Virginia could become the next state to legalize online casino gambling through newly proposed legislation, though the bill faces significant opposition from established gaming operators.

State Sen. Mamie Locke (D-Portsmouth) filed Senate Bill 827, which would allow Virginia's five commercial casinos to each operate up to three online casino brands. The legislation proposes a $1 million licensing fee per five years and a 15% tax rate on gross gaming revenue.

The bill faces likely opposition from major operators, including The Cordish Companies, which is developing Live! Casino & Hotel Virginia in Petersburg. Cordish has consistently opposed iGaming expansion in other states, arguing it reduces casino foot traffic and revenue while presenting increased risks for problem gambling.

Key concerns from opponents include:

• Reduced physical casino visitation
• Decreased venue revenue and reinvestment
• Fewer employment opportunities
• Weaker responsible gaming controls compared to retail casinos
• Easier access to gambling for underage and problem gamblers

The timing of the legislation may also present challenges, as Virginia's casino market is still developing. Only three of the five approved casino resorts have opened their doors: Rivers Portsmouth (January 2023), Hard Rock Bristol (November 2024), and Caesars Virginia (December 2024).

MGM Resorts, though not directly operating in Virginia, may also oppose the bill. The company spent $755,000 on lobbying against gaming expansion in Virginia in 2024, including efforts to regulate skill games and allow a casino in Fairfax County.

While some operators like Boyd and Caesars generally support iGaming as complementary to their retail operations, the nascent state of Virginia's casino industry may temper their enthusiasm for immediate online expansion.

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