Fans of sports betting in the US state of Tennessee will be able to bet on their favourite sports events when the coronavirus shutdown ends, after sports betting rules were given the green light.
The Tennessee Education Lottery has approved the rules and regulations for mobile sports betting to get underway in the state, having made small adjustments to some aspects of the payout policies, and is aiming to allow betting firms to apply for operating licenses next week. The rules met the approval of the board of directors of the Lottery on Wednesday. Speaking about the regulations, the chair of the board, Susan Lanigan, said that a lot of work went into getting to this stage:
“These rules reflect the significant work that went into establishing the processes and requirements for licensing and regulating interactive sports wagering in Tennessee. The board thanks the TEL and the Sports Wagering Advisory Council for their thoughtful help and guidance.”
The biggest controversy around the regulations is the payout rate. Originally set at 85%, this has now been raised to 90%, but is still significantly lower than average rates in other states.
The regulations set the fee for operating licenses at $750,000 while supplier licenses are at $75,000 with a non-refundable application fee of $50,000. Subcontractors and others who provide services to operators or suppliers will have to buy a Level III licence, at a cost of $7,500. The lottery board have a period of 90 days to assess an application, and there will be no total limit on the number of applications. All operators will be required to pay a tax of 20% of gross income.
The regulations, which also impose tight restrictions on marketing, were first published back in November, following the passage of a law on mobile wagering, which was signed by Governor Bill Lee in May 2019.