Sen. Joseph P. Addabbo is making legislative efforts to further address New York’s fantasy sports market.
Addabbo has introduced Senate Bill 9044, a piece of legislation that aims to authorize peer-to-peer DFS contests with pick’em-style markets. The measure also proposes changes and clarity to New York’s existing DFS laws, including age limits and tax revenue.
SB 9044 was introduced in April before undergoing amendments earlier this month by the Senate Racing, Gaming, and Wagering Committee. The measure, approved by the committee with a 6-1 vote, has been referred to the Finance Committee for further consideration.
Under SB 9044, DFS contests are defined as “a game of skill wherein two or more contestants compete against each other, including contests wherein participants select athletes, in the case of sporting events, shall accumulate more or less than a target score set by an operator.” The bill expands New York’s existing laws while creating opportunity.
Addabbo believes the measure can generate additional tax revenue in New York with the state generating between $3 million and $4 million in revenue annually from DFS contests.
Regulatory changes in New York
SB 9044 rejects recent regulatory changes in the Empire State.
Last year, the New York State Gaming Commission (NYSGC) voted to adopt rules that prohibited pick’em-style contests. The ban was put in place despite support of the contests by operators and their customers.
SB 9044 also addresses age limits for DFS contests. The Empire State has offered DFS since 2016 allowing residents and visitors aged 18 years or older to play. Addabbo’s measure changes the legal age limit for DFS statewide from 18 to 21 years old.
New York regulator settles
Addabbo has introduced SB 9044 amid regulatory scrutiny in New York.
PrizePicks reached a $15 million settlement in February with the NYSGC. The Atlanta-based operator reached a settlement for operating in the state without a wagering license. The NYSGC determined that PrizePicks violated state law between June 2019 and December 2023.
The settlement is based on revenue generated from banned contests during that span. PrizePicks has voiced their support of Addabbo’s bill to lift the ban on pick’em contests.
