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SB 3118

AN ACT RELATING TO STATE AFFAIRS AND GOVERNMENT -- VIDEO LOTTERY, GAMES, TABLE GAMES AND SPORTS WAGERING

2026 Regular Session Introduced by John Burke and 2 co-sponsors

The act centralizes Rhode Island's sports wagering oversight under the state, expands multiple vendor contracts, and realigns revenue sharing among the state, facilities, and vendo

06/05/2026 Referred to House Finance
0
WeVote Research Nonpartisan
Bill Summary · SB 3118

Overview

  • Bill: SB 3118
  • Session: Rhode Island 2026
  • Jurisdiction: State Affairs and Government
  • Topic: Video lottery, table games, and sports wagering
  • Introduced: March 13, 2026; referred to Senate Labor & Gaming
  • Purpose: Reorganize and expand the state’s framework for sports wagering, iGaming, and related gaming activities at the Twin River Lincoln facility and the Tiverton facility; adjust revenue allocations and vendor roles; set procurement steps for additional sports-wagering vendors; clarify definitions and regulatory authority.

Main purpose and intent

  • The act redefines and clarifies key terms in the state’s sports wagering and iGaming framework.
  • It shifts and standardizes how sports-wagering and online sports-wagering revenue are allocated among the state, host facilities, and licensed sports-wagering vendors.
  • It creates a process to expand the number of sports-wagering vendors by inviting applications and awarding multiple vendor contracts.
  • It gives the state broader, centralized control over sports wagering operations hosted at the Twin River Lincoln facility and the Tiverton facility, including regulatory, auditing, and marketing authority.

Key provisions and changes

  • Definitions (Section 1): Revisions to numerous terms, including iGaming, online sports wagering, hosting facilities (Lincoln and Tiverton), model for revenue calculations, and the roles of IGT and related technology providers.
  • State hosting and control of sports wagering (42-61.2-2.4):
    • The state (Division of Lottery) will operate and control sports wagering at Twin River/Lincoln and Tiverton facilities.
    • State authority to: link and track systems, collect and custody sports-wagering revenue, conduct audits, monitor operations, set rules of play and odds via a sports-wagering vendor, establish compulsive-gambling programs, and issue necessary regulations.
    • Division/DBR oversight of employment and vendor relationships.
    • No separate “hosting license” is created outside the existing framework.
    • Data generated by sports wagering remains Division property, with hosting facilities allowed to use data for marketing under Division approval.
    • Vendors may handle marketing, promotions, and bonuses; cross-jurisdiction promotions are permitted within approved rules.
  • Sports-wagering regulation (42-61.2-3.3):
    • Division director to promulgate detailed rules for sports wagering, including bets types, odds, payoffs, device specs, surveillance integration, internal controls, online account management, and problem-gambling safeguards.
    • Requirements for promotional disclosures, on-site signage, and security/planning for surveillance and drop boxes.
    • Proficiency standards for staff handling wagers and payouts.
    • Requirements for vendor qualification and ongoing compliance.
  • Vendor procurement timeline (Section 42-61.2-3.3(c)):
    • By January 1, 2027, the Division must issue an open invitation for sports-wagering vendor contracts and award 4 to 6 contracts.
    • Selection criteria emphasize platform integrity, regulatory history, prior sportsbook experience, and revenue-maximizing but harm-minimizing commitments.
    • Regulation governing the RFP process to be enacted within 90 days of the act’s effective date.
  • Revenue allocation (Section 42-61.2-5):
    • Allocation structure among state, vendors, and host facilities:
    • State: 51% of sports-wagering and online sports-wagering revenue until the state reaches the 2025 revenue level; afterward, 12%.
    • State-authorized vendors: 32% (until the 2025 revenue target is met), then 79.5%.
    • Host facilities: 17% (initially 8.5% after meeting a $4.5 million threshold).
    • Revenues go to the state lottery fund for administration first, with the remainder to the general fund.
    • Lincoln and Tiverton host communities receive annual flat fees: $200,000 each.

Affected entities and stakeholders

  • State: Division of Lottery (and related regulatory bodies) gains increased control and revenue oversight.
  • Host facilities: Lincoln (Twin River) and Tiverton gaming facilities, subject to state control and revenue-sharing arrangements.
  • Sports-wagering vendors: New allocation framework; up to 4-6 vendors to be awarded contracts; enhanced marketing and promotional rights under Division oversight.
  • IGT and iGaming/iGaming platform vendors: Continue to be involved as technology providers and platform operators under the redefined framework.

Procedural and timeline aspects

  • Open invitation for sports-wagering vendor contracts to be issued by January 1, 2027.
  • Award 4 to 6 contracts to sports-wagering vendors following the RFP process.
  • Division to promulgate implementing rules within 90 days of the act’s effective date.
  • Act takes effect upon passage.

Potential impact

  • Structural shift toward centralized state control of sports wagering operations hosted at designated facilities.
  • Expanded competition among multiple sports-wagering vendors with state oversight.
  • New revenue-sharing terms could alter incentives for the state, facilities, and vendors.
  • Financial support for host communities via fixed annual payments.

Compiled from official sources — confirm details with the bill’s official record.

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