The Arizona Department of Gaming is holding hearings for permanent rules governing sports betting. One of the hottest issues is “parity” between gaming tribes and sports teams.
Sports betting was legalized by the Arizona legislature in February 2021. The legislation allowed 20 digital and retail event wagering licenses, 10 for tribes and 10 for professional sports teams.
However, there weren’t 10 teams that qualified, and more than 10 tribes wanted the licenses. This created an issue in the tribes’ minds of “parity.” The ADG wants to come up with a solution for this problem by the deadline to file with the Secretary of State’s office.
The ADG can’t create more licenses but it hopes to determine how to divide up the ones that exist. Both tribes and sports teams are partnering with operators like FanDuel and DraftKings to offer sportsbooks. The ADG does have the power to revoke a license if the responsible party “fails to continue operations.”
This line has some tribes worried that they might lose their license if they change service providers.
The Navajo Nation has partnered with Hard Rock Sportsbook and the NBA Suns with FanDuel.
Other issues the ADG is dealing with include the location of a licensee, which is a problem since the professional sports team licenses are tied to a venue, such as a sports field. This implies that if a sports team relocates, it could lose its license.