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Operators argue regulation will protect consumers and capture tax revenue
Summary
Representatives from DraftKings, BetMGM, Caesars and trade groups told the committee a regulated iGaming framework would create consumer protections, displace illegal operators, and generate recurring tax revenue for DC priorities.
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Industry witnesses told the committee regulated iGaming can reduce consumer risk by requiring age and identity verification, geolocation, anti‑money‑laundering controls and in‑app responsible‑gaming tools. DraftKings' senior government affairs manager said DraftKings already offers responsible‑gaming tools and that "DraftKings ... has contributed nearly $11,000,000 in tax revenue" from its sportsbook operations, arguing that regulation allows the District to capture otherwise lost revenue.
BetMGM and Caesars emphasized responsible‑gaming teams, onboarding and monitoring protocols, and compliance investments; BetMGM said it had invested more than $65,000,000 in the District sports‑betting market and described vendor‑level responsible‑gaming staffing. Industry witnesses supported a dedicated regulatory fee to OLG and the 35% CBE participation requirement to route contracting dollars to District businesses, while urging the committee to consider viable timelines for licensing and technical testing.
