One New York lawmaker believes the more, the merrier, when it comes to online sportsbooks operating in the Empire State. A bill that would increase the number of licensed operators has been carried over from last year, and it still sits in a committee, with the chances of it passing in 2026 being less than likely.
Welcoming Competition
Many would argue that if something isn’t broken, don’t fix it. At least that is the age-old maxim, but Democratic Assemblywoman Carrie Woerner believes there is still tinkering to do with New York’s online sports betting market, despite it being the most lucrative in the nation. Woerner sponsored Bill A6013, which would increase the number of mobile sportsbooks from eight to 14 by early 2026 and then increase it to 16 in 2027.
Not only would the bill allow more operators, but it would also alter the tax structure. Currently, New York charges a nation-high 51% tax on operators’ net revenue, but should more operators enter the market, the tax would gradually decrease as follows:
- 10 to 12 online sports betting operators: 50% tax rate
- 13 to 14 operators: 35% tax rate
- 15 or more operators: 25% tax rate
“In the event that the commission fails to approve the required number of operators by these deadlines, it shall not interfere with the ability of previously licensed platforms or operators from continuing to operate in the state,” the legislation reads.
Licensing Fees and Market Entry Barriers
The new tax rate would come with a $50 million licensing fee, which could prevent smaller platforms from entering the nation’s largest licensed sports betting market. California and Texas have higher populations and would likely surpass New York in betting handles and revenue, but neither has yet to launch mobile sports betting in their respective states.
Bill A6013 remains in the Assembly’s Racing and Wagering Committee, a body chaired by Woerner.
More Changes Coming to New York?
There is no dearth of bills aimed at altering New York’s sports betting market, and one of them has made splashy headlines because the legislative champion of New York’s gaming industry, Senator Joseph Addabbo Jr., is firmly backing it. And the “it” refers to online casino gambling that failed to gain traction last year.
A9343: Proposed Ban on Live Sports Betting
There are also a series of other bills that are germane to the online betting industry, such as Assembly Member Linda Rosenthal’s Bill A9343, which would ban live betting on sports if passed. Live betting is becoming increasingly more popular and will be vehemently opposed by mobile sports betting stakeholders.
“New York State has an obligation to protect consumers and address concerning public health trends. As such, this legislation will prohibit mobile sports betting licensees, operators, and casinos from accepting in-play wagers in New York State,” Rosenthal wrote in her legislative justification for the bill.
A9146: Changes to Problem Gambling Treatment Referrals
Assemblywoman Carrie Woerner has another bill aimed at changing the landscape of New York’s mobile sports betting industry in the form of A 9146 that would mandate that all sports betting platforms operating in New York send any customer seeking treatment for problem gambling directly to the New York State Office of Addiction Services and Supports (OASAS) and not one of the treatment centers with which the sportsbooks partner.
