Virginia lawmakers advanced an online casino proposal this week after changes aimed at resolving concerns that had stalled the bill days earlier. Senate Bill 118 cleared the Senate General Laws and Technology Committee on Wednesday, reviving legislation that had appeared close to defeat during a subcommittee hearing last week.
The bill would legalise online casinos in Virginia and is tied to proposals to establish a Virginia Gaming Commission. SB 118 would not take effect until the commission is created, though it also outlines a regulatory role for the Virginia Lottery Board if the new body is not yet operational. Lawmakers advanced the regulatory proposal at the same meeting, reflecting broader efforts to consolidate oversight that is currently divided among three state agencies.
Responsible Gambling Changes Shift Momentum
The iCasino bill regained traction after its sponsor, Senator Mamie Locke, introduced a substitute that expanded responsible gambling requirements. During last week’s subcommittee discussion, several lawmakers raised concerns about consumer protections and enforcement, leading to the bill being voted down at that stage.
Support increased after revisions were made. Senator Jeremy McPike cited the growth of unregulated gambling as a factor in backing the amended proposal. “Indeed, the illegal market is incredibly predatory and must be reined in,” McPike said. He added that legalization is “the best way to eradicate that.”
McPike said he had abstained during the earlier vote due to discomfort with the original language and worked with Locke and others to strengthen the bill. He described the updated provisions as “more prescriptive in the statute — probably more than any other state in the United States at this point.” He added, “It draws from New York’s framework,” but said “it goes beyond that.”
The revised bill establishes enforceable statutory duties rather than leaving implementation solely to regulators or voluntary operator policies. It mandates the use of player data for responsible gambling purposes and removes prepaid cards as a payment method, following earlier proposals to exclude credit cards.
Framework For Regulation And Market Structure
Under the bill, regulators would be required to develop rules focused on preventing and identifying problem gambling. Operators would need to implement responsible gaming programs that include player monitoring, automated behavioral triggers, and defined intervention steps. The legislation also mandates tools such as self-exclusion, advertising standards, and prominent display of the message: “If you or someone you know has a gambling problem and wants help, call 1-800-GAMBLER.”
SB 118 allows each casino in Virginia to operate up to three online casino platforms, with a $2 million license fee for each. Virginia currently has five casinos, though lawmakers advanced a proposal for a sixth on Wednesday. Operator revenue would be taxed at 15%, with a portion directed to the Problem Gambling and Treatment Support Fund and the Internet Gaming Hold Harmless Fund. The bill also requires operators to establish live-dealer studios in Virginia, which lawmakers estimate could create more than 1,000 jobs.
Support for the proposal is divided. Caesars and Boyd Gaming support the legislation, while Cordish Companies opposes it.
SB 118 now moves to the Senate Finance and Appropriations Committee, where its revenue and budget implications will be reviewed.
Source:
“Virginia iCasino bill advances with responsible gambling tweaks”, igamingbusiness.com, January 28, 2026
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