Virginia Delays Online Gambling Bill Review Until 2026

Virginia lawmakers have postponed discussions on Senate Bill 827, which aims to legalize online gambling in the state, to allow for further study of its implications. Senator Mamie Locke, who introduced the bill, emphasized the necessity of comprehensive research to ensure a secure and regulated market for online gaming. The legislation proposes a $1 million application fee for operators and a 15% tax on earnings, with revenues intended for various state funds, including 97.5% for the General Fund and 2.5% for the Problem Gambling Treatment and Support Fund. However, concerns have been raised regarding potential negative impacts on existing revenue sources, particularly the Lottery Proceeds Fund and School Construction Fund, with fiscal analyses predicting a decrease in revenues from lottery sales due to consumer spending shifts. As a result, the bill is now expected to be reintroduced for consideration by 2026. The decision reflects both the promise of new revenue and the need to carefully evaluate the potential consequences of online gambling in Virginia.