Buckeye State regulators are aiming to gain more control over sports betting operators that hold a license without actually providing any wagering.
The Ohio Casino Control Commission recently sent an email to stakeholders to officially notify them of a rule-making amendment that allows regulators to apply a “use it or lose it” licensing provision to all types of sports betting operators.
While stakeholders have been made aware of the change since last year, the recent notice allows them to comment on the proposed changes, which is part of a long and complicated state process.
Sports betting operators have until Tuesday to comment on the amendment.
“We are at the very beginning of the rule-making process, which can take several months and offers multiple opportunities for stakeholder feedback,” an OCCC spokesperson told Covers. “This process is used by many state agencies, including the Commission.”
Already on the books
Ohio’s state gaming law already requires the commission to revoke Type-A (online sports betting) operators’ licenses for not offering wagering for a year or more. That includes operators that haven’t launched yet.
The amendment extends the licensing provision to Type-B (retail), Type-C (kiosks), and management service providers (sports betting operators) “to ensure consistent treatment” in the state, the spokesperson said.
In November, the commission extended a waiver for the “use it or lose it” provision to all types until June 30. The OCCC spokesperson said the commission could extend that waiver to entities again if they haven’t launched wagering yet or the entity could surrender their already approved license.
The amendment process is expected to take several months.
Following operator comments, the OCCC could “revise the proposal and resend it for additional comments, or look to ask Commission members for approval to begin the formal rule filing process at an upcoming meeting,” the spokesperson said.
Who’s affected?
There are currently three Type-A operators or their partners to launch sports betting in Ohio. That includes Underdog Sports, the daily fantasy sports brand that expanded into a traditional sportsbook in the March 11 launch in North Carolina.
WynnBet was partnered with Jack Thistledown Casino to operate under a Type-A license, but the sportsbook shut down operations earlier this year.
Seven Type-B operators have yet to offer sports betting while no kiosk businesses are awaiting launch.
