Vote Smart's Synopsis:

Vote to pass a bill that authorizes sports betting in North Carolina.

Highlights:

• Authorizes sports wagering with a number of regulations, not referring to Pari-mutuel sports wagering on horse racing or wagering on fantasy or simulated sports (Sec. 1, Pg. 4).

• Prohibits sports wagering on youth sports, on events such as injuries, penalties, disciplinary proceedings, and the outcome of replays, and on the commission serving as operators of a sports wagering platform (Sec. 1, Pg. 4).

• Prohibits interactive sports wagering operators from allowing people to place sports wagers if they are not registered players/betters, if they are not 21 years old or older, if they are not located in the state, if they are betting on unauthorized events, if they are betting on behalf of someone else, or if the person is betting on a sporting event in which they are a participant in any way (Sec. 1, Pg. 8).

• Requires interactive sports wagering operators to protect the confidentiality and voluntary participation of its players (Sec. 1, Pg. 8).

• Prohibits any individual from having more than 1 interactive account with each interactive sports wagering operator in the state (Sec. 1, Pg. 8).

• Authorizes an interactive sports wagering operator to suspend or terminate a player’s account under certain conditions, including falsification of player information, with the remaining account balance being returned to the person upon termination (Sec. 1, Pg. 9).

• Requires a tax of 8% to be imposed monthly on the adjusted gross revenue of each interactive sports wagering operator (Sec. 1, pg. 13).

• Authorizes any sports wagering governing body who is authorized to conduct sporting events wagering to enter into commercial agreements with interactive sports wagering operators or other entities with whom the body may share the amount bet on sporting events through the governing body (Sec. 1, Pg. 4).

• Specifies that the sports wagering governing body is not required to apply for a license or any other approval from the Commission in order to accept such bets (Sec. 1, Pg. 4).

• Requires a person to have a valid interactive sports wagering license in the State in order to offer or accept any sports wagers, with the following specifications (Sec. 1, pg. 4):

• That the Commission must authorize at least 10 but no more than 12 interactive sports wagering operators to offer and accept sports wagers to and from registered betters on sporting events; and

• That the wagering on sporting events may include professional sports, college sports, electronic sports, ametuer sports, and any other event approved by the Commission.

• Requires the Commission to review and issue sports wagering licenses within 60 days of receipt of complete application to qualified applicants who complete and submit an application form prescribed by the Commission and pay a $500,000 application fee, to be refunded minus Commission expenses if denied (Sec. 1, Pgs. 4 & 5).

• Requires applicants to provide a number of information, including proposed initial business plan, proposed plan for verifying age, identity, and geolocation, and internal controls, documentation, criminal history, and financial backgrounds (Sec. 1, Pgs. 4 & 5).

• Authorizes the Commission to license applicants without further examination past application if the applicant was certified or licensed by another U.S. state, territory, or district with equivalent requirements or requirements in excess to the state of North Carolina (Sec. 1, Pg. 5).

• Prohibits any person from providing covered services to an interactive sports wagering operator without a valid service provider license, with the exception of licensed interactive sports wagering operators who provide covered services in-house (Sec. 1, Pg. 5).

• Requires the Commission to review and issue service provider licenses within 60 days of receipt of complete application to qualified applicants who complete and submit an application form prescribed by the Commission and pay a $25,000 application fee (Sec. 1, Pg. 5).

• Specifies that applicants for service provider licenses are subject to all the same application requirements and conditions, grounds for denial, and grounds for expedited application process if certified out of state as previously mentioned (Sec. 1, Pgs. 5 & 6).

• Authorizes the Commission to issue sports wagering supplier licenses to sports wagering suppliers, and prohibits sports wagering suppliers from selling, leasing, distributing, offering, or otherwise providing services, goods, software, or other components necessary for the creation of betting markets without a sports wagering supplier license (Sec. 1, Pg. 7).

• Specifies that licensed interactive sports wagering operators do not need to apply for an additional license to serve as a sports wagering supplier (Sec. 1, Pg. 7).

• Requires that all aforementioned licenses remain valid for 5 years, and requires license holders to submit a renewal application at least 60 days prior to license expiration, with an application fee of $10,000 for interactive sports wagering and service provider licenses and $5,000 for sports wagering supplier licenses (Sec. 1, Pg. 8).

• Authorizes the Commission or Department of Revenue to audit any interactive sports wagering operator regarding sports wagering activities or services (Sec. 1, Pg. 4).

• Authorizes the Commission to suspend or revoke a license or impose a monetary penalty of no more than $10,000 per violation if the Commission determines that any license holder under the above provisions is in violation of any provision (Sec. 1, Pg. 12).

• Establishes the North Carolina Major Events, Games, and Attractions Fund to be administered by the Department of Revenue (Sec. 2, Pg. 16).

• Specifies that any person who knowingly offers or engages in any unlawful sports wagering, or who engages in sports betting while under the age of 21, is guilty of a Class 2 misdemeanor (Sec. 1, Pg. 12).

• Specifies that any person who tries to effect or collude to effect the outcome of a sporting event that is the subject of a sports wager is guilty of a Class G felony (Sec. 1, Pg. 12). 

• Specifies that any applicant for an interactive sports wagering or service provider license who provides false information on the application is guilty of a Class 1 felony (Sec. 1, Pg. 13).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that authorizes sports betting in North Carolina.

Highlights:

• Authorizes sports wagering with a number of regulations, not referring to Pari-mutuel sports wagering on horse racing or wagering on fantasy or simulated sports (Sec. 1, Pg. 4).

• Prohibits sports wagering on youth sports, on events such as injuries, penalties, disciplinary proceedings, and the outcome of replays, and on the commission serving as operators of a sports wagering platform (Sec. 1, Pg. 4).

• Prohibits interactive sports wagering operators from allowing people to place sports wagers if they are not registered players/betters, if they are not 21 years old or older, if they are not located in the state, if they are betting on unauthorized events, if they are betting on behalf of someone else, or if the person is betting on a sporting event in which they are a participant in any way (Sec. 1, Pg. 8).

• Requires interactive sports wagering operators to protect the confidentiality and voluntary participation of its players (Sec. 1, Pg. 8).

• Prohibits any individual from having more than 1 interactive account with each interactive sports wagering operator in the state (Sec. 1, Pg. 8).

• Authorizes an interactive sports wagering operator to suspend or terminate a player’s account under certain conditions, including falsification of player information, with the remaining account balance being returned to the person upon termination (Sec. 1, Pg. 9).

• Requires a tax of 8% to be imposed monthly on the adjusted gross revenue of each interactive sports wagering operator (Sec. 1, pg. 13).

• Authorizes any sports wagering governing body who is authorized to conduct sporting events wagering to enter into commercial agreements with interactive sports wagering operators or other entities with whom the body may share the amount bet on sporting events through the governing body (Sec. 1, Pg. 4).

• Specifies that the sports wagering governing body is not required to apply for a license or any other approval from the Commission in order to accept such bets (Sec. 1, Pg. 4).

• Requires a person to have a valid interactive sports wagering license in the State in order to offer or accept any sports wagers, with the following specifications (Sec. 1, pg. 4):

• That the Commission must authorize at least 10 but no more than 12 interactive sports wagering operators to offer and accept sports wagers to and from registered betters on sporting events; and

• That the wagering on sporting events may include professional sports, college sports, electronic sports, ametuer sports, and any other event approved by the Commission.

• Requires the Commission to review and issue sports wagering licenses within 60 days of receipt of complete application to qualified applicants who complete and submit an application form prescribed by the Commission and pay a $500,000 application fee, to be refunded minus Commission expenses if denied (Sec. 1, Pgs. 4 & 5).

• Requires applicants to provide a number of information, including proposed initial business plan, proposed plan for verifying age, identity, and geolocation, and internal controls, documentation, criminal history, and financial backgrounds (Sec. 1, Pgs. 4 & 5).

• Authorizes the Commission to license applicants without further examination past application if the applicant was certified or licensed by another U.S. state, territory, or district with equivalent requirements or requirements in excess to the state of North Carolina (Sec. 1, Pg. 5).

• Prohibits any person from providing covered services to an interactive sports wagering operator without a valid service provider license, with the exception of licensed interactive sports wagering operators who provide covered services in-house (Sec. 1, Pg. 5).

• Requires the Commission to review and issue service provider licenses within 60 days of receipt of complete application to qualified applicants who complete and submit an application form prescribed by the Commission and pay a $25,000 application fee (Sec. 1, Pg. 5).

• Specifies that applicants for service provider licenses are subject to all the same application requirements and conditions, grounds for denial, and grounds for expedited application process if certified out of state as previously mentioned (Sec. 1, Pgs. 5 & 6).

• Authorizes the Commission to issue sports wagering supplier licenses to sports wagering suppliers, and prohibits sports wagering suppliers from selling, leasing, distributing, offering, or otherwise providing services, goods, software, or other components necessary for the creation of betting markets without a sports wagering supplier license (Sec. 1, Pg. 7).

• Specifies that licensed interactive sports wagering operators do not need to apply for an additional license to serve as a sports wagering supplier (Sec. 1, Pg. 7).

• Requires that all aforementioned licenses remain valid for 5 years, and requires license holders to submit a renewal application at least 60 days prior to license expiration, with an application fee of $10,000 for interactive sports wagering and service provider licenses and $5,000 for sports wagering supplier licenses (Sec. 1, Pg. 8).

• Authorizes the Commission or Department of Revenue to audit any interactive sports wagering operator regarding sports wagering activities or services (Sec. 1, Pg. 4).

• Authorizes the Commission to suspend or revoke a license or impose a monetary penalty of no more than $10,000 per violation if the Commission determines that any license holder under the above provisions is in violation of any provision (Sec. 1, Pg. 12).

• Establishes the North Carolina Major Events, Games, and Attractions Fund to be administered by the Department of Revenue (Sec. 2, Pg. 16).

• Specifies that any person who knowingly offers or engages in any unlawful sports wagering, or who engages in sports betting while under the age of 21, is guilty of a Class 2 misdemeanor (Sec. 1, Pg. 12).

• Specifies that any person who tries to effect or collude to effect the outcome of a sporting event that is the subject of a sports wager is guilty of a Class G felony (Sec. 1, Pg. 12). 

• Specifies that any applicant for an interactive sports wagering or service provider license who provides false information on the application is guilty of a Class 1 felony (Sec. 1, Pg. 13).

Full Bill Text