Hawaii Sports Betting Bill Falters as Lawmakers Fail to Reach Agreement

Efforts to bring legalized sports betting to Hawaii hit a wall on Friday after lawmakers were unable to reconcile diverging House and Senate versions of a proposed bill, effectively killing the measure for this legislative session. With the legislature set to adjourn on May 2, House Bill 1308 will not advance to a final vote, leaving Hawaii among the last two states without any form of legalized gambling.

The bill, which aimed to establish a regulated framework for online sports wagering in the state, faltered during a joint conference committee meeting. Representative Greggor Ilagan, speaking at the session, acknowledged the legislative stalemate. “At this moment, it’s very hard to get a compromise, and at this point we have a House and Senate disagreement,” Ilagan said. “We could work on this so we can meet the deadlines and get a better bill at the next legislative session.”

A primary point of contention was the Senate’s version of the bill, which included a 10% tax on gross gaming revenue and a $250,000 licensing fee for operators. These provisions were later removed from the House’s draft, creating a rift between the chambers over appropriate taxation and licensing structures. Under Hawaii’s legislative rules, a bill must pass both chambers in identical form in order to proceed, leaving no path forward for HB1308 this session.

Governor Josh Green had previously expressed openness to the bill, stating he would likely approve it if it reached his desk. “As long as there are some safeguards with gambling addiction services and so on, if the Legislature goes the full way and passes it, I’ll likely let it become law,” Green told Hawaii News Now earlier this month.

The failure of the bill leaves Hawaii and Utah as the only two states in the U.S. without any form of legalized gambling. Had HB1308 passed, Hawaii would have joined the growing list of states—now totaling 39—that allow online sports betting, including mobile-only jurisdictions like Maine, Vermont, and Wyoming.

Supporters of the bill had argued that legalization could bring an estimated $300 million in illegal annual wagers into the formal economy, create tax revenue, and fund the establishment of a Problem Gambling Prevention and Treatment Special Fund. Major operators such as DraftKings, FanDuel, BetMGM, and Fanatics were expected to apply for licenses in the event the market opened, with other prominent national brands like Caesars, ESPN BET, and BetRivers also expressing potential interest.

Opposition to the proposal remained strong, particularly among Honolulu’s top municipal officials. Mayor Rick Blangiardi, Prosecutor Steve Alm, and Police Chief Arthur Logan released a joint statement on Thursday warning of the dangers associated with online wagering. “Online sports betting is not harmless entertainment — it’s a high-tech pipeline to addiction and financial ruin,” Alm stated, citing concerns about financial instability and family breakdowns associated with gambling addiction.

The legislation had projected that Hawaii’s first legal sportsbooks could launch as soon as January 1, 2026. The proposed regulatory framework aimed to license at least four mobile operators and encouraged a competitive digital market without requiring ties to brick-and-mortar businesses, thereby simplifying the licensing process.

Despite the setback, lawmakers expressed an interest in continuing efforts to legalize sports betting in future sessions.

By fLEXI tEAM