HF1842 (Legislative Session 94 (2025-2026))

Sports betting and fantasy contests authorized, licenses established, local restrictions prohibited, taxation and penalties provided, pari-mutuel horse racing authorized, and money appropriated.

Related bill: SF757

AI Generated Summary

This bill proposes the regulation and legalization of sports betting and fantasy contests in the state of Minnesota. It establishes licensing requirements, taxation, consumer protections, and oversight mechanisms. Key provisions include:

  • Licensing and Regulation: The bill creates multiple license types, including those for mobile sports betting operators, platform providers, and suppliers. Only federally recognized Minnesota Tribes that operate Class III gaming can hold mobile sports betting operator licenses.

  • Consumer Protections: Minimum age for participation is 21. The bill includes self-exclusion lists, personal spending limits, and prohibitions on targeting minors in advertising. It also establishes a helpline and mandates research on problem gambling.

  • Taxation and Revenue Distribution: Tax revenues from sports betting are collected into a special fund and shared among eligible Tribes. A dedicated account, the Sports Betting Equalization Account, is created to distribute funds among specific Tribes based on market considerations.

  • Integrity Monitoring and Enforcement: The bill mandates contracts with integrity monitoring providers to detect suspicious betting activity. The commissioner is authorized to audit and enforce compliance, with penalties for rule violations.

  • Local Government Restrictions: Cities and counties are prohibited from imposing additional licenses or taxes on sports betting.

  • Responsible Gaming Studies: The bill calls for studies on problem gambling prevalence, youth gambling risks, and best practices from other states.

  • Implementation Timeline: All initial licenses must begin operation on the same date, with provisional licenses available for early entry into the market.

Overall, the bill aims to legalize and regulate sports betting while ensuring consumer protections, fair competition, Tribal participation, and state oversight.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 02, 2025HouseFloorActionIntroduction and first reading, referred toCommerce Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [
        "New gambling definitions and terms."
      ],
      "removed": [
        "Outdated subsections related to older gambling activities."
      ],
      "summary": "Amendments to definitions concerning gambling, specifically surrounding the approval and oversight of sports betting.",
      "modified": [
        "Updated terminology to reflect new forms of sports betting."
      ]
    },
    "citation": "240.01 subdivision 1b"
  },
  {
    "analysis": {
      "added": [
        "Inclusion of problem gambling treatment measures."
      ],
      "removed": [
        "General mental health terms not specific to gambling."
      ],
      "summary": "This section amends mental health services and their relation to gambling issues.",
      "modified": [
        "Focus on sports betting related disorders."
      ]
    },
    "citation": "245.98 subdivision 2"
  },
  {
    "analysis": {
      "added": [
        "Inclusion of gambling behavior definitions affecting juveniles."
      ],
      "removed": [
        "Redundant clauses about non-gambling youth activities."
      ],
      "summary": "Definition section likely updated to incorporate gambling-related issues affecting youth.",
      "modified": [
        "Clarification of terms to include gambling contexts."
      ]
    },
    "citation": "260B.007 subdivision 16"
  },
  {
    "analysis": {
      "added": [
        "New subdivisions or clauses for handling gambling data."
      ],
      "removed": [
        "Outdated rules not covering gambling taxes."
      ],
      "summary": "Amendments likely affecting disclosure and access to tax data relevant to sports gambling.",
      "modified": [
        "Enhanced privacy rules for gamblers' tax data."
      ]
    },
    "citation": "270B.07"
  },
  {
    "analysis": {
      "added": [
        "Specific tax rates for different betting types."
      ],
      "removed": [
        "General gambling taxes not specific to sports bets."
      ],
      "summary": "Taxation revisions specific to lawful gambling, including sports betting.",
      "modified": [
        "Clarified payment methods for taxes related to gambling."
      ]
    },
    "citation": "297E.02"
  },
  {
    "analysis": {
      "added": [
        "Sports betting as a new form of charitable gambling."
      ],
      "removed": [
        "Old references limiting gambling forms to traditional games."
      ],
      "summary": "Amendments to charitable gambling provisions in light of new betting laws.",
      "modified": [
        "Expanded definitions to include modern betting."
      ]
    },
    "citation": "349.12 subdivision 25"
  },
  {
    "analysis": {
      "added": [
        "Penalties specific to unauthorized sports betting."
      ],
      "removed": [
        "Broad clauses on gambling that are outdated."
      ],
      "summary": "Criminal code updates concerning illegal gambling activities.",
      "modified": [
        "Laws harmonized to address modern gambling practices."
      ]
    },
    "citation": "609.75 subdivisions 3, 4, 7"
  }
]