Public Safety and Security Committee
JOINT FAVORABLE REPORT
Bill No.: HB-6451
AN ACT CONCERNING GAMING AGREEMENTS WITH THE MASHANTUCKET
PEQUOT TRIBE AND THE MOHEGAN TRIBE OF INDIANS OF
Title: CONNECTICUT.
Vote Date: 3/24/2021
Vote Action: Joint Favorable Substitute
PH Date: 3/2/2021
File No.:
Disclaimer: The following JOINT FAVORABLE Report is prepared for the benefit of the
members of the General Assembly, solely for purposes of information, summarization and
explanation and does not represent the intent of the General Assembly or either chamber
thereof for any purpose.
SPONSORS OF BILL:
Request of the Governor Pursuant to Joint Rule 9
REASONS FOR BILL:
This will allow the Governor to amend to the Mashantucket Pequot procedures and amend
the Mohegan compact. The reason for this bill is to allow for the Governor's budget
recommendations.
Substitute Language
The substitute language is as follows:
Sec. 1 (New) This section provides the meaning of terms used in this bill, for example what
"Electronic wagering platform" means. (1) thru (19).
Sec. 2 (New) This section allows the Governor to enter amendments with Mashantucket
Pequot procedures and to the Memorandum of understanding with the tribe and amendments
to the Mohegan compact and to the Mohegan memorandum of understanding with the
Mohegan Tribe of Indians of Connecticut, or new compacts with the Mashantucket Pequot
Tribe or the Mohegan Tribe of Connecticut or both. (subsections for provisions and
description of what the Mashantucket Pequot Tribe, Mohegan Tribe of Indians of Connecticut
and the CT Lottery regarding online casino gambling, online sports wagering, fantasy
contests and keno.) Any amendments or new compacts entered pursuant to Sec. 2 shall be
effective once approved by the Secretary of the US Dept. of Interior as required by federal
law. If the approval is overturned by a court of competent jurisdiction in the final judgement
and cannot be appealed, Sec. 1-10 inclusive of this act and the amendments to the
provisions of the general statutes pursuant to this act will cease to be effective.
Sec. 3 (New) The Commissioner of Consumer Protection may issue licenses permitting the
Mashantucket Pequot Tribe to operate one skin for online sports wagering within the state
and one skin for online casino gaming within the state with provisions. (subsections)
Sec. 4 (New) ) If amendments to the Mashantucket Pequot procedures and to the
Mashantucket Pequot memorandum of understanding with the Mashantucket Pequot Tribe
and amendments to the Mohegan compact and to the Mohegan memorandum of
understanding with the Mohegan Tribe of Indians of Connecticut, or new compacts with the
Mashantucket Pequot Tribe, Mohegan Tribe of Indians of Connecticut, or both, pursuant to
section 2 of this act, are effective, the Connecticut Lottery Corporation may operate under
certain provisions. See Subsections.
Sec. 5: (New) If the Connecticut Lottery Corporation is authorized to conduct retail sports
wagering pursuant to section 4 of this act, such corporation may enter into one or more
agreements with a person or business organization licensed to operate the off-track betting
system pursuant to chapter 226 of the general statutes to operate retail sports wagering at
any of the system facilities authorized for off-track betting under section 12-571a of the
general statutes provided the total number of facilities that may conduct retail sports
wagering, whether operated directly by the corporation or by such person or business
organization, shall not exceed fifteen. See subsections.
Sec. 6: (New) Gives detail on where a person places a sports wager, that they must be 21
years of age and be physically present in the state when placing the wager. Any electronic
wagering platform used for conducting online sports wagering or online casino gaming shall
be developed to verify the age of the individual wagering account, if the person is physically
present in the state, provide a mechanism to prevent unauthorized use of a wagering account
and maintain security of wagering data and other confidential information.
Sec. 7: (New) The Commissioner of Consumer Protection shall adopt regulations in
accordance with the provisions of chapter 54 general statutes and the to extent not prohibited
by federal law or any other gaming agreement or procedure entered pursuant to the Indian
Gaming Regulatory Act. Such regulations shall address the operation of, participation in and
advertisement of sports wagering, online casino gaming, keno and sales of lottery tickets for
lottery draw games through an Internet website, online service or mobile application,
selection of other games that may be permitted as online casino gaming and any other
provisions to protect the public interest in the integrity of gaming.
Sec. 8: (New) The Mashantucket Pequot Tribe and the Mohegan Tribe Indians of Connecticut
will each pay to the state a deposit to the General Fund, gross gaming revenue from online
gaming revenue. CT Lottery will also pay a deposit into the state General Fund a percent of
gaming revenue and any other person or business organization licensed to operate the off-
track betting system pursuant to Chapter 226 of general statutes operating retail sports
wagering at any system facilities authorized by off-track betting under sec. 12-571a pursuant
to agreement with CT Lottery Corporation. (Amounts listed in subsections)
Sec. 9: (New) At the commencement of any fiscal year that online sports wagering or online
casino gaming is conducted pursuant to sec. 3 of this act outside Indian Lands and on or
before September 30th in each fiscal year thereafter, the Commissioner of Consumer
Protection after consulting with Mashantucket Pequot Tribe and Mohegan Tribe of Indians of
Connecticut, estimate and assess the reasonable and necessary costs that will be incurred
by the department in the next fiscal year for regulating the operation of wagering and gaming
under sec. 3, 6, and 7. The same applies to any person or business organization licensed to
operate the off-track betting system pursuant to chapter 226 of general statutes operates
retail sports betting pursuant to sec.5 and 7. There is established a fund to be known as
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"State Sports Wagering and Online Gaming Regulatory Fund". (see subsections for details
of fiscal year payments and information regarding the State Sports Wagering Fund.)
Sec. 10: (New) Any payment to the state made by the Mashantucket Pequot Tribe or the
Mohegan Tribe of Indians of Connecticut under section 8 of this act during a 5-year period
commencing on the date that such tribe began operating online sports wagering and online
casino gaming pursuant to Sec. 3 of this act shall count toward the calculation of the
minimum contribution for such tribe pursuant to their memorandum of understanding.
Sec.11: Section 12-586f of the general statute is repealed and is substituted. The
Mashantucket Pequot Tribe and compact means Tribal-State Compact between the tribe and
the state of Connecticut as incorporated and amended in the Final Mashantucket Gaming
Procedures prescribed by Secretary of the US Dept. of the Interior pursuant to Sec.
2710(d)(7)(B)(vii) of Title 25 of the US Code and published in 56 Federal Register 24996
(May 31,1991), as amended from time to time.
Sec. 12: Section 12-586g of the general statue is repealed and the following is substituted
lieu thereof. Mohegan Tribe of Indians of Connecticut's compact with the State of
Connecticut dated May 17, 1994, as amended from time to time.
Sec. 13: Section 12-578aa of the general statute is repealed and substituted in lieu thereof.
The meaning of terms in the section are listed. The amendments that the Governor enters
with the Mashantucket Pequot Tribe and Mohegan compact described in subsections as well
as the Commissioner of Consumer Protection issuing of license for the operation of fantasy
contests outside Indian lands.
Sec. 14: Sec. 12-578f of the general statutes is repealed and substituted in lieu thereof. This
section gives definition of terms in the section. It also permits MMCT Venture, LLC to conduct
games at a casino gaming facility at 171 Bridge Street, East Windsor. Notwithstanding the
provisions of subsections (b) and (c) the authorization to conduct approved games at a
casino gaming facility pursuant to the subsections shall not take effect during the 10-year
initial term that makes amendments to Mashantucket Pequot procedures and memorandum
and Mohegan compact and memorandum or new compacts with either of the tribes as
entered into pursuant to section 2 of the act and described in subdivision 3 of subsection (b)
of section 2 of this act.
Sec. 15: Sec. 12-806c of the general statutes is repealed and substituted in lieu thereof. The
provisions of the section will no longer be effective once amendments to the Mashantucket
Pequot procedures and memorandum and amendments to the Mohegan compact and
memorandum of understanding or new compacts with the tribes or both governing Keno by
the Connecticut Lottery Corporation pursuant to Sec. 2 of this act are effective.
Sec. 16: Sec. 12-901 of general statutes is repealed and substituted in lieu thereof. As used
in suction 12-563a as amended by this act and section 12-800 to 12-818 inclusive the
following terms shall have the following meaning unless context indicates another meaning.
(4) Section 12-563a is amended by this act, 12-800 to -12-818 inclusive and section 4 of this
act. Keno by the corporation pursuant to section 12-806c is amended by section 4 of this act.
Online sports wagering, retail sports wagering, and Skin has the same meaning as Section 1
of this act.
Section 17: Sec. 12-806 of the general statutes is repealed and substituted in lieu thereof.
The corporation shall be to manage and operate the lottery and operate and manage retail
sports wagering and online sports wagering if permitted under section 4 of this act.
Subsections of this section outline the powers of corporation.
Sec. 18: Sec. 12-806a of the general statute is repealed and substituted in lieu thereof. The
Dept. of Consumer Protection regulate the activities of the Connecticut Lottery Corporation in
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order to assure the integrity of the state lottery and retail sports wagering and online
wagering. In addition, the provisions of chapter 12, sec. 12-806 is amended by this act.
Sec. 19: Sec. 12-810 is repealed and substituted in lieu thereof. The Freedom of Information
Act will apply to all aspects of the Connecticut Lottery including meetings, and records except
where limitations in subsection (c) of this section is or otherwise limited by subsection (d). No
personal information from someone who participates or has participated in the corporation's
voluntary self-exclusion process shall be deemed public records, except that the president
may reveal the name and any relevant records of the person other than such person's
participation in the voluntary self-exclusion process if the winning lottery is from online lottery
program.
Sec. 20: Sec.12-811 of the general statutes is repealed and substituted in lieu thereof. The
president, directors and everyone connected with the corporation shall be state employees.
No employee, director or officer shall directly or indirectly participate or share in the winnings
from a game conducted.
Sec. 21: Sec. 12-815 of the general statutes is repealed and substituted in lieu thereof. The
corporation shall institute and adopt policies, rules and procedures on purchasing and
contracting. The Corporation can enter into agreements pursuant to subdivision 1 of this
subsection regarding vendors for the provisions of skin for online sports wagering, aren't
branded by an operator of a casino in any jurisdiction. The vendor may not share any
customer information for purposes of marketing, or any purposes related to acquiring
customers. Agreement details continued in detail in the subsections. of Sec. 21.
Sec. 22: Sec. 12-186 of the general statues is repealed and substituted in lieu thereof. The
powers granted by sections 1-120, 1-121, 1-125, 12-563, 12-563a amended by this act 12-
564, 12-566,12-568a and 12-569 subsection of 12-574 and sections 12-800 to 12-818
inclusive and sections 4, and sections 6-8 inclusive of this act accounts for the performance
of an essential government function and all operations of the corporation shall be free of state
and federal taxation.
Sec. 23: Sec. 12-561 of the general statutes is repealed and substituted in lieu thereof. No
commissioner or unit head will place a sports wager, participate in online casino gaming as
defined in Section 1 of this act or have interest directly or indirectly as a member or partner in
lottery, racing, fronton or betting enterprise.
Sec. 24: Sec. 12-563a of the general statues is repealed and substituted in lieu thereof. The
Department of Consumer Protection will include retail sports wagering when distributing and
preparing information on programs for prevention, treatment and rehabilitation for compulsive
gamblers in the state.
Sec. 25: Sec. 52-553 of the general statutes is repealed and substituted in lieu thereof. (3)
apply to online casino gaming, online sports wagering and retail sports wagering, as such
terms are defined in section 1 of this act, and conducted pursuant to sections 3 to 7 inclusive,
of this act, as applicable, (4) apply to the participation in the program established by the
Connecticut Lottery Corporation pursuant to section 4 of this act to sell lottery tickets for
lottery draw games through the corporation's Internet web site, online service or mobile
application
Sec. 26: Sec. 52-554 of the general statutes is repealed and substituted in lieu thereof.
Nothing in this section shall prohibit use of a credit card to participate in online casino
gambling, online sports wagering, and retail sports wagering as defined by sec. 1 of this act
and conducted pursuant to sections 3 to 7 inclusive of this act as applicable or CT Lottery
Corporation pursuant to Section 4 to sell lottery tickets through the corporations website,
online service or mobile application.
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Sec. 27: Subdivision (2) of section 53-278a of the general statutes is repealed and
substituted in lieu thereof. As defined in sec. 1 of this act, online casino gambling, online
sports wagering, and retail sports wagering shall not be considered gambling if it is
conducted pursuant to sections 3 to 7, inclusive in of this act.
Sec. 28: Subdivision (4) of section 53-278a of the general statute is repealed and the
following is substituted in lieu thereof. As amended by this act a device or equipment used
for online casino gambling, online sports wagering or retail sports wagering as defined by
section 1 of this act shall not be considered a gambling device, if the conditions in sections 3
to 7 inclusive of this act have been met.
Sec. 29: Sec. 53-278g of the general statutes is repealed and substituted in lieu thereof.
Nothing in sections 53-278a to 53-278f inclusive, as amended by this act will now include
online casino gambling, online sports wagering and retail sports wagering as authorized by
sections 3 to 7, inclusive of this act.
Sec. 30: (New) Effective July 1, 2021, notwithstanding the provisions of section 1-3 of the
general statutes, if any provisions of sections 1 to 10, inclusive of this act or any amendments
made to the provisions of the general statues pursuant to this act except regarding keno and
lottery tickets for lottery draw games through the corporations Internet website, online
services or mobile application is held invalid by a court of competent jurisdiction in a final
judgement. Sec.1 to 10 will cease to be effective and amendments made to the provisions of
the sections except keno and sale of lottery tickets online will be inoperative.
Sec. 31: Sec. 12-565a of the general statutes is repealed effective July 1, 2021.
RESPONSE FROM ADMINISTRATION/AGENCY:
Michelle Seagull, Commissioner, Department of Consumer Protection State of
Connecticut
Commissioner Seagull states that this proposal allows the Governor to modify current
agreements with the Mashantucket Pequot Tribe and the Mohegan Tribe of Indians of
Connecticut to expand gaming which would include sports wagering, online casino and online
keno. Currently DCP regulates gaming activity conducted through CLC and Sportech as well
as the slot activity at the two tribal casinos This bill allows for a new arena of gaming activity
in the state, DCP will be ready to work with the Office of the Governor, Legislative Leaders,
Public Safety and Security Committee and the tribal partners to ensure a safely regulated
market.
Melissa McCaw, Secretary, Office of Policy and Management, David Lehman,
Commissioner and Governor's Senior Economic Advisor, Dept. of Economic and
Community Development, State of Connecticut
States across the nation and states in the northeast region have either already implemented
or proposed legislation to expand the gaming industry. This agreement allows for the
Governor to amend agreements with the Mashantucket Pequot Tribe and the Mohegan Tribe
of Indians of Connecticut regarding expansion of gaming in the state. Connecticut is at risk to
fall behind this flourishing market and the Governor supports the expansion and
modernization of our gaming industry. This bill will generate revenue in the General Fund for
the state.
NATURE AND SOURCES OF SUPPORT:
Paul Formica, Senator, State of Connecticut
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Senator Formica supports this bill. Our legislature has been having a lot of conversation
about "getting with the times" and Sen. Formica urges support for this bill, so Connecticut can
stay relevant. Connecticut is on the verge of being left in the dust of our neighbors in
choosing whether to adapt alongside an industry who has had to move their operations from
largely in-person to almost entirely online. Investing in this new online technology and
continuing the partnership with the Tribal Nations will protect CT jobs, support our
communities and continue to provide for all their employees in Southeastern Connecticut.
Fred Allyn I