Maryland Governor Larry Hogan last week made the state’s new sports betting industry official, signing HB 940 into law. The new law authorizes sports betting at casinos, racetracks sport stadiums and small businesses across the state.
Under the law, the state’s casinos, racetracks and sports stadiums are eligible for Class A licenses for retail sportsbooks. In addition to the three stadiums—the Washington Football Team’s FedEx Field, the Baltimore Ravens’ M&T Bank Stadium and the Baltimore Orioles’ Oriole Park at Camden Yards—each of the state’s six casinos is expected to add a sportsbook.
There also are 30 Class B licenses available for small businesses to open retail sportsbooks, including the Maryland State Fairgrounds and six other named entities. Retail license holders can also apply for online licenses. There will be 60 available online sports betting licenses, more than any other state has issued yet. Should there still be demand for more licenses, the state can reconsider the number in December 2025.
The final legislation sets the state tax rate at 15 percent on sports betting revenue.
The state General Assembly passed the bill April 12, the last day of the session. Voters easily approved the constitutional amendment authorizing sports betting in last November’s elections.
The Maryland State Lottery can now start to develop regulations and appoint commission members immediately. The first sportsbooks are expected to go live by September, in time for the new NFL season, baseball playoffs and the World Series.
“We were going to get (sports betting) done this session,” state Senator Craig Zucker told Legal Sports Report. “Voters approved this almost 2-to-1. They sent us to Annapolis with a mandate and the General Assembly delivered.”
In the same bill-signing session—Hogan signed more than 200 bills into law at the Tuesday event—the governor signed a bill into law allowing college athletes to earn money from endorsements.
The Jordan McNair Safe and Fair Play Act is named after the former University of Maryland offensive lineman who died in 2018 after suffering from heatstroke at a team workout. In addition to allowing college athletes to earn money from use of their name, likeness and image, it requires athletic departments to implement guidelines to prevent, assess and treat serious sports-related conditions.
“The bill is an important statement that our state government is going to prioritize the health and financial needs of our student athletes,” said Del. Brooke Lierman, a Democrat who was a bill sponsor, according to the Associated Press. Added Republican sponsor Senator Justin Ready, “The NCAA has dragged its feet for so long on this issue. It makes no sense to me why a student athlete can’t earn money based on their name, image and likeness.”
