One member of the New York State Assembly is looking to preemptively appropriate tax revenue from online casino gaming for the purpose of enhancing security measures at public schools. The bill was introduced by Assemblyman Josh Jensen, a Republican from Rochester representing the 34th district. New York does not yet have a legal online casino market, so the bill would only come into effect if they’re legalized in the future.
New York Assembly Bill 4472 would earmark tax revenue from online iGaming for school safety programs. The text of the bill reads that tax revenue from any “internet-based version or substantial equivalent of a table game, slot machine constituting spinning reels, poker tournament, or any other game …” would be used for “expenses related to school safety and security purposes as determined by the commissioner of education …”
Currently, New York law requires tax revenue from any gaming activity be used for “providing aid to all school children pursuant to the provisions [of the law] …” Jensen’s bill would redirect tax revenue from future legal online casinos toward security programs for public school districts in New York.
It’s not clear whether AB 4472 would apply to sports betting apps, which are legal in the state. The language of the bill refers to any gaming activity covered by Section 1301 of the racing, pari-mutuel wagering and breeding law. That law does not have a section for sportsbooks, though it mentions pari-mutuel wagering on horse racing.
Bill leaves at least $10 million to to school security
The bill designates that tax revenues gathered under this provision would be required to be “at least $10 million or 1% [of state revenue from iGaming], whichever is greater.”
Annual online casino tax revenue would have to exceed $1 billion before the percentage rate kicks in. That might be unlikely in the first year but almost certain to happen eventually.
An effort to legalize online casinos in New York has been ongoing for several years, led by Sen. Joseph Addabbo. Seven other states already have active legal online casino apps. The largest and most heavily taxed of these, Pennsylvania, earned $948 million in taxes in 2024. With a higher population than Pennsylvania’s, New York’s hypothetical online casino market would likely cross the $1 billion mark within a few years of launch.
HB 4472, which does not have any co-sponsors, has been referred to the Committee on Racing and Wagering. It may be discussed in that body, and could later be advanced to the floor of the Assembly for debate and a possible future vote. The New York State Senate would then have the opportunity to act on the bill, it it were to pass.
Jensen has made the issue of school safety an important cause in his term. He’s also proposed a bill that would create “Guardians for Schools” license plates. A $25 annual fee attached to those plates would fund school safety. Jensen spearheaded the creation of School Resource Officer (RSO) Appreciation Day, which is February 15. An SRO is a school cop.
