Maryland Gaming Commission Approves Sports Betting Regulations Draft
Maryland Gaming Commission takes step forward on Thursday
Sports betting in Maryland is one step closer to launching. On Thursday, the Maryland Gaming Commission unanimously approved a draft of the state’s sports betting rules.
The rules laid out the operation and licensing regulations in the state. There are still numerous steps that need to occur before Maryland sports betting goes live. However, the process is moving swiftly, which is half the battle during the sports betting implementation process throughout the United States.
Details of the Rules from Maryland Gaming Commission
The rules were displayed throughout a 228-page document that was shared on the Maryland Gaming Commission’s website earlier this week.
Licenses will be distributed in four categories for sports betting, which was known prior to the rules being shared. However, there are more details surrounding the license distributions.
Class A-1 licenses will be given for casinos with over 1,000 slot machines and professional sports franchises in the state. The application fee will be $2 million, and the license will cost $6 million once it’s awarded.
Class A-2 licenses will be given to casinos with fewer than 1,000 slot machines and horse racing operators. The application and license fee will be half the price of A-1 licenses. Permits with a B designation will be granted to smaller businesses.
B-2 applicants must have less than 25 full-time employees or $3 million in annual revenue. Every business that does not fit this category will be granted B-1 permits. The B-2 licenses will be given to various businesses, including bingo halls, sports bars, and fairground sites.
Nevertheless, the price of these licenses will not be cheap for small businesses. B-1 will cost $250,000/$750,000 and B-2 permits will be $50,000/$150,0000. Any business with a B-2 license can apply for online permits, but this will be a steep fee that many owners will not be able to afford.
An online license costs $500,000 for the application, and it’s $1.5 million for the bond. The legislature crafted sports betting during the legislative process to engage minority and female-owned businesses.
The plentiful number of B-1 and B-2 licenses will help the community get involved in the industry. However, the application fees are high, considering the hospitality industry is just starting to surge.
Public Comment Period
There will be regulations in Maryland that change after the public comment period. Maryland residents will have 30 days to provide feedback on the laws from the Maryland Lottery and Gaming Control Commission.
The commission has not named the beginning of the period yet, but it will be announced on the department’s website shortly. The 228-page document will not be easy to sift through, so the fine details will likely stay the same.
Although, it would not be surprising to see the application fees dropped. Following the comment period, the Sports Wagering Application Review Commission will begin the application process. Business’ applications will be viewed by this group before being passed to the Maryland Lottery and Gaming Control Commission for final approval.
Retail betting could launch during football season. Yet, mobile betting is more likely in 2022.