Senate committee to fine-tune sports betting legislation in Maryland
With an upcoming deadline Monday, Maryland Sports betting legislation is still in progress.
The Maryland Senate Budget and Tax Committee On Tuesday there was a sports betting working group to focus on HB 390. The full committee then discussed the group’s proposals and could add amendments before an expected vote Wednesday Tomorrow.
An informal hand vote during Tuesday’s session showed the bill has support.
The MD Sports Betting Act is in the works this year after voters approve Sports Betting November 2020.
The House adopted his version of the bill March 11. Changes by the Senate were expected Sen. Craig Sugar previously LSR said the chambers would work closely together.
“We’ll be doing sports betting this year,” Zucker said during Tuesday’s meeting.
Sports betting licenses in Maryland are a major discussion point
The house bill would be implemented 37 Licenses including:
- 12th Class a Licenses for casinos, racecourses and stadiums
- 10 Class B Local Business Licenses
- 15th Cell Phones Licenses
Class B and the cellular licenses would be available through a competitive offer.
Even more details about license types
The Senate Working Group’s proposal breaks it down a bit more and leaves it more open:
- Class A-1: Licensees for horse racing, professional sports facilities and operators of video lottery terminals with more than 1,000 Machinery. You would have one $ 2 million Entry fee with a $ 500,000 Renewal fee.
- Class A-2: a video lottery terminal operator with less than 1,000 Machinery. You would have one $ 1 million Entry fee with a $ 300,000 Renewal fee.
Both Type A licenses would add to a fund that helps minority and women-owned companies thrive in the industry.
- Class B-1: would have royalties of $ 250,000 and a $ 50,000 Renewal fee.
- Class B-2: includes companies with less than 25th Employees and $ 3 million in receipts. You would have royalties from $ 50,000 and $ 10,000 Renewal fee.
- Cell phone, mobile phone: a $ 500,000 Fee and $ 100,000 Renewal fee. There is no limit to mobile licenses.
There are radius limits that the Committee believes could be a competitive advantage for early market entry. These limits could be on the chopping block in the final Senate bill.
The declared aim of the working group is to create a relatively free market while at the same time meeting the requirements of minority and women-owned sports betting.
“We wanted to make sure everyone had the opportunity to have their skin in the game and not just be a part of it, but grow, especially when it comes to minority and women-owned small businesses,” said Zucker.
Senate committee changes restrictions on sports facilities
In the original house bill, MLB‘s Baltimore Orioles ,and the NFL‘s Baltimore Ravens and Washington soccer team could have a class A license. However, they could only take bets on match days 10,000 People in ticket areas.
The working group proposal of the Senate Committee lifted these restrictions and enabled the year-round operation of sports betting. The teams are currently “controlling their airspace” so that, according to the committee, fans are only allowed to use partner sports betting in the stadium.
They introduced a rule that if a sports facility works with a casino, it must be in the same county.
DC sports betting enables stadiums where anyone can bet on a stadium sports betting. William Hill operates a sports betting company Capital One Arena, Home of the NHL‘s Washington Capitals and NBA‘s Washington Wizards.
Maryland Sports Betting Tax Structure
The committee’s proposal streamlines the tax structure for sports betting:
- Class A licenses and mobile phone licenses would also be taxed 15%.
- Class B-type would also be taxed 13%.
The original house bill taxed the income from sports betting 15%, with a mobile escalator too 17.5% once hit sales $ 5 million.
Maryland sports betting on the way
Last year the Senate approved a full bill for voters to review. The house stripped the language before the elections.
While voters approved of MD sports betting, there are no rules to guide the practice. Legislators are not required to fully activate sports betting this year, but this is expected.
Should the committee pass the bill on Wednesday, the entire Senate will likely vote on it this week, and the House will have to vote on changes before the end of the legislature on Monday.