EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0340*
SENATE BILL 340
C7 5lr1888
HB 1319/24 – W&M
By: Senator Watson
Introduced and read first time: January 16, 2025
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Internet Gaming – Authorization and Implementation 2
FOR the purpose of authorizing the State Lottery and Gaming Control Commission to issue 3
certain licenses to certain qualified applicants to conduct or participate in certain 4
Internet gaming operations in the State; requiring the Commission to regulate 5
Internet gaming and the conduct of Internet gaming in the State; requiring an 6
Internet gaming licensee to require individuals to provide proof of the registration 7
in order to participate in Internet gaming; authorizing the Governor, on 8
recommendation of the Commission, to enter into certain multijurisdictional 9
Internet gaming agreements with certain other governments, subject to certain 10
limitations; providing that certain payments to certain former video lottery facility 11
employees may not be subtracted from the calculation of a certain benefit; 12
establishing the Video Lottery Facility Employee Displacement Fund as a special, 13
nonlapsing fund; submitting this Act to a referendum of the qualified voters of the 14
State; and generally relating to Internet gaming. 15
BY repealing and reenacting, without amendments, 16
Article – Economic Development 17
Section 5–1501(a) 18
Annotated Code of Maryland 19
(2024 Replacement Volume and 2024 Supplement) 20
BY repealing and reenacting, with amendments, 21
Article – Economic Development 22
Section 5–1501(b)(1) 23
Annotated Code of Maryland 24
(2024 Replacement Volume and 2024 Supplement) 25
BY repealing and reenacting, without amendments, 26
Article – Education 27
Section 5–206(b) 28 2 SENATE BILL 340
Annotated Code of Maryland 1
(2022 Replacement Volume and 2024 Supplement) 2
BY repealing and reenacting, with amendments, 3
Article – Education 4
Section 5–206(f) and 5–235(a) 5
Annotated Code of Maryland 6
(2022 Replacement Volume and 2024 Supplement) 7
BY repealing and reenacting, with amendments, 8
Article – Labor and Employment 9
Section 8–803(d) 10
Annotated Code of Maryland 11
(2016 Replacement Volume and 2024 Supplement) 12
BY repealing and reenacting, without amendments, 13
Article – State Government 14
Section 9–1A–28(a) and 9–1A–29(a) 15
Annotated Code of Maryland 16
(2021 Replacement Volume and 2024 Supplement) 17
BY repealing and reenacting, with amendments, 18
Article – State Government 19
Section 9–1A–28(b)(1) and 9–1A–29(b)(1) 20
Annotated Code of Maryland 21
(2021 Replacement Volume and 2024 Supplement) 22
BY adding to 23
Article – State Government 24
Section 9–1F–01 through 9–1F–13 to be under the new subtitle “Subtitle 1F. Internet 25
Gaming” 26
Annotated Code of Maryland 27
(2021 Replacement Volume and 2024 Supplement) 28
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 29
That the Laws of Maryland read as follows: 30
Article – Economic Development 31
5–1501. 32
(a) There is a Small, Minority, and Women–Owned Businesses Account under the 33
authority of the Department. 34
(b) (1) The Account shall receive money as required under [§ 9–1A–27] §§ 35
9–1A–27 AND 9–1F–05 of the State Government Article. 36
SENATE BILL 340 3
Article – Education 1
5–206. 2
(b) There is the Blueprint for Maryland’s Future Fund. 3
(f) The Fund consists of: 4
(1) Revenue distributed to the Fund under Title 9, Subtitles 1D [and 1E] 5
THROUGH 1F of the State Government Article and §§ 2–4A–02, 2–605.1, and 2–1303 of 6
the Tax – General Article; 7
(2) Money appropriated in the State budget for the Fund; and 8
(3) Any other money from any other source accepted for the benefit of the 9
Fund. 10
5–235. 11
(a) (1) (i) Subject to PARAGRAPH (3) OF THIS SUBSECTION A ND 12
subsection (o) of this section and beginning in fiscal year 2023, the county governing body 13
shall levy and appropriate an annual tax sufficient to provide an amount of revenue for 14
elementary and secondary public education purposes equal to the local share of major 15
education aid as adjusted under § 5–239 of this subtitle. 16
(ii) For the purposes of calculating the local share of major education 17
aid and regardless of the source of the funds, all funds that a county board, including the 18
Baltimore City Board of School Commissioners, is authorized to expend for schools may be 19
considered as levied by the county council, board of county commissioners, or the Mayor 20
and City Council of Baltimore except for: 21
1. State appropriations; 22
2. Federal education aid payments; and 23
3. The amount of the expenditure authorized for debt service 24
and capital outlay. 25
(2) Subject to PARAGRAPH (3) OF THIS SUBSECTION A ND subsection (o) 26
of this section and except as provided in subsection (a–1) of this section, the county 27
governing body shall appropriate local funds to the school operating budget in an amount 28
no less than the product of the county’s enrollment count for the current fiscal year and the 29
local appropriation on a per pupil basis for the prior fiscal year using enrollment count. 30
(3) BEGINNING IN FISCAL Y EAR 2027 AND EACH FISCAL YEAR 31
THEREAFTER , THE COUNTY GOVERNI NG BODY SHALL : 32 4 SENATE BILL 340
(I) SUBTRACT THE AMOUNT O F INTERNET GAMING PROCE EDS 1
DISTRIBUTED TO LOCAL JURISDICTIONS FOR ED UCATION FUNDING UNDE R § 2
9–1F–05(B)(2)(VIII) OF THE STATE GOVERNMENT ARTICLE FROM THE TOTA L 3
AMOUNTS CALCULATED U NDER PARAGRAPHS (1) AND (2) OF THIS SUBSECTION ; AND 4
(II) APPROPRIATE TO THE SC HOOL OPERATING BUDGE T THE 5
AMOUNT OF INTERNET GAMING PROCE EDS THAT THE COUNTY GOVERNING BODY 6
RECEIVED. 7
Article – Labor and Employment 8
8–803. 9
(d) (1) Except as provided in § 8–1207 of this title for the work sharing 10
program and § 8–1604 of this title for the Self–Employment Assistance Program, an eligible 11
claimant shall be paid a weekly benefit amount that is computed by: 12
(i) determining the claimant’s weekly benefit amount under this 13
section; 14
(ii) adding any allowance for a dependent to which the claimant is 15
entitled under § 8–804 of this subtitle; and 16
(iii) subject to [paragraph] PARAGRAPHS (3) AND (4) of this 17
subsection, subtracting any wages exceeding $50 payable to the claimant for the week. 18
(2) In computing benefits under this subsection, a fraction of a dollar shall 19
be rounded to the next lower dollar. 20
(3) A payment to an individual as compensation for serving as an election 21
judge for a local board of elections in the State may not be included when computing the 22
wages required to be subtracted under paragraph (1)(iii) of this subsection. 23
(4) A PAYMENT TO A FORMER VIDEO LOTTERY FACILI TY EMPLOYEE 24
FROM THE VIDEO LOTTERY FACILITY EMPLOYEE DISPLACEMENT FUND 25
ESTABLISHED UNDER § 9–1F–13 OF THE STATE GOVERNMENT ARTICLE MAY NOT 26
BE INCLUDED WHEN COM PUTING THE WAGES REQ UIRED TO BE SUBTRACT ED UNDER 27
PARAGRAPH (1)(III) OF THIS SUBSECTION . 28
Article – State Government 29
9–1A–28. 30
(a) There is a Purse Dedication Account under the authority of the State Racing 31
Commission. 32 SENATE BILL 340 5
(b) (1) The Account shall receive money as required under § 9–1A–27 of this 1
subtitle AND § 9–1F–05 OF THIS TITLE. 2
9–1A–29. 3
(a) There is a Racetrack Facility Renewal Account under the authority of the 4
State Racing Commission. 5
(b) (1) The Account shall receive money as required under § 9–1A–27 of this 6
subtitle AND § 9–1F–05 OF THIS TITLE for the first 16 years of operations at each video 7
lottery facility. 8
SUBTITLE 1F. INTERNET GAMING. 9
9–1F–01. 10
(A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 11
INDICATED. 12
(B) “COMMISSION” MEANS THE STATE LOTTERY AND GAMING CONTROL 13
COMMISSION. 14
(C) “ECONOMICALLY DISADVAN TAGED AREA” MEANS A GEOGRAPHIC A REA, 15
IDENTIFIED BY THE COMMISSION, THAT MEETS THREE OR MORE OF THE 16
FOLLOWING CRITERIA : 17
(1) HAS A MEDIAN INCOME RATE THAT IS 80% OR LESS OF THE 18
AVERAGE MEDIAN HOUSE HOLD INCOME OF THE S TATE WITHIN WHICH TH E 19
GEOGRAPHIC AREA IS L OCATED; 20
(2) HAS AN UNEMPLOYMENT RATE THAT IS AT LEAS T 150% OF THE 21
UNEMPLOYMENT RATE OF THE STATE WITHIN WHI CH THE GEOGRAPHIC AR EA IS 22
LOCATED; 23
(3) HAS AN UNINSURED RAT E THAT IS AT LEAST 150% OF THE HEALTH 24
UNINSURED RATE OF TH E STATE WITHIN WHICH THE GEOGRAPHI C AREA IS 25
LOCATED; 26
(4) HAS A SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM 27
PARTICIPATION RATE T HAT IS AT LEAST 150% OF THE SUPPLEMENTAL NUTRITION 28
ASSISTANCE PROGRAM PARTICIPATION RATE OF THE STATE WI THIN WHICH THE 29
GEOGRAPHIC AREA IS L OCATED; AND 30
6 SENATE BILL 340
(5) HAS A POVERTY RATE THAT IS AT LEAST 150% OF THE POVERTY 1
RATE IN THE STATE WI THIN WHICH THE GEOGR APHIC AREA IS LOCATE D. 2
(D) “INTERNET GAMING ” MEANS CASINO –STYLE GAMING THROUGH AN 3
ONLINE GAMING SYSTEM : 4
(1) ON A COMPUTER , A MOBILE DEVICE , OR ANY OTHER INTERA CTIVE 5
DEVICE; AND 6
(2) THAT IS CONDUCTED BY AN INTERNET GAMING LICEN SEE OR A 7
PERSON WHO OPERATES INTERNET GAMING ON BE HALF OF AN INTERNET GAMING 8
LICENSEE. 9
(E) “INTERNET GAMING LICEN SE” MEANS A LICENSE ISSU ED BY THE 10
COMMISSION TO CONDUCT INTERNET GAMING IN THE STATE IN ACCORDANCE W ITH 11
THIS SUBTITLE. 12
(F) “INTERNET GAMING LICEN SEE” MEANS THE HOLDER OF AN INTERNET 13
GAMING LICENSE UNDER THIS SUBTITLE. 14
(G) “INTERNET GAMING OPERA TOR” MEANS AN ENTITY THAT HOLDS A 15
LICENSE ISSUED BY TH E COMMISSION UNDER THIS SUBTITLE TO CONDUCT AND 16
OPERATE INTERNET GAMING ON BE HALF OF AN INTERNET GAMING LICEN SEE. 17
(H) (1) “PERSONAL NET WORTH ” MEANS THE NET VALUE OF THE ASSETS 18
HELD BY AN INDIVIDUA L, INCLUDING THE INDIVI DUAL’S SHARE OF ASSETS HE LD 19
JOINTLY OR AS COMMUN ITY PROPER TY WITH THE INDIVIDU AL’S SPOUSE, AFTER 20
TOTAL LIABILITIES AR E DEDUCTED. 21
(2) “PERSONAL NET WORTH ” DOES NOT INCLUDE : 22
(I) THE INDIVIDUAL ’S OWNERSHIP INTEREST IN AN APPLICANT 23
FOR LICENSURE UNDER THIS SUBTITLE; 24
(II) THE INDIVIDUAL ’S EQUITY IN THE INDIVIDUAL’S PRIMARY 25
PLACE OF RESIDENCE ; 26
(III) ANY MORTGAGE OR LOAN SECURED BY THE INDIV IDUAL’S 27
PRIMARY PLACE OF RES IDENCE AS A LIABILIT Y; OR 28
(IV) THE CASH VALUE OF AN Y QUALIFIED RETIREME NT SAVINGS 29
PLANS OR INDIVIDUAL RETIREMENT ACCOUNTS . 30
SENATE BILL 340 7
(I) “PROCEEDS” MEANS THE AMOUNT OF MONEY BET ON INTERNET 1
GAMING, LESS: 2
(1) THE AMOUNT RETURNED TO SUCCESSFUL PLAYER S; 3
(2) THE CASH EQUIVALENTS OF ANY MERCHANDISE O R THING OF 4
VALUE AWARDED AS A P RIZE TO SUCCESSFUL P LAYERS; AND 5
(3) THROUGH THE FIRST 5 YEARS OF OPERATION OF AN INTERNET 6
GAMING LICENSEE : 7
(I) IF THE INTERNET GAMING LICEN SEE’S PROCEEDS DO NOT 8
EXCEED $4,000,000 DURING THE IMMEDIATE LY PRECEDING YEAR OF OPERATION, 9
35% OF FREE PLAY AND PRO MOTIONAL CREDITS RED EEMED BY PLAYERS ; 10
(II) IF THE INTERNET GAMING LICENSE E’S PROCEEDS ARE AT 11
LEAST $4,000,000 BUT DO NOT EXCEED $8,000,000 DURING THE IMMEDIATE LY 12
PRECEDING YEAR OF OP ERATION, 31.25% OF FREE PLAY AND PRO MOTIONAL 13
CREDITS REDEEMED BY PLAYERS; 14
(III) IF THE INTERNET GAMING LICEN SEE’S PROCEEDS ARE AT 15
LEAST $8,000,000 BUT DO NOT EXCEED $10,000,000 DURING THE IMMEDIATE LY 16
PRECEDING YEAR OF OP ERATION, 27.5% OF FREE PLAY AND PRO MOTIONAL 17
CREDITS REDEEMED BY PLAYERS; 18
(IV) IF THE INTERNET GAMING LICEN SEE’S PROCEEDS ARE AT 19
LEAST $10,000,000 BUT DO NOT EXCEED $12,000,000 DURING THE IMMEDIATE LY 20
PRECEDING YEAR OF OP ERATION, 23.75% OF FREE PLAY AND PRO MOTIONAL 21
CREDITS REDEEMED BY PLAYERS; OR 22
(V) IF THE INTERNET GAMING LICEN SEE’S PROCEEDS 23
EXCEEDED $12,000,000 DURING THE IMMEDIATE LY PRECEDING YEAR OF 24
OPERATION, 20% OF FREE PLAY AND PRO MOTIONAL CREDITS RED EEMED BY 25
PLAYERS. 26
(J) “SOCIAL EQUITY APPLICA NT” MEANS AN APPLICANT F OR AN INTERNET 27
GAMING LICENSE WHO S ATISFIES AT LEAST TW O OF THE FOLLOWING C RITERIA: 28
(1) LIVED IN AN ECONOMIC ALLY DISADVANTAGED AREA FOR AT 29
LEAST 5 OF THE 10 YEARS IMMEDIATELY PR ECEDING THE SUBMISSI ON OF THE 30
APPLICATION; 31
(2) ATTENDED A PUBLIC SC HOOL IN AN ECONOMICA LLY 32
DISADVANTAGED AREA F OR AT LEAST 5 YEARS; 33 8 SENATE BILL 340
(3) FOR AT LEAST 2 YEARS, ATTENDED A 4–YEAR INSTITUTION OF 1
HIGHER EDUCATION IN THE STATE WHERE AT LEAST 40% OF THE INDIVIDUALS W HO 2
ATTEND THE INSTITUTI ON OF HIGHER EDUCATI ON ARE ELIGIBLE FOR A PELL 3
GRANT; AND 4
(4) HAS A PERSONAL NET W ORTH THAT DOES NOT E XCEED AN 5
AMOUNT DETERMINED BY THE COMMISSION TO ENCOURA GE DIVERSITY, EQUITY, 6
AND INCLUSION IN THE INTERNET GAMING INDUS TRY. 7
(K) “VIDEO LOTTERY FACILIT Y” HAS THE MEANING STAT ED IN § 9–1A–01 8
OF THIS TITLE. 9
(L) “VIDEO LOTTERY OPERATO R” HAS THE MEANING STAT ED IN § 9–1A–01 10
OF THIS TITLE. 11
9–1F–02. 12
(A) (1) THIS SUBTITLE AU THORIZES AN INTERNET GAMING LICEN SEE TO 13
CONDUCT AND OPERATE INTERNET GAMING IN TH E STATE AS PROVIDED IN THIS 14
SUBTITLE. 15
(2) AN INTERNET GAMING LICEN SEE MAY ENTER INTO A N 16
AGREEMENT WITH UP TO ONE INTERNET GAMING OPERA TOR. 17
(B) EXCEPT AS OTHERWISE P ROVIDED IN THIS SUBTITLE, THE COMMISSION 18
SHALL REGULATE INTERNET GAMING AND T HE CONDUCT OF INTERNET GAMING TO 19
THE SAME EXTENT THAT THE COMMISSION REGULATES THE OPERATION OF VID EO 20
LOTTERY TERMINALS AN D TABLE GAMES UNDER SUBTITLE 1A OF THIS TITLE AND 21
MOBILE SPORTS WAGERING UNDER SUBTITLE 1E OF THIS TITLE. 22
(C) UNLESS THE CONTEXT RE QUIRES OTHERWISE , THE REQUIREMENTS 23
UNDER §§ 9–1A–04, 9–1A–06, 9–1A–07, 9–1A–08, 9–1A–12, 9–1A–14, 9–1A–18, 24
9–1A–19, 9–1A–20, AND 9–1A–25 OF THIS TITLE APPLY TO THE AUTHORITY , DUTIES, 25
AND RESPONSIBILITIES OF THE COMMISSION, AN INTERNET GAMING LICEN SEE, 26
AND AN EMPLOYEE OR A CONTRACTOR OF AN INTERNET GAMING LICEN SEE UNDER 27
THIS SUBTITLE. 28
(D) (1) THE FOLLOWING PERSONS SHALL BE LICENSED UN DER THIS 29
SUBTITLE: 30
(I) A PERSON THAT CONDUC TS INTERNET GAMING ; 31
SENATE BILL 340 9
(II) A PERSON THAT CONDUC TS INTERNET GAMING ON BE HALF 1
OF AN INTERNET GAMING LICEN SEE, INCLUDING AN INTERNET GAMING OPERA TOR; 2
(III) A LIVE STUDIO DEALER , AS DEFINED UNDER § 9–1F–10 OF 3
THIS SUBTITLE; 4
(IV) A PERSON NOT LICENSE D UNDER ITEM (I), (II), OR (III) OF 5
THIS PARAGRAPH THAT MANAGES, OPERATES, SUPPLIES, PROVIDES SECURITY FO R, 6
OR PROVIDES SERVICE , MAINTENANCE , OR REPAIRS FOR AN INTERNET GAMING 7
LICENSEE; AND 8
(V) AN INDIVIDUAL DIRECT LY EMPLOYED IN THE O PERATION 9
OF INTERNET GAMING BY AN INTERNET GAMING LICEN SEE IF THE INDIVIDUA L DOES 10
NOT OTHERWISE HOLD A VALID LICENSE UNDER SUBTITLE 1A OF THIS TITLE. 11
(2) THE COMMISSION MAY BY REG ULATION REQUIRE A PE RSON THAT 12
CONTRACTS WITH A LIC ENSEE AND THE PERSON ’S EMPLOYEES TO OBTAI N A 13
LICENSE UNDER THIS S UBTITLE IF THE COMMISSION DETERMINES THAT THE 14
LICENSING REQUIREMEN TS ARE NECESSARY IN ORDER TO PROTECT THE PUBLIC 15
INTEREST AND ACCOMPL ISH THE POLICIES EST ABLISHED BY THIS SUB TITLE. 16
(3) SUBJECT TO THE LIMITA TIONS OF THIS SUBTIT LE, THE 17
COMMISSION MAY CHARGE A FEE FOR A LICENSE ISSUED UNDER THIS SU BTITLE. 18
(E) (1) THE COMMISSION MAY NOT IS SUE A LICENSE TO A P ERSON 19
DESCRIBED UNDER SUBS ECTION (D)(1)(II) OR (IV) OF THIS SECTION IF T HE 20
APPLICANT OR ANY OF THE APPLICANT ’S AFFILIATES, INCLUDING AN ENTITY UNDER 21
COMMON CONTROL , IS KNOWINGLY ACCEPTI NG REVENUE THAT IS D IRECTLY OR 22
INDIRECTLY DERIVED F ROM: 23
(I) A JURISDICTION ON TH E BLACK LIST OF MONEY 24
LAUNDERING COUNTRIES ESTABLISHED BY THE FINANCIAL ACTION TASK FORCE; 25
(II) A JURISDICTION D ESIGNATED AS A STATE SPONSOR OF 26
TERRORISM BY THE UNITED STATES; OR 27
(III) A JURISDICTION IN WH ICH ONLINE CASINO GA MING IS 28
PROHIBITED AND THE R EVENUE IS DERIVED FR OM ONLINE CASINO GAM ING IN THAT 29
JURISDICTION. 30
(2) IF AT ANY TIME DURING THE LICENSURE OF A PERSON DESCRIBED 31
UNDER SUBSECTION (D)(1)(II) OR (IV) OF THIS SECTION THE COMMISSION 32
DETERMINES THAT THE LICENSE HOLDER OR AN Y OF THE LICENSE HOL DER’S 33
AFFILIATES, INCLUDING AN ENTITY UNDER COMMON CONTROL , IS KNOWINGLY 34 10 SENATE BILL 340
ACCEPTING REVENUE TH AT IS DIRECTLY O R INDIRECTLY DERIVED FROM A 1
JURISDICTION DESCRIB ED UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE 2
COMMISSION MAY REVOKE THE LICENSE OF THE L ICENSE HOLDER IF THE 3
COMMISSION DETERMINES THAT, AFTER NOTICE AND OPP ORTUNITY FOR A 4
HEARING, IT WOULD FURTHER THE PUBLIC INTEREST TO DISCON TINUE THE 5
OPERATIONS OF THE LI CENSE HOLDER WITHIN THE STATE. 6
(3) (I) 1. IN THIS PARAGRAPH THE FOLLOWING WORDS HAVE 7
THE MEANINGS INDICAT ED. 8
2. “ILLEGAL INTERACTIVE G AMING MARKET ” MEANS A 9
JURISDICTION IN WHIC H INTERACTIVE GAMING IS PROHIBITED BY THE LAWS OF 10
THAT JURISDICTION . 11
3. “INTERACTIVE GAME CONT ENT” MEANS HARDWARE , 12
SOFTWARE, APPLICATIONS, AND SERVERS USED TO OPERATE, CONDUCT, OR OFFER 13
INTERACTIVE GAMBLING GAMES. 14
(II) THE COMMISSION SHALL REQU IRE A PERSON DESCRIB ED 15
UNDER SUBSECTION (D)(1)(II) AND (IV) OF THIS SUBSECTION , ON APPLICATION FOR 16
A LICENSE AND ANNUAL LY FOLLOWING THE ISS UANCE OF A LICENSE , TO SUBMIT A 17
DISCLOSURE STATING T HE JURISDICTIONS IN WHICH THE APPLICANT OR LICENSE 18
HOLDER OR ANY AFFILI ATE OF THE APPLICA NT OR LICENSE HOLDER , DURING THE 19
IMMEDIATELY PRECEDIN G 12–MONTH PERIOD , DIRECTLY OR INDIRECT LY 20
ACCEPTED REVENUE FRO M THE SUPPLY OF INTE RACTIVE GAME CONTENT IN AN 21
ILLEGAL INTERACTIVE GAMING MARKET . 22
(III) A MATERIAL MISREPRESEN TATION OR OMISSION O N THE 23
DISCLOSURE REQUIRED U NDER SUBPARAGRAPH (II) OF THIS PARAGRAPH MA Y, IN 24
THE DISCRETION OF TH E COMMISSION, RESULT IN THE DENIAL OF AN APPLICATION 25
FOR A LICENSE UNDER THIS SUBTITLE OR , IN THE CASE OF A LIC ENSE HOLDER , 26
DISCIPLINARY ACTION , INCLUDING A SUSPENSI ON OR REVOCATION OF THE LICENSE 27
AND PENALTIES FOR OF FICERS OR BOARD MEMB ERS OF THE LICENSE H OLDER. 28
(F) THE COMMISSION SHALL ADOP T REGULATIONS THAT E STABLISH: 29
(1) THE FORM AND CONTENT OF AN APPLICATION FO R ANY LICENSE 30
REQUIRED UNDER THIS SUBTITLE; 31
(2) STANDARDS, PROCEDURES , AND RULES THAT GOVER N THE 32
CONDUCT AND OPERATIO N OF INTERNET GAMING ; AND 33
(3) ANY OTHER REGULATION NECESSARY TO CARRY O UT THE 34
PROVISIONS OF THIS S UBTITLE. 35 SENATE BILL 340 11
9–1F–03. 1
(A) IT IS THE INTENT OF T HE GENERAL ASSEMBLY THAT THIS SU BTITLE BE 2
IMPLEMENTED IN A MAN NER THAT, TO THE EXTENT PERMIT TED BY STATE AND 3
FEDERAL LAW , MAXIMIZES THE ABILIT Y OF MINORITIES , WOMEN, AND 4
MINORITY– AND WOMEN –OWNED BUSINESSES TO PARTICIPATE IN THE INTERNET 5
GAMING INDUSTRY , INCLUDING THROUGH TH E OWNERSHIP OF ENTI TIES LICENSED 6
TO CONDUCT INTERNET GAMING . 7
(B) (1) (I) SUBJECT TO SUBPARAGRA PH (IV) OF THIS PARAGRAPH , 8
THE COMMISSION MAY ISSUE AN INTERNET GAMING LICEN SE TO: 9
1. A VIDEO LOTTERY OPER ATOR; 10
2. THE HOLDER OF A SPOR TS WAGERING FACILITY 11
LICENSE DESCRIBED UNDER § 9–1E–06(A)(2)(I)2 OR 3 OF THIS TITLE; AND 12
3. APPLICANTS THAT : 13
A. HAVE MAINTAINED THE APPLICANTS’ 14
HEADQUARTERS IN THE STATE FOR AT LEAST 10 YEARS; 15
B. EMPLOYED ON DECEMBER 31, 2024, AND CONTINUE 16
TO EMPLOY , AT LEAST 250 EMPLOYEES IN THE STATE ON A FULL –TIME OR 17
FULL–TIME EQUIVALENT BASI S; 18
C. DURING THE PERIOD BE GINNING JANUARY 1, 2018, 19
AND ENDING DECEMBER 31, 2024, FILED AN APPLICATION OR RENEWAL 20
APPLICATION TO OWN A N EQUITY INTEREST OF AT LEAST 5% IN A VIDEO LOTTERY 21
OPERATOR AND WERE FO UND BY THE COMMISSION TO BE QUAL IFIED; 22
D. AGREE TO OPERATE THE INTERNET GAMING 23
BUSINESS USING A BRA ND ASSOCIATED WITH A MARYLAND–BASED APPLICANT , 24
SUBJECT TO WAIVER BY THE COMMISSION AFTER 1 FULL YEAR OF OPERATI ON; AND 25
E. COMMIT TO SPEND AT LEAST $5,000,000 DURING THE 26
INITIAL TERM OF THE INTERNET GAMING LICEN SE TO BUILD AND OPER ATE A LIVE 27
GAMING STUDIO , AS DEFINED UNDER § 9–1F–10 OF THIS SUBTITLE , OR A STUDIO 28
FOR TELEVISION AND F ILM PRODUCTIONS UNDE R THE AUSPICES OF TH E 29
MARYLAND FILM OFFICE WITHIN THE MARYLAND DEPARTMENT OF COMMERCE 30
DIVISION OF TOURISM, FILM, AND THE ARTS. 31
12 SENATE BILL 340
(II) 1. THE COMMISSION MAY ISSUE A VIDEO LOTTERY 1
OPERATOR AN ADDITION AL INTERNET GAMING LICEN SE IF, AT THE TIME OF 2
APPLICATION FOR A LI CENSE UNDER SUBPARAG RAPH (I)1 OF THIS PARAGRAPH , 3
THE VIDEO LOTTERY OP ERATOR CONCURRENTLY APPLIES FOR A LICENS E THAT THE 4
VIDEO LOTTERY OPERAT OR AGREES TO OPERATE IN PARTNERSHIP WITH SOCIAL 5
EQUITY APPLICANTS WH O DEMONSTRATE DIRECT OR INDIRECT OWNERSHI P OF AT 6
LEAST 33% IN A JOINT VENTURE. 7
2. IF A VIDEO LOTTERY OP ERATOR APPLIES FOR A 8
LICENSE IN ACCORDANC E WITH SUBSUBPARAGRA PH 1 OF THIS SUBPARAGRAPH , 9
THE COMMISSION MAY ISSUE THE VIDEO LOTTERY OP ERATOR AN ADDITIONAL 10
LICENSE THAT THE VID EO LOTTERY OPERATOR MAY OPERATE SUBJECT TO 11
SUBPARAGRAPH (IV) OF THIS PARAGRAPH . 12
3. IF THE SOCIAL EQUITY APPLICANT WITH WHOM THE 13
VIDEO LOTTERY OPERAT OR AGREES TO PARTNER IN ACCORDANCE WITH 14
SUBSUBPARAGRAPH 1 OR 2 OF THIS SUBPARAGRAPH IS THE HOLDER OF A S PORTS 15
WAGERING FACILITY LI CENSE DESCRIBED UNDER § 9–1E–06(A)(2)(I)2 OR 3 OF THIS 16
TITLE, THE HOLDER OF THE SP ORTS WAGERING FACILI TY LICENSE DESCRIBED 17
UNDER § 9–1E–06(A)(2)(I)2 OR 3 OF THIS TITLE MAY NO T APPLY FOR A LICENS E IN 18
ACCORDANCE WITH SUBP ARAGRAPH (I)2 OF THIS PARAGRAPH . 19
(III) 1. IF A VIDEO LOTTERY OPERATO R THAT IS ELIGIBLE T O 20
RECEIVE AN INTERNET GAMING LICEN SE UNDER SUBPARAGRAP H (I) OF THIS 21
PARAGRAPH FAILS TO A PPLY FOR A LICENSE F OR WHICH THE ENTITY IS 22
POTENTIALLY ELIGIBLE , INCLUDING THE ADDITI ONAL LICENSES DESCRI BED 23
UNDER SUBPARAGRAPH (II) OF THIS PARAGRAPH , THE COMMISSION MAY ISSUE THE 24
OTHERWISE AVAILABLE INTERNET GAMING LICEN SES THROUGH TWO COMP ETITIVE 25
LICENSING ROUNDS TO APPLICANTS THAT MEET THE REQUIREMENTS FOR AN 26
INTERNET GAMING LICEN SE UNDER THIS SUBTIT LE. 27
2. IN ADDITION TO T HE LICENSES DESCRIBE D UNDER 28
SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH , THE COMMISSION MAY ISSUE FIVE 29
INTERNET GAMING LICEN SES THROUGH TWO COMP ETITIVE LICENSING RO UNDS TO 30
APPLICANTS THAT MEET THE REQUIREMENTS FOR AN INTERNET GAMING LICEN SE 31
UNDER THIS SUBTITLE . 32
3. THE FIRST ROUND OF AP PLICATIONS FOR LICEN SES 33
DESCRIBED UNDER SUBS UBPARAGRAPHS 1 AND 2 OF THIS SUBPARAGRAPH SHALL 34
BE AVAILABLE TO APPL ICANTS THAT DEMONSTR ATE DIRECT OR INDIRE CT 35
OWNERSHIP OF AT LEAS T 33% BY SOCIAL EQUITY APP LICANTS. 36
4. IF ANY L ICENSES DESCRIBED UN DER 37
SUBSUBPARAGRAPHS 1 AND 2 OF THIS SUBPARAGRAPH REMAIN AVAILABLE AFT ER 38 SENATE BILL 340 13
THE FIRST ROUND OF A PPLICATIONS DESCRIBE D UNDER SUBSUBPARAGR APH 3 OF 1
THIS SUBPARAGRAPH , THE REMAINING LICENS ES SHALL BE AVAILABL E TO 2
APPLICANTS WHO SATIS FY THE REQ UIREMENTS UNDER SUBP ARAGRAPH (IV) OF 3
THIS PARAGRAPH . 4
(IV) 1. EXCEPT AS PROVIDED UN DER SUBSUBPARAGRAPH 2 5
OF THIS SUBPARAGRAPH , THE COMMISSION MAY NOT IS SUE A LICENSE TO AN 6
APPLICANT THAT HAS N OT DEMONSTRATED DIRE CT OR INDIRECT OWNER SHIP OF 7
AT LEAST 5% BY INDIVIDUALS WHO A RE SOCIAL EQUITY APP LICANTS. 8
2. THE COMMISSION MAY ISSUE A LICENSE TO AN 9
APPLICANT THAT , IN LIEU OF THE OWNER SHIP REQUIREMENT DES CRIBED UNDER 10
SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH , HAS ESTABLISHED A 11
PROFIT–SHARING AGREEMENT WI TH NONMANAGEMENT EMPLOY EES WHO WOULD 12
OTHERWISE QUALIFY AS SOCIAL EQUITY APPLIC ANTS. 13
(V) THE COMMISSION SHALL REVI EW EACH APPLICATION FOR 14
AN INTERNET GAMING LICEN SE UNDER THIS SECTIO N TO ENSURE THAT 15
APPLICANTS SATISFY T HE SOCIAL EQUITY APP LICANT OWNERSHIP REQUIREMENTS 16
UNDER THIS SUBSECTIO N. 17
(VI) IN ADDITION TO ANY OT HER FACTORS ESTABLIS HED BY THE 18
COMMISSION BY REGULAT ION TO ENSURE COMPLI ANCE WITH THIS SUBTI TLE, THE 19
COMMISSION SHALL REVI EW APPLICATIONS FOR INTERNET GAMING LICEN SES 20
UNDER SUBPARAGRAPH (III) OF THIS PARAGRAPH BASED ON: 21
1. THE PERCENTAGE OF OW NERSHIP BY INDIVIDUA LS 22
WHO ARE SOCIAL EQUIT Y APPLICANTS; 23
2. THE APPLICANT ’S FINANCIAL STABILIT Y, 24
RESOURCES, INTEGRITY, AND BUSINESS ABILITY AND ACUMEN ; 25
3. THE APPLICANT ’S WORKFORCE DEV ELOPMENT 26
PLANS FOR INTERNET GAMING INDUS TRY EMPLOYEES IN THE STATE; 27
4. THE APPLICANT ’S PLANS FOR EMPLOYIN G 28
INDIVIDUALS IN THE INTERNET GAMING INDUS TRY WHO RESIDE IN EC ONOMICALLY 29
DISADVANTAGED AREAS ; AND 30
5. THE APPLICANT ’S RESPONSIBLE GAMING PROGRAMS 31
AND AN EFFECTIVE GOV ERNANCE AND COMPLIAN CE PROGRAM . 32
14 SENATE BILL 340
(2) (I) THE COMMISSION MAY CONTRA CT WITH A CONSULTANT TO 1
ASSIST THE COMMISSION WITH THE D EVELOPMENT OF AN INTERNET GAMING 2
LICENSE APPLICATION AND THE REVIEW OF AP PLICANTS. 3
(II) AS PART OF THE R EVIEW OF AN APPLICAT ION FOR AN 4
INTERNET GAMING LICEN SE, THE COMMISSION SHALL DETE RMINE WHETHER THE 5
ISSUANCE OF A LICENS E TO THE APPLICANT S ERVES THE PUBLIC INT EREST. 6
(3) (I) 1. THE INITIAL LICENSE F EE FOR AN INTERNET GAMING 7
LICENSE IS EQUAL TO $1,000,000. 8
2. THE COMMISSION MAY AUTHOR IZE THE PAYMENT OF 9
THE FEE REQUIRED UND ER SUBSUBPARAGRAPH 1 OF THIS SUBPARAGRAPH IN 10
SEPARATE INSTALLMENT S. 11
(II) THE TERM OF AN INTERNET GAMING LICEN SE IS 5 YEARS. 12
(4) (I) ON APPLICATION BY AN INTERNET GAMING LICENSEE AND 13
PAYMENT OF A LICENSE RENEWAL FEE UNDER SU BPARAGRAPH (II) OF THIS 14
PARAGRAPH , THE COMMISSION SHALL RENE W FOR 5 YEARS AN INTERNET GAMING 15
LICENSE IF THE LICEN SEE COMPLIES WITH AL L STATUTORY AND REGU LATORY 16
REQUIREMENTS . 17
(II) THE LICENSE RENEWAL F EE IS EQUAL TO 1% OF THE 18
INTERNET GAMING LICEN SEE’S AVERAGE ANNUAL PRO CEEDS RETAINED BY TH E 19
LICENSEE UNDER § 9–1F–05(B)(1)(II) OF THIS SUBTITLE FOR THE PRECEDING 20
3–YEAR PERIOD. 21
(C) ON A PROPERLY APPROVE D TRANSMITTAL PREPAR ED BY THE 22
COMMISSION, THE COMPTROLLER SHALL PAY THE FOLLOWING AMOUNT S FROM 23
THE LICENSE FEES COL LECTED BY THE COMMISSION UNDER THIS SECTION: 24
(1) AN AMOUNT TO THE STATE LOTTERY AND GAMING CONTROL 25
AGENCY NECESSARY TO R EIMBURSE THE AGENCY FOR EXPENSES R ELATED TO THE 26
ISSUANCE AND RENEWAL OF LICENSES UNDER TH IS SECTION; 27
(2) 1% TO THE PROBLEM GAMBLING FUND ESTABLISHED UNDE R § 28
9–1A–33 OF THIS TITLE; AND 29
(3) THE REMAINDER TO THE BLUEPRINT FOR MARYLAND’S FUTURE 30
FUND ESTABLISHED UNDE R § 5–206 OF THE EDUCATION ARTICLE. 31
(D) FOR ALL LICENSES REQU IRED UNDER THIS SECT ION, IF AN APPLICANT 32
HOLDS A VALID GAMING OR GAMING OPERATION LICENSE IN THIS STATE OR AT 33 SENATE BILL 340 15
LEAST THREE OTHER ST ATES AND THE COMMISSION DETERMINES THAT THE 1
LICENSING STANDARDS OF THE ISSUING AGENC Y ARE COMPREHE NSIVE AND 2
THOROUGH AND PROVIDE SIMILAR AND ADEQUATE SAFEGUARDS TO THOSE 3
PROVIDED IN THIS SUB TITLE, THE COMMISSION MAY : 4
(1) WAIVE SOME OR ALL OF THE REQUIREMENTS OF THIS SECTION; 5
AND 6
(2) ISSUE A LICENSE TO T HAT APPLICANT . 7
(E) (1) WITHIN 30 DAYS AFTER THE ISSUANCE OF AN INTERNET GAMING 8
LICENSE, THE INTERNET GAMING LICEN SEE SHALL SUBMIT TO THE COMMISSION A 9
DIVERSITY PLAN THAT DESCRIBES THE STEPS THAT THE LICENSEE WI LL TAKE TO 10
PROMOTE MEANINGFUL D IVERSITY AMONG ITS O WNERS, INVESTORS, MANAGERS, 11
EMPLOYEES, AND CONTRACTORS AND TO PROMOTE EQUALITY OF OPPORTUNITY . 12
(2) EACH INTERNET GAMING LICEN SEE SHALL MAKE GOOD FAITH 13
EFFORTS TO MEET THE DIVERSITY OBJECTIVES OUTLINED IN THE DIVE RSITY PLAN 14
SUBMITTED UNDER PARA GRAPH (1) OF THIS SUBSECTION A ND REPORT TO THE 15
COMMISSION ANY NECESS ARY METRICS TO MEASU RE PROGRESS IN MEETI NG THOSE 16
OBJECTIVES. 17
(3) THE COMMISSION MAY MAKE T HE DIVERSITY PLANS A ND 18
METRICS SUBMITTED IN ACCORDANCE WITH THIS SUBSECTION AVAILABLE TO THE 19
PUBLIC. 20
(F) (1) AN INTERNET GAMING LICEN SEE MAY NOT TRANSFER 21
OWNERSHIP OR CONTROL OF THE LICENSE FOR A PERIOD OF AT LEAST 3 YEARS 22
FOLLOWING ISSUANCE O F THE LICENSE. 23
(2) THE LIMITATIONS UNDER THIS SUBSECTION DO N OT APPLY TO 24
TRANSFERS AS A RESUL T OF THE DISABILITY , INCAPACITY, OR DEATH OF THE 25
OWNER OF AN INTERNET GAMING LICEN SE, BANKRUPTCY OR RECEIV ERSHIP IN 26
ACCORDANCE WITH A LE NDING AGREEMENT OF A N INTERNET GAMING LICEN SEE, 27
OR COURT ORDER . 28
9–1F–04. 29
(A) AN INTERNET GAMING LICEN SEE: 30
(1) SHALL: 31
(I) COMPLY WITH ALL STATE AND FEDERAL DAT A PRIVACY AND 32
SECURITY LAWS ; 33 16 SENATE BILL 340
(II) MAINTAIN ALL INTERNET GAMING DATA SECURELY FOR AT 1
LEAST 5 YEARS; 2
(III) AUTHORIZE ONLY INDIV IDUALS WHO ARE AT LE AST 21 3
YEARS OF AGE TO ENGA GE IN INTERNET GAMING ; AND 4
(IV) VERIFY AN INDIVIDUAL ’S AGE AND IDENTITY A T THE TIME 5
THE INDIVIDUAL ESTAB LISHES AN INTERNET GAMING ACCOU NT AND PERIODICALLY 6
REVERIFY THE INDIVID UAL’S IDENTITY; AND 7
(2) MAY NOT: 8
(I) SHARE ANY PERSONALLY IDENTIFIABLE INFORMA TION 9
WITH ANY THIRD PARTI ES WITHOUT PERMISSIO N, EXCEPT AS NEEDED TO OPERATE 10
INTERNET GAMING , ADMINISTER THE LICEN SEE’S OBLIGATIONS UNDER THIS 11
SUBTITLE, AND SUPPORT PROBLEM GAMBLING INITIATIVES ; 12
(II) TARGET ADVERTISING T O INDIVIDUALS WHO AR E 13
PROHIBITED FROM PART ICIPATING IN GAMBLIN G ACTIVITIES UNDER T HIS TITLE 14
AND OTHER AT–RISK INDIVIDUALS; OR 15
(III) ENGAGE IN ANY FALSE OR DECEPTIVE ADVERTI SING. 16
(B) (1) THE FINDINGS AND EVID ENCE RELIED ON BY TH E GENERAL 17
ASSEMBLY FOR THE CONT INUATION OF THE MINORITY BUSINESS ENTERPRISE 18
PROGRAM UNDER TITLE 14, SUBTITLE 3 OF THE STATE FINANCE A ND 19
PROCUREMENT ARTICLE ARE INCORPORA TED IN THIS SUBSECTI ON. 20
(2) TO THE EXTENT PRACTIC ABLE AND AUTHORIZED BY THE UNITED 21
STATES CONSTITUTION, AN INTERNET GAMING LICEN SEE SHALL COMPLY WIT H THE 22
STATE’S MINORITY BUSINESS ENTERPRISE PROGRAM. 23
(3) (I) WITHIN 6 MONTHS AFTER THE ISS UANCE OF AN INTERNET 24
GAMING LICENSE UNDER THIS SUBTITLE, THE GOVERNOR’S OFFICE OF SMALL, 25
MINORITY, AND WOMEN BUSINESS AFFAIRS, IN CONSULTATION WITH THE OFFICE 26
OF THE ATTORNEY GENERAL AND THE INTERNET GAMING LICEN SEE, SHALL 27
ESTABLISH A CLEAR PLAN FOR SET TING REASONABLE AND APPROPRIATE MINORITY 28
BUSINESS ENTERPRISE PARTICIPATION GOALS AND PROCEDURES FOR T HE 29
PROCUREMENT OF GOODS AND SERVICES RELATED TO INTERNET GAMING . 30
(II) TO THE EXTENT PRACTIC ABLE, THE GOALS AND 31
PROCEDURES SPECIFIED IN SUBPARAGRAPH (I) OF THIS PARAGRAPH SH ALL BE 32
BASED ON THE REQUIRE MENTS OF TITLE 14, SUBTITLE 3 OF THE STATE FINANCE 33 SENATE BILL 340 17
AND PROCUREMENT ARTICLE AND THE REGUL ATIONS IMPLEMENTING THAT 1
SUBTITLE. 2
(C) AN APPLICANT FOR AN INTERNET GAMING LICEN SE, AN INTERNET 3
GAMING LICENSEE , OR AN ENTITY THAT OP ERATES A LIVE DEALER STUDIO ON 4
BEHALF OF AN INTERNET GAMING LICEN SEE SHALL PRODUCE INFORM ATION, 5
DOCUMENTATION , AND ASSURANCES TO ES TABLISH BY CLEAR AND CONVINCING 6
EVIDENCE THAT : 7
(1) UNLESS THE APPLICANT , LICENSEE, OR LIVE DEALER STUDI O 8
OPERATOR ALREADY HAS A COLLEC TIVE BARGAINING AGRE EMENT, THE 9
APPLICANT, LICENSEE, OR LIVE DEALER STUDI O OPERATOR HAS ENTERED INTO A 10
LABOR PEACE AGREEMEN T WITH EACH LABOR OR GANIZATION THAT IS ACTIVEL Y 11
ENGAGED IN REPRESENT ING OR ATTEMPTING TO REPRESENT INTERNET GAMING 12
INDUSTRY WORKERS , INCLUDING DEALERS CO NDUCTING LIVE DEALER GAMES IN 13
ACCORDANCE WITH § 9–1F–10 OF THIS SUBTITLE, IN THE STATE; 14
(2) THE LABOR PEACE AGRE EMENT IS VALID AND ENFORCEABLE 15
UNDER 29 U.S.C. § 158; 16
(3) THE LABOR PEACE AGRE EMENT PROTECTS THE STATE’S 17
REVENUES BY PROHIBIT ING THE LABOR ORGANI ZATION AND ITS MEMBE RS FROM 18
ENGAGING IN PICKETIN G, WORK STOPPAGES , BOYCOTTS, AND ANY OTHER 19
ECONOMIC INTERFERENC E WITH THE OPERATION OF INTERNET GAMING WITHI N 20
THE FIRST 5 YEARS AFTER THE EFFE CTIVE DATE OF AN INTERNET GAMING LICEN SE; 21
AND 22
(4) THE APPLICANT , LICENSEE, OR LIVE DEALER STUDI O OPERATOR 23
INTENDS TO MAINTAIN A NEUTRAL POSITION O N THE UNIONIZATION O F ANY 24
EMPLOYEES OF THE APPLICANT , LICENSEE, OR OPERATOR , INCLUDING BY 25
REFRAINING FROM MAKI NG ANY STATEMENT OR IMPLICATION THAT THE 26
APPLICANT, LICENSEE, OR OPERATOR : 27
(I) OPPOSES THE SELECTIO N OR DESELECTION OF A 28
COLLECTIVE BARGAININ G AGENT; OR 29
(II) SUPPORTS OR OPPOSES THE SELECTION OF A P ARTICULAR 30
LABOR ORGANIZATION A S A COLLECTIVE BARGA INING AGENT. 31
9–1F–05. 32
(A) (1) THE COMMISSION SHALL ACCO UNT TO THE COMPTROLLER FOR 33
ALL OF THE REVENUE U NDER THIS SUBTITLE . 34
18 SENATE BILL 340
(2) THE PROCEEDS FROM INTERNET GAMING , LESS THE AMOUNT 1
RETAINED BY THE LICENS EE UNDER SUBSECTION (B)(1)(II) OF THIS SECTION , 2
SHALL BE UNDER THE C ONTROL OF THE COMPTROLLER AND DISTR IBUTED AS 3
PROVIDED UNDER SUBSE CTION (B) OF THIS SECTION. 4
(B) (1) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 5
PARAGRAPH , ALL PROCEEDS FROM INTERNET GAMING SHALL BE ELECTRONICALLY 6
TRANSFERRED DAILY INTO THE STATE LOTTERY FUND ESTABLISHED UNDE R 7
SUBTITLE 1 OF THIS TITLE. 8
(II) A LICENSEE SHALL RETAI N: 9
1. 80% OF THE PROCEEDS FROM LIVE DEALER GAMES 10
CONDUCTED BY THE LIC ENSEE IN ACCORDANCE WITH § 9–1F–10 OF THIS SUBTITLE; 11
AND 12
2. 45% OF THE PROCEEDS RECE IVED BY THE LICENSEE 13
FROM ALL OTHER INTERNET GAMING . 14
(2) ALL PROCEEDS FROM INTERNET GAMING IN TH E STATE LOTTERY 15
FUND ESTABLISHED UNDE R SUBTITLE 1 OF THIS TITLE SHALL BE DISTRIBUTED ON 16
A MONTHLY BASIS , ON A PROPERLY APPROV ED TRANSMITTAL PREPA RED BY THE 17
COMMISSION IN THE FOL LOWING MANNER : 18
(I) FOR THE FIRST 12 MONTHS THAT INTERNET GAMING IS IN 19
OPERATION IN THE STATE, UP TO $10,000,000 TO THE VIDEO LOTTERY FACILITY 20
EMPLOYEE DISPLACEMENT FUND ESTABLISHED UNDE R § 9–1F–13 OF THIS 21
SUBTITLE; 22
(II) TO JURISDICTIONS WIT H VIDEO LOTTERY FACI LITIES 23
BASED ON EACH JURISD ICTION’S PERCENTAGE OF OVER ALL GROSS REVENUES 24
FROM VIDEO LOTTERY T ERMINALS FOR THE PUR POSES DESCRIBED UNDE R § 25
9–1A–31(B) OF THIS TITLE: 26
1. $6,500,000 IN FISCAL YEAR 2027; 27
2. $8,300,000 IN FISCAL YEAR 2028; 28
3. $10,000,000 IN FISCAL YEAR 2029; 29
4. $11,300,000 IN FISCAL YEAR 2030; AND 30
5. $11,400,000 IN FISCAL YEAR 2031; 31
SENATE BILL 340 19
(III) TO THE PURSE DEDICATION ACCOUNT ESTABLISHED 1
UNDER § 9–1A–28 OF THIS TITLE: 2
1. $4,900,000 IN FISCAL YEAR 2027; 3
2. $6,300,000 IN FISCAL YEAR 2028; 4
3. $7,600,000 IN FISCAL YEAR 2029; 5
4. $8,600,000 IN FISCAL YEAR 2030; AND 6
5. $8,700,000 IN FISCAL YEAR 2031; 7
(IV) TO THE RACETRACK FACILITY RENEWAL ACCOUNT 8
ESTABLISHED UNDER § 9–1A–29 OF THIS TITLE: 9
1. $900,000 IN FISCAL YEAR 2027; 10
2. $1,000,000 IN FISCAL YEAR 2028; 11
3. $1,200,000 IN FISCAL YEAR 2029; AND 12
4. $700,000 IN EACH OF FISCAL YEARS 2030 AND 2031; 13
(V) TO THE SMALL, MINORITY, AND WOMEN–OWNED 14
BUSINESSES ACCOUNT ESTABLISHED U NDER § 5–1501 OF THE ECONOMIC 15
DEVELOPMENT ARTICLE: 16
1. $1,300,000 IN FISCAL YEAR 2027; 17
2. $1,600,000 IN FISCAL YEAR 2028; 18
3. $1,900,000 IN FISCAL YEAR 2029; AND 19
4. $2,200,000 IN EACH OF FISCAL YE ARS 2030 AND 2031; 20
(VI) 1% OF ALL PROCEEDS TO THE STATE LOTTERY AND 21
GAMING CONTROL AGENCY FOR THE COST O F PERFORMING BACKGRO UND 22
INVESTIGATIONS AND O THER REGULATORY ACTI VITIES; 23
(VII) 1% OF ALL PROCEEDS TO THE PROBLEM GAMBLING FUND 24
ESTABLISHED UNDER § 9–1A–33 OF THIS TITLE; 25
(VIII) 1% OF ALL PROCEEDS TO COUNTY GOVERNING BODIES, 26
DISTRIBUTED TO EACH COUNTY BASED ON THE COUNTY’S CURRENT FISCAL YEA R 27 20 SENATE BILL 340
ENROLLMENT COUNT , AS DEFINED IN § 5–201 OF THE EDUCATION ARTICLE, TO BE 1
USED TO ASSIST COUNT IES IN MEETING THEIR EDUCATION FUNDING 2
REQUIREMENTS UNDER § 5–235(A) OF THE EDUCATION ARTICLE; AND 3
(IX) THE REMAINDER TO THE BLUEPRINT FOR MARYLAND’S 4
FUTURE FUND ESTABLISHED UNDE R § 5–206 OF THE EDUCATION ARTICLE. 5
9–1F–06. 6
(A) IN ORDER TO ASSIST IN DIVIDUALS WHO MAY HA VE A GAMBLING 7
PROBLEM, AN INTERNET GAMING LICEN SEE SHALL: 8
(1) CAUSE THE WORDS “IF YOU OR SOMEONE YOU KNOW HAS A 9
GAMBLING PROBLEM AND WANTS HELP , CALL 1–800–GAMBLER” OR SOME 10
COMPARA BLE LANGUAGE APPROVE D BY THE COMMISSION TO BE DISP LAYED 11
PROMINENTLY AT LOG –ON AND LOG–OFF TIMES TO ANY IND IVIDUAL VISITING OR 12
LOGGED ONTO AN INTERNET GAMING PLATF ORM; 13
(2) REQUIRE AN INTERNET GAMING ACCOU NT HOLDER TO ESTABLI SH 14
A LIMIT ON THE AMOUN T OF MONEY DEPOSITED WITHIN A SPECIFIED PERIOD O F 15
TIME AND THE LENGTH OF TIME THE ACCOUNT HOLDER WILL BE UNABL E TO 16
PARTICIPATE IN INTERNET GAMING AND M AKE ADDITIONAL DEPOS ITS IF THE 17
ACCOUNT HOLDER REACH ES THE ESTABLISHED D EPOSIT LIMIT; 18
(3) PROVIDE A MECHANISM BY WHICH AN INTERNET GAMING 19
ACCOUNT HOLDER MAY E STABLISH A TEMPORARY SUSPENSI ON OF INTERNET 20
GAMING ACTIVITY THRO UGH THE ACCOUNT FOR ANY NUMBER OF HOURS OR DAYS; 21
(4) PROHIBIT THE USE OF CREDIT CARDS FOR ANY INTERNET 22
GAMING–RELATED TRANSACTIONS ; AND 23
(5) (I) CAUSE THE DISPLAY OF A PROBLEM GAMBLING 24
DISCLOSURE CONCERNIN G THE RISKS ASSOCIAT ED WITH GAMBLING AND THE 25
SUPPORT AVAILABLE TO PROBLEM GAMBLERS AT ACCOUNT LOGIN ; 26
(II) REQUIRE AN INDIVIDUA L TO CERTIFY THAT TH E 27
INDIVIDUAL HAS READ THE DISCLOSURE D ESCRIBED UNDER ITEM (I) OF THIS ITEM 28
BEFORE ESTABLISHING AN INTERNET GAMING ACCOU NT; AND 29
(III) REQUIRE EACH USER TO CERTIFY ON A MONTHLY BASIS 30
THAT THE USER HAS RE AD THE DISCLOSURE DE SCRIBED UNDER ITEM (I) OF THIS 31
ITEM. 32
SENATE BILL 340 21
(B) IF A SUSPENSION OF INTERNET GAMING ACTIV ITY UNDER SUBSECTION 1
(A)(3) OF THIS SECTION IS I MPOSED BY THE ACCOUN T HOLDER FOR AT LEAS T 72 2
HOURS, THE INTERNET GAMING LICEN SEE MAY NOT SEND GAM ING–RELATED 3
ELECTRONIC MAIL TO T HE ACCOUNT HOLDER UN TIL THE SUSPENSION E XPIRES. 4
(C) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 5
AN INTERNET GAMING LICEN SEE SHALL PROVIDE A MECHANISM BY WHICH A N 6
ACCOUNT HOLDER MAY P ERIODICALLY CHANGE THE CONTROLS ON GAMING 7
ACTIVITY IMPOSED BY THE ACCOUNT HOLDER U NDER THIS SECTION . 8
(2) IF THE ACCOUNT IS SUSPENDED BY THE ACCOUNT HOLDE R 9
UNDER SUBSECTION (A)(3) OF THIS SECTION , THE ACCOUNT HOLDER M AY NOT 10
CHANGE GAMING CONTRO LS UNTIL THE SUSPENS ION EXPIRES. 11
(3) IF AN INDIVIDUAL SEEK S TO INCREASE THE LI MIT ON THE 12
AMOUNT OF MONEY THAT THE INDIVIDUAL MAY DEPOSIT WITH IN A PERIOD OF TIME 13
SPECIFIED UNDER SUBS ECTION (A)(2) OF THIS SECTION , THE INTERNET GAMING 14
LICENSEE MAY NOT REF LECT THE INCREASED L IMIT FOR AT LEAST 24 HOURS. 15
(D) NOTWITHSTANDING A TEM PORARY SUSPENSION OF INTERNET GAMING 16
ACTIVITY IMPO SED BY AN ACCOUNT HO LDER UNDER SUBSECTIO N (A)(3) OF THIS 17
SECTION, THE ACCOUNT HOLDER M AY CONTINUE TO HAVE ACCESS TO THE ACCOUN T 18
AND IS AUTHORIZED TO WITHDRAW FUNDS FROM THE ACCOUNT ON PROPE R 19
APPLICATION TO THE INTERNET GAMING LICEN SEE. 20
(E) (1) THE COMMISSION SHALL ADOP T REGULATIONS THAT A RE 21
INTENDED TO REDUCE O R MITIGATE THE EFFEC TS OF PROBLEM GAMBLI NG. 22
(2) THE REGULATIONS SHALL : 23
(I) INCLUDE ESTABLISHMEN T OF A VOLUNTARY EXC LUSION 24
LIST OF INDIVIDUALS WITH GAMBLING PROBLE MS WHO HAVE REQUESTE D TO BE 25
EXCLUDED FROM ANY INTERNET GAMING LICEN SED UNDER THIS SUBTI TLE; AND 26
(II) PROVIDE A SIMPLE MEC HANISM FOR AN INDIVI DUAL WHO IS 27
SOBER AND INFORMED T O REQUEST PLACEMENT ON THE VOLUNTARY EXC LUSION 28
LIST FOR A SPECIFIED PERIOD OF TIME. 29
(3) UNLESS AN I NDIVIDUAL REQUESTING PLACEMENT ON THE 30
VOLUNTARY EXCLUSION LIST AFFIRMATIVELY D ECLINES THE PROVISIO N OF THE 31
INDIVIDUAL’S CONTACT INFORMATIO N TO THE MARYLAND CENTER OF 32
EXCELLENCE ON PROBLEM GAMBLING, THE COMMISSION SHALL PROV IDE THE 33
INDIVIDUAL’S CONTACT INFO RMATION TO THE CENTER FOR THE PURPOS E OF 34 22 SENATE BILL 340
PROVIDING THE INDIVI DUAL INFORMATION ABO UT FREE AND CONFIDEN TIAL 1
RESPONSIBLE GAMBLING ASSISTANCE. 2
(4) AN INTERNET GAMING LICEN SEE: 3
(I) MAY NOT PERMIT AN IN DIVIDUAL ON THE VOLU NTARY 4
EXCLUSION LIST TO ES TABLISH AN INTERNET GAMING ACCOU NT OR ENGAGE IN 5
INTERNET GAMING ; AND 6
(II) MAY PERMIT AN INDIVI DUAL ON THE VOLUNTAR Y 7
EXCLUSION LIST WHO P REVIOUSLY ESTABLISHE D AN INTERNET GAMING ACCOU NT 8
TO ACCESS THE ACCOUN T ONLY FOR THE PURPO SE OF VIEWING AND DO WNLOADING 9
THE INDIVIDUAL’S TRANSACTION HISTOR Y. 10
(5) THE COMMISSION MAY IMPOSE SANCTIONS ON A LICEN SEE IN 11
ACCORDANCE WITH THIS SUBTITLE IF THE LICE NSEE KNOWINGLY FAILS TO 12
EXCLUDE AN INDIVIDUA L ON THE VOLUNTARY E XCLUSION LIST FROM E NGAGING IN 13
INTERNET GAMING . 14
(F) AT LEAST ONCE EACH YEAR , EACH INTERNET GAMING LICEN SEE SHALL 15
REPORT TO THE COMMISSION ON : 16
(1) THE NUMBER OF PLAYER S THAT THE INTERNET GAMING 17
LICENSEE HAS IDENTIF IED AS ENGAGING IN E RRATIC OR INCREASED GAMBLING 18
BEHAVIOR; AND 19
(2) THE NUMBER AND LENGT H OF ANY BANS OR SUSPENSI ONS IN 20
RESPONSE TO THE BEHA VIOR DESCRIBED UNDER ITEM (1) OF THIS SUBSECTION . 21
9–1F–07. 22
(A) THE COMMISSION MAY IMPOSE A PENALTY NOT EXCEED ING $1,000,000 23
AGAINST ANY PERSON W HO KNOWINGLY : 24
(1) TAMPERS WITH SOFTWAR E, COMPUTERS , OR OTHER EQUIPMENT 25
USED TO CONDUCT INTERNET GAMING TO AL TER THE ODDS OR THE PAYOUT OF A 26
GAME OR DISABLE THE GAME FROM OPERATING ACCORDING TO THE RUL ES OF THE 27
GAME AS ADOPTED BY T HE COMMISSION; OR 28
(2) OFFERS OR ALLOWS TO BE OFFERED ANY INTERNET GAME THAT 29
HAS BEEN TAMPERED WITH IN A WAY THAT AFFECT S THE ODDS OR THE PA YOUT OF 30
A GAME OR HAS BEEN D ISABLED FROM OPERATI NG ACCORDING TO THE RULES OF 31
THE GAME AS ADOPTED BY THE COMMISSION. 32
SENATE BILL 340 23
(B) IN ADDITION TO ANY PE NALTIES IMPOSED UNDE R SUBSECTION (A) OF 1
THIS SECTION, THE COMMISSION MAY SUSPEN D, FOR NOT LESS THAN 30 DAYS, THE 2
LICENSE OF AN INTERNET GAMING LICEN SEE OR ANY OTHER PER SON REQUIRED TO 3
BE LICENSED UNDER TH IS SUBTITLE WHO IS I N VIOLATION OF SUBSE CTION (A) OF 4
THIS SECTION. 5
9–1F–08. 6
ON OR BEFORE SEPTEMBER 1 EACH YEAR, THE MARYLAND CENTER OF 7
EXCELLENCE ON PROBLEM GAMBLING SHALL REPORT TO THE GOVERNOR AND , IN 8
ACCORDANCE WITH § 2–1257 OF THIS ARTICLE, THE GENERAL ASSEMBLY ON: 9
(1) THE IMPACT OF INTERNET GAMING ON PR OBLEM GAMBLERS AND 10
GAMBLING ADDICTION I N THE STATE; AND 11
(2) THE EFFECTIVENESS OF THE STATUTORY AND RE GULATORY 12
CONTROLS IN PLACE TO ENSURE THE EFFECTIVE NESS OF MEASURES TO PROTECT 13
VULNERABLE AND PROBL EM GAMBLERS . 14
9–1F–09. 15
(A) ON OR BEFORE SEPTEMBER 1 EACH YEAR, AN INTERNET GAMING 16
LICENSEE SHALL PROVIDE ALL TRANSACT IONAL DATA AND METRI CS RELATED TO 17
INTERNET GAMING CONDU CTED IN THE STATE AND ACQUIRED BY AN OPERATOR OF 18
THE LICENSEE ON A MO NTHLY, QUARTERLY, OR ANNUAL BASIS TO MORGAN STATE 19
UNIVERSITY AND BOWIE STATE UNIVERSITY. 20
(B) THE TRANSACTIONAL DATA AND METRICS PRO VIDED IN ACCORDANCE 21
WITH SUBSECTION (A) OF THIS SECTION SHAL L EXCLUDE ANY PERSON ALLY 22
IDENTIFIABLE INFORMA TION. 23
9–1F–10. 24
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 25
INDICATED. 26
(2) “AUTHORIZED INTERACTIV E GAME ” MEANS ANY 27
INTERNET–BASED VERSION , OR SUBSTANTIAL EQUIV ALENT, OF A TABLE GAME , 28
POKER TOURNAMENT , GAMING TOURNAMENT , OR ANY OTHER GAME TY PICALLY 29
OFFERED IN A CASINO AND APPROVED BY THE COMMISSION, INCLUDING GAMES IN 30
WHICH INDIVIDUALS WA GER MONEY OR SOMETHI NG OF MONETARY VALUE AN D 31
THAT ARE ACCESSED BY A COMPUTER OR MOBILE DEVICE THAT IS CONNE CTED TO 32
THE INTERNET. 33
24 SENATE BILL 340
(3) (I) “LIVE DEALER GAME ” MEANS AN AUTHORIZED 1
INTERACTIVE GAME CON DUCTED BY LIVE STUDI O DEALERS OR OTHER P HYSICAL 2
GAMING EQUIPMENT , SUCH AS AN AUT OMATED ROULETTE WHEE L, BALL BLOWER , 3
OR GAMING DEVICE , OR BOTH, IN A LIVE GAME ENVIR ONMENT IN WHICH THE 4
AUTHORIZED PARTICIPA NTS HAVE THE ABILITY TO PARTICIPATE IN GA ME PLAY AND 5
COMMUNICATE GAME DEC ISIONS THROUGH AN AU THORIZED INTERACTIVE GAMING 6
PLATFORM. 7
(II) “LIVE DEALER GAME ” INCLUDES A LIVE CARD GAME, A LIVE 8
TABLE GAME, AND ANY OTHER LIVE A UTHORIZED INTERACTIV E GAME. 9
(4) “LIVE GAMING STUDIO ” MEANS A PHYSICAL LOC ATION IN THE 10
STATE THAT UTILIZES L IVE VIDEO STREAMING TECHNOLOGY TO PROVID E 11
AUTHORIZED I NTERACTIVE GAMES TO A PLAYER’S INTERACTIVE GAMING DEVICE OR 12
MULTI–USE COMPUTING DEVICE . 13
(5) “LIVE STUDIO DEALER ” MEANS AN INDIVIDUAL WHO: 14
(I) LEADS A TABLE GAME , INCLUDING BLACKJACK , CRAPS, 15
POKER, ROULETTE, OR ANY OTHER AUTHORI ZED INTERACTIVE GAME , WHILE 16
ASSISTING AUTHORIZED PARTICIPANTS WITH GA ME–RELATED NEEDS ; 17
(II) DISTRIBUTES VIRTUAL CARDS, DICE, OR OTHER 18
EQUIPMENT TO AUTHORI ZED PARTICIPANTS ACC ORDING TO THE TABLE GAME OR 19
AUTHORIZED INTERACTI VE GAME; AND 20
(III) MONITORS GAME PACE A ND PLAY. 21
(B) SUBJECT TO APPROVAL B Y THE COMMISSION, AN INTERNET GAMING 22
LICENSEE MAY OFFER A UTHORIZED INTERACTIV E GAMES, INCLUDING GAMING 23
TOURNAMENTS IN WHICH PLAYERS COMPETE AGAI NST ONE ANOTHER IN O NE OR 24
MORE OF THE GAMES AU THORIZED UNDER THIS SUBTITLE OR BY THE COMMISSION 25
OR IN APPROVED VARIA TIONS OR COMPOSITES OF THOSE GAMES . 26
(C) AN INTERNET GAMING OPERA TOR MAY USE LIVE STU DIO DEALERS TO 27
ADMINISTER AN AUTHOR IZED INTERACTIVE GAM E. 28
(D) A LIVE GAMING STUDIO U SED TO CONDUCT A LIV E DEALER GAME 29
AUTHORIZED UNDER THIS SECTION: 30
(1) SHALL BE LOCATED WIT HIN THE STATE; OR 31
SENATE BILL 340 25
(2) IF THE INTERNET GAMING LICEN SEE IS A VIDEO LOTTE RY 1
OPERATOR, SHALL BE LOCATED WIT HIN THE COUNTY WITHI N WHICH THE VIDEO 2
LOTTERY FACILITY IS LOCATED. 3
9–1F–11. 4
(A) IN THIS SECTION, “GOVERNME NT” MEANS ANY GOVERNMENT AL UNIT, 5
OTHER THAN THE UNITED STATES GOVERNMENT , OF A NATIONAL, STATE, OR LOCAL 6
BODY EXERCISING GOVE RNMENTAL FUNCTIONS . 7
(B) ON RECOMMENDATION OF THE COMMISSION, THE GOVERNOR, ON 8
BEHALF OF THE STATE, IS AUTHORIZED TO : 9
(1) ENTER INTO AN AGREEMENT WI TH OTHER GOVERNMENTS , 10
SUBJECT TO THE LIMIT ATIONS OF THIS SECTI ON, THAT ALLOWS AND PROV IDES FOR 11
PARTICIPATION IN MUL TIJURISDICTIONAL INTERNET GAMING BY IN DIVIDUALS 12
WHO ARE PHYSICALLY L OCATED IN JURISDICTI ONS OVER WHICH THE 13
GOVERNMENTS T HAT ARE A PARTY TO T HE AGREEMENT EXERCIS E LEGAL 14
AUTHORITY; AND 15
(2) TAKE ALL NECESSARY A CTIONS TO ENSURE THA T ANY 16
AGREEMENT ENTERED IN TO UNDER THIS SECTIO N BECOMES EFFECTIVE . 17
(C) THE COMMISSION MAY ADOPT REGULATIONS UNDER TH IS SECTION 18
THAT PROVIDE FOR : 19
(1) THE FORM, LENGTH, AND TERMS OF AN AGRE EMENT AUTHORIZED 20
UNDER THIS SECTION ; 21
(2) MATTERS RELATING TO THE TAXATION OF INTERNET GAMING 22
REVENUE BY THE PARTI ES TO THE AGREEMENT ; 23
(3) THE SHARING AND DIST RIBUTION OF INTERNET GAMING 24
REVENUE AMONG THE PARTIES TO THE AGREE MENT; 25
(4) RESOLUTION OF PLAYER DISPUTES; 26
(5) THE INFORMATION THAT A GOVERNMENT PROPOSI NG TO ENTER 27
INTO THE AGREEMENT W ITH THE STATE MUST PROVIDE TO THE COMMISSION; 28
(6) THE MANNER AND PROCE DURE FOR HEARINGS CO NDUCTED BY 29
THE COMMISSION WITH RESPE CT TO ANY AGREEMENT AUTHORIZED UNDER THI S 30
SECTION; 31
26 SENATE BILL 340
(7) THE INFORMATION THAT THE COMMISSION MUST PROVI DE TO 1
THE GOVERNOR THAT SUPPORT S THE RECOMMENDATION S OF THE COMMISSION 2
MADE UNDER THIS SECT ION; AND 3
(8) ANY OTHER PROVISION NECESSARY TO CARRY OUT T HIS SECTION. 4
(D) THE GOVERNOR MAY NOT ENTE R INTO AN AGREEMENT UNDER THIS 5
SECTION UNLESS THE A GREEMENT INCLUDES TE RMS: 6
(1) FOR ANY POTENTIAL AR RANGEMENT FOR THE SH ARING OF 7
REVENUES BY THE PART IES TO THE AGREEMENT ; 8
(2) PERMITTING THE EFFECTIVE REGULA TION OF INTERNET GAMING 9
BY THE STATE, INCLUDING PROVISIONS RELATING TO LICENSIN G, TECHNICAL 10
STANDARDS TO BE FOLL OWED, RESOLUTION OF DISPUT ES BY PATRONS , 11
REQUIREMENTS FOR BAN KROLLS, ENFORCEMENT , ACCOUNTING , AND 12
MAINTENANCE OF RECOR DS; 13
(3) BY WHICH EACH PARTY TO THE AGREEMENT AGR EES TO PROHIBIT 14
OPERATORS OF INTERNET GAMING , SERVICE PROVIDERS , AND MANUFACTURERS OR 15
DISTRIBUTORS OF INTERNET GAMING SYSTE MS FROM ENGAGING IN ANY ACTIVITY 16
PERMITTED UNDER THE AGREEMENT UNLESS THO SE PERSONS ARE LICENSED OR 17
FOUND SUITABLE : 18
(I) UNDER THIS SUBTITLE ; OR 19
(II) BY ANY OTHER PARTY T O THE AGREEMENT UNDE R 20
REQUIREMENTS THAT AR E MATERIALLY CONSIST ENT WITH THE REQUIRE MENTS OF 21
THIS SUBTITLE; 22
(4) PROHIBITING VARIATIO N OR DEROGATION FROM THE 23
REQUIREME NTS OF THE AGREEMENT FOR ANY PARTY TO THE AGREEMENT ABSENT 24
THE CONSENT OF ALL P ARTIES TO THE AGREEM ENT; 25
(5) PROHIBITING ANY SUBO RDINATE OR SIDE AGRE EMENTS, EXCEPT 26
WITH RESPECT TO SHAR ING OF REVENUES , AMONG ANY SUBSET OF THE 27
GOVERNMENTS THAT ARE PARTIES TO THE AGREEMENT ; AND 28
(6) IF THE AGREEMENT ALL OWS PERSONS PHYSICAL LY LOCATED IN 29
THE STATE TO PARTICIPATE IN INTERNET GAMING CONDU CTED BY ANOTHER PART Y 30
TO THE AGREEMENT OR AN OPERATOR OF INTERNET GAMING LICEN SED BY THE 31
OTHER PARTY , REQUIRING THAT PARTY TO ESTABLISH AND MAIN TAIN REGULATORY 32
REQUIREMENTS GOVERNI NG INTERNET GAMING THAT ARE CONSISTENT WITH THE 33
REQUIREMENTS OF THIS SUBTITLE IN ALL MATE RIAL RESPECTS. 34 SENATE BILL 340 27
9–1F–12. 1
(A) ON OR BEFORE DECEMBER 1 EACH YEAR, THE COMMISSION SHALL 2
REPORT TO THE GOVERNOR AND, IN ACCORDANCE WITH § 2–1257 OF THIS ARTICLE, 3
TO THE GENERAL ASSEMBLY ON: 4
(1) THE OPERATION OF INTERNET GAMING IN TH E STATE; AND 5
(2) THE IMPACT OF INTERNET GAMING ON VI DEO LOTTERY 6
FACILITIES, OTHER GAMING VENUES , AND ANCILLARY BUSINE SSES THAT 7
SURROUND THOSE VIDEO LOTTERY FACILITIES A ND GAMING VENUES . 8
(B) THE COMMISSION SHALL : 9
(1) STUDY THE IMPACTS OF OTHER ONLINE FORMS O F 10
UNAUTHORIZED GAMING CONTENT THAT IS SIMI LAR TO INTERNET GAMING , SUCH 11
AS PLATFORMS THAT US E MICROTRANSACTIONS OR ONLINE SWEEPSTAKES ; AND 12
(2) ON OR BEFORE DECEMBER 1, 2028, REPORT TO THE GOVERNOR 13
AND, IN ACCORDANCE WITH § 2–1257 OF THIS ARTICLE , TO THE GENERAL 14
ASSEMBLY ON ITS FINDI NGS AND ANY RECOMMEN DATIONS. 15
9–1F–13. 16
(A) IN THIS SECTION , “FUND” MEANS THE VIDEO LOTTERY FACILITY 17
EMPLOYEE DISPLACEMENT FUND. 18
(B) THERE IS A VIDEO LOTTERY FACILITY EMPLOYEE DISPLACEMENT 19
FUND. 20
(C) THE PURPOSE OF THE FUND IS TO SUPPORT VI DEO LOTTERY FACILITY 21
EMPLOYEES THAT ARE D ISPLACED BY THE IMPL EMENTATION OF INTERNET 22
GAMING. 23
(D) THE MARYLAND DEPARTMENT OF LABOR SHALL ADMINISTE R THE 24
FUND. 25
(E) (1) THE FUND IS A SPECIAL , NONLAPSING FUND THAT IS NOT 26
SUBJECT TO § 7–302 OF THE STATE FINANCE AND PROCUREMENT ARTICLE. 27
(2) THE STATE TREASURER SHALL HOLD THE FUND SEPARATELY , 28
AND THE COMPTROLLER SHALL ACC OUNT FOR THE FUND. 29
28 SENATE BILL 340
(F) THE FUND CONSISTS OF : 1
(1) REVENUE DISTRIBUTED TO THE FUND UNDER § 9–1F–05(B)(2)(I) 2
OF THIS SUBTITLE; 3
(2) MONEY APPROPRIATED I N THE STATE BUDGET TO THE FUND; AND 4
(3) ANY OTHER MONEY FROM ANY OTHER SOURCE ACCEPTED FOR 5
THE BENEFIT OF THE FUND. 6
(G) THE FUND MAY BE USED ONLY : 7
(1) FOR ADMINISTRATIVE E XPENSES RELATED TO A DMINISTRATION 8
OF THE FUND; 9
(2) FOR GRANTS TO FORMER VIDEO LOTTERY FACILI TY EMPLOYEES 10
DISPLACED BY THE IMP LEMENTATION OF INTERNET GAMING TO OFFSET ANY 11
REDUCTION IN THE TAK E–HOME PAY OF THE FORM ER EMPLOYEES ; 12
(3) TO SUPPLEMENT UNEMPL OYMENT INSURANCE PAY MENTS 13
RECEIVED BY FORMER V IDEO LOTTERY FACILIT Y EMPLOYEES DISPLACE D BY THE 14
IMPLEMENTATION OF INTERNET GAMING ; 15
(4) TO ESTABLISH J OB TRAINING PROGRAMS FOR FORMER VIDEO 16
LOTTERY FACILITY EMP LOYEES DISPLACED BY THE IMPLEMENTATION O F 17
INTERNET GAMING ; AND 18
(5) FOR ANY OTHER PROGRA M ESTABLISHED BY THE MARYLAND 19
DEPARTMENT OF LABOR TO ASSIST FORME R VIDEO LOTTERY FACI LITY EMPLOYEES 20
DISPLACED BY THE IMPLEMENTAT ION OF INTERNET GAMING . 21
(H) (1) THE STATE TREASURER SHALL INVES T THE MONEY OF THE FUND 22
IN THE SAME MANNER A S OTHER STATE MONEY MAY BE IN VESTED. 23
(2) ANY INTEREST EARNINGS OF THE FUND SHALL BE CREDITE D TO 24
THE GENERAL FUND OF THE STATE. 25
(I) EXPENDITURES FROM THE FUND MAY BE MADE ONLY IN ACCORDANCE 26
WITH THE STATE BUDGET . 27
(J) THE MARYLAND DEPARTMENT OF LABOR SHALL ADOPT REG ULATIONS 28
TO IMPLEMENT THIS SE CTION. 29
SENATE BILL 340 29
SECTION 2. AND BE IT FURTHER ENACTED, That § 5 –235(a) of the Education 1
Article, as enacted by Section 1 of this Act, may not be construed to reduce overall funding 2
appropriated by a county governing body based on that section of law as it existed before 3
the enactment of this Act. 4
SECTION 3. AND BE IT FURTHER ENACTED, That: 5
(a) In accordance with Article XIX, § 1(e) of the Maryland Constitution, before 6
this Act, which authorizes additional forms or expansion of commercial gaming, becomes 7
effective, a question substantially similar to the following shall be submitted to a 8
referendum of the qualified voters of the State at the general election to be held in 9
November 2026: 10
“Do you favor the expansion of commercial gaming in the State of Maryland to 11
authorize Internet gaming for the primary purpose of raising revenue for education?” 12
(b) The State Board of Elections shall do those things necessary and proper to 13
provide for and hold the referendum required by this section. If a majority of the votes cast 14
on the question are “For the referred law”, this Act shall become effective on the 30th day 15
following the official canvass of votes for the referendum, but if a majority of the votes cast 16
on the question are “Against the referred law”, this Act, with no further action required by 17
the General Assembly, shall be null and void. 18
SECTION 4. AND BE IT FURTHER ENACTED, That, subject to the provisions of 19
Section 3 of this Act and for the sole purpose of providing for the referendum required by 20
Section 3 of this Act, this Act shall take effect July 1, 2025. 21