Policymakers from the Free State have rekindled their push for legalizing online casino games within the state. House Bill 1319 (HB 1319), known as Internet Gaming – Authorization and Implementation, is the latest proposed legislation that seeks to establish a regulated online gambling environment in Maryland.
HB 1319 was introduced back in the 2024 Regular Session, and was tied to HB 17 that was pre-filed back in January. Now, HB 1319 is in the Senate, and is awaiting its first Hearing in the Opposite Chamber.
HB 1319 is sponsored by Maryland Delegate Vanessa Atterbeary, who is a known advocate for the actualization of legal online casinos within the state. According to the bill, the State Lottery and Gaming Control Commission will issue internet gaming licenses to qualified applicants, which would include casinos, licensed sports betting facilities, and other businesses.
In the event that HB 1319 passes, Maryland players will have access to play online slot games, online blackjack, online roulette, and poker.
Moreover, HB 1319 will set and implement a licensing process for prospective online casino operators, with the first round of licenses reserved for social equity applicants, including businesses with 33% minority ownership.
Online Gambling Revenue Allocation
Under the proposed legislation, revenue from online gambling would be transferred to the State Lottery Fund, with licensees retaining 80% of the proceeds from live dealer games, and 45% of the proceeds from all other internet gaming. The remaining funds would be distributed to several state programs.
Worker-Related Allocation
During the first 12 months that internet gaming is in operation, up to $10 million will be allocated to the Video Lottery Facility Employee Displacement Fund, which would support workers at existing casinos who lose their jobs or face reduced work hours due to the expansion of Internet gaming. The fund would ideally mitigate the negative impact of online gambling on brick-and-mortar casino jobs.
Funding would also be allocated for local jurisdictions where physical casinos are located. The amount each jurisdiction receives would be based on its share of overall gross revenue generated by video lottery terminals, or online gaming machines placed in casinos. The overall pool available to local jurisdictions would increase each year.
Funding available to local jurisdictions by year:
$6.5 million in FY 2026
$8.3 million in FY 2027
$10 million in FY 2028
$11.3 million in FY 2029
$11.4 million in FY 2030
Moreover, 1% of all proceeds would go to the State Lottery and Gaming Control Agency for regulatory activities and investigations, and an additional 1% would go to the state’s Problem Gambling Fund.
Counties would also receive 1% for education programs, with the distribution based on the population of students. Meanwhile, the remainder of the funds would go towards education reform, through the Blueprint for Maryland’s Future Fund.
It is worth noting that revenue from sports betting, which became legal in Maryland in June 2021, already goes towards the fund. As of December 2024, more than $116 million in funding from sports betting had gone to the fund.
Previous Pushes for Online Gambling in Maryland
Local lawmakers in Maryland have been attempting to legalize internet gambling within the state. Senate Bill 603 was proposed in 2024. and aimed to legalize online poker and casino games.
SB 603 was backed by Senator Ron Watson, and faced strong opposition that stemmed from concerns that it would worsen gambling addiction. As a result, SB 603 didn’t get passed.
