A legislative subcommittee in Iowa on Monday approved the Senate Study Bill 3164, which will legalize online poker in the state, Pokernews.com reports.

The bill will work by allowing "licensees authorized to conduct gambling games on an excursion boat, gambling structure, or racetrack enclosure to operate internet wagering on poker and making penalties applicable," as outlined by the bill's draft.

The three-member subcommittee voted on passing the bill to the state's Government Committee, which could finally pass the legislation already by this week.

While the bill's makes use of the term "Internet gambling", it explains that "Internet wagering shall be limited to wagering on poker and all of its variations," meaning that only online poker will be allowed.

Furthermore, all licensees must verify that players are at least 21 years old.

The initiative comes as part of a realization of an already existing market, which needs to be controlled, Senator Wally Horn explained.

"We have it out there. It needs to be controlled," Horn said.

His sentiment was backed by Senator Rick Bertrand, who agreed that the right time has come for legalization, saying that he now hopes that Iowa can be on the forefront of a new trend.

"I agree something has to be done at this point. I see this as an opportunity for Iowa to get out in front of this," he said.

Meanwhile, especially interest organizations and the church have been heavily criticizing the new piece of legislation.

Tom Chapman of the Iowa Catholic Conference told the committee that he believes the bill will result in increased gambling addiction, and Danny Carroll, leader of Family Leader, similarly urged to withdraw the bill, saying "the people of Iowa do not want it."

Iowa will be the just second U.S. state to approve intrastate legislation following a similar initiative in Nevada this winter.

Others like Hawaii and New Jersey are also pondering legalization, but have yet to make any concrete steps in the direction of new legislation.