A07962 Summary:
| BILL NO | A07962 |
| SAME AS | No Same As |
| SPONSOR | Carroll R |
| COSPNSR | |
| MLTSPNSR | |
| Amd §§1367 & 1367-a, RWB L | |
| Establishes certain limits on sports betting for both mobile and casino sports betting to include advertisements, wager limits, and prohibiting the use of credit cards to make deposits on mobile sports betting. | |
A07962 Actions:
| BILL NO | A07962 | |||||||||||||||||||||||||||||||||||||||||||||||||
| 04/16/2025 | referred to racing and wagering | |||||||||||||||||||||||||||||||||||||||||||||||||
A07962 Memo:
Go to topNEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
TITLE OF BILL: An act to amend the racing, pari-mutuel wagering and breeding law, in relation to regulating sports betting and sports betting advertising campaigns PURPOSE OR GENERAL IDEA OF BILL: To reduce the negative public health and economic consequences of prob- lem gambling on individuals and families by placing restrictions on sports betting and sports betting advertising SUMMARY OF PROVISIONS: Section one amends section 1367 of the racing, pari-mutuel wagering and breeding law by placing a limit on wagers per individual of five-thou- sand dollars during a twenty-four hour period and prohibits advertising practices including "odds boosts" and promotions designed to induce gambling through "bonus bets" and "no sweat bets." Section two amends section 1367 of the racing, pari-mutuel wagering and breeding law by prohibiting bettors from placing more than five deposits in a twenty-four hour period. It also restricts advertising by mobile sports betting operators as follows: prohibits targeting of minors; excludes promoting odds boosts or similar offers; prohibits providing information on placing sports wagers; prohibits advertising between eight a.m. and ten p.m. and during live sports events. Section two also excludes credit cards as an option for making sports bets. Section three sets the effective date as immediately. JUSTIFICATION: Since the 2018 Supreme Court decision that allowed for the widespread legalization of sports betting, the gambling industry has broken revenue records every year. In 2024, Americans legally wagered a record $147.91 billion on sports, up more than 23 percent from 2022. More than 95 percent of money wagered on sports last year was done online, according to the American Gaming Association (AGA). The mental health and economic costs to individuals and families of gambling are well documented. The National Council on Sports Gambling reports 2.5 million adults in the U.S. meet the criteria of having a severe gambling problem while another 5 million to 8 million people are considered to have mild or moderate gambling problems. The American Psychiatric Association reports that 1 in 5 individuals with a gambling addiction will attempt suicide, the highest of any mental health disor- der. A study out of the University of California found that in the thir- ty-eight states with legal online sports betting the odds of bankruptcy filing in states with legal online betting increased by as much as 25-30% since legalization. This legislation which draws on the Safe Bet Act introduced in Congress by Senator Richard Blumenthal of Connecticut and Representative Paul Tonko (NY-20), puts in place guardrails intended to reduce the harm caused by problem gambling. PRIOR LEGISLATIVE HISTORY: New bill FISCAL IMPLICATIONS: TBD EFFECTIVE DATE: This act shall take effect immediately.
A07962 Text:
Go to topSTATE OF NEW YORK ________________________________________________________________________ 7962 2025-2026 Regular Sessions IN ASSEMBLY April 16, 2025 ___________ Introduced by M. of A. R. CARROLL -- read once and referred to the Committee on Racing and Wagering AN ACT to amend the racing, pari-mutuel wagering and breeding law, in relation to regulating sports betting and sports betting advertising campaigns The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 4 of section 1367 of the racing, pari-mutuel 2 wagering and breeding law, as amended by section 3 of part Y of chapter 3 59 of the laws of 2021, is amended to read as follows: 4 4. Except as otherwise provided by this article, the commission shall 5 have the authority to regulate sports pools and the conduct of sports 6 wagering under this article to the same extent that the commission regu- 7 lates other gaming. No casino or mobile sports wagering licensee shall 8 be authorized to operate a sports pool unless it has produced informa- 9 tion, documentation, and assurances concerning its financial background 10 and resources, including cash reserves, that are sufficient to demon- 11 strate that it has the financial stability, integrity, and responsibil- 12 ity to operate a sports pool. In developing rules and regulations appli- 13 cable to sports wagering, the commission shall examine the regulations 14 implemented in other states where sports wagering is conducted and 15 shall, as far as practicable, adopt a similar regulatory framework. The 16 commission shall promulgate regulations necessary to carry out the 17 provisions of this section, including, but not limited to, regulations 18 governing the: 19 (a) amount of cash reserves to be maintained by casinos and mobile 20 sports wagering licensees to cover winning wagers; 21 (b) acceptance of wagers on a series of sports events; 22 (c) maximum wagers which may be accepted by a casino or mobile sports 23 wagering licensee from any one patron [on any one sports event] which EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD11562-02-5A. 7962 2 1 shall not exceed the sum of five thousand dollars during a twenty-four 2 hour period; 3 (d) type of wagering tickets which may be used; 4 (e) method of issuing tickets; 5 (f) method of accounting to be used by casinos and mobile sports 6 wagering licensees; 7 (g) types of records which shall be kept; 8 (h) use of [credit and] checks by authorized sports bettors; 9 (i) the process by which a casino may place a layoff bet; 10 (j) the use of global risk management; 11 (k) type of system for wagering; [and] 12 (l) protections for a person placing a wager; and 13 (m) prohibition on certain advertisement practices including odds 14 boosts or similar offers, including advertising that contains the phras- 15 es "bonus", "no sweat", "bonus bet", or any other similar term. 16 § 2. Subdivisions 4 and 5 of section 1367-a of the racing, pari-mutuel 17 wagering and breeding law, as added by section 4 of part Y of chapter 59 18 of the laws of 2021, are amended to read as follows: 19 4. (a) As a condition of licensure, each mobile sports wagering opera- 20 tor shall implement the following measures: 21 (i) limit each authorized sports bettor to one active account on their 22 platform, and prevent anyone they know, or should have known to be a 23 prohibited sports bettor from maintaining accounts or participating in 24 any sports wagering offered by such mobile sports wagering operator; 25 (ii) adopt appropriate safeguards to ensure, to a reasonable degree of 26 certainty, as defined by rules and regulations promulgated by the 27 commission, that authorized sports bettors are physically located within 28 the state when engaging in mobile sports wagering; 29 (iii) prohibit minors from participating in any sports wagering pursu- 30 ant to rules and regulations promulgated by the commission; 31 (iv) when referencing the chances or likelihood of winning in adver- 32 tisements or upon placement of a sports wager, make clear and conspicu- 33 ous statements that are not inaccurate or misleading concerning the 34 chances of winning and the number of winners; 35 (v) permit any authorized sports bettor to permanently close an 36 account registered to such bettor, on any and all platforms supported by 37 such mobile sports wagering operator, at any time and for any reason; 38 (vi) offer introductory procedures for authorized sports bettors, that 39 shall be prominently displayed on the main page of such mobile sports 40 wagering operator platform, that explain sports wagering; 41 (vii) implement measures to protect the privacy and online security of 42 authorized sports bettors and their accounts; 43 (viii) offer all authorized sports bettors access to [his or her] such 44 bettor's account history and account details; 45 (ix) ensure authorized sports bettors' funds are protected upon depos- 46 it and segregated from the operating funds of such mobile sports wager- 47 ing operator and otherwise protected from corporate insolvency, finan- 48 cial risk, or criminal or civil actions against such mobile sports 49 wagering operator; 50 (x) list on each website, in a prominent place, information concerning 51 assistance for compulsive play in New York state, including a toll-free 52 number directing callers to reputable resources containing further 53 information, which shall be free of charge; 54 (xi) ensure no sports wagering shall be based on a prohibited sports 55 event;A. 7962 3 1 (xii) permit account holders to establish self-exclusion gaming limits 2 on a daily, weekly, and monthly basis that enable the account holder to 3 identify the maximum amount of money an account holder may deposit 4 during such period of time; 5 (xiii) when an account holder's lifetime deposits exceed two thousand 6 five hundred dollars, the mobile sports wagering operator shall prevent 7 any wagering until the patron immediately acknowledges that the account 8 holder has met the deposit threshold and may elect to establish respon- 9 sible gaming limits or close the account, and the account holder has 10 received disclosures from the mobile sports wagering operator concerning 11 problem gambling resources. Once a patron has reached their lifetime 12 deposit, such patron shall annually make the acknowledgement required by 13 this paragraph; 14 (xiv) maintain a publicly accessible internet page dedicated to 15 responsible play, a link to which must appear on the mobile sports 16 wagering operator's website and in any mobile application or electronic 17 platform on which a bettor may place wagers. The responsible play page 18 shall include: a statement of the mobile sports wagering operator's 19 policy and commitment to responsible gaming; information regarding, or 20 links to information regarding, the risks associated with gambling and 21 the potential signs of problem gaming; the availability of self-imposed 22 responsible gaming limits; a link to a problem gaming webpage maintained 23 by the office of addiction services and supports; and such other infor- 24 mation or statements as the commission may require by rule; [and] 25 (xv) prohibit authorized sports bettors from placing more than five 26 deposits in such bettor's account during a twenty-four hour period; 27 (xvi) prohibit authorized sports bettors from wagering more than five 28 thousand dollars in a twenty-four hour period; 29 (xvii) submit annually a problem gaming plan that was approved by the 30 commission in consultation with the office of addiction services and 31 supports that includes: the objectives of and timetables for implement- 32 ing the plan; identification of the persons responsible for implementing 33 and maintaining the plan; procedures for identifying users with 34 suspected or known problem gaming behavior; procedures for providing 35 information to users concerning problem gaming identification and 36 resources; procedures to prevent gaming by minors and self-excluded 37 persons; and such other problem gaming information as the commission may 38 require by rule. 39 (b) No entity shall directly or indirectly operate an unlicensed 40 sports wagering platform in the state of New York, or advertise or 41 promote such unlicensed platform to persons located in the state of New 42 York. 43 (c) Mobile sports wagering licensees shall not offer any sports wager- 44 ing based on any prohibited sports event. 45 (d) Mobile sports wagering licensees shall not permit sports wagering 46 by anyone they know, or should have known, to be a prohibited sports 47 bettor. 48 (e) Advertisements for contests and prizes offered by a mobile sports 49 wagering operator shall [not target prohibited] not: 50 (i) target sports bettors, minors, or self-excluded persons; 51 (ii) include information about odds boosts or similar offers, includ- 52 ing advertising that contains the phrase "bonus", "no sweat", "bonus 53 bet", or any other similar term; 54 (iii) provide information on how to place a sports wager or how sports 55 wagers work;A. 7962 4 1 (iv) occur between the hours of eight a.m. and ten p.m. local time; 2 and 3 (v) occur during live sport events. 4 (f) Mobile sports wagering operators shall develop and prominently 5 display procedures on the main page of such mobile sports wagering oper- 6 ator's platform for the filing of a complaint by an authorized sports 7 bettor against such mobile sports wagering operator. An initial response 8 shall be given by such mobile sports wagering operator to such bettor 9 filing the complaint within forty-eight hours. A complete response shall 10 be given by such mobile sports wagering operator to such bettor filing 11 the complaint within ten business days. An authorized sports bettor may 12 file a complaint alleging a violation of the provisions of this article 13 with the commission. 14 (g) Mobile sports wagering licensees shall maintain records of all 15 accounts belonging to authorized sports bettors and retain such records 16 of all transactions in such accounts for the preceding five years; 17 provided however that such records belonging to an authorized sports 18 bettor shall be readily accessible and downloadable, without cost, by 19 such authorized sports bettor. 20 (h) The server or other equipment which is used by a mobile sports 21 wagering licensee to accept mobile sports wagering shall be physically 22 located in the licensed gaming facility and be limited to sports wager- 23 ing related activities in accordance with regulations promulgated by the 24 commission. 25 (i) All mobile sports wagering initiated in this state shall be deemed 26 to take place at the licensed gaming facility where the server or other 27 equipment used by a mobile sports wagering licensee to accept mobile 28 sports wagering is located, regardless of the authorized sports bettor's 29 physical location within this state. 30 (j) All mobile sports wagering shall be conducted in compliance with 31 this section and section thirteen hundred sixty-seven of this title. 32 5. (a) Subject to regulations promulgated by the commission, a mobile 33 sports wagering operator may allow for authorized bettors to sign up to 34 create and fund accounts on its mobile sports wagering platform. 35 (b) Authorized sports bettors may deposit and withdraw funds to and 36 from their account on a mobile sports wagering operator through elec- 37 tronically recognized payment methods, including but not limited to 38 [credit cards and] debit cards[,] or via any other means approved by the 39 commission[; provided however, that in the case of credit card payments,40each authorized sports bettor's account per operator shall be limited to41a credit card spending amount of two thousand five hundred dollars per42year; and provided further, that this limitation shall not apply to43other payment methods or to debit cards. No operator shall be authorized44to provide a line of credit to any authorized sports bettor]. 45 § 3. This act shall take effect immediately.