la-202609-c11d2919b5: Fixed Odds Wagers on Horse Races and Sports Wagering Events

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F.Sports Wagering Service Providers 1.… 2.Entities that must submit as a sports wagering service provider include, but are not limited to, those providing geolocation, geofencing, patron identification, risk management, player account system, data supply, and integrity monitoring services. F.3. - G.3.… AUTHORITY NOTE:Promulgated in accordance with R.S. 27:15 and 24. HISTORICAL NOTE:Promulgated by the Department of Public Safety and Corrections, Gaming Control Board, LR 48:50 (January 2022), amended LR 52: Chapter 5.Rules; Operations §501.Sports Wagering Operator Requirements and Restrictions; Internal Controls; Comprehensive Rules

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F.Licensees and operators shall implement internal controls and commercially reasonable procedures for sports wagering to ensure compliance with all requirements of the Act and these regulations including, but not limited to:

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29.ensuring fixed odds wagers on horse races are offered and accepted in accordance with R.S. 27:612 and the board’s sports wagering catalog.

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J.Operators shall adopt comprehensive rules governing sports wagering transactions with its patrons. The operator’s rules shall comply with R.S. 27:607(C) and shall be submitted to the division for approval. The comprehensive rules shall include, at a minimum:

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13.For fixed odds wagering on horse races conducted pursuant to R.S. 27:612, additional rules governing the acceptance and settlement of wagers on horse racing events, including but not limited to: a.treatment of scratched horses; and b.treatment of dead heats. K.… AUTHORITY NOTE:Promulgated in accordance with R.S. 27:15 and 24. HISTORICAL NOTE:Promulgated by the Department of Public Safety and Corrections, Gaming Control Board, LR 48:55 (January 2022), amended LR 48:1860 (July 2022), LR 52: §521.Sports Events A.… B.Special event or competition of relative skill. 1.… 2.A request for approval to accept wagers on any other event shall be made by an operator at least 14 days prior to such event on such forms approved by the board, and shall include: B.2.a. - B.4.… AUTHORITY NOTE:Promulgated in accordance with R.S. 27:15 and 24. HISTORICAL NOTE:Promulgated by the Department of Public Safety and Corrections, Gaming Control Board, LR 48:60 (January 2022), amended LR 52: §523.Sports Wagers A.An operator shall not accept any sports wager on a sports event unless it has received approval from the board to conduct that type or category of sports wager. The chairman has the authority to approve, reject, and unapprove categories and types of sports wagers on behalf of the board. A type of sports wager refers to the method of determining the outcome of the sports wager. The category refers to the kind of event being wagered on. With the exception of fixed odds wagering on horse races or as otherwise specified in the board’s sports wagering catalog, all particular categories or sports wager types approved by the Act or these regulations or later approved by the board for its first use may be used on multiple events by all operators without further approval. 1.If an operator would like to offer a new category of sports event, it must submit the request to the board on the approved form at least 14 days in advance of the proposed date of accepting sports wagers on such a category. The request shall include all requested information on the approved form including, but not limited to: a full description of the sports event and the manner which sports wagers would be placed and winning wagers would be determined; a full description of any technology which would be utilized to offer the sports event; information or documentation that demonstrates that the sports event meets the requirements of Subsection B of this Section; and any other information requested by the board or division. a.For fixed odds wagering on horse racing, the request shall specify the types and wagers requested, track information, and the name(s) and permit number(s) of the permitted sports wagering service provider(s) who will provide the odds and content. i.For horse races conducted out of state but within the United States, the request shall include proof of consents or authorization in accordance with the Interstate Horseracing Act of 1978, 15 U.S.C. 3001 et seq., which may include, but not be limited to, proof of consents of the: host racetrack; the host racing association; and the host racetrack’s racing commission. The request shall also include a certification from the operator that it is allowed to offer and accept fixed odds wagering on horse racing and it complies with the requirements of Interstate Horseracing Act of 1978, 15 U.S.C. 3001 et seq. to offer the requested fixed odds wager on horse races. ii.For horse races conducted in this state, the request shall include proof of consent of the host racetrack and proof of consent of the Horsemen’s Benevolent and Protective Association. A.2. - G.6.… AUTHORITY NOTE:Promulgated in accordance with R.S. 27:15 and 24. HISTORICAL NOTE:Promulgated by the Department of Public Safety and Corrections, Gaming Control Board, LR 48:61 (January 2022), amended LR 52: Chapter 7.Records; Accounting; Confidentiality §701.Financial Statements and Records

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E.Reporting net gaming proceeds. 1.Each licensee or its operators shall report the net gaming proceeds by providing the total gross revenue of all wagers placed by patrons, the total amount of all winnings paid out to patrons, and the total amount of all eligible promotional play wagers in accordance with requirements provided by the division. This report is due monthly by the tenth of the following month. Daily records shall be maintained, including those providing revenues by event type (for example: NFL, NBA, MLB, NCAA by sports, parlay, etc.). For fixed odds wagering on horse races, a licensee or its operators shall report straight wagers, parlay wagers involving only horse racing events, and parlay wagers involving horse racing events combined with other approved sports events for calculation of taxes due in accordance with R.S. 27:612(B). E.2. - F.5.… AUTHORITY NOTE:Promulgated in accordance with R.S. 27:15 and 24. HISTORICAL NOTE:Promulgated by the Department of Public Safety and Corrections, Gaming Control Board, LR 48:64 (January 2022), amended LR 52: Family Impact Statement Pursuant to the provisions of R.S. 49:972, the Gaming Control Board, through its chairman, has considered the potential family impact of the proposed Rule. The proposed Rule has no known impact on the following: 1.the effect on stability of the family. 2.the effect on the authority and rights of parents regarding the education and supervision of their children. 3.the effect on the functioning of the family. 4.the effect on family earnings and family budget. 5.the effect on the behavior and personal responsibility of children. 6.the ability of the family or a local government to perform the function as contained in the proposed Rule. Poverty Impact Statement Pursuant to the provisions of R.S. 49:973, the Gaming Control Board, through its chairman, has considered the potential poverty impact of the proposed Rule. The proposed Rule has no known impact on impact on the following: 1.the effect on household income, assets, and financial security. 2.the effect on early childhood development and preschool through postsecondary education development. 3.the effect on employment and workforce development. 4.the effect on taxes and tax credits. 5.the effect on child and dependent care, housing, health care, nutrition, transportation, and utilities assistance. Small Business Analysis Pursuant to the provisions of R.S. 49:974.2-974.8, the Regulatory Flexibility Act, the Louisiana Gaming Control Board, through its chairman, has concluded that the proposed Rule is not anticipated to have an adverse impact on small business; therefore, a Small Business Impact Statement has not been prepared. Provider Impact Statement Pursuant to the provisions of HCR170 of 2014, the Gaming Control Board, through its chairman, has considered the potential provider impact of the proposed Rule. The proposed Rule has no known impact on impact on the following: 1.the effect on the staffing level requirements or qualifications required to provide the same level of service. 2.the total direct and indirect effect on the costs to the provider to provide the same level of service. 3.the overall effect on the ability of the provider to provide the same level of service. Public Comments Interested persons may submit written comments to Amy Pirtle Danageozian, Assistant Attorney General, Louisiana Department of Justice, Gaming Division, 1885 North Third Street, Fifth Floor, Baton Rouge, LA 70802. All comments must be submitted no later than the end of business day, Central time zone, of October 10, 2026. Christopher B. Hebert Chairman FISCAL AND ECONOMIC IMPACT STATEMENT FOR ADMINISTRATIVE RULES RULE TITLE: Fixed Odds Wagers on Horse Races and Sports Wagering Events I.ESTIMATED IMPLEMENTATION COSTS (SAVINGS) TO STATE OR LOCAL GOVERNMENT UNITS (Summary) It is not anticipated that state or local government units will incur any costs or savings as a result of this proposed rule. The Department of Public Safety (DPS), Gaming Control Board proposes to amend Title 42 (Louisiana Gaming) of the Louisiana Administrative Code, Part IV (Sports Wagering), Chapter 1 (General Provisions), Section 101, Chapter 3 (Licensing), Section 303, Chapter 5 (Rules; Operations), Sections 501, 521, and 523, and Chapter 7 (Records; Accounting; Confidentiality), Section 701, relative to fixed odds wagers on horse races and sports wagering events. The proposed rule is intended to provide uniform guidelines for the acceptance of fixed odds horse race wagers for sports wagering, including operator requirements and internal controls and reporting requirements. It also modifies the time period for submitting special events or competitions of relative skill for board approval. II.ESTIMATED EFFECT ON REVENUE COLLECTIONS OF STATE OR LOCAL GOVERNMENTAL UNITS (Summary) There is no anticipated effect on revenue collections of state or local governmental units. III.ESTIMATED COSTS AND/OR ECONOMIC BENEFITS TO DIRECTLY AFFECTED PERSONS, SMALL BUSINESSES, OR NONGOVERNMENTAL GROUPS (Summary) There are no anticipated costs or economic benefits to directly affected persons, small businesses, or non-governmental groups. IV.ESTIMATED EFFECT ON COMPETITION AND EMPLOYMENT (Summary) Implementation of this proposed rule is not anticipated to have an effect on competition and employment. Christopher B. HebertPatrice Thomas ChairmanDeputy Fiscal Officer 2609#045Legislative Fiscal Office