The proposed Fantasy Sports Consumer Protection Act aims to regulate fantasy contest operators in Nebraska, establishing a legal framework for conducting fantasy contests. The bill defines key terms such as "fantasy contest," "fantasy contest operator," and "participant," and outlines the responsibilities of the Department of Revenue in overseeing these operators. It mandates that all operators must be licensed, requiring a nonrefundable application fee of $5,000 and background checks for key individuals. The bill also emphasizes consumer protection by mandating measures to prevent fraud and underage participation, while allowing the Department to adopt rules to ensure compliance and integrity within the industry.

Additionally, the bill introduces a 10% tax on fantasy contest operators' adjusted gross receipts, effective July 1, 2026, and establishes a Fantasy Sports Consumer Protection Fund to manage the collected fees. It includes provisions for responsible gaming, requiring operators to provide information on gaming assistance and implement self-exclusion programs. The bill amends several sections of the Revised Statutes Cumulative Supplement, 2024, including the introduction of the "Fantasy Sports Consumer Protection Act" and updates to definitions related to gambling activities. It also clarifies that certain activities conducted in accordance with the act do not constitute illegal gambling and specifies penalties for violations, while repealing previous sections that governed gambling in the state.

Statutes affected:
Introduced: 28-1101, 28-1105, 28-1113