SB 1459
Initials PRB Page 1 Caucus & COW
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-fifth Legislature
Second Regular Session
Senate: APPROP DPA 9-1-0-0 | 3
rd
Read 17-11-2-0
House: COM DPA 8-1-0-1
SB 1459: event wagering; fantasy sports; fees
Sponsor: Senator Borrelli, LD 5
Caucus & COW
Overview
Reduces the amount of monies the Arizona Department of Gaming (ADG) may use for regulating
and enforcing fantasy sports contest and event wagering laws. Caps the fee for the privilege of
operating fantasy sports contests and event wagering.
History
Laws 2021, Chapter 234, established laws governing fantasy sports contests and event wagering.
ADG is responsible for the administration and regulation of fantasy sports contest and event
wagering operators.
The Fantasy Sports Contest Fund and the Event Wagering Fund were established for the deposit
of their respective licensing and privilege fees. ADG may spend up to 10% of each fund's monies
on the costs of regulating and enforcing fantasy sports contest and event wagering laws,
respectively. Any monies remaining revert to the state General Fund.
ADG is required to establish a fee for the privilege of operating fantasy sports contests and event
wagering. In determining the fee, ADG must consider the highest percentage of revenue share
that an Indian tribe pays in accordance with the tribal-state gaming compact. The fees are due by
the 25
th
day of each month for deposit to the respective funds (A.R.S. §§ 5-1211, 5-1212, and 5-
1318).
ADG has set the following fees for the privilege of operating:
1) fantasy sports contests, 5% of fantasy sports contest adjusted revenues;
2) event wagering for retail operations, 8% of adjusted gross event wagering receipts; and
3) event wagering for mobile operations, 10% of adjusted gross event wagering receipts
(R19-4-208; R19-4-112).
Provisions
1. Lowers, from 10% to 8%, the maximum amount of monies ADG may spend:
a) from the Fantasy Sports Contest Fund on the annual costs of regulating and enforcing
fantasy sports contest statutes; and
b) from the Event Wagering Fund on the annual costs of regulating and enforcing event
wagering statutes. (Sec. 2, 4)
2. Caps the fee for the privilege to operate fantasy sports contests and event wagering at 10%.
(Sec. 1, 4)
3. Repeals previously enacted Laws which amended Event Wagering statutes. (Sec. 3)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note SB 1459
Initials PRB Page 2 Caucus & COW
Amendments
Committee on Commerce
1. Removes language which lowers the percentage of monies used for enforcement.
2. Clarifies the cap on privilege fees applies to the adjusted revenues of fantasy sports contest
operators and the adjusted gross event wagering receipts of event wagering operators.