Georgia Senate Bill SB386 Comm Sub / Bill

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The Senate Committee on Economic Development and Tourism offered the following 
substitute to SB 386:
A BILL TO BE ENTITLED
AN ACT
To amend Title 50 of the Official Code of Georgia Annotated, relating to state government,1
so as to authorize and provide for the regulation and taxation of sports betting in this state;2
to provide for additional powers and duties of the Georgia Lottery Corporation; to change3
certain provisions relating to the shortfall reserves maintained within the Lottery for4
Education Account; to increase funding to the state's Pre-K programs; to provide for the5
corporation to engage in certain activities related to sports betting; to provide for a short title;6
to provide for legislative findings; to revise and provide for definitions; to provide for the7
corporation's powers and duties relative to sports betting; to provide for the procedures,8
limitations, requirements, and qualifications of the licensing of any person offering,9
operating, or managing sports betting in this state; to provide for rules and regulations10
promulgated by the corporation; to provide for a privilege tax; to require certain reports; to11
regulate wagers and provide requirements for bettors; to provide for bettors to restrict12
themselves from placing certain wagers; to provide certain resources for individuals with13
problem gambling or a betting or gambling disorder; to provide for the collection and14
disposition of fees and fines; to prohibit certain conduct by the corporation, employees of the15
corporation, licensees, and other persons; to provide for certain penalties; to provide for16
construction; to amend Part 1 of Article 2 of Chapter 12 of Title 16 of the Official Code of17
Georgia Annotated, relating to gambling, so as to exclude any consideration paid to a sports18
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betting licensee from the definition of "bet"; to provide for the exemption of persons licensed19
for online sports betting from regulations and restrictions regarding gambling information;20
to amend Title 48 of the Official Code of Georgia Annotated, relating to revenue and21
taxation, so as to exempt wagers placed as part of sports betting; to provide for related22
matters; to provide for an effective date; to repeal conflicting laws; and for other purposes.23
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:24
PART I25
SECTION 1-1.26
Title 50 of the Official Code of Georgia Annotated, relating to state government, is amended27
in Code Section 50-27-3, relating to definitions for the "Georgia Lottery for Education Act,"28
by revising paragraphs (13) and (20) and adding a new paragraph to read as follows:29
"(13)  'Lottery,' 'lotteries,' 'lottery game,' or 'lottery games' means any game of chance30
approved by the board and operated pursuant to this chapter, including, but not limited31
to, instant tickets, on-line online games, online sports betting, and games using32
mechanical or electronic devices but excluding pari-mutuel betting and casino gambling33
as defined in this Code section."34
"(20)  'Pari-mutuel betting' means a method or system of wagering on actual races35
involving horses or dogs at tracks which involves the distribution of winnings by pools.36
Such term shall not mean lottery games which may be predicated on a horse racing or dog37
racing scheme that does not involve actual track events.  Such term shall not mean the38
lottery game of sports betting or traditional lottery games which may involve the39
distribution of winnings by pools."40
"(23.1) 'Sports betting' shall have the same meaning as provided in Code Section41
50-27-122."42
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SECTION 1-2.43
Said title is further amended in Code Section 50-27-9, relating to general powers of the44
Georgia Lottery Corporation, by revising paragraphs (18) and (19) of subsection (a) and45
adding a new paragraph to read as follows:46
"(18)  To act as a retailer, to conduct promotions which involve the dispensing of lottery47
tickets or shares, and to establish and operate a sales facility to sell lottery tickets or48
shares and any related merchandise; and49
(19)  To perform any actions and carry out any responsibilities provided for in Article 450
of this chapter; and51
(19)(20) To adopt and amend such regulations, policies, and procedures as necessary to52
carry out and implement its powers and duties, organize and operate the corporation,53
regulate the conduct of lottery games in general, and any other matters necessary or54
desirable for the efficient and effective operation of the lottery or the convenience of the55
public.  The promulgation of any such regulations, policies, and procedures shall be56
exempt from the requirements of Chapter 13 of this title, the 'Georgia Administrative57
Procedure Act.'"58
SECTION 1-3.59
Said title is further amended in Code Section 50-27-13, relating to disposition of lottery60
proceeds, budget report by Governor, appropriations by General Assembly, and shortfall61
reserve subaccount, by revising paragraph (3) of subsection (b) as follows:62
"(3)(A)  Beginning in Fiscal Year 2025, a A shortfall reserve shall be maintained within63
the Lottery for Education Account in an amount equal to at least 50 percent of net64
proceeds deposited into such account for the preceding fiscal year of the average65
amount of net proceeds deposited into such account for the preceding three fiscal years,66
hereinafter referred to as the minimum reserve.  Beginning in Fiscal Year 2025 and for67
each fiscal year thereafter, if on the last day of the preceding fiscal year the total reserve68
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fund balance exceeds the minimum reserve, an amount equal to 10 percent of the excess69
reserve funds, meaning the amount that the total reserve fund balance exceeds the70
minimum reserve, shall be appropriated for educational purposes and programs.71
(B) If the net proceeds paid into the Lottery for Education Account in any year are not72
sufficient to meet the amount appropriated for education educational purposes and73
programs, the shortfall reserve may be drawn upon to meet the deficiency and any74
amount so drawn may count for purposes of appropriations in subparagraph (A) of this75
paragraph.76
(C)  If In the event the shortfall reserve is drawn upon and falls below 50 percent of the77
average amount of net proceeds deposited into such account for the preceding three78
fiscal year years, the shortfall reserve shall be replenished to the level required by79
subparagraph (A) of this paragraph in the next fiscal year and the lottery-funded lottery80
funded programs shall be reviewed and adjusted accordingly."81
PART II82
SECTION 2-1.83
Said title is further amended by adding a new article to Chapter 27, relating to the "Georgia84
Lottery for Education Act," to read as follows:85
"ARTICLE 486
Part 187
50-27-120.88
This article shall be known and may be cited as the 'Georgia Lottery Game of Sports89
Betting Act.'90
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50-27-121.91
The General Assembly finds that:92
(1)  Article I, Section II, Paragraph VIII(c) of the Constitution of the State of Georgia93
authorizes the General Assembly to provide by law for any matters relating to purposes94
or provisions of that subparagraph, which purposes and provisions include the operation95
and regulation of a lottery or lotteries and which purposes and provisions may encompass96
sports betting as a game or games offered by the Georgia Lottery Corporation;97
(2)  Sports betting shall be overseen and regulated, and may also be offered, by the98
Georgia Lottery Corporation in a manner that provides continuing entertainment to the99
public, maximizes revenues, protects consumers, and ensures that sports betting is100
operated in this state with integrity and dignity and free of political influence;101
(3)  The corporation shall be accountable to the General Assembly and to the public for102
the management and oversight of sports betting in this state through a system of audits103
and reports;104
(4)  The ability to offer sports betting in this state under a license issued in accordance105
with this article constitutes a taxable privilege and not a right;106
(5)  Net proceeds of sports betting conducted pursuant to this article shall be used for the107
purposes authorized by Article I, Section II, Paragraph VIII(c) of the Constitution; and108
(6)  In accordance with Code Section 50-27-2, sports betting shall be conducted in a109
manner so as to safeguard the fiscal soundness of the state, to enhance public welfare, and110
to support the funding authorized by Article I, Section II, Paragraph VIII(c) of the111
Constitution.112
50-27-122.113
As used in this article, the term:114
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(1)  'Adjusted gross income' means a licensee's gross sports betting income minus federal115
excise taxes and minus the total amount paid out to winning bettors, including the cash116
value of merchandise awarded as winnings.117
(2)  'Applicant' means any person that applies for a license under this article.118
(3)  'Bettor' means an individual who is:119
(A)  Physically present in this state when placing a wager with a licensee;120
(B)  Twenty-one years of age or older; and121
(C)  Not prohibited from placing a wager or bet under Code Section 50-27-162.122
(4)  'Bond' means a bond held in escrow for the purpose of maintaining adequate reserves123
to account for losses suffered by a licensee and owed to bettors.124
(5)  'Cheating' means improving the chances of winning or altering the outcome through125
deception, interference, or manipulation of a sporting event or of any equipment,126
including software, pertaining to or used in relation to the equipment used for or in127
connection with the sporting event on which wagers are placed or invited.  Such term128
shall include match fixing and attempts and conspiracy to cheat.129
(6)  'Collegiate sporting event' means a sporting or athletic event involving a sports or130
athletic team of a public or private institution of higher education.131
(7)  'Esports event' means an organized video game competition between players who132
play individually or as teams.133
(8)  'Fantasy or simulated contest' means a game or event in which one or more players134
compete based on winning outcomes that reflect the relative knowledge and skill of the135
players and are determined predominately by accumulated statistical results of the136
performance of individuals, including, but not limited to, athletes in sporting events.137
(9)  'Fixed-odds betting' means bets made at predetermined odds or on the spread where138
the return to the bettor is unaffected by any later change in odds or the spread.139
(10)  'Futures wager' means a wager made on the occurrence of an event in the future140
relating to a sporting event.141
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(11)  'Gross sports betting income' means the total of all moneys paid by bettors to a142
licensee as wagers, but does not include the value of promotional credits used to place143
wagers.144
(12)  'Institutional investor' means:145
(A)  A retirement fund administered by a public agency for the exclusive benefit of146
federal, state, or local public employees;147
(B)  An investment company registered under the Investment Company Act of 1940;148
(C)  A chartered or licensed life insurance company or property and casualty insurance149
company;150
(D)  A banking and other chartered or licensed lending institution;151
(E)  An investment advisor registered under the Investment Advisers Act of 1940; or152
(F) A pension investment board.153
(13)  'License' means any of the licenses issued by the corporation under this article.154
(14)  'Licensee' means a person that holds a license issued by the corporation under this155
article.156
(15)  'Master sports betting licensee' means the Georgia Lottery Corporation.157
(16)  'Material nonpublic information' means information that has not been disseminated158
publicly concerning an athlete, contestant, prospective contestant, or athletic team,159
including, without limitation, confidential information related to medical conditions or160
treatment, physical or mental health or conditioning, physical therapy or recovery,161
discipline, sanctions, academic status, education records, eligibility, playbooks, signals,162
schemes, techniques, game plans, practices, strategies, assessments, systems, drills, or163
recordings of practices or other athletic activities.164
(17)  'Merchandise' means any goods or services provided to bettors free of charge, at a165
discounted rate, or in the form of a rebate or credit.166
(18)  'Minor' means an individual who is less than 21 years of age.167
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(19)  'Moneyline wager' means the fixed odds in relation to a dollar amount that a team168
or person participating in a sporting event will win outright regardless of the spread.169
(20)  'Official event data' means statistics, results, outcomes, and other data related to a170
sporting event obtained pursuant to an agreement with the relevant sporting events171
operator whose corporate headquarters is based in the United States or an entity expressly172
authorized by such sporting events operator to provide such information to licensees for173
purposes of determining the outcome of tier 2 sports wagers on such sporting event.174
(21)  'Official league data' means statistics, results, outcomes, and other data related to175
a sporting event obtained pursuant to an agreement with the relevant professional sports176
governing body whose corporate headquarters is based in the United States or an entity177
expressly authorized by such professional sports governing body to provide such178
information to licensees for purposes of determining the outcome of tier 2 sports wagers.179
(22)  'Online sports betting' means a wager on a sporting event that is placed via the180
internet through any electronic device and accepted through an online sports betting181
platform.182
(23)  'Online sports betting platform' means the combination of hardware, software, and183
data networks used to manage, administer, or control online sports betting and any184
associated wagers accessible by any electronic means.185
(24)  'Online sports betting services provider' means a person that contracts with the186
master sports betting licensee or a Type 1 sports betting licensee under Code Section187
50-27-133 to operate online sports betting on behalf of such licensee and that is licensed188
by the corporation.189
(25)  'Over/under wager' means a single wager that predicts whether the combined score190
of the two persons or teams engaged in a sporting event will be lower or higher than a191
predetermined number.192
(26)  'Parlay wager' means a single wager that incorporates two or more individual bets193
for purposes of earning a higher payout if each bet incorporated within the wager wins.194
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(27)  'Person' means an individual or entity.195
(28)  'Principal owner' means a person that owns an interest of 10 percent or more of the196
entity.197
(29)  'Professional sporting event' means an athletic or sporting event involving at least198
two competitors who have the opportunity to receive compensation for participating in199
such event.200
(30)  'Professional sports governing body' means the organization, league, or association201
whose corporate headquarters is based in the United States that oversees a sport and202
prescribes final rules and enforces codes of conduct with respect to such sport and203
participants therein.204
(31)  'Professional sports team' means a major league professional team:205
(A)  Based in this state;206
(B)  That plays baseball, football, men's basketball, soccer, or women's basketball; and207
(C)  Whose regular season games have had the highest attendance for its respective208
professional sport in the state during the past five years.209
(32)  'Proposition wager' means a wager on a single specific action, statistic, occurrence,210
or nonoccurrence to be determined during a sporting event and includes any such action,211
statistic, occurrence, or nonoccurrence that does not directly affect the final outcome of212
the sporting event to which it relates.213
(33)  'Relative' means a spouse, father, mother, son, daughter, grandfather, grandmother,214
brother, sister, uncle, aunt, cousin, nephew, niece, father-in-law, mother-in-law,215
son-in-law, daughter-in-law, brother-in-law, sister-in-law, stepfather, stepmother,216
stepson, stepdaughter, stepbrother, stepsister, half-brother, or half-sister.217
(34)  'Sporting event' means any:218
(A) Professional sporting or professional athletic event, including motor sports219
sanctioned by a national or international organization or association;220
(B)  Collegiate sporting event;221
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(C)  Olympic sporting or athletic event;222
(D)  Sporting or athletic event sanctioned by a national or international organization or223
association;224
(E)  Sporting or athletic event conducted or organized by a sporting events operator;225
(F)  Esports event; or226
(G)  Other event authorized by the corporation.227
Such term shall not include a nonprofessional, noncollegiate, or non-Olympic sporting228
or athletic event if the majority of the participants are under the age of 18 years and shall229
not include any Special Olympics sporting or athletic event.230
(35)  'Sporting events operator' means a person that conducts or organizes a sporting231
event for athletes or other participants that is not held or sanctioned as an official sporting232
event of a professional sports governing body.233
(36)  'Sports betting' means online sports betting.234
(37)  'Sports betting equipment' means any of the following that is directly used in235
connection with the operation of sports betting:236
(A)  Any mechanical, electronic, or other device, mechanism, or equipment;237
(B)  Any software, application, components, or other goods; or238
(C)  Anything to be installed or used on a personal electronic device.239
(38)(A)  'Sports betting supplier' means a person that provides sports betting equipment240
necessary for the creation of sports betting markets and the determination of bet241
outcomes, directly to any licensee involved in the acceptance of bets, including any of242
the following:243
(i)  Providers of data feeds and odds services;244
(ii)  Platform providers;245
(iii)  Risk management providers:246
(iv)  Integrity monitoring providers; and247
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(v) Other providers of sports betting supplier services as determined by the248
corporation.249
(B)  Such term shall not include a professional sports governing body that:250
(i)  Provides official league data concerning its own sporting event to a sports betting251
licensee solely on that basis; or252
(ii)  Provides raw statistical match data to one or more designated and licensed253
suppliers of data feeds and odds services solely on that basis.254
(39)  'Spread' means the predicted scoring differential between two persons or teams255
engaged in a sporting event.256
(40)  'Supervisory employee' means a principal owner or employee having the authority257
to act on behalf of a licensee whose judgment is relied upon to manage and advance the258
sports betting business operations of a licensee.259
(41)  'Tier 1 sports wager' means a sports wager that is determined solely by the final260
score or final outcome of the sporting event and is placed before the sporting event has261
begun.262
(42)  'Tier 2 sports wager' means a wager that is not a tier 1 sports wager.263
(43)  'Type 1 eligible entity' means any of the following:264
(A)  Any professional sports team;265
(B)  A professional sports governing body that holds one or more sanctioned annual266
golf tournaments on a national tour of professional golf in this state, and has held one267
or more of the same or different sanctioned annual golf tournaments on a national tour268
of professional golf in this state for at least 30 years;269
(C)  The owner of a facility in this state that has held an annual invitational golf270
tournament for professional and amateur golfers for at least 30 years;271
(D)  The owner of a facility located in this state that hosts automobile races on a272
national association for stock car racing national tour or a wholly owned for-profit273
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subsidiary of the owner of such a facility, if the owner is a nonprofit corporation or274
nonprofit organization; and275
(E)  The Georgia Lottery Corporation.276
(44)  'Type 1 sports betting licensee' means the master sports betting licensee, an online277
sports betting services provider awarded a Type 1 license via the public procurement278
process by the master sports betting licensee, or a Type 1 eligible entity licensed or279
authorized by the corporation to directly or indirectly offer online sports betting.280
(45)  'Wager' or 'bet' means a sum of money that is risked by a bettor on the unknown281
outcome of one or more sporting events or portions of sporting events.  Such term shall282
include single-game wagers, futures wagers, tier 1 or tier 2 wagers, teaser wagers, parlay283
wagers, over/under wagers, moneyline wagers, pools, exchange wagering, in-game284
wagering, in-play wagers, proposition wagers, straight wagers, fixed-odds betting, and285
any other bet or wager approved by the corporation.  Such term shall not include a286
pari-mutuel bet or wager or an entry fee paid to participate in a fantasy or simulated287
contest.288
50-27-123.289
(a)  The corporation shall have all powers and duties necessary to carry out the provisions290
of this article and to exercise the control of the lottery game of sports betting in this state291
as authorized by this article.  Such powers and duties shall include, but shall not be limited292
to, the following:293
(1)  To have jurisdiction, supervision, and regulatory authority over sports betting,294
including, but not limited to, regulation, licensure, and offering of sports betting on295
mobile applications available state wide via the internet and through a limited number of296
licenses to be awarded to Type 1 sports betting licensees;297
(2)  To appoint and employ such persons as the corporation deems essential to perform298
its duties under this article and to ensure that such sports betting is conducted with order299
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and the highest integrity.  Such employees shall possess such authority and perform such300
duties as the corporation shall prescribe or delegate to them.  Such employees shall be301
compensated as provided by the corporation;302
(3)  To enter upon, investigate, and have free access to all places of business of any303
licensee under this article and to compel the production of any books, ledgers, documents,304
records, memoranda, or other information of any licensee to ensure such licensee's305
compliance with the rules and regulations promulgated by the corporation pursuant to this306
article;307
(4)  To promulgate any rules and regulations as the corporation deems necessary and308
proper to administer the provisions of this article; provided, however, that the initial rules309
and regulations governing sports betting shall be promulgated, provided for a period of310
public comment, and adopted by the corporation within 90 days of the effective date of311
this article.  Such initial rules and regulations and all other rules and regulations of the312
corporation promulgated and adopted pursuant to this article shall not be subject to313
Chapter 13 of this title, the 'Georgia Administrative Procedure Act';314
(5)  To issue subpoenas for the attendance of witnesses before the corporation, administer315
oaths, and compel production of records or other documents and testimony of witnesses316
whenever, in the judgment of the corporation, it is necessary to do so for the effectual317
discharge of the duties of the corporation under this article;318
(6)  To compel any person licensed by the corporation to file with the corporation such319
data, documents, and information as shall appear to the corporation to be necessary for320
the performance of the duties of the corporation under this article, including, but not321
limited to, financial statements and information relative to stockholders and all others322
with a pecuniary interest in such person;323
(7)  To prescribe the manner in which books and records of persons licensed or permitted324
by the corporation under this article shall be kept;325
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(8) To enter into arrangements with any foreign or domestic government or326
governmental agency for the purposes of exchanging information or performing any other327
act to better ensure the proper conduct of betting under this article;328
(9)  To order such audits, in addition to those otherwise required by this article, as the329
corporation deems necessary and desirable;330
(10)  Upon the receipt of a complaint of an alleged criminal violation of this article, to331
immediately report such complaint to the appropriate law enforcement agency with332
jurisdiction to investigate criminal activity;333
(11)  To provide for the reporting of the applicable amount of state and federal income334
tax of persons claiming a prize or payoff for a winning wager under this article;335
(12)  To establish and administer programs for providing assistance to individuals with336
problem gambling or a betting or gambling disorder, including, but not limited to:337
(A)  Educating potential gamblers of methods and types of bets and fairly informing338
potential gamblers of the odds or likelihood of winning such bets;339
(B)  Establishing and administering programs for educating potential gamblers about340
responsible gambling, the warning signs of problem gambling or betting or gambling341
disorders and how to prevent and treat problem gambling or betting or gambling342
disorders;343
(C)  Developing and funding responsible gaming education campaigns coupled with344
prevention and education efforts within communities that raise awareness of potential345
signs or risk factors of problem gambling or betting or gambling disorders;346
(D)  Encouraging the use of harm-minimizing measures by bettors, such as utilizing347
limit-setting tools and reviewing personal data and information to make informed348
decisions about gambling;349
(E)  Promulgating rules and regulations that enable bettors to self-limit with a licensee350
and self-exclude from sports betting activities state wide.  Any such rules or regulations351
related to self-exclusion shall require the individual seeking self-exclusion to provide352
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identifying information, including, at a minimum, full name, address, date of birth, and353
social security number;354
(F) Adopting processes for individuals to express concerns related to problem355
gambling or betting or gambling disorders to the corporation;356
(G)  Developing state-wide advertising guidelines to ensure that the marketing of sports357
betting is not targeted to minors and does not include content, themes, and promotions358
that have special appeal to individuals with problem gambling or a betting or gambling359
disorder;360
(H)  Requiring the electronic posting of signs or notifications on online sports betting361
platforms that bear the 1-800-GAMBLER toll-free number, which provides or directs362
callers to assistance and resources for individuals with problem gambling or a betting363
or gambling disorder; and364
(I)  To require licensees to implement systems to monitor their customers' betting and365
provide customers with guidance, information, and options when their betting may be366
problematic;367
(13)  To keep a true and full record of all proceedings of the corporation under this article368
and preserve at the corporation's general office all books, documents, and papers of the369
corporation;370
(14)  To adopt rules and regulations specific to the manner in which a licensee may371
advertise its business operations as authorized by this article; and372
(15)  To comply with Code Section 50-27-14 as it relates to the lottery game of sports373
betting in order to encourage participation by minority businesses.374
(b)  The corporation shall not have the power to prescribe a licensee's maximum or375
minimum payout or hold percentage.376
50-27-124.377
(a)  The corporation shall prescribe by rules and regulations:378
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(1)  The reserves that must be kept by licensees to comply with subparagraph (c)(7)(A)379
of Code Section 50-27-130 to pay off bettors;380
(2)  Any insurance requirements for a licensee;381
(3)  Minimum requirements by which each licensee shall exercise effective control over382
its internal fiscal affairs, including, without limitation, requirements for:383
(A)  Safeguarding assets and revenues, including evidence of indebtedness;384
(B)  Maintaining reliable records relating to accounts, transactions, profits and losses,385
operations, and events; and386
(C)  Global risk management;387
(4)  Requirements for internal and independent audits of licensees;388
(5)  The manner in which periodic financial reports shall be submitted to the corporation389
from each licensee, including the financial information to be included in the reports;390
(6) The type of information deemed to be confidential financial or proprietary391
information that is not subject to any reporting requirements under this article;392
(7)  Policies, procedures, and processes designed to mitigate the risk of cheating and393
money laundering; and394
(8)  Any post-employment restrictions necessary to maintain the integrity of sports395
betting in this state.396
Part 2397
50-27-130.398
(a)  Any person offering, operating, or managing sports betting in this state shall be399
licensed by the corporation.400
(b)  The corporation shall issue licenses to qualified applicants able to meet the duties of401
a license holder under this article and that the corporation determines will best satisfy the402
following criteria:403
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(1)  Expertise in the business of online sports betting;404
(2)  Integrity, sustainability, and safety of the online sports betting platform;405
(3)  Past relevant experience of the applicant;406
(4)  Advertising and promotional plans to increase and sustain revenue;407
(5)  The amount of adjusted gross income and associated tax revenue that an applicant408
is projected to generate;409
(6)  Demonstrated commitment to and plans for the promotion of responsible gaming;410
and411
(7)  Capacity to increase the number of bettors on the applicant's platform.412
(c)  An applicant for a license shall submit an application on a form in such manner and in413
accordance with such requirements as may be prescribed by rules and regulations of the414
corporation.  Such rules and regulations shall require, at a minimum, that the application415
include the following:416
(1)  If the applicant is an entity, identification of the applicant's principal owners, board417
of directors, officers, and supervisory employees;418
(2)  Evidence of the applicant's certificate of fitness for sports betting affiliation.  If the419
applicant is an entity, such evidence shall be provided for every individual who is a420
principal owner;421
(3)  Information, documentation, and assurances as may be required by the corporation422
to establish by clear and convincing evidence the applicant's good character, honesty, and423
integrity, including, but not limited to, information pertaining to family, habits, character,424
reputation, criminal and arrest records, business activities, financial affairs, and business,425
professional, and personal associates, covering at least the ten-year period immediately426
preceding the filing of the application;427
(4)  Notice and a description of civil judgments obtained against the applicant pertaining428
to antitrust or security regulation laws of the federal government, this state, or any other429
state, jurisdiction, province, or country;430
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(5)  To the extent available, letters of reference or the equivalent from law enforcement431
agencies having jurisdiction of the applicant's place of residence and principal place of432
business.  Each such letter of reference shall indicate that the law enforcement agency433
does not have any pertinent information concerning the applicant or, if such law434
enforcement agency does have information pertaining to the applicant, shall provide such435
information, to the extent permitted by law;436
(6)  If the applicant has conducted sports betting operations in another jurisdiction, a437
letter of reference from the regulatory body that governs sports betting that specifies the438
standing of the applicant with such regulatory body; provided, however, that, if no such439
letter is received within 60 days of the request therefor, the applicant may submit a440
statement under oath that the applicant is or was, during the period such activities were441
conducted, in good standing with the regulatory body;442
(7)  Information, documentation, and assurances concerning financial background and443
resources as may be required to establish by clear and convincing evidence the financial444
stability, integrity, and responsibility of the applicant, including, but not limited to, bank445
references, business and personal income and disbursement schedules, tax returns and446
other reports filed with governmental agencies, and business and personal accounting and447
check records and ledgers.  Each applicant shall, in writing, authorize the examination of448
all bank accounts and records as may be deemed necessary by the corporation.  The449
corporation may consider any relevant evidence of financial stability.  In addition, the450
applicant shall:451
(A)  Maintain a reserve of not less than $500,000.00 or the amount required to cover452
the outstanding liabilities for wagers accepted by the licensee, whichever is greater. 453
Outstanding liabilities for wagers shall mean the sum of patron account balances, the454
amount paid by patrons for wagers that have not yet been determined, and the amount455
owed but unpaid by licensees to patrons for wagers whose results have been456
determined.  The reserve may take the form of a bond, an irrevocable letter of credit,457
- 18 - 24 LC 36 5693S
payment processor reserves and receivables, cash or cash equivalents segregated from458
operational funds, guaranty letter, or a combination thereof.  Such reserve shall be459
adequate to pay winning wagers to bettors when due.  An applicant is presumed to have460
met this standard if the applicant maintains, on a daily basis, subject to when banks are461
open, a minimum reserve in an amount which is at least equal to the average daily462
minimum reserve, calculated on a monthly basis, for the corresponding month in the463
previous year;464
(B)  Meet ongoing operating expenses which are essential to the maintenance of465
continuous and stable sports betting operations; and466
(C)  Pay, as and when due, all state and federal taxes;467
(8)  Information, documentation, and assurances as may be required to establish by clear468
and convincing evidence that the applicant has sufficient business ability and sports469
betting experience to establish the likelihood of the creation and maintenance of470
successful, efficient sports betting operations in this state;471
(9)  Information, as required by rules and regulations of the corporation, regarding the472
financial standing of the applicant;473
(10)  A nonrefundable application fee and annual licensing fee as follows:474
(A) Applicants for a Type 1 sports betting license shall pay a nonrefundable475
application fee in the amount of $100,000.00 and an annual licensing fee in the amount476
of $1 million;477
(B)  Applicants for an online sports betting services provider license shall pay a478
nonrefundable application fee in the amount of $10,000.00 and an annual licensing fee479
of $100,000.00; provided, however, that an online sports betting services provider that480
applies for and obtains a Type 1 sports betting license pursuant to paragraph (3) of481
subsection (b) of Code Section 50-27-133 shall only be required to pay the482
nonrefundable application fee and annual licensing fee applicable to the applicant's483
Type 1 sports betting license; and484
- 19 - 24 LC 36 5693S
(C) Applicants for a sports betting supplier license shall pay a nonrefundable485
application fee in the amount of $2,000.00 and an annual licensing fee of $20,000.00;486
and487
(11) Any additional information, documents, or assurances required by rules and488
regulations of the corporation.489
(d)  The corporation shall review and approve or deny an application for a license not more490
than 90 days after receipt of an application.491
50-27-131.492
(a)  A licensee may renew its license by submitting an application on a form in such493
manner and in accordance with such requirements as may be prescribed by rules and494
regulations of the corporation.  A licensee shall submit the nonrefundable application fee495
prescribed under paragraph (10) of subsection (c) of Code Section 50-27-130 with its496
application for license renewal.497
(b)  For each application for licensure or renewal of a license approved under this Code498
section, the amount of the application fee shall be credited toward the licensee's annual499
licensing fee and the licensee shall remit the balance of the annual license fee to the500
corporation upon approval of a license.501
(c)  Each licensee shall have a continuing duty to promptly inform the corporation of any502
change in status relating to any information that may disqualify the licensee from holding503
a license under Code Section 50-27-132.504
(d)  A professional sports governing body and a Type 1 eligible entity may enter into505
commercial agreements with an online sports betting services provider or other entities that506
provide for such professional sports governing body and Type 1 eligible entity to share in507
the amounts wagered or revenue derived from wagers on the sporting events of such508
professional sports governing body and Type 1 eligible entity. A professional sports509
governing body and a Type 1 eligible entity shall not be required to obtain any approval510
- 20 - 24 LC 36 5693S
or other form of authorization from the corporation to enter into such commercial511
agreements or to lawfully accept such amounts or revenues. The corporation shall not512
prescribe any terms or conditions that are required to be included in such commercial513
agreements.514
(e)  A person that holds a license or permit to engage in sports betting issued by another515
jurisdiction, either directly or through a parent company or affiliated subsidiary, may516
submit a request to the corporation for a temporary license for such person to immediately517
commence engagement in this state in sports betting. Such request shall include the518
application fee and annual licensing fee required under paragraph (10) of subsection (c) of519
Code Section 50-27-130.520
(f)  Upon receiving a request for a temporary license, the chief executive officer shall521
review the request. If the chief executive officer reviews the request and determines that522
the person requesting the temporary license holds a license or permit issued by another523
jurisdiction to engage in sports betting and has paid the required application fee and annual524
licensing fee, the chief executive officer may authorize such person to engage in sports525
betting pursuant to this article under a temporary license for up to one year or until a final526
determination on such person's application is made, whichever is later.527
(g)  All licenses issued under this article shall be valid for a term of five years, unless528
suspended or revoked as provided under this article.529
(h)  The corporation may adopt rules and regulations prescribing the manner in which a530
license may be transferred and a fee for a license transfer.531
(i)  A licensee may maintain the bond, letter of credit, or cash reserve at any bank lawfully532
operating in this state and the licensee shall be the beneficiary of any interest accrued533
thereon.534
- 21 - 24 LC 36 5693S
50-27-132.535
(a)  The following persons shall not be eligible to apply for or obtain a license under this536
article:537
(1)  A member of the board of directors or employee of the corporation or an employee538
of a corporation vendor; provided, however, that a corporation vendor as an entity may539
be eligible to apply for or obtain a license;540
(2)  An employee of a professional sports team on which the applicant offers sports541
betting;542
(3)  A coach of or player for a collegiate, professional, or Olympic sports team or sport543
for which the applicant offers sports betting, or an entity that has an affiliation or interest544
in such a sports team or sport;545
(4)  An individual who is a member or employee of any professional sports governing546
body or sporting events operator for which the applicant offers sports betting;547
(5)  An individual or entity with an owner, officer, or director who has been convicted of548
a crime of moral turpitude or similar degree as specified in rules and regulations549
promulgated by the corporation pursuant to this article;550
(6)  A person having the ability to directly affect the outcome of a sporting event upon551
which the applicant offers sports betting;552
(7)  A trustee or regent of a governing board of a public or private institution of higher553
education;554
(8) An individual prohibited by the rules or regulations of a professional sports555
governing body or sporting events operator of a collegiate sports team, league, or556
association from participating in sports betting;557
(9)  A student or an employee of a public or private institution of higher education who558
has access to material nonpublic information concerning a student athlete or a sports559
team, unless such access to information is deemed incidental; and560
- 22 - 24 LC 36 5693S
(10) Any other category of persons, established by rules and regulations of the561
corporation, that, if licensed, would negatively affect the integrity of sports betting in this562
state.563
(b)  An individual listed in paragraphs (2) through (10) of subsection (a) of this Code564
section may hold an ownership interest in an applicant or licensee without disqualifying565
the applicant or licensee from obtaining or holding a license; provided, however, that such566
an ownership interest of 25 percent or more shall require approval from the corporation. 567
In determining whether such an ownership interest shall be the basis of disqualification, the568
corporation shall consider whether such interest would negatively affect the integrity of569
sports betting in this state and any other factors the corporation shall deem relevant.570
50-27-133.571
(a)  A Type 1 sports betting license authorizes the licensee, or its designated online sports572
betting services provider, to offer online sports betting. If a Type 1 eligible entity573
designates an online sports betting services provider, the designated online sports betting574
services provider shall instead fulfill the application and operational requirements for sports575
betting offered pursuant to this article.  The corporation shall establish a procedure for a576
Type 1 eligible entity to designate an online sports betting provider.577
(b)  The corporation shall issue not more than 16 Type 1 sports betting licenses as follows:578
(1)  Five Type 1 sports betting licenses shall be reserved for the Type 1 eligible entities579
defined in subparagraph (A) of paragraph (43) of Code Section 50-27-122; provided,580
however, that more than one license may be issued to an owner of multiple professional581
sports teams;582
(2)  One Type 1 sports betting license shall be reserved for each of the Type 1 eligible583
entities defined in subparagraphs (B) through (E) of paragraph (43) of Code Section584
50-27-122; and585
- 23 - 24 LC 36 5693S
(3)  The corporation shall award the remaining seven Type 1 sports betting licenses to586
separate online sports betting services providers via a public procurement process;587
(c)  The master sports betting license shall be deemed a Type 1 licensee and shall not be588
required to apply for a license; provided, however, that an online sports betting services589
provider engaged by the master sports betting licensee shall be required to apply for an590
online sports betting services provider license to operate online sports betting on behalf of591
the master sports betting licensee.592
(d)  A Type 1 eligible entity may contract with no more than one online sports betting593
services provider to operate online sports betting on behalf of the Type 1 eligible entity.594
(e)  A Type 1 eligible entity shall provide written notice to the corporation of its intention595
to apply for a Type 1 sports betting license within 60 days of the effective date of this596
article.  The failure of a Type 1 eligible entity to provide such written notice shall result in597
the permanent disqualification and prohibition of such Type 1 eligible entity from598
obtaining a Type 1 sports betting license.599
(f) A Type 1 sports betting licensee shall not offer online sports betting until the600
corporation has issued a Type 1 sports betting license to at least one online sports betting601
services provider via the public procurement process as determined by the corporation.602
(g)  The corporation shall begin to accept applications for all 16 Type 1 sports betting603
licenses under subsection (b) of this Code section on the same date.604
(h)  All applicants for the 16 Type 1 sports betting licenses under subsection (b) of this605
Code section that have submitted an application within 30 days of the date in which the606
corporation began to accept applications for Type 1 sports betting licenses shall be given607
an equal opportunity to first commence offering, conducting, or operating online sports608
betting in this state on the same day, and in any event not later than January 31, 2025.609
(i)  A Type 1 eligible entity described in subparagraphs (A) through (D) of paragraph (43)610
of Code Section 50-27-122 that becomes a Type 1 sports betting licensee or designates an611
online sports betting services provider shall establish and maintain procedures with respect612
- 24 - 24 LC 36 5693S
to sporting events which the Type 1 eligible entity participates in or administers to ensure613
avoidance of conflicts of interest in the operation of sports betting in this state.614
50-27-134.615
(a)  An online sports betting services provider shall offer online sports betting only in616
accordance with the provisions of this article and the rules and regulations adopted by the617
corporation under this article.618
(b)  An online sports betting services provider shall obtain a license under this article619
before offering online sports betting pursuant to a contract with a Type 1 sports betting620
licensee or master sports betting licensee.  An online sports betting services provider621
license shall entitle the holder to contract with no more than one Type 1 sports betting622
licensee.623
(c)  If the holder of a Type 1 sports betting license is a Type 1 eligible entity and is a624
member of a league, association, or organization that prevents the holder from being625
subject to the regulatory control of the corporation or from otherwise operating under the626
license, such a Type 1 eligible entity may contractually appoint an online sports betting627
services provider for all aspects of corporation oversight and operations under the Type 1628
sports betting license.629
(d)  Institutional investors shall be exempt from any and all qualification and disclosure630
requirements under this article or required under the rules and regulations promulgated by631
the corporation pursuant to this article.  Such exemption shall extend to the owners,632
directors, and officers of such institutional investors.633
50-27-135.634
Proposition wagers shall only be offered on online sports betting platforms by the master635
sports betting licensee, an online sports betting services provider that contracts with the636
master sports betting licensee, or a Type 1 sports betting licensee.637
- 25 - 24 LC 36 5693S
Part 3638
50-27-150.639
(a)  Notwithstanding any other law to the contrary, there shall be imposed an annual640
privilege tax of 20 percent of the adjusted gross income derived from online sports betting641
in accordance with this Code section.642
(b)  The privilege tax described in subsection (a) of this Code section shall be paid by the643
online sports betting services provider; provided, however, that, if a Type 1 sports betting644
licensee does not contract with an online sports betting services provider, such privilege645
tax shall be paid by such Type 1 sports betting licensee as provided for in subsection (c)646
of this Code section.  This subsection shall not apply to the master sports betting licensee.647
(c)  The privilege tax imposed under this Code section shall be paid monthly by the online648
sports betting services provider based on its monthly adjusted gross income for the649
immediately preceding calendar month.  The privilege tax shall be paid to the corporation650
in accordance with rules and regulations promulgated by the corporation.  If the online651
sports betting services provider's adjusted gross income for a month is a negative number,652
such online sports betting services provider may carry over such negative amount to653
subsequent months.654
(d)  All moneys from privilege taxes and fees collected under this Code section shall be655
distributed and used as provided under Article I, Section II, Paragraph VIII(c) of the656
Constitution.657
(e)  With the exception of application fees and annual licensing fees imposed by paragraph658
(10) of subsection (c) of Code Section 50-27-130, this privilege tax is in lieu of all other659
state and local sales and income taxes and fees imposed on the operation of sports betting660
or on the proceeds from the operation of sports betting in this state.  This subsection shall661
not exempt goods and services purchased by licensees in the ordinary course of business662
- 26 - 24 LC 36 5693S
from the imposition of state or local sales taxes that would otherwise apply, nor shall it663
exempt licensees from the payment of taxes on real property owned by the licensee.664
50-27-151.665
(a)  Each Type 1 licensee or its sports betting services provider shall report to the666
corporation, no later than January 15 of each year:667
(1)  The total amount of wagers received from bettors for the immediately preceding668
calendar year;669
(2)  The adjusted gross income of the licensee for the immediately preceding calendar670
year; and671
(3)  Any additional information required by rules and regulations of the corporation672
deemed in the public interest or necessary to maintain the integrity of sports betting in673
this state.674
(b)  A licensee shall promptly report to the corporation any information relating to:675
(1)  The name of any newly elected officer or director of the board of the licensed entity;676
and677
(2)  The acquisition by any person of 10 percent or more of any class of corporate stock.678
(c)  With respect to information reported under subsection (b) of this Code section, a679
licensee shall include with such report a statement of any conflict of interest that may exist680
as a result of such election or acquisition.681
(d) Upon receiving a report under this Code section or subsection (b) of Code682
Section 50-27-191, the corporation may conduct a hearing in accordance with Code Section683
50-27-193 to determine whether the licensee remains in compliance with this article.684
- 27 - 24 LC 36 5693S
Part 4685
50-27-160.686
(a)  No person shall knowingly:687
(1)  Allow a minor to place a wager;688
(2)  Offer, accept, or extend credit to a bettor in the form of a marker; provided, however,689
that promotions and promotional credits shall be permitted to be offered and extended to690
bettors;691
(3)  Target minors in advertising or promotions for sports betting;692
(4)  Offer or accept a wager on any event, outcome, or occurrence other than a sporting693
event, including, without limitation, a high school sporting event offered, sponsored, or694
played in connection with a public or private institution that offers education at the695
secondary level; or696
(5)  Accept a wager from an individual who is prohibited from placing a wager or bet697
under Code Section 50-27-162, if such person has notice or actual knowledge that such698
individual is prohibited from placing such a wager or bet.699
(b)  If the corporation determines that a person has violated any provision of this Code700
section, the corporation may impose an administrative fine not to exceed $25,000.00 per701
violation, or a total of $50,000.00 for violations arising out of the same transaction or702
occurrence.703
50-27-161.704
Except for those individuals ineligible to place bets under Code Section 50-27-162, an705
individual who is 21 years of age or older and who is physically located in this state may706
place a wager in the manner authorized under this article and the rules and regulations of707
the corporation.708
- 28 - 24 LC 36 5693S
50-27-162.709
(a)  The following individuals and categories of individuals shall not, directly or indirectly,710
place a wager on sporting events or online sports betting platforms in this state:711
(1)  A member, officer, or employee of the corporation shall not place a wager on any712
sporting event or platform;713
(2)  A corporation vendor employee shall not place a wager on a sporting event using714
their employer's platform;715
(3)  A licensee or principal owner, partner, member of the board of directors, officer, or716
supervisory employee of a licensee shall not place a wager on the licensee's platform;717
(4)  A person that provides goods or services to a licensee or any principal owner, partner,718
member of the board of directors, officer, or supervisory employee of a person that719
provides such goods or services shall not place a wager on the licensee's platform;720
(5)  A contractor, subcontractor, or consultant or any officer or employee of a contractor,721
subcontractor, or consultant of a licensee shall not place a wager on the licensee's722
platform, if such individual is directly involved in the licensee's operation of sports723
betting or the processing of sports betting claims or payments through the licensee's724
platform;725
(6)  An individual subject to a contract with the corporation shall not place a wager on726
any platform, if the contract contains a provision prohibiting the individual from727
participating in sports betting;728
(7) An individual with access to material nonpublic information that is known729
exclusively by an individual who is prohibited from placing a wager in this state under730
this Code section shall not use any such information to place a wager on any sporting731
event or platform;732
(8)  An amateur or Olympic athlete shall not place a wager on any sporting event in733
which the athlete participates;734
- 29 - 24 LC 36 5693S
(9)  A professional athlete shall not place a wager on any sporting event overseen by such735
athlete's professional sports governing body or sporting events operator;736
(10)  A principal owner of a team, employee of a team, player, umpire, or sports union737
personnel, or employee, referee, coach, or official of a professional sports governing body738
or sporting events operator shall not place a wager on any sporting event, if the wager is739
based on a sporting event overseen by the individual's professional sports governing body740
or sporting events operator;741
(11)  An individual having the ability to directly affect the outcome of a sporting event742
shall not place a wager on such sporting event;743
(12)  A trustee or regent of a governing board of a public or private institution of higher744
education shall not place a wager on a collegiate sporting event;745
(13) An individual prohibited by the rules or regulations of a professional sports746
governing body or sporting events operator of a collegiate sports team, league, or747
association from participating in sports betting shall not place a wager on any sporting748
event to which such prohibition applies; and749
(14)  A student or an employee of a public or private institution of higher education who750
has access to material nonpublic information concerning a student athlete or a sports team751
shall be prohibited from placing a wager on a collegiate sporting event if such752
information is relevant to the outcome of such event.753
(b)  The corporation may prescribe by rules and regulations additional individuals and754
categories of individuals who are prohibited from placing a wager on specified sporting755
events or online sports betting platforms in this state.756
(c)  The corporation shall prescribe by rules and regulations any measures necessary to757
ensure individuals who are prohibited from placing a wager on specified sporting events758
or online sports betting platforms in this state shall not be permitted to collude with759
individuals not specifically enumerated in subsection (a) of this Code section to directly760
affect the outcome of a sporting event.761
- 30 - 24 LC 36 5693S
(d)  Any individual who places a wager in violation of this Code section:762
(1)  For a first offense, shall be indefinitely prohibited from placing a wager, be required763
to forfeit the proceeds of any illegal wager, be guilty of a misdemeanor, and be fined not764
less than $500.00 nor more than $1,000.00;765
(2)  For a second offense, shall be:766
(A)  Required to forfeit the proceeds of any illegal wager;767
(B)  Guilty of a misdemeanor; and768
(C)  Fined not less than $5,000.00 or imprisoned for not less than one month nor more769
than five months, or both; and770
(3)  For a third or subsequent offense, shall be:771
(A)  Required to forfeit the proceeds of any illegal wager; 772
(B)  Guilty of a misdemeanor of a high and aggravated nature; and773
(C)  Fined not less than $7,500.00 or imprisoned for not less than three months, or both.774
50-27-163.775
(a)  The corporation shall by rules and regulations prohibit betting on injuries, penalties,776
the outcome of player discipline rulings or replay reviews, and any other type or form of777
betting under this article that is contrary to public policy or unfair to bettors.778
(b)(1)  A professional sports governing body or sporting events operator may submit to779
the corporation in writing, by providing notice in such form and manner as the780
corporation may require, a request to restrict, limit, or prohibit a certain type, form, or781
category of sports betting with respect to its sporting events, if the professional sports782
governing body or sporting events operator believes that such type, form, or category of783
sports betting with respect to its sporting events may undermine the integrity or perceived784
integrity of such professional sports governing body or sporting events operator or its785
sporting events.  The corporation shall request comments from sports betting licensees786
and sports betting services provider licensees on all such requests it receives.787
- 31 - 24 LC 36 5693S
(2)  After giving due consideration to all comments received, the corporation shall, upon788
demonstration of good cause from the requestor that such type, form, or category of789
sports betting is likely to undermine the integrity or perceived integrity of such790
professional sports governing body or sporting events operator or its sporting events,791
grant the request.  The corporation shall respond to a request concerning a particular792
sporting event before the start of the event, or if it is not feasible to respond before then,793
no later than seven days after the request is made.  If the corporation determines that the794
requestor is more likely than not to prevail in successfully demonstrating good cause for795
its request, the corporation may provisionally grant the request of the professional sports796
governing body or sporting events operator until the corporation makes a final797
determination as to whether the requestor has demonstrated good cause.  Absent such a798
provisional grant by the corporation, sports betting licensees may continue to offer sports799
betting on sporting events that are the subject of such a request during the pendency of800
the corporation's consideration of the applicable request.801
Part 5802
50-27-170.803
(a)  Prior to placing a wager with a licensee via online sports betting, a bettor shall register804
and establish a player account with the licensee remotely during which the bettor shall805
attest that he or she meets the requirements to place a wager with a licensee in this state. 806
Prior to verification of a bettor's identity in accordance with this Code section, a licensee807
shall not allow the bettor to place a wager, make a deposit, or process a withdrawal via808
online sports betting. A licensee shall implement commercially and technologically809
reasonable procedures to prevent access to sports betting by minors on its online sports810
betting platforms.  A licensee may use information obtained from third parties to verify that811
- 32 - 24 LC 36 5693S
an individual is authorized to open an account, place wagers, and make deposits and812
withdrawals.813
(b)  Each licensee shall adopt a registration policy to ensure that all bettors utilizing online814
sports betting are authorized to place a wager with a licensee within this state.  Such policy815
shall include, without limitation, commercially reasonable mechanisms to:816
(1)  Verify the identity and age of the registrant;817
(2)  Verify that the registrant is not knowingly prohibited from placing a wager under818
Code Section 50-27-162; and819
(3)  Obtain the following information from the registrant:820
(A)  Legal name;821
(B)  Date of birth;822
(C)  Physical address other than a post office box;823
(D)  Phone number;824
(E)  A unique username; and825
(F)  An active email account.826
(c)  Each licensee may in its discretion require a bettor to provide the licensee with a signed827
and notarized document attesting that the bettor is qualified to engage in sports betting828
under this article as part of the registration policy of the licensee.829
(d)  A bettor shall not register more than one account with a licensee, and each licensee830
shall use commercially and technologically reasonable means to ensure that each bettor is831
limited to one account.832
(e)  Each licensee, in addition to complying with state and federal law pertaining to the833
protection of the private, personal information of registered bettors, shall use all other834
commercially and technologically reasonable means to protect such information consistent835
with industry standards.836
(f)  A bettor may fund an account through:837
(1)  Electronic bank transfer of funds, including such transfers through third parties;838
- 33 - 24 LC 36 5693S
(2)  Debit cards;839
(3)  Online and mobile payment systems that support online money transfers; and840
(4)  Any other method approved by rules and regulations of the corporation.841
(g)(1)  Licensees shall not allow bets to be placed until first verifying the identity of the842
bettor pursuant to this Code section and by rules promulgated by the corporation. 843
Further, and pursuant to rules promulgated by the corporation, licensees shall establish844
safeguards, including, but not limited to, access notifications and similar security845
safeguards, to protect each bettor's account.846
(2)  If a licensee determines that the information provided by a bettor to make a deposit847
or process a withdrawal is inaccurate or incapable of verification or violates the policies848
and procedures of the licensee, the licensee shall, within ten days, require the submission849
of additional information that can be used to verify the identity of such bettor.850
(3)  If such information is not provided or does not result in verification of the bettor's851
identity, the licensee shall:852
(A)  Immediately suspend the bettor's account and shall not allow the bettor to place853
wagers;854
(B)  Retain any winnings attributable to the bettor; and855
(C)  Refund the affected balance of deposits made to the account to the source of such856
deposit or by issuance of a check.857
(h)  A licensee shall utilize geofencing technology to ensure that online sports betting is858
available only to bettors who are physically located in this state.  Servers, including the use859
of backup servers, may be located outside of this state, consistent with federal law.  To the860
extent required by federal law, a licensee shall maintain in this state the servers it uses to861
accept wagers on a sporting event placed by bettors located in this state.862
(i)  Each licensee shall clearly and conspicuously display on its website a statement863
indicating that it is illegal for a person under 21 years of age to engage in sports betting in864
this state.865
- 34 - 24 LC 36 5693S
(j)  The corporation shall promulgate rules and regulations for purposes of regulating sports866
betting via online sports betting.867
50-27-171.868
(a)  Licensees shall allow bettors to limit their betting activity with the licensee by, at a869
minimum, giving bettors the opportunity to place limits on the amounts deposited, the870
amounts wagered, and the amount of time spent wagering.  Licensees shall take reasonable871
steps to prevent bettors from overriding their self-imposed responsible gambling limits.872
(b)  The corporation shall promulgate rules and regulations that require a licensee to873
implement responsible sports betting programs that include comprehensive training on874
responding to circumstances in which individuals present signs of problem gambling or a875
betting or gambling disorder.876
(c)  The corporation shall work with national and local organizations to provide services877
for individuals with problem gambling or a betting or gambling disorder and to establish878
prevention initiatives to reduce the number of individuals with problem gambling or a879
betting or gambling disorder, including, but not limited to, utilizing currently established880
programs for problem gambling or betting or gambling disorders.881
(d)  All sports betting advertisements shall prominently display messaging designed to882
prevent problem gambling and provide information about how to access resources related883
to problem gambling, including the National Council on Problem Gambling's helpline or884
other similar toll-free helpline.885
(e)  The corporation shall annually generate a report outlining activities with respect to886
problem gambling and betting or gambling disorders, including, but not limited to,887
descriptions of programs, grants, and other resources made available; the number of888
individuals seeking assistance; the number of individuals who reported completing889
programs and therapies; and the rate of recidivism, if known to the corporation.  The890
corporation shall file the annual report with the Governor, the Lieutenant Governor, and891
- 35 - 24 LC 36 5693S
the Speaker of the House of Representatives and shall publish such report on its website892
no later than January 30 of each year.893
50-27-172.894
(a)  Each licensee shall adopt and adhere to a written, comprehensive policy outlining its895
rules governing the acceptance of wagers and payouts.  Such policy and rules must be896
approved by the corporation prior to the acceptance of a wager by a licensee.  Such policy897
and rules must be readily available to a bettor on the licensee's website.898
(b)  The corporation shall promulgate rules and regulations regarding:899
(1)  The manner in which a licensee accepts wagers from and issues payouts to bettors,900
including payouts in excess of $10,000.00; and901
(2)  Requirements for reporting suspicious wagers.902
Part 6903
50-27-180.904
(a) Licensees are not required to use official league data or official event data for905
determining the results of:906
(1)  Tier 1 sports wagers on events of any organization, whether headquartered in the907
United States or elsewhere; or908
(2)  Tier 2 sports wagers on events of organizations that are not headquartered in the909
United States.910
(b)(1)  A professional sports governing body or sporting events operator headquartered911
in the United States may notify the corporation that it desires licensees to use official912
league data or official event data for determining the results of tier 2 sports wagers on its913
sporting events.  A notification under this subsection shall be made in the form and914
manner as the corporation shall require.  The corporation shall notify each licensee within915
- 36 - 24 LC 36 5693S
five days after receipt of such notification from a professional sports governing body or916
sporting events operator.  If a professional sports governing body or sporting events917
operator does not notify the corporation of its desire to supply official league data or918
official event data, licensees are not required to use official league data or official event919
data for determining the results of any tier 2 wagers on sporting events of that920
professional sports governing body or sporting events operator.921
(2) Within 60 days after the corporation notifies each licensee as provided under922
paragraph (1) of this subsection, or within a longer period as may be agreed between such923
professional sports governing body or sporting events operator and the applicable924
licensee, each such licensee shall be required to use only official league data or official925
event data, as applicable, to determine the results of tier 2 sports wagers on sporting926
events sanctioned by such professional sports governing body or sporting events operator,927
except when:928
(A)  The professional sports governing body or sporting events operator, or a designee929
thereof, is unable to provide a feed of official league data or official event data to930
determine the results of a particular type of tier 2 sports wager, in which case licensees931
are not required to use official league data for determining the results of the applicable932
tier 2 sports wager until the data feed becomes available on commercially reasonable933
terms and conditions; or934
(B)  A licensee is able to demonstrate to the corporation that the professional sports935
governing body or sporting events operator, or a designee thereof, will not provide a936
feed of official league data or official event data to the licensee on commercially937
reasonable terms and conditions.938
(3)  The following is a nonexclusive list of factors the corporation may consider in939
evaluating whether official league data or official event data is being offered on940
commercially reasonable terms and conditions for purposes of subparagraphs (A) and (B)941
of paragraph (2) of this subsection:942
- 37 - 24 LC 36 5693S
(A)  The extent to which licensees have purchased the same or similar official league943
data or official event data on the same or similar terms, particularly in jurisdictions944
where such purchase was not required by law or was required by law but only if offered945
on commercially reasonable terms;946
(B)  The nature and quantity of the official league data or official event data, including,947
without limitation, its speed, accuracy, reliability, and overall quality as compared to948
comparable nonofficial data;949
(C)  The quality and complexity of the process used to collect and distribute the official950
league data or official event data as compared to comparable nonofficial data;951
(D)  The availability of tier 2 official league data of a professional sports governing952
body or tier 2 official event data of a sporting events operator to a licensee from more953
than one authorized source;954
(E)  Market information, including, without limitation, price and other terms and955
conditions, regarding the purchase of comparable data by licensees for the purpose of956
settling sports wagers, for use in this state or other jurisdictions; and957
(F)  The extent to which professional sports governing bodies or sporting events958
operators, or designees thereof, have made available to licensees the data used to settle959
the results of tier 2 sports wagers and any terms and conditions relating to the use of960
such data.961
(4)  Notwithstanding any provisions to the contrary in this Code section, including,962
without limitation, paragraph (2) of this subsection, while the corporation is evaluating963
whether a professional sports governing body or a sporting events operator, or the964
designee thereof, will provide a feed of official league data or official event data on965
commercially reasonable terms and conditions pursuant to paragraph (3) of this966
subsection, licensees are not required to use official league data or official event data for967
determining the results of tier 2 sports wagers.968
- 38 - 24 LC 36 5693S
(5)  The corporation shall make a determination under paragraph (3) of this subsection969
within 60 days after the licensee notifies the corporation that it desires to demonstrate that970
the professional sports governing body or sporting events operator, or a designee thereof,971
will not provide a feed of official league data or official event data to such licensee on972
commercially reasonable terms and conditions.973
Part 7974
50-27-190.975
Members of the corporation or designated employees thereof may, during normal business976
hours, enter the premises of any facility of a licensee, or a third party utilized by the977
licensee to operate and conduct business in accordance with this article, for the purpose of978
inspecting books and records kept as required by this article to ensure that the licensee is979
in compliance with this article or to make any other inspection of the premises necessary980
to protect the public interests of this state and its consumers.981
50-27-191.982
(a)  The corporation, licensees, corporation vendors, and vendors shall use commercially983
reasonable efforts to cooperate with investigations conducted by any professional sports984
governing body, any sporting events operator, and law enforcement agencies, including,985
but not limited to, using commercially reasonable efforts to provide or facilitate the986
provision of betting information.987
(b)  Licensees shall promptly report to the corporation any information relating to:988
(1)  Abnormal betting activity or patterns that may indicate a concern with the integrity989
of a sporting event; and990
(2)  Conduct that corrupts the betting outcome of a sporting event for purposes of991
financial gain, including match fixing.992
- 39 - 24 LC 36 5693S
(c)  Licensees shall as soon as is practicable report any information relating to conduct993
described in subsection (b) of this Code section to the professional sports governing body994
or sporting events operator.995
(d)  Licensees shall use commercially reasonable efforts to maintain, in real time and at the996
account level, anonymized information regarding a bettor; the amount and type of bet; the997
time the bet was placed; the location of the bet, including the internet protocol address if998
applicable; the outcome of the bet; and records of abnormal betting activity for three years999
after the sporting event occurs.  The corporation may request such information in the form1000
and manner required by rules and regulations of the corporation.  For purposes of this1001
subsection, the term 'real time' means on a commercially reasonable periodic interval.1002
(e)  All records, documents, and information received by the corporation pursuant to this1003
Code section shall be considered investigative records of a law enforcement agency, shall1004
not be subject to Article 4 of Chapter 18 of this title, and shall not be released under any1005
condition without the permission of the person providing such records, documents, or1006
information.1007
(f)  Nothing in this Code section shall require a sports betting licensee to provide any1008
information that is prohibited by federal, state, or local laws or rules and regulations,1009
including, without limitation, laws and rules and regulations relating to privacy and1010
personally identifiable information.1011
(g)  If a professional sports governing body or sporting events operator has notified the1012
corporation that access to the information described in subsection (d) of this Code section1013
for wagers placed on its sporting events is necessary to monitor the integrity of its sporting1014
events and represents to the corporation that it specifically uses such data for the purpose1015
of monitoring the integrity of sporting events of such professional sports governing body1016
or sporting events operator, then licensees shall share, in a commercially reasonable1017
frequency, form, and manner, with the professional sports governing body or sporting1018
events operator, or a designee thereof, the same information the licensee is required to1019
- 40 - 24 LC 36 5693S
maintain under subsection (d) of this Code section with respect to sports wagers on such1020
a body's or operator's sporting events.  A professional sports governing body or sporting1021
events operator, or a designee thereof, shall use information received under this subsection1022
for integrity-monitoring purposes only and shall not use such information for commercial1023
or any other purposes.  Nothing in this subsection shall require a licensee to provide any1024
information that is prohibited by federal, state, or local laws, rules, or regulations,1025
including, but not limited to, laws, rules, or regulations relating to privacy and personally1026
identifiable information.1027
50-27-192.1028
The corporation shall assist in any investigations by law enforcement to determine whether:1029
(1)  A licensee is accepting wagers from minors or other persons ineligible to place1030
wagers in this state; and1031
(2)  An individual is unlawfully accepting wagers from another individual without a1032
license or at a location in violation of this article.1033
50-27-193.1034
(a)  The corporation may investigate and conduct a hearing with respect to a licensee upon1035
information and belief that the licensee has violated this article or upon the receipt of a1036
credible complaint from any person that a licensee has violated this article. The1037
corporation shall conduct investigations and hearings in accordance with rules and1038
regulations adopted by the corporation.1039
(b)  If the corporation determines that a licensee has violated any provision of this article1040
or any rules and regulations of the corporation, the corporation may suspend, revoke, or1041
refuse to renew a license; impose an administrative fine not to exceed $25,000.00 per1042
violation or a total of $50,000.00 for violations arising out of the same transaction or1043
occurrence; or both.1044
- 41 - 24 LC 36 5693S
(c)  The corporation shall promulgate rules and regulations establishing a schedule of1045
administrative fines that may be assessed in accordance with subsection (b) of this Code1046
section for each violation of this article; provided, however, that, if the corporation finds1047
that:1048
(1)  A licensee is knowingly accepting wagers from minors or other persons ineligible to1049
place wagers in this state, the corporation shall impose a fine against the licensee as1050
follows:1051
(A)  For a first offense, $1,000.00;1052
(B)  For a second offense, $2,000.00; and1053
(C)  For a third or subsequent offense, $5,000.00; or1054
(2)  An individual is unlawfully accepting wagers from another individual without a1055
license, the corporation shall impose a fine against the individual as follows:1056
(A)  For a first offense, $10,000.00;1057
(B)  For a second offense, $15,000.00; and1058
(C)  For a third or subsequent offense, $25,000.00.1059
(d)  The corporation may refer conduct that it reasonably believes is a violation of Article 21060
of Chapter 12 of Title 16 to the appropriate law enforcement agency.1061
50-27-194.1062
(a)  Any person that violates any provisions of this article shall be liable for a civil penalty1063
of not more than $5,000.00 per violation, not to exceed $50,000.00 for violations arising1064
out of the same transaction or occurrence, which shall accrue to the corporation and may1065
be recovered in a civil action brought by or on behalf of the corporation.1066
(b)  The corporation may seek and obtain an injunction in a court of competent jurisdiction1067
for purposes of enforcing this article.1068
(c)  Costs shall not be taxed against the corporation or this state for actions brought under1069
this article.1070
- 42 - 24 LC 36 5693S
50-27-195.1071
(a)  Fines assessed under this article shall be accounted for separately for use by the1072
corporation in a manner consistent with rules and regulations of the corporation.1073
(b)  The corporation may issue subpoenas to compel the attendance of witnesses and the1074
production of relevant books, accounts, records, and documents for purposes of carrying1075
out its duties under this article.1076
50-27-196.1077
(a)  A licensee or other individual aggrieved by a final decision or action of the corporation1078
may appeal such decision or action to the Superior Court of Fulton County.1079
(b)  The Superior Court of Fulton County shall hear appeals from decisions or actions of1080
the corporation and, based upon the record of the proceedings before the corporation, may1081
reverse the decision or action of the corporation only if the appellant proves the decision1082
or action to be:1083
(1)  Clearly erroneous;1084
(2)  Arbitrary and capricious;1085
(3)  Procured by fraud;1086
(4)  A result of substantial misconduct by the corporation; or1087
(5)  Contrary to the United States Constitution, the Constitution of Georgia, or this article.1088
(c)  The Superior Court of Fulton County may remand an appeal to the corporation to1089
conduct further hearings.1090
50-27-197.1091
(a)  It shall be unlawful for any person, directly or indirectly, to knowingly receive, supply,1092
broadcast, display, or otherwise transmit material nonpublic information for the purpose1093
of betting on a sporting event or influencing another individual's or entity's wager on a1094
sporting event.1095
- 43 - 24 LC 36 5693S
(b)  This Code section shall not apply to the dissemination of public information as news,1096
entertainment, or advertising.1097
(c)  Any person in violation of this Code section shall be indefinitely prohibited from1098
placing a wager, be required to forfeit the proceeds of any illegal wager, and be guilty of1099
a misdemeanor."1100
PART III1101
SECTION 3-1.1102
Part 1 of Article 2 of Chapter 12 of Title 16 of the Official Code of Georgia Annotated,1103
relating to gambling, is amended by revising paragraph (1) of Code Section 16-12-20,1104
relating to definitions, as follows:1105
"(1)  'Bet' means an agreement that, dependent upon chance even though accompanied1106
by some skill, one stands to win or lose something of value.  A bet does not include:1107
(A)  Contracts of indemnity or guaranty or life, health, property, or accident insurance;1108
or1109
(B)  An offer of a prize, award, or compensation to the actual contestants in any bona1110
fide contest for the determination of skill, speed, strength, or endurance or to the owners1111
of animals, vehicles, watercraft, or aircraft entered in such contest; or1112
(C)  Any consideration paid to participate in a lottery game of online sports betting1113
offered pursuant to Article 4 of Chapter 27 of Title 50."1114
SECTION 3-2.1115
Said part is further amended by revising Code Section 16-12-27, relating to advertisement1116
or solicitation for participation in lotteries, as follows:1117
- 44 - 24 LC 36 5693S
"16-12-27.1118
(a)  It shall be unlawful for any person, partnership, firm, corporation, or other entity to1119
sell, distribute, televise, broadcast, or disseminate any advertisement, television or radio1120
commercial, or any book, magazine, periodical, newspaper, or other written or printed1121
matter containing an advertisement or solicitation for participation in any lottery declared1122
to be unlawful by the laws of this state unless such advertisement, commercial, or1123
solicitation contains or includes the words 'void in Georgia' printed or spoken so as to be1124
clearly legible or audible to persons viewing or hearing such advertisement, commercial,1125
or solicitation.1126
(b)  Any person, partnership, firm, corporation, or other entity violating subsection (a) of1127
this Code section shall be guilty of a misdemeanor.1128
(c)  This Code section shall not apply to any advertisement or solicitation for participation1129
in a lottery game of online sports betting by any person licensed by the Georgia Lottery1130
Corporation under Article 4 of Chapter 27 of Title 50 that is concerning such licensee's1131
lawful activities."1132
SECTION 3-3.1133
Said part is further amended by revising Code Section 16-12-28, relating to communicating1134
gambling information, as follows:1135
"16-12-28.1136
(a)  A person who knowingly communicates information as to bets, betting odds, or1137
changes in betting odds or who knowingly installs or maintains equipment for the1138
transmission or receipt of such information with the intent to further gambling commits the1139
offense of communicating gambling information.1140
(b)  A person who commits the offense of communicating gambling information, upon1141
conviction thereof, shall be punished by imprisonment for not less than one nor more than1142
five years or by a fine not to exceed $5,000.00, or both.1143
- 45 - 24 LC 36 5693S
(c)  This Code section shall not apply to the activities of a person licensed by the Georgia1144
Lottery Corporation under Article 4 of Chapter 27 of Title 50 or an employee, agent, or1145
other person acting in furtherance of his or her employment by such licensee."1146
PART IV1147
SECTION 4-1.1148
Title 48 of the Official Code of Georgia Annotated, relating to revenue and taxation, is1149
amended by revising paragraph (55) of Code Section 48-8-3, relating to exemptions from1150
state sales and use tax, as follows:1151
"(55) The sale of lottery tickets authorized by Chapter 27 of Title 50 or wagers1152
authorized by Article 4 of Chapter 27 of Title 50;"1153
PART V1154
SECTION 5-1.1155
This Act shall become effective upon its approval by the Governor or upon its becoming law1156
without such approval.1157
SECTION 5-2.1158
All laws and parts of laws in conflict with this Act are repealed.1159
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