Opinion: Five aspects of the Florida Compact are worth a look
What’s next? Florida Sports betting?
The future of the new gambling contract between the Seminole tribe of Florida and Governor Ron DeSantis sits on uncertain legal grounds, at least the aspects of the agreement that would bring mobile betting to the Sunshine state.
While more details are likely to emerge on how the two sides plan to overcome some potential obstacles when the legislature returns for a special session next week, it is worth digging deeper into some key aspects of the pact itself.
The compact one by and large
If this is approved and all legal challenges are in place (a big problem if that’s the case at this point) the new agreement between DeSantis and the Florida Seminole tribe would set it up 30th Years of revenue sharing.
The tribe would be given the ability to add Damn and roulette to their casino offerings as well as the ability to add facilities to theirs Hollywood Reservation. The agreement would bring both mobile and retail sports betting to tribal properties and introduce a process for Florida sports betting to be available in equivalent facilities.
In return for 30 years of almost monopoly gambling, the state receives the most generous agreement on the distribution of tribal income in the country, which amounts to a total of at least one year $ 6 billion by the end of the decade.
There are a number of interesting clauses or provisions within the pact that have largely flown under the radar. We picked five for review:
1) The Florida Sports Betting Definition
The Florida-Seminole Tribe Compact defines sports betting as betting on past or future professional sports or sporting events, competitions or competitions, as well as Olympic and international sporting events, college sports events (although prop bets are limited to college sports) and motor vehicle races.
The definition does not include daily fantasy sports competitions.
The extension of betting to past sporting events is interesting as the contract appears to treat historical horse races separately, which may indicate a desire to offer historical betting on other sports in the future.
2) The data must be complete, accurate, reliable, but not official
The pact appears to have been spared the onslaught of pressure to adopt a language that requires the processing of in-play bets using official league data.
Instead, the contract states:
Any source of data and the corresponding data used to determine the outcomes of all sports bets must be (i) complete, accurate, reliable, timely and available, and (ii) suitable to determine the types of events and bets for which it is used.
These requirements can almost certainly be met by reputable data companies that may lack official league sanction, but that offer a reliable and dependable product.
3) The contract deals with fantasy sports
For years, Florida fantasy sports have been veiled in the 1990s by an attorney general’s statement suggesting the games likely violated state gambling law.
The Kompakt ensures clarity here and adopts a narrow variation of the multi-pronged definition from the Internet Gambling Enforcement Act (UIGEA) One important modification is that the treaty excludes fantasy sports for participants in college, high school, or youth sporting events.
However, the prize pool for a single season for a non-commercial contest operator appears to be limited to $ 1,500 per season or $ 10,000 per calendar year.
Fantasy sports games are also excluded from the tribe’s essential exclusivity agreements.
4) Many rules are yet to come
Part V of the compact details states that many of the sports betting rules are still pending, but it is already established that bettors must be over 21 Year old.
However, it is necessary to determine how exactly promotional credits, incentives, bonuses and other perks for bettors should be handled.
The agreement states that the tribe and their peers should treat these promos equally.
5) Already agreement on the next agreement
There is a provision in Part XVIII of the Treaty, which is listed under Other Subject, in which the State and the Tribe agree to meet within the Treaty 36 Months after the contract appears in the Federal Register and negotiate in good faith on the offer of all types of mobile betting.
The agreement to meet and discuss iGaming is obviously potentially big business in the future, especially as the numbers in states such as Michigan There they decided to start iGaming in addition to sports betting.
There is still a lot to be played
There are some very exciting aspects to the contract, some that would not only bring sports betting to Florida but also seem to clear up some longstanding fantasy sports related issues.
Perhaps the most positive aspect of the new contract is the agreement to meet again and negotiate in good faith to offer other forms of iGaming. Hopefully this is a move towards a more amicable relationship following the state’s alleged breach of the prior agreement that the tribe suspended payments to share the revenue.
All of this, of course, depends on the entry into force of this treaty, which faces numerous obstacles in the weeks and months to come.