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SB 2677

AN ACT RELATING TO THE UTGR MASTER CONTRACT AND THE TWIN RIVER -- TIVERTON MASTER CONTRACT -- CONSOLIDATED MARKETING PROGRAM

2026 Regular Session Introduced by John Burke and 3 co-sponsors

Consolidates UTGR and Twin River marketing under a single, CPI-adjusted Marketing Cap, with unified reimbursements and expanded inflation-adjusted Promotional Points starting 2027.

05/26/2026 Committee recommended measure be held for further study
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WeVote Research Nonpartisan
Bill Summary · SB 2677

Overview

SB 2677 (Rhode Island, 2026) proposes restating and consolidating the UTGR Master Contract and the Twin River-Tiverton Master Contract into a single Consolidated Master Contract and Consolidated Marketing Program. It aims to centralize marketing expenditures for UTGR and Twin River-Tiverton, adjust funding levels over time, and modify the Promotional Points program. The Division of Lottery would oversee the consolidated program and reimburse the combined marketing expenditures up to a defined cap.

Purpose and Intent

  • Restate and consolidate the UTGR Master Contract and the Twin River-Tiverton Master Contract.
  • Create and implement a single Consolidated Marketing Program for both UTGR and Twin River-Tiverton.
  • Ensure marketing expenditures for both facilities are reimbursed by the Division of Lottery in a coordinated manner, subject to a fixed cap that adjusts over time.
  • Update and expand promotional point distributions for Twin River-Tiverton, with inflation-based adjustments and auditing requirements.

Key Provisions and Changes

  1. Definitions and Consolidation

    • Establishes new or clarified definitions for terms used in the act (AdjustmentAmount, Adjustment Date, Consolidated Marketing Program, Consolidated Master Contract, Division, Marketing Cap, Marketing Program, Marketing Year, Tiverton Facility, Lincoln Facility, UTGR, Twin River-Tiverton, etc.).
    • Consolidates UTGR and Twin River-Tiverton marketing programs under a single Consolidated Marketing Program monitored by the Division.

  2. Consolidated Master Contract

    • Within 90 days of enactment, the Division may enter into a Consolidated Master Contract among the Division, UTGR, and Twin River-Tiverton.
    • The Consolidated Master Contract:
      • Merges UTGR and Twin River-Tiverton Marketing Programs.
      • Provides that marketing expenditures by UTGR and Twin River-Tiverton are reimbursed by the Division on a combined basis.
      • Establishes a Marketing Cap that limits total Division reimbursements for each Marketing Year.
      • Allows pro-rated reimbursements for partial Marketing Years.
      • Specifies payment frequency (no less than annually) from net terminal income disbursed under § 42-61.2-7.
    • Supersedes existing laws related to the Tiverton and Lincoln facilities’ marketing programs; the Consolidated Master Contract governs.

  3. Funding and Caps

    • Marketing Cap: An amount equal to the Division Percentage times $27,250,000, adjusted annually by the Adjustment Amount.
    • Adjustment Amount: Percentage increase in the CPI (as reported by BLS), calculated on an Adjustment Date (the first day of each Marketing Year). The adjustment multiplies the original Marketing Cap by the CPI-based factor relative to June 2025 CPI.
    • Forpartial Marketing Years, Division payments are prorated (Marketing Cap × (days in partial year / 365)).

  4. Marketing Programs

    • Consolidated Marketing Program replaces separate UTGR and Twin River-Tiverton marketing programs.
    • Marketing Expenditures: Reimbursed by the Division for the combined total expenditures, not separately for UTGR and Twin River-Tiverton.

  5. Promotional Points Program (Twin River)

    • Amends the Supplementary Promotional Points Program so UTGR may distribute Promotional Points to customers up to 16% of Twin River net terminal income for the Prior Marketing Year.
    • Aggregate distributive amount (Initial + Supplementary) may total up to 20% of the average of the prior three years’ Twin River net terminal income, plus $750,000, with annual inflation adjustments starting after the Prior Marketing Year.
    • Beginning after the Prior Marketing Year (2027 and onward), promotional distributions are adjusted annually for inflation (CPI-U).
    • Terms and conditions of both Initial and Supplementary Promotional Points Programs, including audit provisions, are set by the Division. UTGR bears the cost of the annual state fiscal-year audit.

  6. Effective Date

    • The act takes effect upon passage.

Who and What Is Affected

  • UTGR, LLC (and its successors/assigns)
  • Twin River-Tiverton, LLC (and its successors/assigns)
  • Bally’s Tiverton Casino & Hotel (Tiverton Facility) and Bally’s Twin River Lincoln Casino Resort (Lincoln Facility) in terms of marketing arrangements
  • Rhode Island Division of Lottery (the Divison)

Procedural and Timeline Aspects

  • Within 90 days of enactment: Division may enter into the Consolidated Master Contract.
  • Adjustment Date: First day of each Marketing Year for calculating CPI-based adjustments.
  • Marketing Year: Government fiscal year (Rhode Island context; exact calendar alignment not specified beyond “Marketing Year” as fiscal year).
  • Annual or more frequent payments: Division must disburse funds to UTGR under the Consolidated Marketing Program no less frequently than annually.
  • Audit: Promotional Points program requires a state fiscal-year audit, funded by UTGR.
  • Effective date: Upon passage.

Potential Impact

  • Centralizes and potentially streamlines marketing funding for UTGR and Twin River-Tiverton, potentially simplifying oversight and budgeting for marketing expenditures.
  • Introduces a CPI-adjusted Marketing Cap, tying state reimbursements to inflation.
  • Establishes a single framework for promotional points, with inflation-adjusted distribution levels starting in 2027.
  • Creates a clearer, divisions-oversight mechanism for marketing expenditures, potentially reducing fragmentation between facilities.
  • Could affect the distribution of net terminal income in Rhode Island through altered marketing funding and promotional point allocations.

Note: This summary reflects the bill’s text and stated provisions; it does not assess political implications or fiscal impact beyond the mechanisms described in the act.

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

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