S. 4856 2
PRESCRIBED BY THE LEGISLATURE SHALL HEREAFTER BE AUTHORIZED OR ALLOWED
WITHIN THIS STATE". IT HAS BEEN, AND CONTINUES TO BE, THE SENSE OF THE
LEGISLATURE THAT THIS PROVISION IS NOT CONTRAVENED BY A STATUTE THAT
AUTHORIZES THE ACCEPTANCE OF A WAGER BY AN INDIVIDUAL LOCATED IN NEW
YORK STATE WHO IS BETTING BY VIRTUAL OR ELECTRONIC MEANS AND THE WAGER
IS ACCEPTED THROUGH EQUIPMENT LOCATED WITHIN A LICENSED GAMING FACILITY;
PROVIDED THAT ANY SUCH WAGER MEETS OTHER SAFEGUARDS ENSURING THAT THE
PLAIN TEXT OF THIS PROVISION IS HONORED IN SUCH STRUCTURE. INTERACTIVE
GAMING IS NOW LEGAL IN SEVEN STATES, INCLUDING THE BORDERING STATES OF
NEW JERSEY, PENNSYLVANIA, AND CONNECTICUT, WHILE IT IS PERMITTED ONLY IN
PERSON IN NEW YORK AT FOUR UPSTATE COMMERCIAL GAMING FACILITIES AND
NATIVE AMERICAN CLASS III GAMING FACILITIES. THE LEGISLATURE HEREBY
FINDS AND DECLARES THAT AN INTERACTIVE GAMING WAGER THAT IS MADE THROUGH
VIRTUAL OR ELECTRONIC MEANS FROM A LOCATION WITHIN NEW YORK STATE AND IS
TRANSMITTED TO AND ACCEPTED BY ELECTRONIC EQUIPMENT LOCATED AT A
LICENSED GAMING FACILITY, INCLUDING WITHOUT LIMITATION, A COMPUTER SERV-
ER LOCATED AT SUCH LICENSED GAMING FACILITY, IS A WAGER MADE AT SUCH
LICENSED GAMING FACILITY, NOTWITHSTANDING ANY PROVISIONS OF THE PENAL
LAW TO THE CONTRARY.
§ 1501. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE, THE FOLLOWING
TERMS SHALL HAVE THE FOLLOWING MEANINGS:
1. "AUTHORIZED CASINO GAME" MEANS ANY GAMBLING GAME AS SET FORTH IN
SUBDIVISION FOUR, NINETEEN, THIRTY-EIGHT, THIRTY-NINE OR FORTY-ONE OF
SECTION THIRTEEN HUNDRED ONE OF THIS CHAPTER AND ASSOCIATED REGULATIONS.
AN AUTHORIZED CASINO GAME MAY INCLUDE GAMING TOURNAMENTS IN WHICH PLAY-
ERS COMPETE AGAINST ONE ANOTHER IN ONE OR MORE OF THE GAMES AUTHORIZED
HEREIN OR BY THE COMMISSION OR IN APPROVED VARIATIONS OR COMPOSITES
THEREOF IF SUCH TOURNAMENTS ARE AUTHORIZED.
2. "AUTHORIZED PARTICIPANT" MEANS AN INDIVIDUAL WHO IS PHYSICALLY
PRESENT IN THE STATE OF NEW YORK WHEN PLACING AN INTERACTIVE GAMING
WAGER, WHO IS AUTHORIZED TO PARTICIPATE IN GAMING PURSUANT TO ARTICLE
THIRTEEN OF THIS CHAPTER, AND WHO PARTICIPATES IN INTERACTIVE GAMING
OFFERED BY A CASINO OR OPERATOR. ALL INTERACTIVE GAMING WAGERS PLACED IN
ACCORDANCE WITH THIS ARTICLE SHALL BE CONSIDERED PLACED OR OTHERWISE
MADE WHEN RECEIVED BY THE CASINO OR OPERATOR AT THE LICENSED GAMING
FACILITY, REGARDLESS OF THE AUTHORIZED PARTICIPANT'S PHYSICAL LOCATION
AT THE TIME SUCH WAGER IS INITIATED. THE INTERMEDIATE ROUTING OF ELEC-
TRONIC DATA IN CONNECTION WITH MOBILE WAGERING SHALL NOT DETERMINE THE
LOCATION OR LOCATIONS IN WHICH A WAGER IS INITIATED, RECEIVED, OR OTHER-
WISE MADE.
3. "COMMISSION" MEANS THE NEW YORK STATE GAMING COMMISSION.
4. "GAMING FACILITY" MEANS THE PREMISES APPROVED UNDER A GAMING
LICENSE WHICH INCLUDES A GAMING AREA AND ANY OTHER NON-GAMING STRUCTURE
RELATED TO THE GAMING AREA AND MAY INCLUDE, BUT SHALL NOT BE LIMITED TO,
HOTELS, RESTAURANTS OR OTHER AMENITIES.
5. "INTERACTIVE GAMING" MEANS WAGERING ON AUTHORIZED CASINO GAMES
ONLINE BY ANY SYSTEM OR METHOD OF WAGERING, INCLUDING, BUT NOT LIMITED
TO, IN-PERSON COMMUNICATION AND ELECTRONIC COMMUNICATION THROUGH INTER-
NET WEBSITES ACCESSED VIA A MOBILE DEVICE OR COMPUTER, AND MOBILE DEVICE
APPLICATIONS.
6. "INTERACTIVE GAMING LICENSEE" MEANS A QUALIFYING ENTITY THAT HAS
BEEN AUTHORIZED BY THE NEW YORK STATE GAMING COMMISSION TO CONDUCT
INTERACTIVE GAMING.
7. "INTERACTIVE GROSS GAMING REVENUE" MEANS THE AMOUNT EQUAL TO THE
TOTAL OF ALL INTERACTIVE GAMING WAGERS THAT AN INTERACTIVE GAMING LICEN-
SEE COLLECTS FROM ALL AUTHORIZED PARTICIPANTS, LESS THE TOTAL OF ALL
S. 4856 3
SUMS PAID OUT AS WINNINGS TO ALL AUTHORIZED PARTICIPANTS, PROVIDED,
HOWEVER, THAT THE TOTAL OF ALL SUMS PAID OUT AS WINNINGS TO AUTHORIZED
PARTICIPANTS SHALL NOT INCLUDE THE FOLLOWING: (A) THE CASH EQUIVALENT
VALUE OF ANY MERCHANDISE OR THING OF VALUE AWARDED AS A PRIZE; AND (B)
THE VALUE OF ALL BONUSES OR PROMOTIONS PROVIDED TO AUTHORIZED PARTIC-
IPANTS AS AN INCENTIVE TO PLACE OR AS A RESULT OF THEIR HAVING PLACED
INTERACTIVE GAMING WAGERS, NOT TO EXCEED 1.75 PERCENT OF THE TOTAL
AMOUNT OF ALL INTERACTIVE GAMING WAGERS PLACED WITH THE INTERACTIVE
GAMING LICENSEE EACH MONTH AFTER THE FIRST TWELVE MONTHS OF INTERACTIVE
GAMING WAGERING.
8. "INTERACTIVE GAMING WAGER" MEANS CASH OR CASH EQUIVALENT THAT IS
PAID BY AN AUTHORIZED SPORTS BETTOR TO A CASINO OR OPERATOR TO PARTIC-
IPATE IN INTERACTIVE GAMING OFFERED BY SUCH CASINO OR OPERATOR. ANY
WAGER THROUGH ELECTRONIC COMMUNICATION SHALL BE DEEMED TO TAKE PLACE AT
THE PHYSICAL LOCATION OF THE SERVER OR OTHER EQUIPMENT USED BY A CASINO
OR OPERATOR TO ACCEPT INTERACTIVE GAMING WAGERING, REGARDLESS OF THE
AUTHORIZED PARTICIPANT'S PHYSICAL LOCATION WITHIN THE STATE AT THE TIME
SUCH WAGER IS INITIATED.
9. "LIVE DEALER GAMES" MEANS AUTHORIZED CASINO GAMES CONDUCTED BY LIVE
STUDIO DEALERS OR OTHER PHYSICAL GAMING EQUIPMENT, SUCH AS AUTOMATED
ROULETTE WHEELS, BALL BLOWERS OR GAMING DEVICES, OR BOTH, IN A LIVE GAME
ENVIRONMENT IN WHICH THE AUTHORIZED PARTICIPANTS HAVE THE ABILITY TO
PARTICIPATE IN GAME PLAY AND COMMUNICATE GAME DECISIONS THROUGH AN
AUTHORIZED INTERACTIVE GAMING WAGERING PLATFORM. LIVE DEALER GAMES
INCLUDE, BUT ARE NOT LIMITED TO, LIVE CARD GAMES, LIVE TABLE GAMES AND
OTHER LIVE AUTHORIZED CASINO GAMES.
10. "LIVE GAMING STUDIO" MEANS A PHYSICAL LOCATION IN NEW YORK STATE
THAT UTILIZES LIVE VIDEO STREAMING TECHNOLOGY TO PROVIDE AUTHORIZED
CASINO GAMES TO A PLAYER'S INTERACTIVE GAMING DEVICE OR MULTI-USE
COMPUTING DEVICE.
11. "LIVE STUDIO DEALER" MEANS NATURAL PERSONS, THAT LEAD TABLE GAMES,
INCLUDING BLACKJACK, CRAPS, KENO, POKER, ROULETTE AND OTHER AUTHORIZED
CASINO GAMES WHILE ASSISTING AUTHORIZED PARTICIPANTS WITH GAME-RELATED
NEEDS, THAT DISTRIBUTE CARDS, DICE AND OTHER EQUIPMENT TO AUTHORIZED
PARTICIPANTS ACCORDING TO THE TABLE AND OTHER AUTHORIZED GAMES, AND THAT
MONITOR GAME PACE AND PLAY.
12. "PROHIBITED PARTICIPANT" MEANS: (A) ANY OFFICER OR EMPLOYEE OF THE
COMMISSION; (B) ANY PRINCIPAL OR KEY EMPLOYEE OF A CASINO, INTERACTIVE
GAMING LICENSEE, AND ITS AFFILIATES, EXCEPT AS MAY BE PERMITTED BY THE
COMMISSION; (C) ANY CASINO GAMING OR NON-GAMING EMPLOYEE AT THE CASINO
THAT EMPLOYS SUCH PERSON AND ANY GAMING OR NON-GAMING EMPLOYEE OF THE
INTERACTIVE GAMING LICENSEE THAT EMPLOYS SUCH PERSON; (D) ANY CONTRAC-
TOR, SUBCONTRACTOR, OR CONSULTANT, OR OFFICER OR EMPLOYEE OF A CONTRAC-
TOR, SUBCONTRACTOR, OR CONSULTANT, OF A CASINO OR AN INTERACTIVE GAMING
LICENSEE IF SUCH PERSON IS DIRECTLY INVOLVED IN THE OPERATION OR OBSER-
VATION OF INTERACTIVE GAMING, OR THE PROCESSING OF INTERACTIVE GAMING
CLAIMS OR PAYMENTS; (E) ANY PERSON SUBJECT TO A CONTRACT WITH THE
COMMISSION IF SUCH CONTRACT CONTAINS A PROVISION PROHIBITING SUCH PERSON
FROM PARTICIPATING IN INTERACTIVE GAMING; (F) ANY SPOUSE, CHILD, SIBLING
OR PARENT RESIDING IN THE PRINCIPAL PLACE OF ABODE OF ANY OF THE FOREGO-
ING PERSONS AT THE SAME CASINO OR INTERACTIVE GAMING LICENSEE WHERE THE
FOREGOING PERSON IS PROHIBITED FROM PARTICIPATING IN INTERACTIVE GAMING;
(G) ANY INDIVIDUAL PLACING A WAGER AS AN AGENT OR PROXY FOR ANOTHER
PERSON KNOWN TO BE A PROHIBITED PARTICIPANT; OR (H) ANY MINOR.
13. "QUALIFYING ENTITY" MEANS (A) A DESTINATION RESORT CASINO LICENSED
UNDER ARTICLE THIRTEEN OF THIS CHAPTER; (B) A VIDEO LOTTERY TERMINAL
S. 4856 4
FACILITY AUTHORIZED UNDER PARAGRAPHS ONE AND TWO OF SUBDIVISION A OF
SECTION SIXTEEN HUNDRED SEVENTEEN-A OF THE TAX LAW, WHEN SUCH VIDEO
LOTTERY TERMINAL FACILITY CONDUCTS RACING, AS DEFINED IN SUBDIVISION
THREE OF SECTION THREE HUNDRED ONE OF THIS CHAPTER, OR AUTHORIZED UNDER
PARAGRAPH FIVE OF SUBDIVISION A OF SECTION SIXTEEN HUNDRED SEVENTEEN-A
OF THE TAX LAW; (C) A FEDERALLY RECOGNIZED INDIAN TRIBE THAT HAS ENTERED
INTO A TRIBAL-STATE GAMING COMPACT IN ACCORDANCE WITH THE INDIAN GAMING
REGULATORY ACT THAT IS IN EFFECT AND HAS BEEN RATIFIED BY THE STATE OF
NEW YORK; OR (D) A MOBILE SPORTS WAGERING PLATFORM PROVIDER, INCLUSIVE
OF THE SPORTS WAGERING OPERATORS THE PLATFORM UTILIZES, SELECTED BY THE
COMMISSION TO CONDUCT MOBILE SPORTS WAGERING PURSUANT TO SUBDIVISION
SEVEN OF SECTION THIRTEEN HUNDRED SIXTY-SEVEN-A OF THIS CHAPTER AND
SECTION FIFTEEN HUNDRED THREE OF THIS ARTICLE. AN UNLICENSED ENTITY
OFFERING GAMES OR CONTESTS THAT REQUIRE A LICENSE OR TEMPORARY PERMIT
ISSUED BY THE COMMISSION UNDER ARTICLE THIRTEEN OR FOURTEEN OF THIS
CHAPTER WITHIN THE PREVIOUS THREE YEARS OF THE EFFECTIVE DATE OF THIS
ARTICLE SHALL BE INELIGIBLE TO RECEIVE AN INTERACTIVE GAMING LICENSE.
§ 1502. ELIGIBILITY TO CONDUCT INTERACTIVE GAMING. 1. ONLY A QUALIFY-
ING ENTITY IN GOOD STANDING WITH THE COMMISSION OR, IF THE QUALIFYING
ENTITY IS AN INDIAN TRIBE, THOSE EXECUTIVE AGENCIES WITH WHICH IT OTHER-
WISE INTERACTS, SHALL BE ELIGIBLE TO CONDUCT INTERACTIVE GAMING IN THE
STATE.
2. NO QUALIFYING ENTITY SHALL ADMINISTER, MANAGE, OR OTHERWISE MAKE
AVAILABLE AN INTERACTIVE GAMING PLATFORM TO PERSONS LOCATED IN NEW YORK
STATE UNLESS IT HAS PROVIDED NOTICE OF INTENT TO OFFER INTERACTIVE
GAMING TO THE COMMISSION PURSUANT TO THIS SECTION. ADDITIONALLY, NO
ENTITY SHALL ADVERTISE OR PROMOTE AN UNLICENSED INTERACTIVE GAMING PLAT-
FORM TO PERSONS LOCATED IN THE STATE OF NEW YORK.
3. (A) PRIOR TO THE COMMISSION APPROVING AN INTERACTIVE GAMING LICEN-
SEE UNDER SECTION FIFTEEN HUNDRED THREE OF THIS ARTICLE TO COMMENCE
OPERATIONS, THE COMMISSION SHALL CONDUCT A COMPREHENSIVE INVESTIGATION
OF THE APPLICANT TO DETERMINE WHETHER THE APPLICANT OR ANY OF ITS AFFIL-
IATES, INCLUDING ENTITIES UNDER COMMON CONTROL, IS KNOWINGLY (I) ACCEPT-
ING REVENUE, DIRECTLY OR INDIRECTLY, DERIVED FROM ANY JURISDICTION SANC-
TIONED BY THE OFFICE OF FOREIGN ASSETS CONTROL (OFAC) OF THE UNITED
STATES TREASURY DEPARTMENT, OR (II) ACCEPTING OR ASSISTING, DIRECTLY OR
INDIRECTLY, IN THE ACCEPTANCE OF ONLINE WAGERS OR CONSIDERATION RELATED
TO ONLINE WAGERING FROM ANY COUNTRY IN WHICH SUCH ONLINE GAMBLING IS
PROHIBITED OR ILLEGAL.
(B) THE COMMISSION SHALL NOT APPROVE AN INTERACTIVE GAMING LICENSEE TO
COMMENCE OPERATIONS IF THE COMMISSION DETERMINES THAT THE APPLICANT OR
ANY OF ITS AFFILIATES, INCLUDING ENTITIES UNDER COMMON CONTROL, IS KNOW-
INGLY (I) ACCEPTING REVENUE, DIRECTLY OR INDIRECTLY, DERIVED FROM ANY
JURISDICTION SANCTIONED BY THE OFAC OF THE UNITED STATES TREASURY
DEPARTMENT, OR (II) ACCEPTING OR ASSISTING, DIRECTLY OR INDIRECTLY, IN
THE ACCEPTANCE OF ONLINE WAGERS OR OTHER CONSIDERATION RELATED TO ONLINE
WAGERING FROM ANY COUNTRY IN WHICH SUCH ONLINE GAMBLING IS PROHIBITED OR
ILLEGAL.
(C) IF AT ANY TIME DURING LICENSURE THE COMMISSION DETERMINES THAT THE
LICENSEE OR ANY OF ITS AFFILIATES, INCLUDING ENTITIES UNDER COMMON
CONTROL, IS KNOWINGLY ACCEPTING REVENUE, DIRECTLY OR INDIRECTLY, DERIVED
FROM ANY JURISDICTION SANCTIONED BY THE OFAC OF THE UNITED STATES TREAS-
URY DEPARTMENT, OR ACCEPTING OR ASSISTING, DIRECTLY OR INDIRECTLY, IN
THE ACCEPTANCE OF ONLINE WAGERS OR OTHER CONSIDERATION RELATED TO ONLINE
WAGERING FROM ANY COUNTRY IN WHICH SUCH ONLINE GAMBLING IS PROHIBITED OR
ILLEGAL, THE COMMISSION SHALL IMPOSE A PENALTY OF LICENSE REVOCATION IF
S. 4856 5
THE COMMISSION DETERMINES, AFTER NOTICE AND AN OPPORTUNITY FOR HEARING,
THAT IT WOULD FURTHER THE PUBLIC INTEREST TO DISCONTINUE SUCH OPERATIONS
OF THE INTERACTIVE GAMING LICENSEE.
4. LICENSES AUTHORIZED UNDER THIS ARTICLE SHALL REMAIN IN EFFECT FOR
TEN YEARS FROM THE DATE ISSUED. THE COMMISSION SHALL ESTABLISH A PROCESS
FOR RENEWAL.
5. THE COMMISSION SHALL PUBLISH A LIST OF ALL LICENSEES AUTHORIZED TO
OFFER INTERACTIVE GAMING IN NEW YORK STATE PURSUANT TO THIS SECTION ON
THE COMMISSION'S WEBSITE FOR PUBLIC USE.
6. EACH INTERACTIVE GAMING LICENSEE SHALL OFFER NO MORE THAN ONE INDI-
VIDUALLY BRANDED SKIN.
7. NOTICES OF INTENT TO OFFER INTERACTIVE GAMING SENT TO THE COMMIS-
SION BY A QUALIFIED ENTITY SHALL BE ACTED UPON BY THE COMMISSION PROMPT-
LY, WITH AUTHORIZATION TO COMMENCE OPERATIONS BEING ISSUED NO MORE THAN
THIRTY DAYS OF RECEIPT OF THE PETITION.
8. TO MEET THE DEFINITION OF A QUALIFYING ENTITY, AN INDIAN TRIBE
SHALL ENTER INTO AN AGREEMENT WITH THE COMMISSION WITH RESPECT TO INTER-
ACTIVE GAMING:
(A) TO FOLLOW THE REQUIREMENTS IMPOSED ON INTERACTIVE GAMING LICENSEES
UNDER THIS SECTION AND SECTION THIRTEEN HUNDRED SIXTY-SEVEN-A OF THIS
CHAPTER WITH RESPECT TO THE INDIAN TRIBE'S INTERACTIVE GAMING; TO ADHERE
TO THE REGULATIONS PROMULGATED BY THE COMMISSION PURSUANT TO THIS
SECTION WITH RESPECT TO INTERACTIVE GAMING, AND TO SUBMIT TO THE COMMIS-
SION'S ENFORCEMENT OF THIS SECTION AND SECTION THIRTEEN HUNDRED SIXTY-
SEVEN-A OF THIS CHAPTER AND REGULATIONS PROMULGATED THEREUNDER WITH
RESPECT TO INTERACTIVE GAMING, INCLUDING BY WAIVING TRIBAL SOVEREIGN
IMMUNITY FOR THE SOLE AND LIMITED PURPOSE OF SUCH ENFORCEMENT. NOTHING
HEREIN SHALL BE CONSTRUED AS REQUIRING AN INDIAN TRIBE'S AGREEMENT TO
ADHERE TO THE REQUIREMENTS OF SECTION THIRTEEN HUNDRED SIXTY-SEVEN OF
THIS CHAPTER FOR GAMING CONDUCTED ON TRIBAL LANDS AS A CONDITION OF
OFFERING INTERACTIVE GAMING UNDER THIS SECTION;
(B) TO WAIVE THE INDIAN TRIBE'S EXCLUSIVE GEOGRAPHIC RIGHT TO OFFER
AND CONDUCT INTERACTIVE GAMING, BUT NOT OTHERWISE;
(C) TO REMIT PAYMENT TO THE STATE EQUAL TO TAX ON INTERACTIVE GAMING
REVENUE IMPOSED UNDER SECTION FIFTEEN HUNDRED SIX OF THIS ARTICLE WITH
RESPECT TO INTERACTIVE GAMING;
(D) NOT TO OFFER OR TO CONDUCT MOBILE GAMING OTHER THAN INTERACTIVE
GAMING PURSUANT TO THIS SECTION UNLESS SUCH MOBILE GAMING IS OTHERWISE
AUTHORIZED BY STATE OR FEDERAL LAW; AND
(E) TO LOCATE THE SERVER OR OTHER EQUIPMENT USED BY THE INDIAN TRIBE
OR ITS AGENT TO ACCEPT INTERACTIVE GAMING AT A CASINO THAT HAS APPLIED
FOR AND IS ELIGIBLE TO REGISTER AS AN INTERACTIVE GAMING LICENSEE AND TO
PAY THE ACTUAL COST OF HOSTING THE SERVER OR OTHER EQUIPMENT AS DETER-
MINED BY THE COMMISSION.
9. NO INTERACTIVE GAMING MAY BE CONDUCTED WITHIN AN INDIAN TRIBE'S
EXCLUSIVE GEOGRAPHIC AREA UNLESS SUCH INDIAN TRIBE WITH EXCLUSIVE
GEOGRAPHIC RIGHT TO THAT AREA IS REGISTERED AS AN INTERACTIVE GAMING
LICENSEE. INTERACTIVE GAMING LICENSEES SHALL USE GEO-LOCATION AND GEO-
FENCING TECHNOLOGY TO ENSURE THAT INTERACTIVE GAMING IS NOT AVAILABLE TO
PERSONS WHO ARE PHYSICALLY LOCATED IN AN INDIAN TRIBE'S EXCLUSIVE
GEOGRAPHIC AREA, UNLESS SUCH INDIAN TRIBE WITH EXCLUSIVE GEOGRAPHIC
RIGHT TO THAT AREA IS REGISTERED AS AN INTERACTIVE GAMING LICENSEE UNDER
THIS SECTION.
§ 1503. ENTITY LICENSING. 1. A QUALIFYING ENTITY SHALL RECEIVE AN
INTERACTIVE GAMING LICENSE UPON THE EFFECTIVE DATE OF THIS ARTICLE. AN
INTERACTIVE GAMING LICENSEE SHALL NOT COMMENCE INTERACTIVE GAMING UNTIL
S. 4856 6
SUCH TIME THAT THE COMMISSION HAS PROMULGATED A REGULATORY SCHEME AND
PROVIDED APPROVAL TO COMMENCE OPERATIONS. SUCH REGULATIONS SHALL BE
PROMULGATED, AND APPROVAL ISSUED IN A TIMELY MANNER, BUT NO LATER THAN
ONE HUNDRED TWENTY DAYS FOLLOWING THE EFFECTIVE DATE OF THIS ARTICLE.
2. A QUALIFYING ENTITY SHALL NOT INCUR ANY ADDITIONAL LICENSING OR
ADMINISTRATIVE FEES, OR ADDITIONAL EXPENSES OUTSIDE OF THOSE SET FORTH
IN THIS SECTION.
3. (A) UP TO THREE INTERACTIVE WAGERING LICENSES SHALL BE AWARDED BY A
COMPETITIVE BIDDING PROCESS CONDUCTED BY THE COMMISSION. ELIGIBLE APPLI-
CANTS FOR THE COMPETITIVE BIDDING PROCESS MUST HAVE AT LEAST FIVE
PERCENT IN THE APPLICANT OWNED, THROUGH EITHER A DIRECT OR INDIRECT
ECONOMIC INTEREST, BY MEMBERS OF A MINORITY GROUP AS DEFINED IN SUBDIVI-
SION EIGHT OF SECTION THREE HUNDRED TEN OF THE EXECUTIVE LAW.
(B) THE COMMISSION SHALL ISSUE A REQUEST FOR APPLICATIONS NO LATER
THAN JULY FIRST, TWO THOUSAND TWENTY-THREE, PROVIDED, HOWEVER, THAT THE
DEADLINE FOR SUBMISSION OF APPLICATIONS SHALL BE NO LATER THAN THIRTY
DAYS AFTER THE DATE UPON WHICH THE COMMISSION ISSUES SUCH REQUEST FOR
APPLICATIONS.
(C) THE COMMISSION SHALL MAKE DETERMINATIONS TO AWARD A LICENSE OR
DISQUALIFY AN APPLICANT ON A ROLLING BASIS TO EXPEDITE ISSUANCE OF ADDI-
TIONAL LICENSES AND MAXIMIZE REVENUE TO THE STATE.
(D) THE COMMISSION SHALL DETERMINE THE FORM OF APPLICATION AND SCORING
CRITERIA AND MAKE BOTH AVAILABLE ON ITS WEBSITE.
(E) MOBILE SPORTS WAGERING LICENSEES AWARDED A LICENSE BY THE PROCESS
SET FORTH IN PARAGRAPHS (A) THROUGH (D) OF THIS SUBDIVISION MAY APPLY
FOR AN INTERACTIVE GAMING LICENSEE UPON SELECTION BY THE COMMISSION,
ALLOWING SUCH LICENSEES TO OFFER BOTH MOBILE SPORTS WAGERING AND INTER-
ACTIVE GAMING.
4. AS A CONDITION OF LICENSING, THE COMMISSION SHALL REQUIRE THAT EACH
CASINO OR OPERATOR AUTHORIZED TO CONDUCT MOBILE INTERACTIVE GAMING
WAGERING PAY A ONE-TIME FEE OF TWO MILLION DOLLARS. AS A CONDITION OF
APPROVAL OF ANY INDEPENDENT CONTRACTOR TO PROVIDE AN OPERATOR'S MOBILE
INTERACTIVE GAMING WAGING PLATFORM AND DISPLAY ITS BRAND, THE COMMISSION
SHALL REQUIRE THAT SUCH INDEPENDENT CONTRACTOR PAY A ONE-TIME FEE OF TEN
MILLION DOLLARS.
§ 1504. INDIVIDUAL, ENTERPRISE AND VENDOR LICENSING. EACH INTERACTIVE
GAMING LICENSEE MAY CONTRACT WITH AN ENTITY TO CONDUCT INTERACTIVE
GAMING, IN ACCORDANCE WITH THE REGULATIONS OF THE COMMISSION. SUCH ENTI-
TY SHALL OBTAIN A LICENSE AS A CASINO VENDOR ENTERPRISE PRIOR TO
EXECUTION OF ANY SUCH CONTRACT, AND SUCH LICENSE SHALL BE ISSUED PURSU-
ANT TO THE PROVISIONS OF SECTION THIRTEEN HUNDRED TWENTY-SEVEN OF THIS
CHAPTER AND IN ACCORDANCE WITH THE REGULATIONS PROMULGATED BY THE
COMMISSION.
§ 1505. REQUIREMENTS FOR CONDUCT AND OPERATION OF INTERACTIVE GAMING.
1. THE LIVE GAMING STUDIO USED TO CONDUCT LIVE DEALER GAMES SHALL NOT
BE REQUIRED TO BE LOCATED WITHIN THE PREMISES OF A GAMING FACILITY, AS
DEFINED IN SUBDIVISION TWENTY-THREE OF SECTION THIRTEEN HUNDRED ONE OF
THIS CHAPTER, BUT MUST BE LOCATED WITHIN THE STATE OF NEW YORK.
2. AN APPLICANT FOR AN INTERACTIVE GAMING LICENSE THAT HAS NOT YET
ENTERED INTO A LABOR PEACE AGREEMENT SHALL PRODUCE AN AFFIDAVIT STATING
IT SHALL ENTER INTO A LABOR PEACE AGREEMENT WITH LABOR ORGANIZATIONS
THAT ARE ACTIVELY ENGAGED IN REPRESENTING OR ATTEMPTING TO REPRESENT
GAMING OR HOSPITALITY INDUSTRY WORKERS IN THE STATE AS A MANDATORY
COMPONENT OF ITS APPLICATION FOR AN INTERACTIVE GAMING LICENSE. IN ORDER
FOR THE COMMISSION TO ISSUE AN INTERACTIVE GAMING LICENSE AND FOR ANY
OPERATIONS INVOLVING LIVE STUDIO DEALERS TO COMMENCE, THE APPLICANT FOR
S. 4856 7
AN INTERACTIVE GAMING LICENSE MUST PRODUCE DOCUMENTATION THAT IT HAS
ENTERED INTO A LABOR PEACE AGREEMENT WITH EACH LABOR ORGANIZATION THAT
IS ACTIVELY ENGAGED IN REPRESENTING AND ATTEMPTING TO REPRESENT GAMING
AND HOSPITALITY INDUSTRY WORKERS IN THE STATE. THE COMMISSION SHALL MAKE
THE MAINTENANCE OF SUCH A LABOR PEACE AGREEMENT AN ONGOING MATERIAL
CONDITION OF LICENSURE AS LONG AS THE INTERACTIVE GAMING LICENSEE MAKES
USE OF LIVE STUDIO DEALERS. A LICENSE HOLDER SHALL, AS A CONDITION OF
ITS LICENSE, ENSURE THAT OPERATIONS AT A LIVE GAMING STUDIO THAT INVOLVE
GAMING OR HOSPITALITY INDUSTRY EMPLOYEES OR ARE CONDUCTED BY CONTRAC-
TORS, SUBCONTRACTORS, LICENSEES, ASSIGNEES, TENANTS OR SUBTENANTS SHALL
BE DONE UNDER A LABOR PEACE AGREEMENT CONTAINING THE SAME PROVISIONS AS
SPECIFIED IN THIS SUBDIVISION.
3. ADVERTISEMENTS FOR CONTESTS AND PRIZES OFFERED BY AN INTERACTIVE
GAMING LICENSEE SHALL NOT TARGET PROHIBITED PARTICIPANTS, MINORS, OR
SELF-EXCLUDED PERSONS.
4. INTERACTIVE GAMING LICENSEES SHALL DEVELOP AND PROMINENTLY DISPLAY
PROCEDURES ON THE MAIN PAGE OF SUCH INTERACTIVE GAMING LICENSEE'S PLAT-
FORM FOR THE FILING OF A COMPLAINT BY AN AUTHORIZED PARTICIPANT AGAINST
SUCH INTERACTIVE GAMING LICENSEE. AN INITIAL RESPONSE SHALL BE GIVEN BY
SUCH INTERACTIVE GAMING LICENSEE TO SUCH AUTHORIZED PARTICIPANT FILING
THE COMPLAINT WITHIN FORTY-EIGHT HOURS OF RECEIPT. A COMPLETE RESPONSE
SHALL BE GIVEN BY SUCH INTERACTIVE GAMING LICENSEE TO SUCH AUTHORIZED
PARTICIPANT FILING THE COMPLAINT WITHIN TEN BUSINESS DAYS OF RECEIPT. AN
AUTHORIZED PARTICIPANT MAY FILE A COMPLAINT ALLEGING A VIOLATION OF THE
PROVISIONS OF THIS ARTICLE WITH THE COMMISSION.
5. INTERACTIVE GAMING LICENSEES SHALL MAINTAIN RECORDS OF ALL ACCOUNTS
BELONGING TO AUTHORIZED PARTICIPANTS AND RETAIN SUCH RECORDS OF ALL
TRANSACTIONS IN SUCH ACCOUNTS FOR THE PRECEDING FIVE YEARS, PROVIDED,
HOWEVER, THAT SUCH RECORDS BELONGING TO AN AUTHORIZED PARTICIPANT SHALL
BE READILY ACCESSIBLE AND DOWNLOADABLE, WITHOUT COST, BY SUCH AUTHORIZED
PARTICIPANT.
6. THE SERVER OR OTHER EQUIPMENT WHICH IS USED BY AN INTERACTIVE
GAMING LICENSEE TO ACCEPT INTERACTIVE GAMING SHALL BE PHYSICALLY LOCATED
IN THE LICENSED GAMING FACILITY AND BE LIMITED TO INTERACTIVE GAMING
RELATED ACTIVITIES IN ACCORDANCE WITH REGULATIONS PROMULGATED BY THE
COMMISSION.
7. ALL INTERACTIVE GAMING INITIATED IN THIS STATE SHALL BE DEEMED TO
TAKE PLACE AT THE LICENSED GAMING FACILITY WHERE THE SERVER OR OTHER
EQUIPMENT USED BY AN INTERACTIVE GAMING LICENSEE TO ACCEPT INTERACTIVE
GAMING IS LOCATED, REGARDLESS OF THE AUTHORIZED PARTICIPANT'S PHYSICAL
LOCATION WITHIN THIS STATE.
8. SUBJECT TO REGULATIONS PROMULGATED BY THE COMMISSION, AN INTERAC-
TIVE GAMING LICENSEE MAY ALLOW FOR AUTHORIZED PARTICIPANTS TO SIGN UP TO
CREATE AND FUND ACCOUNTS ON ITS INTERACTIVE GAMING PLATFORM. AN INTERAC-
TIVE GAMING LICENSEE SHALL ADOPT REASONABLE PROCEDURES TO ENSURE THAT
AUTHORIZED PARTICIPANTS HAVE NO MORE THAN ONE INTERACTIVE GAMING ACCOUNT
WITH THE INTERACTIVE GAMING LICENSEE. HOWEVER, NOTHING IN THIS ARTICLE
SHALL PROHIBIT THE USE OF A SINGLE ACCOUNT FOR A MOBILE SPORTS WAGERING
ACCOUNT UNDER SECTION THIRTEEN HUNDRED SIXTY-SEVEN OF THIS CHAPTER AND
AN INTERACTIVE GAMING ACCOUNT SET FORTH PURSUANT TO THIS ARTICLE.
9. AUTHORIZED PARTICIPANTS MAY DEPOSIT AND WITHDRAW FUNDS TO AND FROM
THEIR ACCOUNT ON AN INTERACTIVE GAMING PLATFORM THROUGH ELECTRONICALLY
RECOGNIZED PAYMENT METHODS, INCLUDING BUT NOT LIMITED TO CREDIT CARDS
AND DEBIT CARDS, OR VIA ANY OTHER MEANS APPROVED BY THE COMMISSION,
PROVIDED, HOWEVER, THAT IN THE CASE OF CREDIT CARD PAYMENTS, EACH
AUTHORIZED PARTICIPANT'S ACCOUNT PER LICENSEE SHALL BE LIMITED TO A
S. 4856 8
CREDIT CARD SPENDING AMOUNT OF TWO THOUSAND FIVE HUNDRED DOLLARS PER
YEAR. PROVIDED FURTHER, SUCH LIMITATION SHALL NOT APPLY TO OTHER PAYMENT
METHODS OR TO DEBIT CARDS. NO INTERACTIVE GAMING LICENSEE SHALL BE
AUTHORIZED TO PROVIDE A LINE OF CREDIT TO ANY AUTHORIZED PARTICIPANT.
§ 1506. TAXATION AND FEES. 1. FOR THE PRIVILEGE OF CONDUCTING INTERAC-
TIVE GAMING IN THE STATE, INTERACTIVE GAMING LICENSEES SHALL PAY A TAX
EQUIVALENT TO THIRTY AND ONE-HALF PERCENT OF BASE TAXABLE GROSS GAMING
REVENUE DERIVED FROM INTERACTIVE GAMING. INTERACTIVE GAMING TAX REVENUE
SHALL BE SEPARATELY MAINTAINED AND RETURNED TO THE STATE FOR DEPOSIT
INTO THE STATE LOTTERY FUND FOR EDUCATION AID.
2. FROM THE STATE TAX COLLECTED, THE COMMISSION SHALL DISTRIBUTE, IN
CONJUNCTION WITH THE OFFICE OF ADDICTION SERVICES AND SUPPORTS, ELEVEN
MILLION DOLLARS ANNUALLY FOR PROBLEM GAMBLING EDUCATION AND TREATMENT
PURPOSES.
§ 1507. RESPONSIBLE GAMING REQUIREMENTS. AS A CONDITION OF LICENSURE,
EACH OPERATOR SHALL IMPLEMENT THE FOLLOWING MEASURES:
1. LIMIT EACH AUTHORIZED PARTICIPANT TO ONE ACTIVE AND CONTINUOUSLY
USED ACCOUNT ON THEIR PLATFORM, AND PREVENT ANYONE THEY KNOW, OR SHOULD
HAVE KNOWN TO BE A PROHIBITED BETTOR FROM MAINTAINING ACCOUNTS OR
PARTICIPATING IN ANY INTERACTIVE GAMING WAGERING OFFERED BY SUCH OPERA-
TOR;
2. ADOPT APPROPRIATE SAFEGUARDS TO ENSURE, TO A REASONABLE DEGREE OF
CERTAINTY, THAT AUTHORIZED PARTICIPANTS ARE PHYSICALLY LOCATED WITHIN
THE STATE WHEN ENGAGING IN MOBILE INTERACTIVE GAMING WAGERING;
3. PROHIBIT MINORS FROM PARTICIPATING IN ANY MOBILE INTERACTIVE GAMING
WAGERING;
4. ENABLE AUTHORIZED PARTICIPANTS TO EXCLUDE THEMSELVES FROM INTERAC-
TIVE GAMING WAGERING AND TAKE REASONABLE STEPS TO PREVENT SUCH BETTORS
FROM ENGAGING IN WAGERING FROM WHICH THEY HAVE EXCLUDED THEMSELVES;
5. PERMIT ANY AUTHORIZED PARTICIPANT TO PERMANENTLY CLOSE AN ACCOUNT
REGISTERED TO SUCH BETTOR, ON ANY AND ALL PLATFORMS SUPPORTED BY SUCH
OPERATOR, AT ANY TIME AND FOR ANY REASON;
6. IMPLEMENT MEASURES TO PROTECT THE PRIVACY AND ONLINE SECURITY OF
AUTHORIZED PARTICIPANTS AND THEIR ACCOUNTS;
7. LIST ON EACH WEBSITE, IN A PROMINENT PLACE, INFORMATION CONCERNING
ASSISTANCE FOR COMPULSIVE PLAY IN NEW YORK STATE, INCLUDING A TOLL-FREE
NUMBER DIRECTING CALLERS TO REPUTABLE RESOURCES CONTAINING FURTHER
INFORMATION, WHICH SHALL BE FREE OF CHARGE;
8. PERMIT ACCOUNT HOLDERS TO ESTABLISH SELF-EXCLUSION GAMING LIMITS ON
A DAILY, WEEKLY, AND MONTHLY BASIS THAT ENABLE THE ACCOUNT HOLDER TO
IDENTIFY THE MAXIMUM AMOUNT OF MONEY AN ACCOUNT HOLDER MAY DEPOSIT
DURING SUCH PERIOD OF TIME;
9. MAINTAIN A PUBLICLY ACCESSIBLE INTERNET PAGE DEDICATED TO RESPONSI-
BLE PLAY, A LINK TO WHICH SHALL APPEAR ON THE OPERATOR'S WEBSITE AND IN
ANY MOBILE APPLICATION OR ELECTRONIC PLATFORM ON WHICH AN AUTHORIZED
PARTICIPANT MAY PLACE WAGERS. SUCH RESPONSIBLE PLAY PAGE SHALL INCLUDE
(A) A STATEMENT OF THE INTERACTIVE GAMING LICENSEE'S POLICY AND COMMIT-
MENT TO RESPONSIBLE GAMING, INFORMATION REGARDING, OR LINKS TO INFORMA-
TION REGARDING, THE RISKS ASSOCIATED WITH GAMBLING AND THE POTENTIAL
SIGNS OF PROBLEM GAMING; (B) THE AVAILABILITY OF SELF-IMPOSED RESPONSI-
BLE GAMING LIMITS; (C) A LINK TO A PROBLEM GAMING WEBPAGE MAINTAINED BY
THE OFFICE OF ADDICTION SERVICES AND SUPPORTS; AND (D) SUCH OTHER INFOR-
MATION OR STATEMENTS AS THE COMMISSION MAY REQUIRE BY RULE;
10. SUBMIT ANNUALLY A RESPONSIBLE GAMING PLAN TO THE COMMISSION. THE
COMMISSION SHALL PUBLISH THE REQUIREMENTS FOR THE PLAN;
S. 4856 9
11. ENSURE NO WAGERING SHALL BE BASED ON GAME TYPES NOT APPROVED BY
THE COMMISSION;
12. WHEN AN ACCOUNT HOLDER'S LIFETIME DEPOSITS EXCEED TWO THOUSAND
FIVE HUNDRED DOLLARS, THE INTERACTIVE GAMING LICENSEE SHALL PREVENT ANY
WAGERING UNTIL THE PATRON IMMEDIATELY ACKNOWLEDGES THAT THE ACCOUNT
HOLDER HAS MET THE DEPOSIT THRESHOLD AND MAY ELECT TO ESTABLISH RESPON-
SIBLE GAMING LIMITS OR CLOSE THE ACCOUNT, AND THE ACCOUNT HOLDER HAS
RECEIVED DISCLOSURES FROM THE MOBILE SPORTS WAGERING OPERATOR CONCERNING
PROBLEM GAMBLING RESOURCES. ONCE A PATRON HAS REACHED THEIR LIFETIME
DEPOSIT, SUCH PATRON SHALL ANNUALLY MAKE THE ACKNOWLEDGEMENT REQUIRED BY
THIS SUBDIVISION; AND
13. SUBMIT ANNUALLY A PROBLEM GAMING PLAN THAT WAS APPROVED BY THE
COMMISSION IN CONSULTATION WITH THE OFFICE OF ADDICTION SERVICES AND
SUPPORTS THAT INCLUDES (A) THE OBJECTIVES OF AND TIMETABLES FOR IMPLE-
MENTING SUCH PLAN; (B) IDENTIFICATION OF THE PERSONS RESPONSIBLE FOR
IMPLEMENTING AND MAINTAINING SUCH PLAN; (C) PROCEDURES FOR IDENTIFYING
USERS WITH SUSPECTED OR KNOWN PROBLEM GAMING BEHAVIOR; (D) PROCEDURES
FOR PROVIDING INFORMATION TO USERS CONCERNING PROBLEM GAMING IDENTIFICA-
TION AND RESOURCES; (E) PROCEDURES TO PREVENT GAMING BY MINORS AND SELF-
EXCLUDED PERSONS; AND (F) SUCH OTHER PROBLEM GAMING INFORMATION AS THE
COMMISSION MAY REQUIRE BY RULE.
§ 3. This act shall take effect immediately.
Citizens of PA right next to us are free to play poker online, while we are forced to drive out of state to enjoy the same freedom. New Yorkers should be able to enjoy online poker from the comfort of our own state and home, there is no reason it should be banned. Not only would this give our citizens increased freedom to enjoy their favorite table games, it would also bring in a large amount of tax revenue. If our state does not accept the tax revenue, PA will do it for us. Even if someone is morally against gambling, why should their puritanical views chain the rest of us? Marijuana is now legal, poker at a casino is legal, and online poker should also be legal. Thank you for your consideration.