2024 24LSO-0387
STATE OF WYOMING
HOUSE BILL NO. HB0120
Interactive gaming.
Sponsored by: Representative(s) Davis, Conrad, Newsome and Walters
A BILL
for
1 AN ACT relating to gaming; authorizing interactive gaming;
2 providing for regulation by the Wyoming gaming commission;
3 imposing fees; providing for the collection and
4 distribution of revenues from interactive gaming; providing
5 for a continuous appropriation; requiring rulemaking;
6 providing penalties; and providing for effective dates.
7
8 Be It Enacted by the Legislature of the State of Wyoming:
9
10 Section 1. W.S. 9-24-201 through 9-24-207 are created
11 to read:
12
13 ARTICLE 2
14 INTERACTIVE GAMING
15
1 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 9-24-201. Definitions.
2
3 (a) As used in this article:
4
5 (i) "Interactive game" means an internet-based
6 version or variation of poker, blackjack or any other card,
7 slot or gambling game typically offered in a casino,
8 including any internet based gambling game approved by the
9 commission, in which:
10
11 (A) A person wagers money or something of
12 monetary value for the opportunity to win money or a thing
13 of monetary value;
14
15 (B) The outcome of the game is determined
16 by a random number generator, excluding any skill element
17 of the game; and
18
19 (C) The game is accessed by the player
20 using a computer, digital platform or mobile application on
21 a mobile device that is connected to the internet.
22
2 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (ii) "Interactive gaming" means engaging in
2 interactive games conducted by an interactive gaming
3 operator over the internet by use of a computer, digital
4 platform or mobile application on a mobile device, that
5 uses communications technology to accept wagers or any
6 system or method of electronic wagering approved by
7 commission rules. Interactive gaming shall not include any
8 of the following:
9
10 (A) Activities other than interactive
11 gaming that are exempted from criminal penalties under W.S.
12 6-7-101 through 6-7-104;
13
14 (B) Activities outside of this article
15 authorized or regulated by the commission;
16
17 (C) Lotteries authorized by law;
18
19 (D) Fantasy sports contests;
20
21 (E) Interactive games offered exclusively
22 on Indian lands by an Indian tribe operating in accordance
23 with a Tribal-State gaming compact and authorized to
3 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 conduct class III gaming pursuant to federal law. For
2 purposes of this article, an interactive game is conducted
3 exclusively on Indian lands only if the patron
4 participating in interactive gaming is physically present
5 on Indian lands when the interactive game is initiated and
6 the game is offered by an Indian tribe operating on the
7 same Indian lands as an intratribal transaction under 31
8 U.S.C. ยง 5362(10)(c).
9
10 (iii) "Interactive gaming operator" means any
11 qualified gaming entity authorized by the commission to
12 accept interactive gaming wagers;
13
14 (iv) "Interactive gaming revenue" means the
15 total amount of all wagers placed by patrons with an
16 interactive gaming operator using cash or cash equivalents,
17 excluding free wagers and promotional play, minus all
18 payments to patrons and minus any applicable federal excise
19 taxes. Payments to patrons include all payments of cash,
20 cash equivalents, merchandise and any other thing of value;
21
22 (v) "Interactive gaming vendor" means a vendor
23 that provides services to an interactive gaming operator
4 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 which directly affect wagering, play or results of
2 interactive gaming including geolocation services, know
3 your customer services, payment processors and game
4 providers;
5
6 (vi) "Live game simulcast" means an interactive
7 live feed of an interactive game that is conducted by a
8 live interactive game studio and in which participants have
9 the ability to wager in real time;
10
11 (vii) "Live interactive game studio" means a
12 physical location that utilizes live video and audio
13 streaming technology to provide an interactive gaming
14 licensee with a live game simulcast;
15
16 (viii) "Patron" means a person who places an
17 interactive gaming wager;
18
19 (ix) "Permissible jurisdiction" means a
20 jurisdiction other than Wyoming where wagers on interactive
21 gaming may be accepted pursuant to an interactive gaming
22 reciprocal agreement;
23
5 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (x) "Qualified gaming entity" means a gaming
2 entity that offers interactive gaming through computers,
3 digital platforms or mobile applications on a mobile
4 devices in not less than three (3) states in the United
5 States pursuant to a state regulatory structure.
6
7 9-24-202. Interactive gaming regulation; rulemaking.
8
9 (a) The commission shall regulate interactive gaming
10 and interactive gaming operators and vendors.
11
12 (b) The commission shall promulgate rules to
13 implement this article. The rules the commission
14 promulgates shall establish standards and procedures for
15 interactive gaming and associated interactive gaming
16 systems. The rules shall include:
17
18 (i) Governance of the conduct of interactive
19 gaming and the system of wagering associated with
20 interactive gaming, including all of the following:
21
22 (A) Terms and conditions for interactive
23 gaming that are compliant with all applicable federal laws;
6 HB0120
2024 STATE OF WYOMING 24LSO-0387
1
2 (B) Identification of the types of
3 interactive games upon which wagers may be accepted;
4
5 (C) The manner in which interactive gaming
6 wagers are received and payoffs are remitted;
7
8 (D) Procedures for managing and resolving
9 suspected cheating, irregularities and complaints;
10
11 (E) A requirement that a patron shall be
12 physically present in Wyoming when making a wager unless
13 otherwise authorized by the commission pursuant to a
14 reciprocal agreement;
15
16 (F) A requirement for each interactive
17 gaming operator to use a geolocation system to ensure that
18 a patron making an interactive gaming wager is physically
19 present in the state when making the wager unless otherwise
20 authorized by the commission pursuant to a reciprocal
21 agreement;
22
7 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (G) Internal controls for all aspects of
2 interactive gaming, including procedures for system
3 integrity, system security, operations and accounting;
4
5 (H) Operational controls for interactive
6 gaming accounts;
7
8 (J) Procedures to ensure that interactive
9 gaming operators do not offer prohibited interactive games;
10
11 (K) Requirements for the offering of live
12 game simulcasting, which shall be permitted to be conducted
13 from live interactive game studio premises in any location
14 and shall not be required to be located in Wyoming.
15
16 (ii) Methods for calculating interactive gaming
17 revenue and standards for the counting and recording of
18 cash and cash equivalents received in the conduct of
19 interactive gaming, including requirements for internal
20 controls, financial records and audits;
21
22 (iii) Reasonable minimum qualifications for
23 interactive gaming operators;
8 HB0120
2024 STATE OF WYOMING 24LSO-0387
1
2 (iv) Any other matters necessary for overseeing
3 interactive gaming and interactive gaming operators and
4 vendors.
5
6 (c) In promulgating rules pursuant to this section,
7 the commission shall examine the regulations implemented in
8 Wyoming for online sports wagering and regulations
9 promulgated in other states where interactive gaming is
10 conducted and shall, as far as practicable, adopt a similar
11 regulatory framework to maximize revenue generated to the
12 state.
13
14 (d) Interactive gaming shall not be conducted from
15 any physical location designed for a patron to physically
16 visit to place a wager. Interactive gaming shall be deemed
17 to take place at the location of the patron participating
18 in an interactive game and not the location of the server
19 of an interactive gaming licensee or any other location.
20
21 9-24-203. Permits; fees; application.
22
9 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (a) An interactive gaming operator shall possess a
2 permit issued by the commission to accept interactive
3 gaming wagers. No person shall accept interactive gaming
4 wagers without holding a valid permit issued by the
5 commission.
6
7 (b) A qualified gaming entity applying for an
8 interactive gaming operator permit shall do so on an
9 application furnished by the commission. The commission
10 shall offer an abbreviated application for a qualified
11 gaming entity that holds an online sports wagering operator
12 permit pursuant to W.S. 9-24-103, and the commission may
13 consider an online sports wagering operator permitholder
14 fully qualified to hold an interactive gaming operator
15 permit under this section without additional investigation.
16 The fee for both an initial application and renewal
17 application shall be two thousand five hundred dollars
18 ($2,500.00). The application shall require an applicant, at
19 a minimum, to provide:
20
21 (i) The full name, current address and contact
22 information of the applicant;
23
10 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (ii) Disclosure of each person identified in
2 subsection (g) of this section;
3
4 (iii) If not already on file with the
5 commission, the applicant's fingerprints and the
6 fingerprints of each person identified in subsection (g) of
7 this section;
8
9 (iv) Consent to permit the commission to conduct
10 a criminal history record check of the applicant and each
11 person identified in subsection (g) of this section in
12 accordance with procedures established by the commission.
13 This paragraph shall not require an applicant or person who
14 has been subject to a criminal background check pursuant to
15 W.S. 9-24-103, or who has otherwise submitted to a criminal
16 background check in this or any other state within the
17 twelve (12) months before submitting the application, to
18 resubmit to another criminal background check provided that
19 the applicant or person submits the results of the previous
20 criminal background check and affirms that there has been
21 no material change in the criminal history since the time
22 of the criminal background check. The cost of the criminal
11 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 history record background check shall be paid using a
2 portion of the applicant's application fee;
3
4 (v) For the applicant and each person identified
5 in subsection (g) of this section, if not already on file
6 with the commission, a record of previous issuances and
7 denials of any gaming or gambling related license or
8 application under Wyoming statutes or in any other
9 jurisdiction in the United States;
10
11 (vi) Any additional information required by
12 commission rules.
13
14 (c) The commission shall charge a permit fee of one
15 hundred thousand dollars ($100,000.00) for an initial
16 interactive gaming operator permit. An initial permit and
17 any renewal permit shall each be valid for five (5) years.
18 The commission shall charge a fee of fifty thousand dollars
19 ($50,000.00) for renewal of an interactive gaming operator
20 permit.
21
22 (d) An interactive gaming vendor shall possess a
23 permit issued by the commission to conduct business in the
12 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 state. No person shall provide vendor services to an
2 interactive gaming operator without holding a valid permit
3 issued by the commission.
4
5 (e) The commission shall charge a fee of ten thousand
6 dollars ($10,000.00) for an initial interactive gaming
7 vendor permit. An initial permit and any renewal permit
8 shall each be valid for five (5) years. The commission
9 shall charge a fee of five thousand dollars ($5,000.00) for
10 renewal of an interactive gaming vendor permit.
11
12 (f) Interactive gaming operator and interactive
13 gaming vendor permit fees charged pursuant to subsections
14 (c) and (e) of this section shall be deposited in the
15 interactive gaming account, which is hereby created.
16 Subject to legislative appropriation, amounts within the
17 account may be used by the commission for all expenses
18 incurred in administering this article. On a quarterly
19 basis, the commission shall transfer amounts within the
20 account in excess of five hundred thousand dollars
21 ($500,000.00) to the state treasurer for credit to the
22 general fund.
23
13 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (g) The following persons are considered to have
2 control of an interactive gaming operator permit applicant
3 or permit holder:
4
5 (i) Each holding company, parent company or
6 subsidiary company of the applicant or permit holder;
7
8 (ii) Each person, except for a bank or other
9 licensed lending institution that holds a mortgage or other
10 lien acquired in the ordinary course of business, who owns
11 fifteen percent (15%) or more of an applicant or permit
12 holder and has the ability to:
13
14 (A) Control the activities of the applicant
15 or permit holder; or
16
17 (B) Elect a majority of the board of the
18 applicant or permit holder.
19
20 (iii) Any person the commission otherwise
21 determines has the ability to control the noncorporate
22 applicant or permit holder;
23
14 HB0120
2024 STATE OF WYOMING 24LSO-0387
1 (iv) Key personnel of an applicant or permit
2 holder, including any executive, employee or agent having
3 the power to exercise ultimate decision making authority
4 over the applicant's or permit holder's interactive gaming
5 operations in this state.
6
7 (h) The commission shall, not more than ninety (90)
8 days after the date of receipt of an application for a
9 permit or renewal of a permit, either:
10
11 (i) Issu