Original Section(s)

11 VAC 5-70-170 Permissible and Prohibited Wagers.

GLI Recommendations

H.   A sports governing body may notify the Department that it desires to restrict, limit, or prohibit sports betting on its sporting events by providing notice, in writing, in accordance with requirements prescribed by the Director. A sports governing body also may request to restrict the types of bets that may be offered. The Department shall grant the request upon a demonstration of good cause from the sports governing body.

1.    To demonstrate good cause, the sports governing body shall bear the burden of establishing to the satisfaction of the Director that the relevant betting or other activity poses a significant and unreasonable integrity risk that is beyond the control of the sports governing body to preemptively remedy or mitigate

2.    To ensure proper consideration, the request should be sent to the Department at least seventy-two (72) hours before the event. At any time, however, a sports governing body or equivalent should report information if it involves allegations of match-fixing, the manipulation of an event, misuse of inside information, or other prohibited activity.

3.    The Department shall promptly review the information provided and respond as expeditiously as possible to the request concerning a particular event before the start of the event or if it is not feasible to respond before the start of the event, as expeditiously as possible.

4.    The Director shall seek input from affected permit holders and may consult with an independent integrity monitoring provider and other jurisdictions before making a determination on such request.

5.    If the Director grants a request, the Board shall promulgate by regulation such restrictions, limitations, or prohibitions as may be requested.

6.    If the Director denies a request made, the Director shall give the requester notice and the right to be heard and offer proof in opposition to such determination in accordance with regulations established by the Board.

GLI recommends adding as seen in other markets and to cover § 58.1-4039.

I.     For the purpose of offsetting player wagers, a permit holder may place a layoff wager with another licensed permit holder that conforms with all federal and state law requirements provided:

1.    The Director determines that layoff wagers may be placed and accepted under the law.  If layoff wagers are permitted, they must be placed and accepted in accordance with any other procedures or conditions prescribed by the Director;

2.    The permit holder placing the layoff wager informs the permit holder receiving the layoff wager that the wager is being placed by a permit holder and discloses its identity;

3.    The receiving permit holder, in its discretion, agrees to accept the layoff wager after receiving notification of the identity of the permit holder placing the layoff wager. The receiving permit holder may decline to accept a layoff wager in its sole discretion;

4.    Each layoff wager is reported to the Department in such manner as the Director may direct; and

5.    The amounts of wagers placed by a permit holder and the amounts received by the permit holder as payments on such wagers will not affect the computation of the permit holder’s gross revenue.

GLI recommends adding requirements for Layoff Wagers as seen in other markets.