LD 2007 Advances with Strong Committee Vote
Maine's Joint Committee on Veterans and Legal Affairs voted 8-2 on February 18 to advance LD 2007, titled "An Act Regarding the Prohibition of Online Sweepstakes Games." The bill would ban the promotion and operation of sweepstakes casinos in Maine, with fines of up to $100,000 for violations. LD 2007 now heads to the full Maine Senate for consideration.
The strong committee vote signals broad legislative support for cracking down on the sweepstakes casino model in Maine. Milton Champion, head of the Maine Gambling Control Unit, testified that more than 50 unlicensed sweepstakes operators are currently active in the state, operating without oversight or consumer protections.
A Paradox: Tribal iGaming Legalized, Sweepstakes Banned
LD 2007 comes just weeks after Governor Janet Mills allowed LD 1164, a tribal iGaming bill, to become law without her signature. That legislation authorizes Maine's tribal nations to operate licensed iGaming platforms, making Maine one of the newest states to embrace regulated iGaming.
The juxtaposition creates a notable paradox: Maine is simultaneously legalizing one form of regulated iGaming while moving to ban sweepstakes casinos. Supporters of LD 2007 argue that the two positions are consistent. Licensed tribal platforms will operate under state regulatory oversight with consumer protections, responsible play tools, and tax contributions. Sweepstakes casinos, by contrast, operate outside any state framework and provide none of these safeguards.
The Scope of Maine's Sweepstakes Market
Champion's testimony highlighted the scale of unlicensed sweepstakes activity in Maine. With more than 50 operators actively serving Maine players, the state has become a significant market for the industry. These platforms collectively process millions of dollars in player purchases and redemptions annually, all without contributing to Maine's tax base or submitting to regulatory oversight.
The enforcement challenge is compounded by the fact that most sweepstakes casinos are operated by companies based outside the United States. Identifying and reaching these operators for enforcement purposes has proven difficult for state regulators across the country, which is part of the reason legislative bans, rather than enforcement actions alone, have become the preferred approach in many states.
What LD 2007 Would Do
If enacted, LD 2007 would make it illegal to operate, promote, or advertise sweepstakes casino platforms to Maine residents. The $100,000 penalty per violation would apply to operators and promoters alike. The bill's language is broad enough to encompass affiliate marketers and advertising networks that direct Maine traffic to sweepstakes platforms, though enforcement against out-of-state entities remains an open question.
The bill now requires approval from the full Senate and House before reaching the governor's desk. Given the committee's decisive 8-2 vote and the current legislative momentum against sweepstakes casinos nationally, passage is considered likely. Maine would join a growing roster of states that have moved to shut down unlicensed sweepstakes operations while, in Maine's case, simultaneously offering a regulated alternative through tribal platforms.