Committee advances bill to legalize online horse-race wagering, standardize tax rate

Senate Bill 60, a measure to authorize advanced deposit wagering (ADW) — online or remote betting on horse races — moved out of the Senate Ways and Means Committee after a public hearing and an executive-session amendment.

The bill’s prime sponsor, Sen. Tim Lang, introduced the measure as a modernization of an older statute and said it would let New Hampshire residents place bets on events such as the Kentucky Derby or the Preakness using a phone or other digital means. “This bill would allow you to be able to place your bet on your phone,” Lang said during the hearing.

Why it matters: The state currently allows betting at two designated in-person locations; SB 60 would permit remote wagering and bring the activity under state regulation, giving the Lottery Commission the ability to require consumer protections and collect revenue. Proponents said the measure removes a statutory “gray area” caused by older rules written for telephone wagering.

During testimony, Charlie McIntyre, director of the New Hampshire Lottery Commission, told the committee the activity is already occurring in the state without consistent regulatory oversight and that the commission receives no revenue or clear authority over operators who are out of state. “If a citizen in New Hampshire were to have an issue right now, there’s nothing you could do,” McIntyre said, arguing regulation would give consumers a state recourse and enable complaint handling.

Peter Bridal, senior policy adviser representing Churchill Downs, described why a national ADW operator voluntarily stopped service in New Hampshire and supports statutory clarity: “Churchill Downs voluntarily pulled that out in ’22 and pledged to work with [the Lottery Commission] to support legislation that would clarify this and take out the gray area and make it a definitive statement for New Hampshire,” Bridal said. Bridal also referenced the federal Interstate Horse Racing Act of 1978, which allowed electronic wagering and left states authority over regulation.

Tax and consumer-protection details: Lang said he amended the bill from last year to match the in-person tax rate; the bill sets a 1.25% tax rate on the online activity, the same rate charged at the two in-person locations. McIntyre and committee discussion noted the commission expects to use rulemaking to add guardrails and said current staff is sufficient to oversee the activity if the bill passes.

Committee action: In executive session committee members moved that SB 60 “ought to pass.” A committee amendment was adopted to clarify that the commission may withdraw approval of an operator’s plan of operation “for cause.” The committee voted to report the bill out as ought-to-pass-as-amended and placed it on the consent calendar. The committee did not record a roll-call tally in the transcript; minutes show the ayes prevailed and the bill will move forward.

Context and next steps: Supporters characterized the bill as regulatory cleanup that aligns state law with how wagering occurs nationally. Opponents did not appear in the recorded testimony. If enacted, the Lottery Commission would be authorized to license or regulate ADW operators and pursue rulemaking, subject to statutory language and any further amendments on the floor.