Hawaii lawmakers have restarted efforts to legalise sports betting, introducing new legislation as a state-appointed working group begins a broader review of gambling policy. The renewed push follows a near-miss in 2025, when lawmakers advanced a sports betting bill through both chambers but failed to reach final agreement.
Senate Bill 3303 and House Bill 2570 were introduced last week, though committee hearings have not yet been scheduled. Rep. Daniel Holt, a longtime supporter of sports betting, is among the House sponsors. Last year’s bill collapsed in conference committee after lawmakers disagreed on final provisions. Governor Josh Green previously said he would not veto a sports betting bill if it reached his desk.
Reflecting on the setback, Holt said: “It is what it is, and we just got to work harder next year, try to answer the questions that the rest of the members and the public has and see if we can capture this tax revenue that we much need for our state.”
Licensing Model And Tax Provisions
The newly introduced bills would require the state to issue at least six sports betting licences, each carrying a $500,000 fee for the first five years. Revenue would be taxed at 15%. The proposals also prohibit wagering on youth sports and on collegiate events involving Hawaii-based teams.
Last year’s legislation proposed four sportsbooks and initially included a 10% tax rate. Lawmakers removed the tax before the Senate reinstated it, and negotiations ended without a compromise.
Study Group Reviews Wider Gambling Issues
The renewed legislation coincides with the work of the Tourism and Gaming Working Group, which was formed last year to examine gambling expansion. The 24-member panel includes lawmakers, law enforcement officials, and gaming industry representatives. It must submit recommendations by late 2026 or early 2027.
During its first meeting last month, the group focused on illegal gambling activity. Department of Law Enforcement Director Mike Lambert estimated that up to $800 million is gambled illegally in Hawaii each year. The panel will also review whether a casino should be part of the planned 98-acre New Aloha Stadium Entertainment District.
Prediction Markets And Other Proposals
Separate legislation targets online prediction markets. House Bill 2198 would prohibit such platforms after $448,667 was wagered on whether Governor Green would say certain words during his State of the State address. Rep. Scot Matayoshi described prediction markets as a loophole in Hawaii’s gambling ban, saying: “It’s pretty sketchy.”
He added: “In prediction markets, you have to find someone else to take your bet on the other side, otherwise it doesn’t go through,” and noted of the State of the State wagers: “So they weren’t all winners.”
Other bills under consideration include HB 1945, which would allow gambling on cruise ships at a 20% tax rate, and HB 2222, proposing casino gaming at a single site in Honolulu. Together, the measures show that gambling policy remains an active and contested issue in Hawaii.
Source:
“Hawaii reignites sports betting push as new gaming study group begins work”, igamingbusiness.com, February 4, 2026
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