Lawmakers in both Illinois and Maryland have introduced bills that would legalize against-the-house daily fantasy sports (DFS) contests.
In Illinois, State Sen. Lakesia Collins’ SB 1224 would newly authorize all DFS contests, including both peer-to-peer and against-the-house contests.
Titled the Fantasy Sports Consumer Protection Act, it would allow the Illinois Gaming Board to regulate fantasy operators. The board would oversee DFS in the state but would not have the authority to limit or regulate individual fantasy contests or the digital platform of an operator.
The bill would also amend the Sports Wagering Act to excludes fantasy contests from the definition of “sports wagering”.
The state’s DFS tax would be between 10% and 15% of an operator’s adjusted gross fantasy contests receipts, with the board getting the final decision on the exact rate. To gain an initial four-year license, operators would pay 8% of adjusted receipts from the preceding calendar year or $1 million, whichever is less. Renewal fees would be 1% of DFS AGR across the preceding four years.
Registration and renewal fees would go to the state, with 85% being put towards the State Gaming Fund and 15% of fees dedicated to administration of programs for treating of compulsive gambling. Taxes would go towards the Common School Fund.
The Illinois bill has been referred as introduced to the Senate Assignments Committee. The Fantasy Sports Consumer Protection Act would be effective immediately upon being passed.
Maryland would extend legal DFS to include against-the-house
Illinois isn’t the only state considering expanding DFS.
In Maryland, Sen. Jim Rosapepe and Sen. Paul D. Corderman’s SB 470 and its House companion bill, HB 484, would change the definition of fantasy sports competition to include contests in which “a single participant competes against a statistical measurement established by the fantasy competition operator.”
In essence, it would mean that against-the-house DFS betting would be legal as well as P2P play. These and other DFS contests would not be considered sports wagering.
The bill would also mandate the State Lottery and Gaming Control Commission to establish a state-wide voluntary exclusion program.
Both the Senate and House versions of the bill are scheduled for hearings in early February. The bills would be effective Oct. 1, 2025, if passed.
DFS measures are also on the docket in other states already this year, including Hawaii and Kentucky.
