Vermont’s new sports wagering regulations allow them to select anywhere from 2-6 operators. After receiving RFPs from five interested operators, the state could very well approve all of them.
BetMGM, DraftKings, Fanatics, FanDuel, and Penn’s forthcoming ESPN BET all filed bids with the state for a sports betting license. Despite offering feedback during the public comment period, Caesars Sportsbook did not submit a bid in the state.
While the state could approve all five, it is only compelled to approve two. The next step for the Vermont Department of Liquor and Lottery is to evaluate these bids using a 1,000-point rubric evaluating each applicant.
Responsible gaming programs, the quality of the product tech, and the quality of the sportsbook offering are the biggest point-getters in the rubric. On the revenue side, operators can earn up to 100 points based on their AGR and handle projections. Proposed tax rates earn an operator anywhere from 25 to 100 points.
If an operator proposes a tax rate between the mandated 20% up to 30%, it is worth 25 points, but if an operator offers up more than 51%, it can earn 100 points. If some operators are willing to offer a higher tax rate, that could swing the pendulum and eliminate
The state has set Jan 1, 2024 as the proposed launch date for online sports betting in the state, so the window is tight for the lottery to evaluate and approve applicants.
