Kansas sports betting launch back on track after Attorney General green light
Kansas Lottery moves to address “specific shortcomings” identified by official review with clarifications over roles and operator responsibilities
Kansas’ timetabled launch of sports betting is back on schedule after the state’s Attorney General (AG) fully approved the proposed regulatory framework following remedial action by the Kansas Lottery.
The Attorney General’s office seemingly threw a spanner in the works just 24 hours after the state announced its proposed launch date of September 8 by suggesting there were “specific shortcomings” which needed to be addressed.
The comments came as part of a review by the office, which is mandatory under state laws concerning regulations which have a broadbase impact on state residents.
At the time, the AG’s office suggested that it would look to expedite approval should those shortcomings be addressed, enabling the state to adhere to its proposed timetable.
Shortcomings remedied by the Kansas Lottery include transparency on who submits advertisements and sets house rules for sportsbook operators, as well as clarifying the Kansas Lottery’s role in administering wagers in so-called restricted locations.
The AG’s office is also understood to have stipulated that regulations requiring 20% of all marketing agreements made by sportsbook licensees with non-profit, fraternal or veteran organizations be explained in an “ironclad” way to ensure they could not be circumvented.
In respect of advertising, the office also sought action from the Kansas Lottery on inclusion of language designed to ensure the avoidance of adverts targeting “problem gamblers”, specifically within the state.
The AG’s office also requested clear exposition on which persons may be restricted or excluded from gambling on events where they might influence the outcome, as well as a clarification that gambling is permitted on mobile apps within the state and not just within in-state gaming facilities.
In addition, the review called on the Lottery to avoid simply re-stating confidentiality, self-exclusion, revenue payment rules, and retail ticket sales regulations.
Finally, a specific clarification is required for the definition of a “virtual event” to ensure it is not overbroad while also encompassing activities such as esports.
The approval now means that the state can proceed on its proposed timeline, which provides for a soft launch of all state-approved operators by September 1, followed by a full launch on September 8, just in time for the start of the new NFL season.
If successful, Kansas would become the fastest adopter of sports betting since the repeal of PASPA in May 2018, beating Iowa, which launched 95 days after legislation was signed into law, Arizona which took 148 days, and Indiana at 149 days.