Section 3775.051 - Contracts with management services providers; fees(A)(1) A type B sports gaming proprietor may contract with one management services provider to offer sports gaming at a sports gaming facility on the sports gaming proprietor's behalf, in a manner authorized under the contract.(2)(a) If the holder of a type B sports gaming proprietor license is a professional sports organization and is a member of a league, association, or organization that prevents the holder from being subject to the regulatory control of the Ohio casino control commission or from otherwise operating under the license, the professional sports organization may contractually appoint a designee operator that is considered the management services provider for all aspects of commission oversight and operating under the license. The professional sports organization shall not have control over the management services provider, and the management services provider shall not have control over the professional sports organization, as determined by the commission under division (C) of section 3775.03 of the Revised Code.(b) A professional sports organization and a management services provider described in division (A)(2)(a) of this section shall not exchange any information that may compromise the integrity of sporting events or of sports gaming. The commission shall adopt by rule procedures for the professional sports organization and the management services provider to follow to ensure the integrity of sporting events and of sports gaming, including procedures to prevent any exchange of information or conflict of interest between the professional sports organization and the management services provider.(3) A type C sports gaming proprietor shall not contract with a mobile management services provider or a management services provider to offer sports gaming under the type C sports gaming proprietor license on the sports gaming proprietor's behalf.(4) A management services provider may offer sports gaming only in accordance with this chapter, with the rules adopted by the Ohio casino control commission under this chapter, and with the nature of the sports gaming proprietor's license.(B)(1) A management services provider shall be licensed under this section before entering into a contract with a type B sports gaming proprietor as described in division (A) of this section. A management services provider license entitles the holder to contract with one type B sports gaming proprietor. An applicant for an initial or renewed management services provider license shall meet all requirements for licensure established by the commission by rule and shall pay the fee required under division (C)(3) of section 109.572 of the Revised Code, along with a nonrefundable application fee in an amount determined by the commission by rule.(2) The commission may accept another jurisdiction's license, if the commission determines it has similar licensing requirements, as evidence that the applicant meets the requirements for a license issued under this section.(3) After receiving an initial or renewed management services provider license, the applicant shall pay the following nonrefundable license fees, as applicable, not later than the dates indicated: 1 | 2 | 3 | 4 | 5 | 6 |
A | Upon issuance of license | One year after license issued | Two years after license issued | Three years after license issued | Four years after license issued |
B | Management services provider that is contracting with a type B sports gaming proprietor that is also a type A sports gaming proprietor | $100,000 | $10,000 | $10,000 | $10,000 | $10,000 |
C | Any other management services provider | $50,000 | $10,000 | $10,000 | $10,000 | $10,000 |
(C) A management services provider license shall be valid for a term of five years. In order to renew a management services provider license, the licensee shall apply to the commission for a renewed license in the same manner as for an initial license.(D) In order to permit a management services provider to offer sports gaming on behalf of a type B sports gaming proprietor, the sports gaming proprietor and the management services provider shall enter into a written contract that has been approved by the commission. If the sports gaming proprietor and the management services provider wish to make a material change to the contract, the sports gaming proprietor first shall submit the change to the commission for its approval or rejection. The sports gaming proprietor or the management services provider shall not assign, delegate, subcontract, or transfer the management service provider's duties and responsibilities under the contract to a third party.(E)(1) Subject to division (E)(2) of this section, the provisions of this chapter concerning a type B sports gaming proprietor apply to a management services provider that contracts with the sports gaming proprietor with respect to all rights, duties, and liabilities of the sports gaming proprietor assigned, delegated, subcontracted, or transferred to the management services provider as though the management services provider were a type B sports gaming proprietor. Unless the context requires otherwise, references in the Revised Code to a sports gaming proprietor apply to a management services provider to the extent that the management services provider is acting on behalf of a type B sports gaming proprietor pursuant to the contract.(2) Division (E)(1) of this section does not permit a management services provider to operate sports gaming other than pursuant to a contract with a type B sports gaming proprietor to operate sports gaming on behalf of the sports gaming proprietor.(F) The commission shall adopt a rule setting a maximum number of management services provider licenses a person may hold at any one time.Added by 134th General Assembly, HB 29,§1, eff. 3/23/2022.