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Hawaii Sports Betting Measure Moves to Full Senate Floor, Odds Remain Long

On Wednesday, a measure to legalize sports wagering in Hawaii moved forward from the Senate Ways and Means Committee. The bill is now proceeding to the entire Senate floor. 

House Bill 1308 passed the state House of Representatives last month with a vote of 35-15. The Senate’s review of the online sports betting legislation has modified the suggested law while it passed through the Commerce and Consumer Protection Committee, Economic Development and Technology Committee, and Ways and Means Committee. 

The progression of HB1308 to the chamber floor represents a key achievement for supporters aiming to lift Hawaii's gambling ban, but considerable effort remains in reconciling the differences between the House and Senate wording. 

If the Senate approves the latest version of HB1308, which has several changes to the original text, the bill will be sent back to the House for agreement. The numerous differences create a challenging timeline for legislators to arrive at an agreement before their 2025 legislative session ends on May 2. 

Updated Text on Hawaii Sports Betting 

As HB1308 reaches the Senate floor, the online sports betting legislation consists of the approval of four sportsbook licenses. The regulation of sports betting would fall under the Hawaii Department of Law Enforcement, contrary to the initial intention of the House version, which assigned it to the Department of Commerce and Consumer Affairs. 

Another important matter to clarify is if one of the licenses would be designated for a qualified Native Hawaiian organization, as assessed by the Council for Native Hawaiian Advancement (CNHA).

"It’s important for Native Hawaiians to be involved,” said Tyler Gomes, the CNHA’s  chief administrator. “There is a lot of revenue to go around and we know there are a lot of Native Hawaiian entities and organizations that would really benefit from that revenue.”

The cost of each license would be $250K every five years. The earnings retained by the oddsmakers would face a 10% tax. 

The suggested license fee and tax would, nonetheless, be inadequate to meet the state's regulatory expenses. This is based on statements from multiple Finance Committee members who indicated that an increased tax is necessary. 

Substantial Resistance 

Hawaii is nearer than it's ever been to permitting a type of gambling. However, obstacles remain between HB1308 and Gov. Josh Green’s (D) desk. The governor claims he is impartial regarding gaming. 

Various state senators have voiced their opposition to sports betting, including Sen. Lorraine Inouye (D-Hilo), who states that many Hawaiians are currently struggling with gambling addiction even without legal gambling options available. She mentioned that she has spoken to numerous women who are afraid of their husbands due to gambling issues that have led to "deeply emotional situations within their households." 

Honolulu Prosecutor Steve Alm has also expressed concerns about HB1308 regarding addiction issues.

"When you watch pro football, half the commercials are for gambling,” Alm said. “I’m afraid that in a couple of years, we are going to have a whole generation of problem gamblers — typically young men. This would just be opening up Pandora’s box.”

DraftKings, FanDuel, BetMGM, and Fanatics are advocating for lawmakers to approve HB1308, whereas Boyd Gaming is working to maintain Hawaii's existing regulations on gaming and sports betting. 

Hawaii significantly supplies customers for Boyd’s casinos in Las Vegas. The firm collaborates with Hawaiian Airlines to offer unique group travel packages linking the islands with its three Las Vegas casino properties — The California, Main Street Station, and Fremont.