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Senate of Pennsylvania
Session of 2017 - 2018 Regular Session


Posted: January 17, 2017 10:02 AM
From: Senator Guy Reschenthaler and Sen. Anthony H. Williams
To: All Senate members
Subject: Daily Fantasy Sports Contest Regulation
In the near future, we will be introducing legislation to permit and regulate the operation of daily fantasy sports games in Pennsylvania. This legislation was previously introduced during the 2015-2016 session as Senate Bill 1324 by Senator Williams.

Leading daily fantasy sports betting websites such as DraftKings and Fan Duel have become very popular among those who enjoy watching and following sports. These and other websites operate legally under the federal Unlawful Internet Gambling Enforcement Act of 2006, due to their classification as games of skill rather than games of chance.

Nevertheless, many states across the country restricted companies from operating within their jurisdictions. New York had issued a cease and desist order to daily fantasy sports websites in 2015, before passing a law in August 2016 allowing them to operate again with new regulations in place.

Even in states where fantasy sports contests are legal, concerns remain over consumer protections. While Pennsylvania does not currently restrict daily fantasy sports betting sites, there are no formal guidelines in place which would allow companies to operate legally while ensuring adequate consumer protections.

Our legislation would formally allow daily fantasy sports contests as a game of skill. Operators of websites would be required to register with the Pennsylvania Gaming Control Board and to remit taxes based on gross revenues earned from play in the Commonwealth.

Following the lead of Virginia, this industry-supported legislation would also protect players from engaging in problem gambling, prevent players under 18 years of age from participating, protect the players’ personal information, and prohibit employees of fantasy gaming companies from profiting off of “insider information.”

I hope you will join us in co-sponsoring this legislation. Please contact my office with any questions at 717-787-5839.

Introduced as SB665