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Iowa lawmakers introduce bill to authorize online casinos

Publish Date: 03/19/2023
Fact checked by: Mike Goodpaster

Iowa lawmakers have proposed House Study Bill 227, which attempts to regulate online casinos and would make Iowa the seventh state in the United States to provide such services.

The measure aims to grow the online sector even more — leaving a third skin option up to the Iowa Racing and Gaming Commission. The organization would also establish the regulatory system for iGaming businesses.

House Study Bill 227 would allow gambling businesses to debut their products in the state by forming partnerships with local entities, but they must pay $45,000 for a license. They are also subjected to a $10,000 annual renewal fee to continue offering advance deposit gambling games in Iowa.

“Advanced deposit gambling games,” as explained by the bill, are a sort of wagering on games in which the participant deposits money into an account and uses that account balance to play games of chance.

Prioritizing customer experience, operators’ expansion

The bill states that a mechanism for excluding oneself from gambling will be developed.

As for the operators, the bill assures they can launch one or two of their businesses in Iowa. In addition, the Iowa Gaming Commission may permit companies to introduce a third brand under particular conditions.

House Study Bill 227 compels licensees to provide consumers with the information to make well-informed choices about problem gambling. Additionally, companies should include tools that assist players in controlling their expenditure and playing time.

If the measure is passed, Iowa will become the sixth state in the U.S. to authorize iGaming.

Despite the rising popularity of online sports betting in the country, it is only available and legal in a few states. Delaware, Connecticut, Michigan, New Jersey, Pennsylvania and West Virginia are the only legal markets for online casinos.

The land-based sector in Iowa now employs 17,420 people and has a $2.8 billion economic effect. If House Study Bill 227 is approved, online gambling gaming will increase these figures.

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