A draft of the proposed regulations for legal Maryland Sports betting was released ahead of Thursday’s meeting by the Maryland Lottery Gaming Control Commission.
The commission is expected to take up the 228-page proposal in an “special exclusive meeting” covering sports betting in the state.
Maryland voters approved sports betting during the November 2020 vote. Despite time constraints during the legislative session, the legislators enacted the sports betting bill in April and Gov. Larry Hogan signed the bill into a law last May.
The draft outlines the named entities for Class A and B retail license. According to the proposal, there will be 10 Class A licenses and 30 Class B licenses, divided into four categories.
Class A1 licenses will be given to Maryland’s current three professional sports teams: Baltimore Orioles, Baltimore Ravens, and the Washington Football Team, casinos with more than 1,000 video terminals, and potential future NBA, NHL, or MLS teams in the state. These Class A licensees will pay a non-refundable $2M in application fee and $6M for a five-year license bond.
On the other hand, Class A2 licenses will be given to casinos with fewer than 1,000 video machines, Laurel Park, and Pimlico Race Course. They will be required to pay a $1M application fee and a $2M license fee. Class B-1 licensees include seven entities like the Maryland State Fairgrounds, and commercial bingo license. Their application fee costs $250K and license at $750K. For Class B, these are entities with up to 25 employees or $3M in annual gross receipts. These entities will have to pay $50K in application fees and $75K for the sports betting license.
Registration of Online Bettors
A key feature in the draft is the registration of mobile/online sports bettors. This registration process can be done in-person at a retail location if the mobile sports betting licensee also has a retain venue. It can also be processed online via a mobile app or a website that has been approved by the Maryland Lottery and Gaming Control Commission.
Mobile and online bets will be accepted only in-state. Geofencing or location-based tracking will be set up to ensure that all mobile and online bets are placed within the state’s boundaries. On the other hand, in-person betting will happen at a betting window or a self-service kiosk located in a retail sports betting venue.
Class A and B mobile sports betting licenses will be worth $500K during application and $1.5M for the initial five-year license bond. Licensees will only be allowed to use one skin or online sports betting operator. The operator license requires a $1.5M bond and the operator can partner with more than one mobile sports betting licensee