Hawaii casino legislation has been rejected by a Senate committee in Honolulu.
Last week, the Hawaii Senate Committee on Commerce and Consumer Protection abandoned Senate Bill 893. The bill, introduced in January by state Sen. Majority Leader Dru Kanuha (D-Hawaii County), aimed to permit two commercial casinos: one in the New Aloha Stadium Entertainment District and the other at the Hawaii Convention Center.
The Senate committee, nonetheless, chose to “indefinitely postpone” the bill following strong opposition that included statements from the state Department of Commerce and Consumer Affairs as well as Attorney General Anne Lopez. Committee Chair Lynn DeCoite (D-Maui County), who is advocating for legislation to permit sports betting in the island state, noted after the Feb. 13 meeting that testimony was mainly opposed to introducing Las Vegas to Hawaii, leading the committee to postpone SB 893.
"There was overwhelming opposition to this bill from the testifiers. For those who supported the bill, I considered and appreciated your points of view,” DeCoite explained.
“But for those reasons, I am deferring this bill indefinitely,” she continued. “Casino gambling has not always been a favorite subject. Regardless of if we’re flying to Las Vegas or any other place, we’ve always had our challenges here in Hawaii.”
As DeCoite finished speaking, there was thunderous applause in the committee chamber from those against the casino bill. SB 893 proposed implementing a 15% fixed tax on casino earnings, funds that would mainly be allocated to support K-12 public education.
iGaming, Sports Betting Holds On
The Hawaii casino legislation is no longer viable for 2025. The chances are high that a comparable outcome will occur for laws permitting online casino gaming and sports wagering.
Senate Bill 1569, led by DeCoite and supported by five Democrats and one Republican, aims to permit online sportsbooks and impose a 10% tax on their gross earnings. The legislation would clarify that sports betting “will not be regarded as games of chance or gambling.”
SB 1569 passed the Senate Economic Development and Technology Committee earlier this month with a unanimous 5-0 decision. It is now positioned for evaluation in DeCoite’s Commerce and Consumer Protection Committee.
Although DraftKings, BetMGM, the Sports Betting Alliance, and Boyd Gaming provided written support for SB 1569 prior to the Commerce and Consumer Protection Committee’s review, the City of Honolulu Police Department, AG Lopez, Deputy Attorney General David Williams, and numerous Hawaiians have shown opposition to the sports betting legislation.
Regarding iGaming, Senate Bill 1507 would permit online casino gambling. Presented exclusively by Sen. President Ronald Kouchi (D-Kauai County), the proposal would permit online slot machines, table games, poker, and instant lottery games. SB 1507 has been sent to the Senate Economic Development and Technology Committee, but it has not undergone a review yet.
Unlikely Gaming Regulations
Hawaii does not permit any legal form of gambling, as all activities including charitable gaming, parimutuel betting, lotteries, and tribal gaming are forbidden. Only Utah can make that assertion as well.
Numerous Hawaiians in favor of legal gambling accuse politicians of colluding with legislators in Nevada. Hawaii serves as a significant source market for Las Vegas, with Sin City commonly known as Hawaii’s “Ninth Island.”
Las Vegas hosts the largest number of native Hawaiians outside of Hawaii. Numerous casino resorts in Las Vegas offer island-themed cocktails and Hawaiian eateries serving Aloha dishes.
