2025 -- H 6048

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LC002263

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2025

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A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- VIDEO LOTTERY GAMES,

TABLE GAMES AND SPORTS WAGERING

     Introduced By: Representatives Dawson, O'Brien, Slater, Corvese, Lima, Casey, and
Finkelman

     Date Introduced: March 07, 2025

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 42-61.2-3.3 of the General Laws in Chapter 42-61.2 entitled "Video

Lottery Games, Table Games and Sports Wagering" is hereby amended to read as follows:

     42-61.2-3.3. Sports wagering regulation.

     (a) In addition to the powers and duties of the division director under §§ 42-61-4, 42-61.2-

3, 42-61.2-4, and 42-61.2-3.1, and pursuant to § 42-61.2-2.4, the division director shall promulgate

rules and regulations relating to sports wagering and set policy therefor. These rules and regulations

shall establish standards and procedures for sports wagering and associated devices, equipment,

and accessories, and shall include, but not be limited to:

     (1) Approve standards, rules, and regulations to govern the conduct of sports wagering and

the system of wagering associated with sports wagering, including without limitation:

     (i) The objects of the sports wagering (i.e., the sporting events upon which sports-wagering

bets may be accepted) and methods of play, including what constitutes win, loss, or tie bets;

     (ii) The manner in which sports-wagering bets are received, payoffs are remitted, and point

spreads, lines, and odds are determined for each type of available sports wagering bet;

     (iii) Physical characteristics of any devices, equipment, and accessories related to sports

wagering;

     (iv) The applicable inspection procedures for any devices, equipment, and accessories

related to sports wagering;

     (v) Procedures for the collection of bets and payoffs, including but not limited to,

requirements for internal revenue service purposes;

     (vi) Procedures for handling suspected cheating and sports-wagering irregularities;

     (vii) Procedures for handling any defective or malfunctioning devices, equipment, and

accessories related to sports wagering;

     (viii) Procedures for investigation of patron complaints related to sports wagering;

     (ix) Terms and conditions for online sports wagering;

     (x) Internal controls for all aspects of online sports wagering, including procedures for

system integrity, system security, operations, accounting, and reporting of problem gamblers;

     (xi) Operational controls for server-based gaming systems, software, and hardware utilized

for online sports wagering, including, but not limited to, appearance, functionality, contents,

collection, storage, and retention of data and security; and

     (xii) Operational controls for online gaming accounts, including, but not limited to,

procedures for the establishment and closure of an online gaming account, funding of withdrawal

of funds from an online gaming account, and generation of an account statement for a patron’s

online gaming account;

     (2) Establishing the method for calculating sports-wagering revenue and online sports-

wagering revenue and standards for the daily counting and recording of cash and cash equivalents

received in the conduct of sports wagering, and ensuring that internal controls are followed and

financial books and records are maintained and audits are conducted;

     (3) Establishing the number and type of sports-wagering bets authorized at the hosting

facility, including any new sports-wagering bets or variations or composites of approved sports-

wagering bets, and all rules related thereto;

     (4) Establishing any sports-wagering rule changes, sports-wagering minimum and

maximum bet changes, and changes to the types of sports-wagering products offered at a particular

hosting facility, including but not limited to, any new sports-wagering bets or variations or

composites of approved sports-wagering bets, and including all rules related thereto;

     (5) Requiring the hosting facility and/or sports-wagering vendor to:

     (i) Provide written information at each sports-wagering location within the hosting facility

about wagering rules, payoffs on winning sports wagers, and written information prominently

displayed on any electronic platform available to the player through a server-based gaming system

and other information as the division may require;

     (ii) Provide specifications approved by the division to integrate and update the hosting

facility’s surveillance system to cover all areas within the hosting facility where sports wagering is

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conducted and other areas as required by the division. The specifications shall include provisions

providing the division and other persons authorized by the division with onsite access to the system;

     (iii) Designate one or more locations within the hosting facility where sports-wagering bets

are received;

     (iv) Ensure that visibility in a hosting facility is not obstructed in any way that could

interfere with the ability of the division, the hosting facility, or other persons authorized under this

section or by the division to oversee the surveillance of the conduct of sports wagering;

     (v) Ensure that the count rooms for sports wagering have appropriate security for the

counting and storage of cash;

     (vi) Ensure that drop boxes are brought into or removed from an area where sports

wagering is conducted or locked or unlocked in accordance with procedures established by the

division;

     (vii) Designate secure locations for the inspection, service, repair, or storage of sports-

wagering equipment and for employee training and instruction to be approved by the division;

     (viii) Establish standards prohibiting persons under eighteen (18) years of age from

participating in sports wagering;

     (ix) Establish compulsive and problem gambling standards and/or programs pertaining to

sports wagering consistent with this chapter;

     (6) Establishing the minimal proficiency requirements for those individuals accepting

sports wagers and administering payoffs on winning sports wagers. The foregoing requirements of

this subsection may be in addition to any rules or regulations of the DBR requiring licensing of

personnel of state-operated gaming facilities;

     (7) Establish appropriate eligibility requirements and standards for traditional sports-

wagering equipment suppliers; and

     (8) Any other matters necessary for conducting sports wagering; and

     (9) After July 1, 2026, the division shall not renew any existing sports-wagering vendor

contracts in effect, and, prior to the expiration of any existing sports-wagering vendor contracts,

the division shall issue an open invitation to applicants for sports-wagering vendor contracts and

then shall award at least five (5) individual sports-wagering vendor contracts. This subsection shall

not be construed to direct the commission to award a sports-wagering vendor contract to an

unqualified vendor.

     (b) The hosting facility shall provide secure, segregated facilities as required by the

division on the premises for the exclusive use of the division staff and the gaming enforcement unit

of the state police. The space shall be located proximate to the gaming floor and shall include

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surveillance equipment, monitors with full camera control capability, as well as other office

equipment that may be deemed necessary by the division. The location and size of the space and

necessary equipment shall be subject to the approval of the division.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- VIDEO LOTTERY GAMES,

TABLE GAMES AND SPORTS WAGERING

***

     This act would stop the state lottery division of gaming from renewing any existing sports-

wagering vendor contracts after July 1, 2026. Prior to the expiration of any existing contracts the

division would issue an open invitation for applicants for sports-wagering vendors. At least five (5)

vendors would then be awarded contracts.

     This act would take effect upon passage.

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