Maryland 2025 Regular Session

Maryland Senate Bill SB860 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
5- Underlining indicates amendments to bill.
6- Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7-amendment.
85 *sb0860*
96
107 SENATE BILL 860
118 C7, E1 5lr3135
12- CF HB 1140
9+ CF 5lr2689
1310 By: Senator Corderman
1411 Introduced and read first time: January 28, 2025
1512 Assigned to: Budget and Taxation
16-Committee Report: Favorable
17-Senate action: Adopted
18-Read second time: February 21, 2025
1913
20-CHAPTER ______
14+A BILL ENTITLED
2115
2216 AN ACT concerning 1
2317
2418 Gaming – Prohibition of Online Sweepstakes Games and Revenue From Illegal 2
2519 Markets 3
2620
2721 FOR the purpose of prohibiting certain persons from operating, conducting, or promoting 4
2822 certain online sweepstakes games or supporting the operation, conducting, or 5
2923 promotion of certain online sweepstakes games; requiring the State Lottery and 6
3024 Gaming Control Agency to deny certain license applications and revoke certain 7
3125 licenses under certain circumstances; requiring certain license applicants and 8
3226 license holders to submit a certain disclosure under certain circumstances; 9
3327 prohibiting the State Lottery and Gaming Control Commission from issuing a license 10
3428 to certain persons or allowing the person to commence or continue operations if the 11
3529 person or an affiliate of the person knowingly accepts revenue that is directly or 12
3630 indirectly derived from certain jurisdictions; authorizing the Commission to deny 13
3731 certain applications or suspend or revoke certain licenses under certain 14
3832 circumstances; and generally relating to online sweepstakes games and illegal 15
3933 gaming markets. 16
4034
4135 BY adding to 17
4236 Article – Criminal Law 18
4337 Section 12–115 19
4438 Annotated Code of Maryland 20
4539 (2021 Replacement Volume and 2024 Supplement) 21
4640
4741 BY adding to 22
48- Article – State Government 23 2 SENATE BILL 860
42+ Article – State Government 23
43+Section 9–1A–07(g) and 9–1A–08.1 24
44+ Annotated Code of Maryland 25
45+ (2021 Replacement Volume and 2024 Supplement) 26
46+
47+BY repealing and reenacting, with amendments, 27
48+ Article – State Government 28 2 SENATE BILL 860
4949
5050
51-Section 9–1A–07(g) and 9–1A08.1 1
51+Section 9–1A–07(g) and 9–1E03(a)(1) 1
5252 Annotated Code of Maryland 2
5353 (2021 Replacement Volume and 2024 Supplement) 3
5454
55-BY repealing and reenacting, with amendments, 4
56- Article – State Government 5
57-Section 9–1A–07(g) and 9–1E–03(a)(1) 6
58- Annotated Code of Maryland 7
59- (2021 Replacement Volume and 2024 Supplement) 8
55+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 4
56+That the Laws of Maryland read as follows: 5
6057
61- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
62-That the Laws of Maryland read as follows: 10
58+Article – Criminal Law 6
6359
64-Article – Criminal Law 11
60+12–115. 7
6561
66-12–115. 12
62+ (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 8
63+INDICATED. 9
6764
68- (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 13
69-INDICATED. 14
65+ (2) “LICENSE” MEANS A LICENSE ISSU ED BY THE STATE LOTTERY 10
66+AND GAMING CONTROL COMMISSION UNDER TITLE 9, SUBTITLES 1A THROUGH 1E 11
67+OF THE STATE GOVERNMENT ARTICLE. 12
7068
71- (2) “LICENSE” MEANS A LICENSE ISSU ED BY THE STATE LOTTERY 15
72-AND GAMING CONTROL COMMISSION UNDER TITLE 9, SUBTITLES 1A THROUGH 1E 16
73-OF THE STATE GOVERNMENT ARTICLE. 17
69+ (3) (I) “ONLINE SWEEPSTAKES GA ME” MEANS A GAME , CONTEST, 13
70+OR PROMOTION THAT : 14
7471
75- (3) (I) “ONLINE SWEEPSTAKES GA ME” MEANS A GAME , CONTEST, 18
76-OR PROMOTION THAT : 19
72+ 1. IS AVAILABLE ON THE INTERNET OR ACCESSIBL E ON 15
73+A MOBILE PHONE , COMPUTER TERMINAL , OR SIMILAR DEVICE ; 16
7774
78- 1. IS AVAILABLE ON THE INTERNET OR ACCESSIBL E ON 20
79-A MOBILE PHONE , COMPUTER TERMINAL , OR SIMILAR DEVICE ; 21
75+ 2. UTILIZES A DUAL –CURRENCY SYSTEM OF P AYMENT 17
76+ALLOWING THE PLAYER TO EXCHANGE THE CURR ENCY FOR ANY PRIZE O R AWARD 18
77+OR CASH OR CASH EQUI VALENTS, OR ANY CHANCE TO WIN ANY PRIZE OR AWARD O R 19
78+CASH OR CASH EQUIVAL ENTS; AND 20
8079
81- 2. UTILIZES A DUAL –CURRENCY SYSTEM OF P AYMENT 22
82-ALLOWING THE PLAYER TO EXCHANGE THE CURRENCY FOR ANY PRIZE OR AWARD 23
83-OR CASH OR CASH EQUI VALENTS, OR ANY CHANCE TO WIN ANY PRIZE OR AWARD O R 24
84-CASH OR CASH EQUIVAL ENTS; AND 25
80+ 3. SIMULATES: 21
8581
86- 3. SIMULATES: 26
82+ A. CASINO–STYLE GAMING , SUCH AS SLOT MACHINE S, 22
83+VIDEO POKER, AND TABLE GAMES , INCLUDING BLACKJACK , ROULETTE, CRAPS, AND 23
84+POKER; 24
8785
88- A. CASINO–STYLE GAMING , SUCH AS SLOT MACHINE S, 27
89-VIDEO POKER, AND TABLE GAMES , INCLUDING BLA CKJACK, ROULETTE, CRAPS, AND 28
90-POKER; 29
86+ B. LOTTERY GAMES , INCLUDING DRAW GAMES , INSTANT 25
87+WIN GAMES, KENO, AND BINGO; AND 26
9188
92- B. LOTTERY GAMES , INCLUDING DRAW GAMES , INSTANT 30
93-WIN GAMES, KENO, AND BINGO; AND 31
89+ C. SPORTS WAGERING . 27
90+
91+ (II) “ONLINE SWEEPSTAKES GA ME” DOES NOT INCLUDE A G AME 28
92+THAT DOES NOT AWARD CASH PRIZES OR CASH EQUIVALENTS . 29
9493 SENATE BILL 860 3
9594
9695
97- C. SPORTS WAGERING . 1
96+ (B) (1) A PERSON MAY NOT OPERA TE, CONDUCT, OR PROMOTE AN 1
97+ONLINE SWEEPSTAKES G AME IN THE STATE. 2
9898
99- (II) “ONLINE SWEEPSTAKES GA ME” DOES NOT INCLUDE A G AME 2
100-THAT DOES NOT AWARD CASH PRIZES OR CASH EQUIVALENTS . 3
99+ (2) AN APPLICANT FOR A LI CENSE, A PERSON HOLDING A L ICENSE, 3
100+OR A FINANCIAL INSTI TUTION, PAYMENT PROCESSOR , GEOLOCATION PROVIDER , 4
101+GAMING CONTENT SUPPL IER, PLATFORM PROVIDER , OR MEDIA AFFILIATE O F A 5
102+PERSON HOLDING A LIC ENSE MAY NOT SUPPORT THE OPERATION, CONDUCTING , OR 6
103+PROMOTION OF AN ONLI NE SWEEPSTAKES GAME IN THE STATE. 7
101104
102- (B) (1) A PERSON MAY NOT OPERA TE, CONDUCT, OR PROMOTE AN 4
103-ONLINE SWEEPSTAKES G AME IN THE STATE. 5
105+ (C) (1) A PERSON WHO VIOLATES THIS SECTION IS GUIL TY OF A 8
106+MISDEMEANOR AND ON C ONVICTION IS SUBJECT TO IMPRISONMENT NOT 9
107+EXCEEDING 3 YEARS OR A FINE NOT LESS THAN $10,000 AND NOT EXCEEDING 10
108+$100,000 OR BOTH. 11
104109
105- (2) AN APPLICANT FOR A LI CENSE, A PERSON HOLDING A L ICENSE, 6
106-OR A FINANCIAL INSTI TUTION, PAYMENT PROCESSOR , GEOLOCATION PROVIDER , 7
107-GAMING CONTENT SUPPLIER, PLATFORM PROVIDER , OR MEDIA AFFILIATE O F A 8
108-PERSON HOLDING A LIC ENSE MAY NOT SUPPORT THE OPERATION , CONDUCTING , OR 9
109-PROMOTION OF AN ONLI NE SWEEPSTAKES GAME IN THE STATE. 10
110+ (2) IF A PERSON IS FOUND IN VIOLATION OF THIS SECTION, THE 12
111+STATE LOTTERY AND GAMING CONTROL AGENCY SHALL DENY THE PERSON’S 13
112+LICENSE APPLICATION OR REVOKE A LICENSE HELD BY THE PERSON . 14
110113
111- (C) (1) A PERSON WHO VIOLATES THIS SECTION IS GUIL TY OF A 11
112-MISDEMEANOR AND O N CONVICTION IS SUBJ ECT TO IMPRISONMENT NOT 12
113-EXCEEDING 3 YEARS OR A FINE NOT LESS THAN $10,000 AND NOT EXCEEDING 13
114-$100,000 OR BOTH. 14
114+Article – State Government 15
115115
116- (2) IF A PERSON IS FOUND IN VIOLATION OF THIS SECTION, THE 15
117-STATE LOTTERY AND GAMING CONTROL AGENCY SHALL DENY THE PERSON’S 16
118-LICENSE APPLICATION OR REVOKE A LICENSE HELD BY THE PERSON . 17
116+9–1A–07. 16
119117
120-Article – State Government 18
118+ (G) (1) (I) IN THIS SUBSECTION TH E FOLLOWING WORDS HA VE THE 17
119+MEANINGS INDICATED . 18
121120
122-9–1A–07. 19
121+ (II) “ILLEGAL INTERACTIVE G AMING MARKET ” MEANS A 19
122+JURISDICTION IN WHIC H INTERACTIVE GAMING IS PROHIBITED BY THE LAWS OF 20
123+THAT JURISDICTION . 21
123124
124- (G) (1) (I) IN THIS SUBSECTION TH E FOLLOWING WORDS HA VE THE 20
125-MEANINGS INDICATED . 21
125+ (III) “INTERACTIVE GAME CONT ENT” MEANS HARDWARE , 22
126+SOFTWARE, APPLICATIONS, AND SERVERS USED TO OPERATE, CONDUCT, OR OFFER 23
127+INTERACTIVE GAMBLING GAMES. 24
126128
127- (II) “ILLEGAL INTERACTIVE G AMING MARKET ” MEANS A 22
128-JURISDICTION IN WHIC H INTERACTIVE GAMING IS PROHIBITED BY THE LA WS OF 23
129-THAT JURISDICTION . 24
129+ (2) ON APPLICATION FOR A LICENSE UNDER § 9–1A–06(A)(2) OR (3) 25
130+OF THIS SUBTITLE AND ANNUALLY FOLLOWING T HE ISSUANCE OF THE L ICENSE, AN 26
131+APPLICANT OR A LICENS E HOLDER SHALL SUBMI T A DISCLOSURE STATI NG, FOR THE 27
132+IMMEDIATELY PRECEDIN G 12–MONTH PERIOD , THE JURISDICTIONS IN WHICH THE 28
133+APPLICANT OR LICENSE HOLDER OR ANY AFFILI ATE OF THE APPLICANT OR LICENSE 29
134+HOLDER DIRECTLY OR I NDIRECTLY ACCEPTED R EVENUE FROM THE SUPPL Y OF 30
135+INTERACTIVE GAME CON TENT IN AN ILLEGAL I NTERACTIVE GAMING MA RKET. 31
130136
131- (III) “INTERACTIVE GAME CONT ENT” MEANS HARDWARE , 25
132-SOFTWARE, APPLICATIONS, AND SERVERS USED TO OPERATE, CONDUCT, OR OFFER 26
133-INTERACTIVE GAMBLING GAMES. 27
134-
135- (2) ON APPLICATION FOR A LICENSE UNDER § 9–1A–06(A)(2) OR (3) 28
136-OF THIS SUBTITLE AND ANNUALLY FOLLOWING T HE ISSUANCE OF THE L ICENSE, AN 29
137-APPLICANT OR A LICEN SE HOLDER SHALL SUBM IT A DISCLOSURE STAT ING, FOR THE 30
138-IMMEDIATELY PRECEDIN G 12–MONTH PERIOD , THE JURISDICTIONS IN WHICH THE 31
139-APPLICANT OR LICENSE HOLDER OR AN Y AFFILIATE OF THE A PPLICANT OR LICENSE 32 4 SENATE BILL 860
137+ (3) A MATERIAL MISREPRESEN TATION OR OMISSION O N THE 32
138+DISCLOSURE REQUIRED UNDER PARAGRAPH (2) OF THIS SUBSECTION M AY, IN THE 33
139+DISCRETION OF THE COMMISSION, RESULT IN THE DENIAL OF AN APP LICATION FOR 34 4 SENATE BILL 860
140140
141141
142-HOLDER DIRECTLY OR I NDIRECTLY ACCEPTED R EVENUE FROM THE SUPP LY OF 1
143-INTERACTIVE GAME CON TENT IN AN ILLEGAL I NTERACTIVE GAMING MA RKET. 2
142+A LICENSE UNDER THIS SUBTITLE OR, IN THE CASE OF A LIC ENSE HOLDER , 1
143+DISCIPLINARY ACTION , INCLUDING A SUSPENSI ON OR REVOCATION OF THE LICENSE 2
144+AND PENALTIES FOR OF FICERS OR BOARD MEMB ERS OF THE LICENSE H OLDER. 3
144145
145- (3) A MATERIAL MISREPRESEN TATION OR OMISSION O N THE 3
146-DISCLOSURE REQUIRED UNDER PARAGRAPH (2) OF THIS SUBSECTION M AY, IN THE 4
147-DISCRETION OF THE COMMISSION, RESULT IN THE DENIAL OF AN APPLICATION FO R 5
148-A LICENSE UNDER THIS SUBTITLE OR, IN THE CASE OF A LIC ENSE HOLDE R, 6
149-DISCIPLINARY ACTION , INCLUDING A SUSPENSI ON OR REVOCATION OF THE LICENSE 7
150-AND PENALTIES FOR OF FICERS OR BOARD MEMB ERS OF THE LICENSE H OLDER. 8
146+ [(g)] (H) (1) An individual may not knowingly give false information or make 4
147+a material misstatement in an application required for any license under this subtitle or in 5
148+any supplemental information required by the Commission. 6
151149
152- [(g)] (H) (1) An individual may not knowingly give false information or make 9
153-a material misstatement in an application required for any license under this subtitle or in 10
154-any supplemental information required by the Commission. 11
150+ (2) An individual who violates this section is guilty of a misdemeanor and 7
151+on conviction is subject to imprisonment not exceeding 3 years or a fine not exceeding 8
152+$5,000 or both. 9
155153
156- (2) An individual who violates this section is guilty of a misdemeanor and 12
157-on conviction is subject to imprisonment not exceeding 3 years or a fine not exceeding 13
158-$5,000 or both. 14
154+9–1A–08.1. 10
159155
160-9–1A–08.1. 15
156+ (A) THE COMMISSION MAY NOT IS SUE A LICENSE TO A P ERSON REQUIRED 11
157+TO BE LICENSED UNDER § 9–1A–06(A)(2) OR (3) OF THIS SUBTITLE IF THE 12
158+APPLICANT OR ANY OF THE APPLICANT ’S AFFILIATES, INCLUDING AN ENTITY UNDER 13
159+COMMON CONTROL , KNOWINGLY ACCEPTS RE VENUE THAT IS DIRECT LY OR 14
160+INDIRECTLY DERIVED F ROM: 15
161161
162- (A) THE COMMISSION MAY NOT IS SUE A LICENSE TO A P ERSON REQUIRED 16
163-TO BE LICENSED UNDER § 9–1A–06(A)(2) OR (3) OF THIS SUBTITLE IF THE 17
164-APPLICANT OR ANY OF THE APPLICANT ’S AFFILIATES, INCLUDING AN ENTITY UNDER 18
165-COMMON CONTROL , KNOWINGLY ACCEPTS RE VENUE THAT IS DIRECT LY OR 19
166-INDIRECTLY DERIVED F ROM: 20
162+ (1) A JURISDICTION ON TH E BLACK LIST OF MONEY LAUNDERING 16
163+COUNTRIES ESTABLISHED BY T HE FINANCIAL ACTION TASK FORCE; 17
167164
168- (1) A JURISDICTION ON TH E BLACK LIST OF MONEY LAUNDERING 21
169-COUNTRIES ESTABLISHED BY THE FINANCIAL ACTION TASK FORCE; 22
165+ (2) A JURISDICTION DESIG NATED AS A STATE SPONSOR OF 18
166+TERRORISM BY THE UNITED STATES; OR 19
170167
171- (2) A JURISDICTION DESIG NATED AS A STATE SPONSOR OF 23
172-TERRORISM BY THE UNITED STATES; OR 24
168+ (3) A JURISDICTION IN WH ICH ONLINE CASINO GA MING IS 20
169+PROHIBITED AND THE R EVENUE IS DERIVED FR OM ONLINE CASINO GAMING IN THAT 21
170+JURISDICTION. 22
173171
174- (3) A JURISDICTION IN WH ICH ONLINE CASINO GA MING IS 25
175-PROHIBITED AND THE R EVENUE IS DERIVED FR OM ONLINE CASINO GAM ING IN THAT 26
176-JURISDICTION. 27
172+ (B) (1) THE COMMISSION MAY NOT AL LOW A PERSON REQUIRE D TO BE 23
173+LICENSED UNDER § 9–1A–06(A)(2) OR (3) OF THIS SUBTITLE TO COMMENCE OR 24
174+CONTINUE OPERATIONS IF THE COMMISSION DETERMINES THAT THE PERSON OR 25
175+ANY OF THE PERSON ’S AFFILIATES, INCLUDING ENTITIES U NDER COMMON 26
176+CONTROL, KNOWINGLY ACCEPTS RE VENUE THAT IS DIRECT LY OR INDIRECTLY 27
177+DERIVED FROM A JURIS DICTION DESCRIBED UN DER SUBSECTION (A) OF THIS 28
178+SECTION. 29
177179
178- (B) (1) THE COMMISSION MAY NOT AL LOW A PERSON REQUIRE D TO BE 28
179-LICENSED UNDER § 9–1A–06(A)(2) OR (3) OF THIS SUBTITLE TO COMMENCE OR 29
180-CONTINUE OPERATIONS IF THE COMMISSION DETERMINES THAT THE PERSON OR 30
181-ANY OF THE PERSON ’S AFFILIATES, INCLUDING ENTITIES U NDER COMMON 31
182-CONTROL, KNOWINGLY ACCEPTS RE VENUE THAT IS DIRECT LY OR INDIREC TLY 32
183-DERIVED FROM A JURIS DICTION DESCRIBED UN DER SUBSECTION (A) OF THIS 33
184-SECTION. 34
180+ (2) THE COMMISSION MAY REVOKE THE LICENSE OF A LIC ENSE 30
181+HOLDER THAT IS REQ UIRED TO CEASE OPERA TIONS UNDER PARAGRAP H (1) OF THIS 31
182+SUBSECTION IF , AFTER NOTICE AND OPP ORTUNITY FOR A HEARI NG, THE 32
183+COMMISSION DETERMINES THAT IT WOULD FURTHE R THE PUBLIC INTERES T TO 33
184+DISCONTINUE THE OPER ATION OF THE LICENSE HOLDER IN THE STATE. 34
185185 SENATE BILL 860 5
186186
187187
188- (2) THE COMMISSION MAY REVOKE THE LICENSE OF A LIC ENSE 1
189-HOLDER THAT IS REQUI RED TO CEASE OPERATI ONS UNDER PARAGRAPH (1) OF THIS 2
190-SUBSECTION IF , AFTER NOTICE AND OPP ORTUNITY FO R A HEARING , THE 3
191-COMMISSION DETERMINES THAT IT WOULD FURTHE R THE PUBLIC INTERES T TO 4
192-DISCONTINUE THE OPER ATION OF THE LICENSE HOLDER IN THE STATE. 5
188+9–1E–03. 1
193189
194-9–1E–03. 6
190+ (a) (1) Unless the context requires otherwise, the requirements under §§ 2
191+9–1A–04, 9–1A–06, 9–1A–07, 9–1A–08, 9–1A–08.1, 9–1A–12, 9–1A–14, 9–1A–18, 3
192+9–1A–19, 9–1A–20, and 9–1A–25 of this title apply to the authority, duties, and 4
193+responsibilities of the Commission, a sports wagering licensee, and an employee or a 5
194+contractor of a sports wagering licensee under this subtitle. 6
195195
196- (a) (1) Unless the context requires otherwise, the requirements under §§ 7
197-9–1A–04, 9–1A–06, 9–1A–07, 9–1A–08, 9–1A–08.1, 9–1A–12, 9–1A–14, 9–1A–18, 8
198-9–1A–19, 9–1A–20, and 9–1A–25 of this title apply to the authority, duties, and 9
199-responsibilities of the Commission, a sports wagering licensee, and an employee or a 10
200-contractor of a sports wagering licensee under this subtitle. 11
196+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 7
197+1, 2025. 8
201198
202- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 12
203-1, 2025. 13
204-
205-
206-
207-
208-Approved:
209-________________________________________________________________________________
210- Governor.
211-________________________________________________________________________________
212- President of the Senate.
213-________________________________________________________________________________
214- Speaker of the House of Delegates.