Bipartisan POINTS Act Targets Problem Gambling with Federal Sports Betting Taxes
A new bill in the US aims to tackle the rise of problem gambling by redirecting existing tax funds. The POINTS Act of 2026, introduced by Rep. Erin Houchin, proposes using 33% of federal sports betting taxes to support addiction prevention and treatment. The legislation marks the first bipartisan effort in 15 years to address gambling-related harm on a national scale.
The bill arrives as sports betting continues to expand across the country. By early 2026, around 38 states and the District of Columbia have legalised the practice, with New Jersey leading the way in 2018 after the PASPA repeal. Nevada, long a pioneer, maintained its established market, while states like Pennsylvania and Connecticut introduced both online and in-person options. Florida also legalised betting but restricted operations to the Seminole Tribe. Meanwhile, regulatory disputes persist in states such as Tennessee, Maryland, and New York over sports-like event contracts.
Rep. Houchin highlighted the need for action as online gambling and sports betting become more accessible. The POINTS Act would distribute roughly $100 million annually to states, tribes, and tribal organisations for harm prevention, intervention, and treatment. The funds would specifically target vulnerable groups, including young people, veterans, and Native Americans, who face higher risks of gambling-related harm.
The proposal has drawn broad support without imposing new taxes. Bipartisan backing comes from Rep. Andrea Salinas of Oregon, Mariannette Miller-Meeks of Iowa, and Troy Carter of Louisiana. Heather L. Maurer, executive director of the National Council on Problem Gambling, praised the bill for treating gambling addiction as a public health priority and securing stable federal funding.
If passed, the POINTS Act would redirect existing federal excise taxes to combat problem gambling. The $100 million annual allocation would fund research, prevention, and treatment programmes nationwide. The bill's focus on high-risk groups reflects growing recognition of gambling addiction as a serious public health concern.
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