Md. Code Regs. 36.10.06.03

Current through Register Vol. 51, No. 24, December 2, 2024

Section 36.10.06.03 - Sports Wagering Facility Operator License

A. Unless a person holds a valid sports wagering facility operator license issued by the Commission, the person may not conduct, offer, or operate sports wagering at a sports wagering facility on behalf of a sports wagering facility licensee under State Government Article, Title 9, Subtitle 1E, Annotated Code of Maryland.

B. The Commission may issue a sports wagering facility operator license to an applicant that meets all applicable licensing requirements for a sports wagering facility under State Government Article, Title 9, Subtitle 1E, Annotated Code of Maryland, and the Commission's regulations.

C. A sports wagering facility operator license authorizes a licensee to contract with a sports wagering facility licensee to conduct, offer, or operate sports wagering at a sports wagering facility on behalf of a sports wagering facility licensee.

D. An applicant for a sports wagering facility operator license shall:

(1) Pay a nonrefundable application fee of $25,000;

(2) If not covered under the sports wagering facility licensee's performance bond for which the sports wagering facility operator licensee is conducting sports wagering, obtain the same performance bond amount that is required for that sports wagering facility license class set forth in COMAR 36.10.04;

(3) Meet all license application requirements under COMAR 36.10.02; and

(4) Meet all qualification requirements under COMAR 36.10.03.

E. In this regulation, "license", "licensee", and "applicant" refer to the sports wagering facility operator licensee or applicant.

F. Agency staff shall determine whether the applicant has met applicable technical and operational requirements, and determine whether it meets the Commission's requirements for:

(1) Payment of the application fee as set forth in §D of this regulation;

(2) Evidence of securing a performance bond for the benefit of the Agency and the State in the amount as set forth in §D of this regulation;

(3) Fees and qualification requirements under COMAR 36.10.02 and 36.10.03;

(4) Hours of operation;

(5) Technical specifications;

(6) Internal controls under COMAR 36.10.13;

(7) Sports wagering platform;

(8) Sports wagering equipment;

(9) Sports wagering operations;

(10) Types of sporting event wagers to be offered;

(11) Testing and controlled demonstrations;

(12) Applicant's employees are:

(a) Licensed as sports wagering employees; and

(b) Trained in the performance of their responsibilities;

(13) Applicant's preparations to conduct secure sports wagering; and

(14) Applicant has complied with any additional precommencement conditions imposed by the Commission.

G. Commission staff may issue a license to an applicant it has determined is qualified under §F of this regulation.

H. A sports wagering facility operator licensee:

(1) Is subject to all the requirements for the sports wagering facility licensee for which it operates sports wagering; and

(2) May perform for a sports wagering facility licensee:

(a) The same operations and functions that the sports wagering facility licensee is authorized to perform; and

(b) Only at the facility where the sports wagering facility licensee is authorized to offer sports wagering.

I. Application for an Additional Sports Wagering Facility Operator License.

(1) A sports wagering facility operator may apply for a sports wagering facility operator license for more than one sports wagering facility licensee.

(2) A licensee that applies to be an operator for more than one sports wagering facility licensee shall:

(a) Submit an application to the Commission; and

(b) Meet the requirements of Regulation .02D of this chapter.

(3) If the existing sports wagering facility operator license term is not expired, staff may:

(a) Allow the sports wagering facility operator to submit an abbreviated license application in a form specified by the Commission;

(b) Use the background investigation of the licensee's existing license to qualify the sports wagering facility operator for a subsequent operator license; and

(c) If no problems are identified, issue an additional license without necessity of a qualification hearing.

J. Renewal. Agency staff may renew a sports wagering facility operator license if the licensee:

(1) Submits an application for renewal to the Commission at least 1 year before the license expires;

(2) Continues to comply with all licensing requirements, including obtaining a performance bond for the renewal term;

(3) Submits to a background investigation under COMAR 36.10.02; and

(4) Submits a license renewal fee of $25,000 for each sports wagering facility operator license for which it seeks renewal.

Md. Code Regs. 36.10.06.03

Regulation .03 amended effective 49:1 Md. R.16, eff. 1/13/2022; amended effective 50:26 Md. R. 1130, effective 12/12/2023, exp. 6/9/2024 (Emergency); amended effective 51:10 Md. R. 529, eff. 5/27/2024.