On January 31, the Ohio Casino Control Commission released the third batch of proposed sports betting rules, focusing on Type C licenses that permit in-person wagering at smaller venues, and sports betting exclusion programs. The public comment period on those rules closed February 11.
Governor Mike DeWine signed HB 29, allowing sports betting, on December 22; it stipulates that sports wagering must launch by January 1, 2023. OCCC Executive Director Matt Schuler said, “January 1 is not an arbitrary date. Some people are saying, ‘Can you get it going by the 2022 NFL kickoff?’ No.” He explained the process leading up to launching sports betting requires 12 months.
Batch 1 of the draft rules, released in mid-January, focused on provisional licensing and testing standards. Batch 2 focused on licensing for mobile (Type A) and retail (Type B) sportsbooks, general wagering provisions and equipment.
Batch 3 draft rules detail the problem gamblers’ voluntary exclusion program. For example, bettors would have the option to self-exclude for one or five years or for life. When their chosen time period is over, individuals must formally request to be removed; those on the lifetime list can request to be removed after five years.
As part of the voluntary exclusion language, the regulator covers in Rule 3772-12-03 the “responsibilities of voluntarily excluded individuals.” As part of this draft rule, the commission wrote that if “an individual is owed a cash amount from an excluded entity or facility, the individual still has the right to receive that amount from the entity or facility, even after placement on the voluntary exclusion program.”
One issue that other states have wrestled with is what happens to pending wagers when a bettor signs up for the exclusion list. Operators have expressed concern that the exclusion list could provide a loophole for avoiding paying a losing bet. For example, if a large wager were placed on the World Series, and one team has a 3-0 lead, if a bettor chooses to self-exclude after Game 3, what would happen to the wager? Would the bettor get back his or her money?
Schuler said it takes 180 days for a batch of rules to move from being released for public comment to receiving final approval. He said he hopes all the batches will be approved during the summer. Then the application process for various sports betting licenses could start in the fall. Background checks on all sports wagering license applicants also will take some time, Schuler said.
He noted the OCCC has been “immersed very much in every other state,” including neighboring Michigan, Indiana, West Virginia and Pennsylvania, to review how they rolled out sports wagering. Schuler said commissioners have been focused on New Jersey since it was the first state to launch sports betting. He added Ohio’s rules more likely will follow Indiana’s.
Additional draft rules will be released at the commission’s next scheduled meeting on February 16. “I anticipate at least a few more batches as we go through this process,” Schuler said.
