Rhode Island Senate Advances SB 3118 Sports Betting Bill

Written by: Jonathan Rodriguez
Published: Mon Jun 08, 2026, 8:00 am ET
Read Time: 4 minutes

industry
The Rhode Island Senate passed Senate Bill 3118 (SB 3118) on June 4, 2026. This moves the proposal one step closer to opening the market to multiple operators. Lawmakers have approved legislation that could dramatically reshape the state's online sports betting industry.
If enacted, the measure would replace Rhode Island's long-standing sportsbook monopoly with a competitive framework featuring four to six online operators. Supporters believe the change would increase consumer choice, improve sportsbook offerings, and strengthen the state's position in the growing US online sportsbooks sector.
The bill now heads to the Rhode Island House of Representatives, where lawmakers will decide whether to advance the proposal further.
SB 3118 Seeks to Create a Competitive Online Sports Betting Market
SB 3118 would require the Rhode Island Lottery to conduct a competitive bidding process for online sportsbook licenses. Under the proposal, the state would award enough licenses to support between four and six online sportsbooks by January 2027.
The legislation represents a major departure from Rhode Island's current model. At present, bettors can access only one statewide online sportsbook platform through Sportsbook Rhode Island, which is powered by International Game Technology (IGT).
Lawmakers backing the measure argue that Rhode Island should modernize its sports betting industry to match neighboring states. They also believe a competitive market could attract leading national brands and create a better overall experience for consumers.
The bill includes several key provisions designed to facilitate the transition. In addition to expanding the number of operators, it establishes a new licensing framework and adjusts the state's revenue-sharing structure.
These changes aim to balance state revenue needs while making the market more attractive to prospective operators.
Why Rhode Island Is Considering Sportsbook Expansion
The debate surrounding SB 3118 reflects broader changes in the regional sports betting landscape.
When Rhode Island first legalized sports betting, nearby states had not yet launched robust online wagering markets. Since then, both Massachusetts and Connecticut have embraced competitive sportsbook environments featuring multiple operators.
As a result, Rhode Island gambling officials and lawmakers face increasing pressure to keep pace with neighboring jurisdictions. Many bettors now have access to a wider range of betting options across state lines, prompting concerns that Rhode Island's limited market could become less competitive.
Supporters of SB 3118 argue that greater competition would encourage innovation, improve promotions, and provide bettors with more choices. They also contend that expanding the market could help Rhode Island capture additional sports betting activity that might otherwise flow to neighboring states.
How SB 3118 Advanced Through the Legislature
Veteran Democratic Senator Frank Ciccone introduced SB 3118 and has championed similar sportsbook expansion efforts in previous legislative sessions.
The Senate approved the bill by a decisive 30-6 vote, demonstrating strong support among lawmakers. The measure now moves to the House of Representatives for consideration.
If House lawmakers approve the bill, it will proceed to Governor Dan McKee's desk. The governor would then have the following options:
- sign the legislation into law
- allow it to become law without a signature
- issue a veto.
A similar proposal advanced through the Senate last year but ultimately stalled in the House. Supporters hope growing momentum and changing market conditions will improve the bill's chances during this legislative session.
Potential Impact on Rhode Island's Gambling Industry
SB 3118 could significantly affect the state's current sportsbook landscape, particularly for IGT and Bally's Corporation.
Earlier this year, the Rhode Island Lottery tentatively selected Bally's as the state's second online sportsbook operator after IGT's exclusive arrangement expires in November 2026.
However, SB 3118 would expand the market beyond a limited two-operator structure. If the bill becomes law, IGT and Bally's would likely face competition from several major national sportsbook brands.
Companies such as DraftKings, FanDuel, BetMGM, Caesars, Fanatics, and bet365 could potentially enter the Rhode Island market through the proposed licensing process.
Not All Support SB 3118
Not everyone supports the proposal, however. IGT and Rhode Island Lottery officials have voiced opposition to the bill. Lottery Director Mark Furcolo has warned that expanding the market could raise constitutional questions regarding the state's oversight of gambling operations.
Opponents also argue that introducing additional operators could reduce the amount of revenue currently flowing to the state through its monopoly model.
The legislation would also modify the state's tax and revenue framework. Currently, operators share 51% of sports betting revenue with the state, one of the highest rates in the country.
Under SB 3118, that rate would remain in place until Rhode Island matches its fiscal year 2025 sports betting revenue levels. Once that threshold is reached, the revenue-sharing rate would decline.
Lawmakers believe this approach could attract additional operators while preserving state revenue during the transition period.
Whether the House ultimately approves the measure remains uncertain. However, the Senate's strong support signals that Rhode Island may be preparing for its most significant sports betting expansion since legalization.
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