HB1638 seeks to repeal online lottery and sports betting restrictions and open up the market
Virginia appears set to join the liberalised gambling expansion push among US states following the filing this week of HB 1638 by Delegate Mark Sickles in preparation for passage early next year through the state General Assembly.
Delegate Sickles proposes the repeal of current prohibitions on online lottery and sports betting activity, paving the way for expansion in these verticals.
The bill proposes the legalisation and regulation of online sports betting through the Virginia state lottery; asserts that daily fantasy sports does not constitute gambling in terms of state law; and creates funds designed to support and treat problem gambling, a sports betting fund and a research sub-fund.
The bill also calls for an expansion of current state lottery online operations, changing the model from a subscription service to a more accessible range of online lottery products. It gives the state lottery wide authority and scope to come up with business and ticket sales models and what type of games should be offered.
The state Lottery will also be charged with licensing for aspirant sports operators, with five specifically online licenses proposed, each of three years’ duration and costing $250,000, with a $200,000 renewal fee. The proposed tax rate based on GGR is a reasonable 15 percent
A minimum age limit of 21 years is imposed, along with a requirement that punters be located within the state of Virginias borders…and betting on Virginia college and youth sports are specifically banned.
Interestingly, at least at this stage, there appears to be no provision for retail betting…the focus is online when it comes to sports betting.