The new deal includes an 18% tax rate on new online gaming for the first five years followed by a 20% tax rate for the next five years, along with a 13.75% tax rate on sports wagering, according to the governor’s office.
The state of Connecticut has reached a new deal with the Mashantucket Pequot Tribe and Mohegan Tribe to allow for sports wagering and online betting, the governor's office announced early Thursday.
Earlier in March, the state announced a deal with the Mohegan Tribe, but at the time, said it was still negotiating for a new agreement with the Mashantucket Pequot Tribe, owners and operators of Foxwoods Resort Casino in Ledyard.
The new deal includes an 18% tax rate on new online gaming for the first five years followed by a 20% tax rate for the next five years, along with a 13.75% tax rate on sports wagering, according to the governor's office.
A release from the governor's office said the deal with "generate tens of millions of dollars in new revenue for the state."
Get top local stories in Connecticut delivered to you every morning. Sign up for NBC Connecticut's News Headlines newsletter.
The agreement would ultimately need approvals from the state General Assembly and the U.S. Interior Department.
Leaders of both tribes applauded the deal.
“We’re proud of this landmark agreement with the State of Connecticut that cements a historic moment for our Tribal Nation,” Mashantucket Pequot Tribal Chairman Rodney Butler said in a statement. “This agreement bolsters the state’s economic development and growth, and allows us to develop a stable economic foundation for the future of our tribal community.”
Local
“This will allow Connecticut to generate tax revenues from sports and online gaming that are competitive with other states, to the benefit of both state and local municipal budgets, as well as our tribe’s members," Mohegan Tribal Council Chairman James Gessner Jr. said in a statement. "We look forward to continued work with the General Assembly on this topic, especially the many dedicated legislators who have partnered with and supported Connecticut’s tribes throughout this process.”
The Connecticut Lottery would be allowed to offer sports wagering along with the tribes, as well as operate 15 retail sports betting locations, run new retail sports betting venues in Hartford and Bridgeport and expand online lottery offerings.
Both tribes also agreed to stop development of a casino in East Windsor through the duration of the deal. The East Windsor casino was aimed at curbing competition from the MGM Springfield casino in Springfield, Mass. Lamont has been unenthusiastic about the project.
