Delaware State Reps. Franklin Cooke (D-16) and William Bush (D-29) introduced a bill to expand mobile sports betting in the “Old Line State.”

HB-365 emerged from the Internet Sports Lottery Legislative Working Group – a bipartisan panel formed in the House in 2023.

HB-365 will add beneficial programs for the treatment of compulsive gamblers, problem gambling in Delaware

The bill would allow other options for competitive mobile sports wagering – allowing casinos to partner with more than one sportsbook.

Supporters say the bill would benefit both marketplace competition and state revenue.

“The addition of online sports betting in the First State means additional revenue will benefit programs for the treatment, education and assistance of compulsive gamblers and problem gambling,” Cooke said. “We’re talking about $400,000 or 3.5% of the processed returned to the state for funding these programs. Those dollars will go a long way.”

Approximately $400,000, or 3.5% of the money going to the state, would go to the Delaware Division of Substance Abuse and Mental Health to assist with the treatment of problem gambling.

According to Cooke, licensed internet sports lottery operators must pay $500,000 for a five-year license,  and they must return 18% of monthly adjusted gross sports lottery receipts for allocation to the Lottery Office.

Furthermore, an additional 1.5% of monthly proceeds will be allocated under the Delaware Thoroughbred Racing Commission or Delaware Harness Racing Commission. 

Companies might not certify in time for the 2024 NFL season, racetracks can partner with up to two sports wagering sites

Licensing fees will go toward the General Fund, according to a press release. HB-365 was assigned to the House Administration Committee for consideration. 

Since the Delaware Lottery runs all gambling in the First State, it would take about five months to put initial regulations in place.

Even if the bill is expedited, new companies might not be certified in time for the start of the 2024 NFL season in early September.

In December, Rush Street Interactive launched the first mobile sportsbook, BetRivers, in Delaware in partnerships with the state’s three racetracks: Bally’s Dover, Harrington Raceway, and Delaware Park. 

HB-365 would allow the three racetracks to each partner with up to two sports wagering sites. This means sportsbooks like FanDuel, DraftKings, BetMGM, and others could be coming to Delaware in the future.

According to the bill, sports gaming companies would also be required to make up for any lost revenue the horse racing industry might lose through the expansion of internet sports lotteries.

Although HB-365 is a step in the right direction for those seeking to gamble, Delawareans still cannot wager on the University of Delaware and Delaware State University sporting events.