In May, Montana became the first state in 2019 to legalize sports betting, and now the Montana Lottery has opened a public comment period on proposed regulations, setting October 28 for a public hearing. The lottery had hoped to go live by in time for the start of football season, but later this year or early next year is more realistic, officials said.
Lottery officials estimate that 1,400 vendors could apply for sports betting licenses. They must be licensed by the lottery and hold a gambling operators’ license and an alcoholic beverage license. The sports betting license application fee will be only $50, unlike the significantly higher rate charged by other states.
Also unlike other states, Montana will not have physical retail sports betting locations. Wagering will be conducted through kiosks the lottery will provide to its licensed retailers. Mobile sports betting will be possible within the range of a kiosk.
Gamblers must be at least 18 years old and may register remotely and manage their accounts through a lottery app. They can claim winnings of $600 or less from a sales agent; winnings of $600 or more must be claimed directly through the lottery in person or by mail.
Lottery partners will receive a 6 percent commission on the value of every ticket sold for sports betting, which is 1 percent more than selling a lottery ticket. The proposed rules also allow a business to take along its sports betting license if it changes locations.
The proposed rules include self-exclusion and self-limiting options, allowing bettors to limit wagers by the amount deposited or spent or based on timing limits. If an account is dormant for 18 months, it will be suspended.
Observers expected sports betting would launch quickly after Governor Steve Bullock signed the legislation, assuming the lottery would extend Intralot’s contract to include sports betting. However, legislators recently said they believe the lottery must open a Request for Proposal (RFP) to review bids for the sports betting contract. Washington, D.C. also legalized sports betting through its lottery and tried to give its sports betting contract to Intralot without an RFP. However, an app developer sued the district, claiming the process was illegal.
