Arkansas Bill to Legalize Online Casino Gaming While Banning Sweepstakes Games
Arkansas lawmakers introduced new legislation that aims to simultaneously prohibit sweepstakes gaming while legalizing iGaming in the state.
Casino poker chips and cards
The legislation, introduced as HB 1861 by Rep. Matt Duffield (R-53), would affect the state's three licensed casinos: Saracen Casino Resort, Oaklawn Racing Casino Resort, and Southland Casino Hotel. These facilities currently offer online sports betting services.
Key Points of the Legislation:
- Prohibits dual-currency sweepstakes games that offer cash prizes or equivalents
- Bans unauthorized casino-style gaming including slots, video poker, and table games
- Allows sweepstakes that don't award cash or cash equivalents
- Permits each licensed casino to partner with one iGaming operator
The proposed iGaming framework notably doesn't specify tax rates or license fees. However, it may follow the state's current sports betting tax structure:
- 13% tax on first $150 million
- 20% tax on revenue exceeding $150 million
Important regulatory aspects:
- Arkansas Racing Commission will oversee iGaming operations
- Casinos must maintain 51% or more of net gaming revenue in partnerships
- All three licensed casinos currently use their own platforms for sports betting rather than partnering with external operators
While Sen. Dave Wallace (R-19) introduced a companion bill (SB 524) in the Senate, it was withdrawn from the Senate Insurance and Commerce Committee. Duffield's House bill remains under consideration in the House Judiciary Committee.
This legislation represents Arkansas's first attempt to simultaneously restrict unauthorized gaming while expanding licensed digital gambling options within the state.