11 VAC 5-70-10. Definitions

GLI Recommendations

• “Adjusted gross revenue” means the total of all cash, property, or any other form of remuneration, whether collected or not, received by a permit holder from its sports betting operations gross revenue, minus:

1. 1. All cash or the cash value of merchandise paid out at winnings to bettors, and the value of all bonuses or promotions provided to players as an incentive to place or as a result of their having placed wagers,
   2. Uncollectible gaming receivables, which shall not exceed 2% or a different percentage as otherwise determined by the Board pursuant to subsection F of § 58.1-4007, of gross revenue minus all cash paid out as winnings to bettors;
   3. If the permit holder is a significant infrastructure limited licensee, as defined in § 59.1-365 of the Code of Virginia, any funds paid into the horsemen’s purse account pursuant to the provisions of subdivision 14 of § 59.1-369 of the Code; and
   4. All excise taxes on sports betting paid pursuant to federal law.

• "Gross revenue" means the total of all cash, property, or any other form of remuneration, whether collected or not, received by a permittee from its sports betting operations.

GLI recommends updating “adjusted gross revenue” to be closer to what is in § 58.1-4030,  

and adding definition of “gross revenue” from § 58.1-4030.

• “Permit holder” means a person who has been issued a permit by the Director pursuant to §§ 58.1-4032 and 58.1-4033 to operate a sports betting platform.

GLI recommends updating definition to be closer to what is in § 58.1-4030.

• “Cashless wagering system” means a sports betting platform in which a player maintains an electronic account that employs multi-source authentication.

GLI recommends removal as Cashless Wagering Systems refer more towards casino gaming would not be used in an online only environment.

• “Prohibited individual” means any individual:

1. who is prohibited from wagering pursuant to § 58.1-4041 of the sports betting law;
2. whose name is on any Virginia Lottery maintained voluntary self-exclusion list or Virginia Lottery involuntary exclusion list;
3. whose participation may undermine the integrity of the wagering or the sporting event;
4. who is excluded from wagering for any other good cause; or
5. who makes or attempts to make a wager as an agent or proxy on behalf of another for compensation (i.e., messenger betting).

GLI recommends reference to § 58.1-4041 in this definition.

• “Prohibited wager” means an attempted wager on any sporting event or occurrence which is not explicitly permitted:

1. under § 58.1-4039 of the sports betting law; or
2. by Board action, whether by regulation or according to any list of permissible wagers published and updated by the Department from time to time.

GLI recommends reference to § 58.1-4049 in this definition.

• “Sports betting” means placing wagers on professional sports, college sports, sporting events, and any portion thereof, and includes placing wagers related to the individual performance statistics of athletes in such sports and events. “Sports betting” includes any system or method of wagering approved by the Director, including single-game bets, teaser bets, parlays, over-under, moneyline, pools, exchange wagering, in-game wagering, in-play bets, proposition bets, and straight bets. Subject to limitation by the Board or the Board’s designee in the Board’s sole and absolute discretion, "sports betting" does not include:

1. participating in charitable gaming authorized by Article 1.1:1 (§ 18.2-340.15 et seq.) of Chapter 8 of Title 18.2;
2. participating in any lottery game authorized under Article 1 (§ 58.1-4000 et seq.);
3. wagering on horse racing authorized by Chapter 29 (§ 59.1-364 et seq.) of Title 59.1; or
4. participating in fantasy contests authorized by Chapter 51 (§ 59.1-556 et seq.) of Title 59.1.
5. placing a wager on a college sports event in which a Virginia public or private institution of higher education is a participant, nor does “sports betting” include
6. placing a wager on sports events organized by the International Olympic Committee where the majority of participants are under the age of eighteen (18) years old

GLI recommends updating definition to be closer to what is in § 58.1-4030.

As the vast majority of markets allow wagering on Olympic events, GLI recommends to put in a caveat as seen in other markets to only restrict access to Olympic events where the majority of participants are underage.

• “Sports betting account” or “Player account” means an account established by a permit holder for an individual to use for sports betting with a specific identifiable record of deposits, wagers, and withdrawals established by a sports bettor and managed by the permit holder.

GLI recommends update based on what’s seen in other markets