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Virginia Senate Backs Online Casino Bill Following Changes for RG

The Virginia Senate General Laws Committee has advanced SB 118, legislation that would legalise online casinos across the state. The bill includes player protection requirements that mandate regulators to develop advertising guidelines and strict identification protocols. Operators would face a 15% tax on revenue under the proposal, with 5% directed to the Problem Gambling and Treatment Support Fund. The legislation requires operators to establish live-dealer studios in Virginia, a provision estimated to create more than 1,000 jobs statewide.

Committee advances bill following amendments

SB 118 failed in subcommittee with a 3-4 vote, with one abstention. The Senate General Laws and Technology Committee reversed this decision, advancing the bill 9-6.

Bill sponsor Sen. Mamie Locke introduced a substitute version addressing consumer protection concerns. Committee Chairman Jeremy McPike, who abstained in the earlier vote, worked with Locke over the weekend to draft amendments focused on problem gambling protections.

“The revised bill’s protections are more prescriptive in the statute, probably more than any other state,” McPike said. The enhanced safeguards secured support from previously hesitant committee members.

The amended legislation mandates:

  • Advertising guidelines with strict limitations
  • Robust player identification requirements
  • Automated triggers to detect risky gambling behaviour
  • Data protection protocols

Senators Adam Ebbin and Bryce Reeves voted against the measure. The bill now moves to the Senate Finance and Appropriations Committee before potential floor consideration.

Industry sources indicate the amended bill has a viable path to passage this year.

Virginia bill includes stringent responsible gambling framework

The legislation establishes statutory duties for regulators and licensees rather than voluntary operator policies. Operators must implement a three-phase intervention process for at-risk players and utilise automated triggers to identify potential problem gamblers through player data analysis.

Platforms would be required to provide break-in-play notifications tracking time spent gambling and account statements covering at least 12 months of financial activity. The Virginia Lottery Board must publish annual reports on problem-gambling activities and outcomes.

Sports betting contributions to the Problem Gambling Treatment and Support Fund have increased 28% in FY25. Marketing restrictions prohibit advertisements targeting minors or vulnerable individuals, and all platforms must display: “If you or someone you know has a gambling problem and wants help, call 1-800-GAMBLER”.

“The revised bill’s protections are more prescriptive in the statute — probably more than any other state in the United States,” McPike said.

Unified gaming commission proposal advances alongside online casino bill

Virginia lawmakers are pursuing regulatory consolidation through a proposed Virginia Gaming Commission (VGC) as the state considers expanded gambling options. Regulatory authority currently spans multiple agencies—the Virginia Lottery oversees casinos and sports betting, the Department of Agriculture manages charitable gaming and fantasy sports, whilst the Racing Commission handles horse racing activities.

The VGC proposal stems from a 2022 study that resulted in hiring consulting firm Guidehouse, whose recommendations form the basis for consolidation legislation. Senator Bryce Reeves carries the Senate version, which has received unanimous approval. House subcommittee gaming chair Delegate Paul Krizek said the proposal brings all gambling under “one umbrella and one roof”.

The proposed commission would regulate all legal gambling except the Virginia Lottery, though “long-term consolidation could be looked at in the future”. The VGC would report to the legislature, recommend policy changes, and manage problem gaming.

Legislative sources consider regulatory unification essential before expanding gambling options. Virginia’s gaming industry generated over £0.87 billion in revenue last year, prompting arguments that a unified commission would strengthen consumer confidence through consistent standards and enforcement.

Next steps for Virginia online casino legislation

The bill faces review by the Senate Finance and Appropriations Committee before a potential full Senate vote. Senator McPike described the amended legislation as having “more prescriptive” problem gambling controls than other US states.

Senators Adam Ebbin and Bryce Reeves opposed the measure, indicating continued divisions on gambling expansion. The committee initially rejected the bill 3-4 before Senator Mamie Locke introduced substitute language addressing consumer protection concerns.

Separate legislation would establish a Virginia Gaming Commission to consolidate oversight currently divided between the Virginia Lottery, Department of Agriculture, and Racing Commission. The proposed commission received unanimous Senate approval and would regulate all legal gambling except the state lottery.

Virginia’s gaming industry generated over £0.87 billion in revenue last year across existing operations.

Debbie

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