Legislation Advances in Ohio: Bills Proposing Legalization of Online Gaming and Lottery in Both Legislative Bodies
Two bills currently under consideration in Ohio's state legislature could potentially legalize online casino games and, in one case, an online lottery. As of early June 2025, neither bill has been enacted into law.
House Bill 298, sponsored by Representatives Marilyn John and Brian Stewart, and Senate Bill 197, introduced by Senator Nathan Manning, aim to legalize iGaming solely in Ohio's current casinos and racinos. The bills, if signed into law, set a launch deadline of no later than March 31, 2026. The Ohio Casino Control Commission would regulate iGaming, with participation limited to those 21 and older. HB 298 specifically prohibits sweepstakes gaming in the state.
Senate Bill 197 also addresses iLottery, but operational details are less defined. The state lottery agency is likely to be involved, although the exact structure is not fully detailed.
If enacted, iGaming could generate significant annual revenue for the state. A mature market could potentially yield $400-800 million annually, according to estimates. Each five-year iGaming license would cost $50 million, with a $10 million renewal fee.
Official revenue projections for Ohio are not yet available, but states with similar online casino frameworks often generate hundreds of millions in annual tax revenue. In contrast, specific revenue estimates for iLottery have not been provided.
Both bills propose a state tax rate of 28% on iGaming revenues. Revenue would primarily fund the state's general fund, with a small percentage dedicated to a problem gambling fund.
The bills are currently under review, with House Bill 298 awaiting further hearings, and Senate Bill 197 scheduled for a second hearing on Thursday. If passed, iGaming could potentially launch by the end of March 2026.
In terms of iLottery, revenue potential exists, but specific details and estimates are not fully defined in the current legislative discussion.
- The online casino industry in Ohio could see massive growth, with a mature market potentially earning $400-800 million annually.
- As part of the ongoing legislative process, House Bill 298, if enacted, would introduce online casino games and blackjack, but specifically prohibit sweepstakes gaming.
- Senate Bill 197, while addressing iLottery, does not provide complete operational details, though the state lottery agency is likely to be involved.
- If successfully passed, the 28% state tax rate on iGaming revenues could generate significant income for Ohio's general fund and problem gambling fund.
- In Las Vegas-style casinos, progressive jackpots and sports betting could become popular options if online casino games become legal within the existing casinos and racinos.
