Maryland lawmakers advance gambling bills targeting sweepstakes and college prop bets
Maryland lawmakers are pushing forward a trio of gambling bills aimed at tightening rules and going after illegal operators. House Bill 518 passed the House without opposition on March 18 and is now under review in the Senate Budget and Taxation Committee, along with two related proposals focused on unregulated online markets and sweepstakes-style gaming.
Regulators have already shown they are willing to act, ordering two casinos to immediately halt certain activities over compliance issues, signaling a tougher stance across the state.
Maryland House advances sweepstakes and college prop bet restriction bills
HB 518 focuses on curbing problem gambling and placing new limits on certain wagers. It directs the State Lottery and Gaming Control Commission to take a more hands-on role, stating that “the Commission shall adopt regulations that are intended to reduce or mitigate the effects of problem gambling.”
The rules must include “a voluntary exclusion list of individuals with gambling problems who have requested to be excluded,” along with “a simple mechanism” for people to sign up for a set period. In most cases, the state would also share contact information with the Maryland Center for Excellence on Problem Gambling so individuals can receive “information about free and confidential responsible gambling assistance,” unless they opt out.
The bill also raises the minimum age for fantasy sports. It specifies that “an individual under the age of 21 years may not participate in a fantasy competition,” and bars operators from offering those contests to anyone under that age.
College prop bets are another target. The legislation states that “a sports wagering licensee may not offer or accept a wager on a player–specific proposition bet on a participant in a collegiate sports or athletic event,” and bettors themselves are also prohibited from placing those wagers.
Additional requirements include stronger identity verification, clearer responsible gambling messaging—including “IF YOU OR SOMEONE YOU KNOW HAS A GAMBLING PROBLEM AND WANTS HELP, CALL 1–800–GAMBLER”—and tools that allow users to set limits on deposits and activity.
The other two bills focus on enforcement. House Bill 1226, known as the Maryland Illegal Online Gambling Enforcement Act, goes after offshore and sweepstakes-style platforms. It defines “sweepstakes games” as products that “utilize a dual–currency system of payment” and mimic casino, lottery, or sports betting formats.
The bill states that “a person may not knowingly: (1) operate, offer, conduct, engage in, or promote illegal online gambling in the State; or (2) knowingly support” those activities. It gives the Attorney General and local prosecutors authority to issue cease-and-desist orders and pursue court action. Violations carry criminal penalties, with the law stating a person “is guilty of a misdemeanor.”
It also extends to financial and tech intermediaries. Under the proposal, “a financial transaction provider may not knowingly accept or process any financial transaction” connected to illegal gambling, and platform providers face similar limits.
House Bill 295 takes a different angle, focusing on licensed operators. It says that “a person may not operate, conduct, or promote an interactive game in the State,” while requiring companies to disclose ties to entities involved in illegal activity. Regulators would have the power to deny or revoke licenses, and violations again mean a person “is guilty of a misdemeanor.”
Legal analysts have noted that while enforcement powers are expanding, practical challenges remain in policing offshore platforms. Last month, Robert L. Ruben, a partner at Duane Morris LLP and a gaming law expert, told us: “It’s not completely unprecedented that a regulator would claim jurisdiction over an entity that’s unaware that its products are being offered in a particular state. But again, I haven’t seen it before in gaming in a criminal context like this.”
All three bills are now before the Senate, where lawmakers are considering a combined approach.
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