Montana Lottery officials say sportsbooks could begin taking wagers before the end of the year. The lottery’s existing vendor, Intralot, will be in charge of the technology for taking sports bets.
At last week’s Lottery Commission meeting, staffers shared a draft of regulations for sports betting, addressing questions of who is allowed to play and the details of licensing.
Under the draft rules, Intralot would operate sports betting kiosks, but only in locations where gaming is already allowed, such as bars and casinos.
Public hearings will be scheduled to give the public a chance to weigh in before the regulations are finalized. Staff is aiming to complete the process by the end of 2019
Lottery Director Angelo Wong told commissioners, “The current contract is in place and forward-looking and provides for sports wagering, and it’s our intention to work with our current vendor.” She added, “We’re having legal review that again. We recognize that we are in the very early stages of our public process.”
Some industry experts say the state shouldn’t move so fast, and should open the process to competitive bidding. One of the critics is Neil Peterson of the Gaming Industry Association of Montana, who told 8KPAX News “You’re awarding a contract that’s worth $4.5 million to $6.1 million over the next four years, each year, to a company on a no-bid contract.”
He added, “I’m hearing rumblings within the industry that should the Lottery Commission go ahead and do a no-bid contract … that you could have some litigation over that.”
Earlier this year the legislature voted to legalize sports betting with the state lottery put in charge. Governor Steve Bullock vetoed a competing bill that would have opened up sports book to private vendors.
The lottery signed a seven-year contract with Intralot in 2015; that’s the reason no competitive bidding was needed, say lottery officials.
Ronda Wiggers of the Montana Coin Machine Operators Association disagrees. She told 8KPAX News, “These companies have more experience in the United States sports-betting market than Intralot does, and we feel that in order to obtain the best provider for Montana, the lottery needs to go through the full (bid) process.”
Lottery officials seem to have dug in on their decision, however.
