Charlene Lima’s bill takes New Hampshire’s online lottery laws as its template.
Rhode Island State Rep. Charlene Lima introduced a bill to legalize online lottery ticket sales. Lima’s bill would legalize online sales for weekly lottery drawings, as well asd online scratch-offs.
Two other US states plan to launch legalized online lottery tickets in 2018, while four others already have lotto sales online. The proposal comes at a time when some Rhode Island officials have expressed concerns that lotto revenues might fall off, after a couple of month-long declines in 2017.
Rep. Lima estimates that legal online lottery sales might generate an additional $25 million in revenues for the state each year. She said that online lottery tickets are more convenient, while it might open up sales to a whole new demographic.
The representative said, “Online sales would be attractive to Rhode Island’s growing millennial population.”
Would Millennials Buy in to Online Lotto Sales?
Whether millennials would flock to online lottery gaming is another matter. Millennials do not enjoy lottery betting as much as previous generations. While they love gaming, they prefer games of skill to games of pure chance. Lottery sales, including online scratch-off tickets, are games of chance with a high house edge.
Online scratchcards might prove lucrative for the State of Rhode Island. For the same reason, scratch-offs could prove to be controversial. Weekly state lottery drawings and multi-state lotteries like Powerball and Mega Millions encourage players to buy a single ticket or a group of tickets at a time. Online scratchcards, on the other hand, encourage repeat buys over the course of a session, much like online slots.
Lottery Subscriptions Likely
Seven states currently have lottery game subscriptions, so players do not forget to play the lottery. New Hampshire included lottery subscriptions in its 2017 law. Since Charlene Lima used New Hampshire as her model, it is thought Rhode Island will have lottery subscriptions.
That also means Rhode Island might have in-person account registration, because New Hampshire include on-site registration in its regulations. According to the in-person account registration provision, lottery bettors would have to go to a brick-and-mortar lottery vendor to register an account for online lottery play.
Photo ID Required to Register
Such a regulation means a player has to show a photo ID to prove they are 18 or older. It also might mean a few bettors would not want to register an account, because they would not be able to do so anonymously. While lottery betting is widespread and mainstream, some players might not want others to know they play regularly.
Last month, Rhode Island Gov. Gina Raimondo expressed support for legalize sports betting, if the US Supreme Court strikes down the 1992 PASPA federal ban on sports betting later this year. That would allow Twin River and Tiverton to open legal sportsbooks, which would generate significant new revenues for those casinos — and the state treasury.
Rhode Island Online Keno?
It is unknown at present whether Charlene Lima’s bill would legalize online keno. In New Jersey and New Hampshire, online keno games caused controversy, for many of the same reasons online scratchcards are concerning. In New Jersey, a keno drawing is held every 5 minutes, allowing players to wager 248 times every day.
Legislative Support for Online Lotto Tickets
Sen. Finance Chairman William Conley and Senate President Dominick Ruggerio each expressed support for legal sports betting, so such a bill should make its way through the Rhode Island State Legislature this year.
In early January 2018, Rhode Island Speaker of the House Nick Mattiello gave his vocal support for both legal sports betting. Mattiello said, “If the U.S. Supreme Court issues a favorable ruling to legalize sports betting in New Jersey as expected, I would be very interested in such legislation for Rhode Island.”
“Many details would have to be worked out as to where the betting would take place, but I am certainly open to the possibilities here and would work with the Lottery Commission to make sure it is done appropriately. Depending on the timing of the Supreme Court ruling, I don’t know if this could be in place for the next fiscal year’s budget.”
Raimondo Support for Online Sportsbooks?
A spokesman for Gov. Raimondo also suggested legalization of online sports betting, though that is a much more complicated process, due to the 1961 Wire Act and 2006 UIGEA. The spokesperson might have confused online casinos and poker sites with online sportsbooks, but gave the governor’s support for Internet sports betting.
David Ortiz, a spokesman for Raimondo’s office, said, “The Governor is open to considering legalizing internet sports betting in Rhode Island if the Supreme Court opens a path for states to take action.”
