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Hawaii Sports Betting Bill Advances

Ziv Chen

Last Updated: February 26, 2025 1:16 PM EST • 1 min 62 sec read.

Hawaii Sports Betting Bill Advances
Pictured: Hilo, seen in this aerial photo, is the Big Island's largest city. Photo by Trevor Hughes via Imagn.

Music to the ears of our best sports betting sites.

Hawaii seems to be moving closer to legalizing online sports betting. HB 1308 took another step toward becoming law on February 24. The bill advanced through the House Finance Committee, although some committee members had reservations.

This approval marked the final phase of the House committee review procedure, clearing the way for consideration by the entire House. Its Senate counterpart bill, SB 1569, is also on its way to consideration and awaits review by the Senate Ways and Means Committee.

Before the House committee voted, Chairman Kyle Yamashita introduced key amendments to make the bill more appealing. Specifically, he proposed removing the tax rate (originally set at 10%) and the licensing fee, leaving those details to be negotiated later.

This decision came after much consideration of how much money the state of Hawaii could generate in legalized online sports betting. Rep. Sue L. Keohokapu-Lee Loy expressed concerns that the originally proposed $250,000 licensing fee was too low for an industry with billion-dollar revenues.

She advocated for a considerable increase in this fee, arguing that a higher licensing fee would better reflect the financial scale of the sports betting market.

Yamashita defended the committee's action of advancing the bill over opposition by stating that the state ought to engage in legislative discussion of gaming regulations. He acknowledged that while the bill is far from perfect, allowing continued legislative discussion is the right direction to take.

The legislation is well-supported in various circles, particularly by locals and union organizers. The local union leaders spoke of the possible financial benefits of legalized sports betting, particularly that one more revenue stream would help buffer against Hawaii's otherwise high cost of living.

Sports betting operators on board

Significant sports gaming and sportsbook companies supported the bill, including BetMGM, DraftKings, and the Sports Betting Alliance (SBA). The SBA, of which BetMGM, DraftKings, FanDuel, and Fanatics Sportsbook are members, highlighted the value of regulation.

Industry executives also argued that legalization would allow law enforcement authorities to fight illegal gambling houses more effectively while increasing state coffers. Others also assert that the state, at a 10% tax rate, would be able to garner as much as $20 million in tax revenues every year if Hawaii changed its status on the legal sports betting states tracker.

Regarding the economic windfall, though, critics of the bill have complained about the public expense of permitting gambling. State office delegates and responsible gambling advocacy groups warned that sports betting proliferation would heighten gambling addiction, fiscal chaos, and related crime.

The bill includes language establishing a problem gambling prevention and treatment fund to address these concerns. Additionally, only online sports betting would be allowed, and a maximum of four operator licenses would be issued. This would surely result in competition from our best sports betting apps.

Hawaii's session runs to May 2, and the House and Senate must approve the bill by the crossover deadline of March 6 to remain viable. If HB 1308 and its companion bill are carried forward successfully, Hawaii would become the latest state to legalize online sports betting, a significant shift from its historically strict gambling policy.

Written By:
Ziv Chen
Ziv has over two decades of experience in the igaming and sports betting industry, having served in senior marketing and business development positions with both B2C and B2B companies, including Playtech and Microgaming. In 2019, Ziv decided to pursue his passion for writing and became a fulltime industry journalist, covering casino, sports, and gambling business news. He’s specialties include casino games and technology, US state gambling regulation, company performance, as well as gambling affiliates and marketing. As a Pitt graduate, Ziv is a diehard fan of all Pittsburgh sports teams, with the Steelers at the top of the list. In his free time, he enjoys reading crime fiction, biographies (mainly of sports personalities, but not only) and American history. Ziv’s Favorite quote: “We're going to pursue perfection, knowing full well we won't catch it, but we're going to relentlessly chase it," Mike Tomlin, Pittsburgh Steelers Head Coach.