of the measure, indicated interest in amending the bill to regulate and tax sweepstakes operators but ultimately advanced it without changes. The legislation would also expand the enforcement authority of the Indiana Gaming Commission to target illegal operators.

In Maryland, lawmakers are considering two distinct gambling measures. HB 518 would impose new consumer protections in sports betting, including banning proposition bets and prohibiting credit card funding of wagering accounts. It would also require bettors to set time and deposit limits and codify a 2024 rule from the Maryland Lottery and Gaming Control Commission restricting certain prop bets.

Separately, Senator Ron Watson has reintroduced SB 761 to legalize online casino gaming. The proposal marks the third consecutive session in which he has pursued the issue, alongside Delegate Vanessa Atterbeary in prior years. Previous efforts have faced organized opposition from labor groups and the National Association Against iGaming, which argue that online casinos could cannibalize revenue from land-based casinos and threaten jobs. If approved by lawmakers, the proposal would go before Maryland voters for final authorization in November.

 

Washington Senate Expands College Betting

The Washington Senate voted 41-8 to pass SB 6137, which would permit tribal casinos to offer wagering on in-state college teams. The bill now moves to the House. Under current law, sports betting in Washington is restricted to tribal lands and excludes betting on in-state collegiate programs. The proposal would lift that restriction while maintaining a ban on proposition bets involving in-state college athletes.

Supporters argue residents are already placing such wagers through unregulated platforms and that regulation would provide stronger consumer protections. North of the border, a coalition of online gaming operators is urging Quebec to open its online gambling market beyond the government-run Loto-Québec platform.

The Quebec Online Gaming Coalition submitted a pre-budget brief to the Ministry of Finance, estimating that the province is foregoing roughly $300 million in annual tax revenue by limiting legal online gambling to the state monopoly. The coalition recommends establishing an independent regulator, creating Quebec-specific standards, licensing private operators and dedicating a portion of revenue to community initiatives and problem gambling prevention.

 

We put our best effort forward; we got it very far this year, this deep into conference, but it seems as if we have not come to agreement on details: the tax amount, who would operate, would house the operation of the sports betting and give out the license and licensing fees.

 

Broader Regulatory Crossroads

Taken together, the developments illustrate divergent approaches to gambling expansion. Some jurisdictions, such as Hawaii and Maryland, are cautiously exploring broader legalization. Others, including Indiana, are tightening enforcement around unregulated products. Meanwhile, debates in Wisconsin and Quebec highlight ongoing tensions between tribal sovereignty, commercial participation and government monopolies.

As lawmakers weigh revenue potential against social and economic risks, the pace and shape of gambling expansion remain highly state-specific — and politically contingent.

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