Delaware Lottery Director Helene Keeley has raised concerns that Rush Street Interactive (RSI) could potentially sue the state finance department if Delaware passes an expanded iGaming bill. This bill could potentially end RSI’s exclusive online gaming partnership with the state, allowing other sports betting operators such as BetMGM, DraftKings, and FanDuel to enter the market.
Keeley highlighted the contract between RSI and the lottery, which gave BetRivers app the sole approval for online gaming in Delaware. She questioned the fairness of allowing other big-name sportsbooks to enter the market after they had previously declined to bid for the exclusive license awarded to RSI. Keeley emphasized the potential loss of revenue for the state lottery if multiple operators were allowed in, estimating a loss of approximately $3 million.
Despite HB365, a bill proposing an expanded iGaming market, stalling in the Appropriations Committee due to the lottery’s opposition, Keeley expects the bill to resurface before lawmakers in January. The bill was filed by two Delaware lawmakers who also co-chaired a task force recommending the state to have an online sports lottery with multiple operators. This task force projected that Delaware could generate over $9 million in annual tax revenue from a competitive mobile sports betting market.
Keeley firmly believes in upholding the contractual responsibilities with RSI and maximizing revenue for the state as per the constitution. She argues against the need for additional online sports betting options in a state with a population of one million. Keeley questions the fairness of allowing other operators to enter the market after they had previously shown no interest in bidding for the exclusive license held by RSI.
While the future of the expanded iGaming bill remains uncertain, Keeley continues to advocate for the exclusivity of RSI in Delaware’s online gaming market. She is prepared to defend the contract with RSI and protect the state’s revenue potential from any potential legal challenges. The debate over the expansion of the iGaming market in Delaware is ongoing, with stakeholders on both sides presenting their arguments for and against the proposed changes.